Operations Management: An Integrated Approach, 5th Edition

SUPPLEMENT B

Introduction to Optimization

LEARNING OBJECTIVES

After completing this supplement you should be able to

Recognize decision-making situations that may benefit from an optimization modeling approach.

Formulate algebraic models for linear programming problems.

Develop spreadsheet models for linear programming problems.

Use Excel's Solver add-in to solve linear programming problems.

Interpret the results of models and perform basic sensitivity analysis.

SUPPLEMENT OUTLINE

Introduction B2

Algebraic Formulation B4

Spreadsheet Model Development B7

Solver Basics B9

Setting Up and Running Solver B9

Interpreting the Solution B13

Solver Solution Reports B14

Recap B16

Outcomes of Linear Programming Problems B16

Optimization within OM: How It All Fits Together B18

WHAT'S IN OM FOR ME?

Everyone, almost daily, solves optimization problems in informal ways by using mental models. If you ...