By John A. Lawrence, Barry A. Pasternack
This cutting edge e-book indicates readers how you can use the administration technological know-how ends up in genuine managerial determination making. It makes a speciality of real-world purposes and utilizing software program instead of directly arithmetic. This method permits readers to pay attention to studying to take advantage of the administration technological know-how ends up in managerial choice making.
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Additional resources for Applied management science : modeling, spreadsheet analysis, and communication for decision making
4 Furthermore, complex techniques are usually far more costly. Based on his vast experience as a management science consultant, Gene Woolsey has made three observations (which he calls Woolsey’s Laws) that have served as a useful guide to the selection of a solution technique: 1. Managers would rather live with a problem they can’t solve than use a technique they don’t trust. 2. Managers don’t want the best solution; they simply want a better one. 3. If the solution technique will cost you more than you will save, don’t use it.
Functional constraints are or “= ” restrictions that involve expressions with one or more variables. 5M < 2000 Variable constraints are constraints involving only one of the variables. Examples of variable constraints that will be discussed in this text include the following: V a r ia b le C o n s t r a i n t M a t h e m a t i c a l E x p r e s s io n Nonnegativity constraint Lower bound constraint Upper bound constraint Integer constraint Binary constraint X>0 X & L (a number other than 0) X< U X = integer X = 0 or 1 In the NewOffice example, no production can be negative; thus, we would require the nonnegativity constraints D 2 0, C ^ 0, and M S: 0.
4. Rewrite the constraint, if necessary, so that all terms involving the decision variables are on the left side o f the relationship, with only a constant value on the right side. C O N S T R U C T IN G M O D E L S H E LL In the formative stages of model building, generic symbols can be used for the pa rameters until the actual data are determined. In the NewOffice Furniture exam ple, the symbols Ab A2, and A3 might have been used to represent the amount of steel required to make one desk, one chair, and one pound of molded steel, respec tively, and the symbol B could have been used to represent the amount of steel available during the production run.
Applied management science : modeling, spreadsheet analysis, and communication for decision making by John A. Lawrence, Barry A. Pasternack