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Unformatted text preview: and chairs.
The production process requires a certain number
of hours of carpentry works, painting and
varnishing. Profit per unit production, hours
required and available hours are given.
Question: What is the “best” combination of
number of chairs and tables to manufacture
in order to reach maximum profit.
in 6 • Problem Solving using
Quantitative Analysis Approach
Developing Solutions Feedback Testing Solutions
7 Defining Problem
➲ Clear, concise statement of the problem
➲ Beyond the symptoms, identify true case
➲ Concentrate on few problems
➲ Some specific measurable objectives are helpful
• Physical, scale, schematic and mathematical models
• Variables (controllable, uncontrollable), decision variables
• Models: solvable, data are obtainable 8 Input Data
➲ GIGO principle (Garbage In, Garbage Out)
➲ From company document, reports
➲ Interview with employees and related persons
• Solve equations
• Trial and error
• Complete enumeration
• Develop algorithm 9 Testing the Solution
➲ Before analyzing and Implementing
➲ Determine the accuracy and completeness of the
➲ Test the robustness of the model
➲ Some hand calculation may be useful
Analyzing Result & Sensitivity Analysis
• Determine the implication of results
• Sensitivity analysis: how the solution will change with a
different model or data
• The need of Simulation ; Good, workable solution
• Bad implementation: fail in efforts
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This note was uploaded on 12/25/2013 for the course BUSINESS A 051iu taught by Professor Thu during the Spring '12 term at International University.
- Spring '12