BSTA 3109 OPERATIONS RESEARCH II (42 HOURS)

Prerequisite: BSTA 2207 Operations Research I

Course Purpose

The course builds on the concepts and models of Operation research I

and introduces more
advanced models applied under stochastic business decision
environments.

Expected Learning Outcomes

At the end of the course, the learners should be able to:
1. Explain the concept of network analysis in project management
2. Explain the inventory models and apply them in optimization
problems
3. Design dynamic programming of business investment problems
4. Apply queuing and markov chain models to solve business problems

Course content

Network models; Shortest paths such as Floyd’s algorithm,

deterministic, critical path analysis/critical path method,
probabilistic model, programme evaluation review technique, crashing,
resource leveling. Inventory models: periodic model, quantity models,
basic economic order quantity, discounts, stock-out, buffer stock,
activity based costing analysis, pareto anal-
ysis, just in time (JIT) systems. Dynamic programming: Dynamic
programming models and applications - Optimality principle.
Stochastic dynamic programming: Dynamic programming models and
applications. Queuing model, single server and multiserver systems.
Simulation: introduction and application in queuing and inventory
models. Game theory:pure and mixed strategies, SADDLE, dominance.

Instructional methods
Lectures, Group discussions, illustrations and demonstrations, case
studies

Instructional Materials
Tablet, Smart board, white board, LCD projector and computers,
Flipcharts

Course Assessment
CATs and Assignments 50%
Final examination 50%
Total 100%
Course Text Books
1. Richard Bronson and Govindasami Naadimuthu ((1997) Operations
Research, Schaum’s
Outline Series, McGRAW-HILL, ISBN 0-07-008020-8
2. Taha,H.A. (2010).Operation Research; An Introduction. 9th Ed.
Prentice Hall. ISBN-
10: 013255593X
3. C. R. Kothari (1994), An Introduction to Operational Research,
South Asia Books,
ISBN-13:978-0706985672, ISBN-10: 0706985672

Reference Text Books

1. Amir, D. A.and Jayavel, S.(2008).Complete Business Statistics.7TH
Edition .McGraw Hill.ISBN-13: 978-0077239695
2. Sharma, J.K. (2011). Business Statistics.2nd Ed. Pearson
education.ISBN: 9788131734032
3. Weygandt, J., Kieso, D and Kimmel, P. (2008). Introduction to
Accounting II. 4th Ed. John Wiley and Sons.ISBN-10: 1118024494

Course Journals
1. International journal of Operation Research. ISSN: 1745-7645
2. Computational management science. ISSN: 1619-6988
3. Journal of Mathematics and Operations Research. ISSN: 1757-5850 6

Reference Journals
1. Production and operation management society journal. ISSN: 1937-
5956
2. Asia-Pacific journal of operation research. ISSN: 0217-5959
3. Journal of Operations Management. ISSN: 0272-6963