1 1) Operation Research:

UNIT-1

Operation research is a scientific method of providing executive departments with a quantitative basis for decision regarding the operations under their control. 2) Characteristics of OR: Inter-disciplinary team approach Holistic approach Scientific approach Quantitative solutions Imperfectness of solutions Use of scientific Research To optimize the total output.

3) Limitations of OR: The inherent limitations rel ated to mathematical expressions High cost of model building exercise Negation of qualitative factors OR tools are just tools to assist-analysis OR is not a scientific research

4) Applications of OR model: Finance-Budgeting and Investments Purchasing, Procurement and Exploration Production Management Marketing Personnel Management Research and Development

5) Scope of application of OR technique: The OR is useful in the following various important fields. In Agriculture In Finance In Industry In Marketing In Personnel Management In Production Management

6) Applications of LPP: Personnel Assignment Problem Transportation Problem Optimum estimation of Executive Compensation Agricultural applications Military applications Production Management Marketing Management Manpower Management Physical Distribution

7) Properties of Linear Programming Solution: Feasible Solution Optimal Solution Alternate Optimum Solution Unbounded Solution Infeasible Solution Degenerate Solution.

8) Methods of LPP: Simplex Method Big M Method Dual Simplex Method Two-Phase Method

9) Limitations of LPP: Linear programming deals only with single objective. Parameters appearing in the model are assumed to be constant Sometimes large-scale problems cannot be solved with Linear Programming techniques even when the computer facility is available. Linear programming model does not take into consideration the effect of time and uncertainty.

UNIT-2 1) Transportation Problem: Transportation problem is to transport various amount of a single homogeneous commodity , that are initially stored at various origins, to different destinations in such a way that the transportation cost is a minimum 2) What is Source and destination : If there are more than one centers, called origin/source, from where the goods need to be shipped to more than one places called Destination.

3) Balanced Transportation problem: If the sum of the supplies of all the sources is equal to the sum of the demands of all the destinations, then the problem is termed as balanced transportation problem.

4) Unbalanced Transportation problem: If the sum of the supplies of all the sources is not equal to the sum of the demands of all the destinations, then the problem is termed as unbalanced transportation problem.

5) Methods to find Initial basic feasible solution: There are three types of techniques to find the initial basic feasible solution. Northwest corner Method Least cost cell Method Vogels approximation Method 6) Define Loop: In a transportation table, an ordered set of four or more cells is said to form a loop.if, Any two adjacent cells in the ordered set lie either in the same row or in the same column. Any three or more adjacent cells in the ordered set do not lie in the same row or in the same column. The first cell of the set is considered to follow the last one in the set.

7) Methods to find out optimal solution: The steps to find out optimal solution are: Step1: Examination of initial basic feasible solution for non-degeneracy. Step2: determination of net-evaluations for empty cells. Step3: Optimality test of current solution. Step4: Selection of the entering variable. Step5: Selection of leaving variable. Step6: Repeat the steps 1-5 until an optimum solution is obtained. 8) Degeneracy: Degeneracy in transportation problem can occur in 2 ways: Basic feasible solution may degenerate from the initial stage onwards. They may become degenerate at any intermediate stage. 9) Types of Assignment Problem: Balanced assignment problem Unbalanced assignment problem. 10) Transshipment Problem:

A transportation problem in which available commodity frequently moves from one source to another source or destination before reaching its actual destination is called a Transshipment problem.