The Lee Kong Chian School of Business

Academic Year 2011 /12 Term 2 OPIM 101 MANAGEMENT SCIENCE

Instructor Title Tel Email Office : Marcus Ang : Lecturer of Operations Management : 68280703 : marcusang@smu.edu.sg : LKCSB #0440

COURSE DESCRIPTION
The objective of this course is to introduce students to management science, which is the application of the scientific method to managerial and personal decision-making. The quantitative analysis approach consists of defining a problem, developing a model, acquiring data, developing a solution, testing the solution, analyzing results and implementing results. Selected quantitative analysis tools will be introduced in the course which include linear and integer programming, decision analysis, and project scheduling.

LEARNING OBJECTIVES
On successful completion of the course, students should be able to: - Analyze the business or personal problem situation and structure it - Formulate a quantitative model to represent the problem situation using the techniques learned - Solve the problem using the techniques learned - Interpret the results and perform what-if analyses to gain insights - Explain the usefulness and the limitations of the modeling approach to solving decision problems

PRE-REQUISITE/ CO-REQUISITE/ MUTUALLY EXCLUSIVE COURSE(S)

Please refer to the Course Catalogue on OASIS for the most updated list of pre-requisites / co-requisites for this particular course. Do note that if this course has a co-requisite, it means that the course has to be taken together with another course. Dropping one course during BOSS bidding would result in both courses being dropped at the same time.

ASSESSMENT METHOD
Homework Assignments: 20% Class Participation: 10% Midterm Exam: 30% Final Exam: 40% (final exam to be scheduled by the Office of the Registrar).

RECOMMENDED TEXT AND READINGS

B. Taylor: Introduction to Management Science, 10th edition, Prentice-Hall, 2009 Additional readings will be assigned.

CLASS SCHEDULE (Tentative)

Week No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Topic Introduction to Management Science and LP formulation Introduction to LP, Graphical Solution, Sensitivity analysis I LP Formulation: Solving LP in Excel, Sensitivity analysis II Binary Variables and Logical Constraints Network Models: Trans-shipment, Assignment. Network Flow Model, Midterm Review MIDTERM EXAM Mid-term Break Probability Concepts and Applications, Newsvendor Problem Decision Analysis: Decision Rules, Sensitivity Analysis, Decision Trees Project Management, Part I: Deterministic Analysis Project Management, Part II: Probabilistic Analysis Final Exam Review Study Break Final Exam