Monday, September 12, 2011

Rules for Ties

In Linear Programming, in choosing the key column and key row, whenever there is a tie between two or more numbers, the following rules may be followed.
1. If there is a tie between two or more numbers in the index row, select the column farthest to the left as the key column.
2. If there is a tie between two or more smallest positive ratios in the ratio column, select the row nearest to t6he top as key row.

Thursday, September 8, 2011

Nominal Group Technique

Nominal group technique is a participatory approach for finding fact, identifying problems and strengths, generating ideas and evaluating progress. It is based on assumption of work independently and then, combines ideas. In this technique, each individual member are presented with a problem and each member is responsible for developing ideas for situation individually and independently. All these ideas are shared with each other in a prescribed format for suggestion and classification. At last, group members choose the best alternative by secret ballot. This process is called nominal because all members work independently and are considered as a part of group in name only.

Wednesday, September 7, 2011

Service Mechanism

The service mechanism is concerned with the manner in which customers are serviced and leave the service system. It refers to arrangement of service facilities and service time distribution.

Saturday, September 3, 2011

Surplus Variables

If the constraints of given LP (Linear Programming) problem are greater than or equal to type, then non-negative variables are subtracted from left hand sides of greater than or equal to constraints to convert them into equations. Such non negative variables are called surplus variables.

Tuesday, August 30, 2011

Use of forecast Information

A manager can take a reactive or proactive approach to a forecast. A reactive approach views forecast as probable descriptions of future demand, and a manager reacts to meet that demand i. e. the manager tries to adjust production rates adjustment inventories, adjust the workforce etc. While a proactive approach seeks to actively influence demand by advertising, pricing or product/service changes.

Generally, proactive approach require either an explanatory model 9regression) so as to make two forecast viz. present value and future prediction.

Forecasts are the basic planning. In other words forecasts are vital inputs for both the design and the operation of the production systems to anticipate the future.

Monday, August 29, 2011

Simulation

To simulate is to try of duplicate or imitate the features, appearance, and characteristics of a real system. Simply, simulation is a technique of testing a model, which resembles a real-life situation.

The term simulation in the context of business and social science applications refers to the operation of a numerical model that represents the structure of a dynamic process. Given the values of initial conditions, parameters and exogenous variables a simulation is run to present the behaviour of the process over time. Simulation approach can also be useful in building models for understanding future conditions.

Friday, August 26, 2011

Operations Management

Since 1970s, service sector become a prominent sector for economic and social development of the country. Therefore, the whole organizations are classified into manufacturing and service sectors. Then, the new term operations management emerged in the place of production management.  The production management changed into operations management. Therefore, operations management focuses more in service sectors.