NOTES ON STAT CAMP LECTURE #1
How to Obtain the SPSS and EXCEL Outputs in Lecture 1
1. Slide 17 (softdrink.xls)in SPSS, use Analyze/Descriptive Statistics/Frequencies,
move Brands Purchased into the Variables Box and click OK to get the output.
You can ri

The Two Types of Problems
Data are information you can use with management
science and operations research techniques to help
solve the following two types of problems:
Building Deterministic Models
Probabilistic problems, in which some (or all) of the
da

Linear Programming Problems
A Linear Program (LP) is a problem in which:
The objective function and all constraints are linear.
All variables are continuous.
Linear Programming
Models and Applications
Linear programming problems are important because:
The

The Problem of Case Chemicals
SOLVING
LINEAR PROGRMS
BY COMPUTER
Case Chemicals produces two solvents: CS-01 and
CS-02. Each
CS 02 E h 1000 gallons of CS 01 yields a net profit of
ll
f CS-01 i ld
t
fit f
$3 hundred and requires 2 hours in the Blending
Dep

Queuing Systems
A queuing system is a system in which customers (items)
arrive at a station, wait in a queue (line),
obtain service from servers, and then leave.
1
Arrive
QUEUING MODELS
2
Waiting
Customers
3
Servers
Problems Related to Queuing Systems
Q
g

The Problem of Case Chemicals
Case Chemicals produces two solvents: CS-01 and
CS-02. Each
CS 02 E h 1000 gallons of CS 01 yields a net profit of
ll
f CS-01 i ld
t
fit f
$3 hundred and requires 2 hours in the Blending
Department and 1 hour in the Purificat

MBAC 511
HOMEWORK #4
DUE NOV. 9
1. Fresh Dairy Farms has two different machines for processing raw milk into low-fat milk,
butter, and cheese. The amount of time required on each machine to produce each unit of
resulting product and the net profits are pr

MBAC 511
HOMEWORK #5
DUE NOV. 18
Note: This assignment probably requires the most time to complete of all the homeworks, so you
should NOT leave this to the last minute. Also, you do not need to turn in computer output from
solving linear programs, but ra

MBAC 511
HOMEWORK #6
DUE DEC. 2
1. The Capstone Brokerage Firm manages portfolios of common stocks. Its computers monitor
stock prices and, when certain conditions arise, they issue buy or sell signals. These signals
follow a Poisson process with an avera

General Multiple Regression
With p independent variables, say, X1, , Xp, you can build
many possible models. By possible is meant a model with:
Stepwise Regression
Some independent variables in the model.
The remaining independent variables not in the mod

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Forecasting
Forecastingthe art of predicting the future value
of a quantity of interest whose value is uncertain
and you cannot control it (that is, a random
variable).
Simple Regression
Two Methods for Forecasting
Chapter 12
Time Seriesextrapol

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Building the Model
Simple Regression:
A Case Study
Recall the three steps of regression:
Build the Model
Test the M d l
T
h Model
Sun Resorts International has hotels
worldwide. For budget planning
purposes, the CEO requests a yearly
forecast of

MBAC 511 - Fall 2015: Statistics and Decision Modeling
Instructor:
Daniel Solow, 322 Peter B. Lewis Building (368-3837), e-mail: Daniel.Solow@case.edu
Office Hours: Wed. Noon 1:00 AM or by appointment.
Dept. Assistant:
Tedda Nathan (txn2@case.edu), PBL 37

Using SPSS:
Descriptive Statistics
Department of Operations
Weatherhead School of Management
1
The Frequency Table
Open the file SoftDrink.xls and you will have the
following data view.
2
The Frequency Table (Cont.)
Click Analyze in Menu Bar.
Then click

Using EXCEL 2010:
Descriptive Statistics
Department of Operations
Weatherhead School of Management
1
Installing Data Analysis
To do statistics in Excel, first install the Data Analysis Toolpak
add-in as follows:
For a Mac, go to the following web site t

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Comparison with Estimation
With estimation, you want to determine the
value of a parameter of a population.
l
f
f
l i
With hypothesis testing, you want to
determine whether a parameter of a
population has a certain property (yes or no)
the ac

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Motivation
Estimation
In each of the following, you would like to know the
value of a single number of interest associated with a
large group of items called the population.
l
f it
ll d th
l ti
Chapter 8
10
Estimation Process
The Population
Pop

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Course Objective
MBAC 511
Stat st cs a d
Statistics and
Decision Modeling
The objective of this course is to enable you to add
value to your organization by learning how operations
l t
i ti b l
i h
ti
research (also called management science) us

A Simple Regression Problem
EE-Electronics tests potential
employees to see how productive
they will be. As the Manager of
Personnel, you have been asked to
determine how effective the exam
is in predicting productivity.
Regression with
Qualitative and No

Multiple Regression
With multiple regression, you use your knowledge of the
business to identify any number of possible independent
variables, say X1, , Xp, whose values might affect the
value of Y.
Multiple Regression
To use multiple regression, modifica

Solution to HW#0
1. (Using Excel)
(a) Mean = AVERAGE() = 34.7
Mode = MODE() = 25
(b) The median = MEDIAN() = 34.5. The at-home workers are younger than the
population of all adults.
(c) Range = MAX() MIN() = 53 18 = 35;
Variance = VAR() = 116.6
Standard d