Syllabus
Syllabus
B.Tech. IV Semester
COURSE OBJECTIVES:
• To introduce to use quantitative methods and techniques for effective decisions–
making
• To develop operational research models from the verbal description of the real
system
• To model formulation and applications that are used in solving business decision
problems
• To understand the mathematical tools that are needed to solve optimization
problems
COURSE OUTCOMES: After completion of the course, the student should be able to
CO-1: Evaluate the problems using linear programming
CO-2: Build and solve transportation models and assignment models
CO-3: Design new simple models, like CPM, PERT to improve decision – making and
develop critical thinking and objective analysis of decision problems
CO-4: Build and solve the problems using Inventory, queuing theory and simulation
problems
CO-1 3 3 3 3 3 3 1 - 3 1 2 1 3 3 1
CO-2 3 3 3 3 3 3 1 - 3 1 2 1 3 3 1
CO-3 3 3 3 3 3 3 1 - 3 1 2 1 3 3 1
CO-4 3 3 3 3 3 3 1 - 3 1 2 1 3 3 1
UNIT – I:
Introduction to OR: Origin of OR and its definition. Concept of optimizing performance
measure, Types of OR problems, Deterministic vs. Stochastic optimization, Phases of
OR problem approach – problem formulation, building mathematical model, deriving
solutions, validating model, controlling and implementing solution.
UNIT – II:
Linear Programming: Linear programming–Examples from industrial cases, formulation.
Geometric Method: 2-variable case, Special cases – infeasibility, unboundedness,
redundancy °eneracy.
Simplex Algorithm: slack, surplus & artificial variables, computational details, big-M
method, identification and resolution of special cases through simplex iterations.
Duality – formulation, results, fundamental theorem of duality, dual-simplex and
primal-dual algorithms.
UNIT – III:
Transportation and Assignment Problems: TP - Examples, Definitions – decision
variables, supply & demand constraints, formulation, Balanced & unbalanced
situations, Solution methods – NWCR, minimum cost and VAM, test for optimality
(MODI method), degeneracy and its resolution. AP - Examples, Definitions – decision
variables, constraints, formulation, Balanced &unbalanced situations, Solution
method – Hungarian, test for optimality (MODI method).
UNIT – IV:
PERT – CPM: Project definition, Project scheduling techniques – Gantt chart, PERT &
CPM, Determination of critical paths, Estimation of Project time and its variance in PERT
using statistical principles, Concept of project crashing/time-cost trade-off.
Inventory Control: Functions of inventory and its disadvantages, ABC analysis,
Concept of inventory costs, Basics of inventory policy (order, lead time, types), Fixed
order-quantity models – EOQ, POQ & Quantity discount models.
UNIT – V:
Queuing Theory: Definitions – queue (waiting line), waiting costs, characteristics
(arrival, queue, service discipline) of queuing system, queue types (channel vs.
phase). Kendall’s notation, Little’s law, steady state behaviour, Poisson’s Process &
queue, Models with examples - M/M/1 and its performance measures; M/M/m and its
performance measures; brief description about some special models.
Simulation Methodology: Definition and steps of simulation, random number, random
number generator, Discrete Event System Simulation – clock, event list, Application in
Scheduling, Queuing systems and Inventory systems.
TEXT BOOKS:
1. Operations Research, J. K. Sharma, McMillan
2. Operations Research, R. Pannerselvam, Prentice Hall International
REFERENCES:
1. Operations Research, A. M. Natarajan, P. Balasubramani, A. Tamilarasi, Pearson
Education
2. Operations Research: Methods and Problems, Maurice Saseini, Arthur Yaspan and
Lawrence Friedman
3. Introduction to OR, Taha, Prentice Hall International