MB0048_MBA_Sem2_Fall/August 2012

Master of Business Administration - MBA Semester 2

MB0048 Operations Research- 4 Credits
Assignment Set- 1 (60 Marks)
Note: Each question carries 10 Marks. Answer all the questions.
Q.1 Maximise z = 3x1 + 4x2
Subject to constrains 5x1 + 4x2 200;
3x1 + 5x2 150;
5x1 + 4x2 100;
8x1 + 4x2 80,
x1 0, x2 0

Solution
Find Solution Using Simplex Method
Cj

CB

XB

X1

X2

S1

S2

S3

S4

MinRatio

S1

200

50

S2

150

30

S3

100

25

S4

80

20

Zj

Cj - Zj

Entering = X2, Departing = S4, Key Element = 4

R4(new) = R4(old) / 4 = R4(old) 1/4
R1(new) = R1(old) - 4 R4(new)
R2(new) = R2(old) - 5 R4(new)
R3(new) = R3(old) - 4 R4(new)

Cj

CB

XB

X1

X2

S1

S2

S3

S4

S1

120

-3

-1

S2

50

-7

-5

S3

20

-3

-1

X2

20

Zj

Cj - Zj

-5

-1

MinRatio

/4

/4

Optimum Solution is arrived at with value of variables as :

X1 = 0
X2 = 20
Maximise Z = 80

Q.2 State the ways in which customers in a queue are served.

Answer : Queuing theory is the mathematical study of waiting lines, or queues. In queuing
theory a model is constructed so that queue lengths and waiting times can be predicted.

Dear Students,
Get your assignments from Our ESTEEMED ORGANIZATION smumbaassignment.com
Just email to kvsude@gmail.com or S M S to +91 9995105420.
message Format - SMU MBA <Name> <E-MAIL ID> <SEM ? > To +91 9995105420 , we will
reach back you with in 24H
Or Directly call our Middle East Office +974 55702886 .
More Info, Kindly visit smumbaassignment.com
Best Regards, Admin

smumbaassignment.com

Q.3 Explain the use of simulation in networks? What are the advantages of using
simulation?
Answer :

Simulation: is a representation of reality through the use of a model or other

device, which will react in the similar manner as reality under a given set of conditions.

Q.4 Explain maximin-minimax principle. Briefly describe the characteristics of

competitive game
Answer : Maxim in Minima Principle

Q.5 A project has 10 activities. The following table shows the information about the
activities.

Table 14.5: Preceding

Duration

in

Activities

activity

weeks

A
A
A
C
D
B, D, E
H
I, G, F

6
3
5
4
3
3
5
5
2
3

information
Activity
A
B
C
D
E
F
G
H
I
J

Draw the network

Find the project duration
Identify the CPM
Prepare the schedule

Solution:

MB0048_MBA_Sem2_Fall/August 2012
Master of Business Administration - MBA Semester 2
MB0048 Operations Research - 4 Credits
Assignment Set- 2 (60 Marks)
Note: Each question carries 10 Marks. Answer all the questions.
Q.1 Explain project management (PERT) & Project scheduling of PERT.
Answer : Some key points about PERT are as follows:

1. PERT was developed in connection with an R&D work. Therefore, it had to cope with the
uncertainties that are associated with R&D activities. In PERT, the total project duration is
regarded as a random variable. Therefore, associated probabilities are calculated so as to
characterise it.

2. It is an event-oriented network because in the analysis of a network, emphasis is given on

the important stages of completion of a task rather than the activities required to be
performed to reach a particular event or task.

3. PERT is normally used for projects involving activities of non-repetitive nature in which
time estimates are uncertain.

4. It helps in pinpointing critical areas in a project so that necessary adjustment can be made
to meet the scheduled completion date of the project.

Project scheduling by PERT-CPM

It consists of three basic phases: planning, scheduling and controlling

1. Project Planning:
In the project planning phase, you need to perform the following activities:

I) Identify various tasks or work elements to be performed in the project.

ii) Determine requirement of resources, such as men, materials, and machines, for carrying
out activities listed above.
iii) Estimate costs and time for various activities.
iv) Specify the inter-relationship among various activities.
v) Develop a network diagram showing the sequential inter-relationships between the various
activities.

2. Project Scheduling:
Once the planning phase is over, scheduling of the project is when each of the activities
required to be performed, is taken up. The various steps involved during this phase are listed
below:

1.

Estimate the durations of activities. Take into account the resources required for these

execution in the most economic manner.

2. Based on the above time estimates, prepare a time chart showing the start and finish times
for each activity. Use the time chart for the following exercises.
o To calculate the total project duration by applying network analysis
techniques, such as forward (backward) pass and floats calculation
o To identify the critical path
o To carry out resource smoothing (or levelling) exercises for critical or scarce
resources including re-costing of the schedule taking into account resource
constraints
project.

Q.2 Write a short note on Monte-Carlo simulation? What are the Limitations of using
Simulation?
Answer :

Dear Students,
Get your assignments from Our ESTEEMED ORGANIZATION smumbaassignment.com
Just email to kvsude@gmail.com or S M S to +91 9995105420.
message Format - SMU MBA <Name> <E-MAIL ID> <SEM ? > To +91 9995105420 , we will
reach back you with in 24H
Or Directly call our Middle East Office +974 55702886 .
More Info, Kindly visit smumbaassignment.com
Best Regards, Admin
smumbaassignment.com

Q.3 In a rectangular game, pay-off matrix of player A is as follows:

I) Solve the game.

Answer :

ii) Write down the pay-off matrix of B and then, solve the game.
Answer :

Q.4 A marketing manager has 5 salesmen and 5 sales districts. Considering the
capabilities of the salesman and the nature of districts, the marketing manager
estimates that the sales per month (in hundred rupees) for each salesman in each
district would be as follows.
A
1
2
3
4
5

B
32
40
41
22
29

C
38
24
27
38
33

D
40
28
33
41
40

28
21
30
36
35

E
40
36
37
36
39

Find the assignment of salesman to districts that will result in maximum sales.

Answer:

Q.5 Define PERT & CPM. Write down the basic difference between PERT and CPM.
Answer :
Q.6 Explain Linear programming problem by giving two examples & write any 3
applications of Linear Programming problem Salesman
Answer : The LPP is a class of mathematical programming where the functions representing
the objectives and the constraints are linear. Optimisation refers to the maximisation or
minimisation of the objective functions.
You can define the general linear programming model as follows:
Maximise or Minimise:
Z = c1 x1 + c2 x2 + - - - - + can an
Subject to the constraints,
a11 x1 + a12 x2 + + a1n an ~ b1
a21 x1 + a22 x2 + + a2n an ~ b2

Dear Students,
Get your assignments from Our ESTEEMED ORGANIZATION smumbaassignment.com
Just email to kvsude@gmail.com or S M S to +91 9995105420.
message Format - SMU MBA <Name> <E-MAIL ID> <SEM ? > To +91 9995105420 , we will
reach back you with in 24H
Or Directly call our Middle East Office +974 55702886 .
More Info, Kindly visit smumbaassignment.com
Best Regards, Admin
smumbaassignment.com