363-1004-00L Operations Research
| Semester | Autumn Semester 2024 |
| Lecturers | S. Bütikofer van Oordt |
| Periodicity | yearly recurring course |
| Language of instruction | English |
| Abstract | This course provides an introduction to operations research methods in the fields of management science and economics. Requisite mathematical concepts are introduced with a practical, problem-solving perspective. |
| Learning objective | - Introduction to building and using quantitative models in a business / industrial environment - Introduction to basic optimization techniques (Linear Programming and extensions, network flows, integer programming, dynamic and stochastic optimization) - Understanding the integration of quantitative models into the managerial decision process |
| Content | The economic environment of today's companies is characterized by high cost pressure, declining margins, intensified international competition, rising customer requirements and increasingly strict regulations. Strategic and operational decisions at all management levels are becoming more and more complex due to the increasing amount of data, interrelationships, conditions and target criteria to be considered. Often it is no longer possible to solve operational tasks with experience and common sense alone and to adequately estimate the consequences of decisions without software support. Quantitative models and methods of operations research and operations management offer decision support for complex problems. Mathematical optimization models are used to precisely formulate operational decision problems so that they can subsequently be analysed and optimized using suitable solution methods. A large number of quantitative real-world problems can be formulated and solved in this general framework. Applications of operations research comprise, for instance, decision problems in production planning, supply chain management, transportation networks, machine and workforce scheduling, blending of components, telecommunication network design, airline fleet assignment and revenue management. This course offers an introduction to operations research, emphasizing basic methodologies and underlying mathematical structures. The following topics are covered in detail: - Introduction to system modelling and operations research - Linear models and the importance of linear programming - Duality theory in linear programming and shadow prices - Integer programming - Dynamic optimization (under uncertainty) and applications in inventory management. |
| Lecture notes | A printed script will be made available. |
| Literature | Any standard textbook in Operations Research is a useful complement to the course. |
| Prerequisites / Notice | Undergraduate calculus, linear algebra, probability and statistics are a prerequisite. |