Management

Science
Ms. Roan Fair Rayos, LPT
Course Information Syllabus

Course Title Management Science

Course Code MGT 208
Course Category Core Accounting Education
Semester/Year First Semester , Second Year
Prerequisite GEd 102
Credit Hours 3 (3 hours Lecture)
Course Rationale and Description
This is a course on the use of Management Science in solving
management decision problems and is meant to assist students in acquiring a
special competence in the scientific management approach to problem solving. It
aims to provide students with an awareness of standard tools in Management
Science/Operations Research (MS/OR), and an appreciation of relevant techniques
in mathematical model building, mathematical programming and decision analysis.
The course also seeks to develop within the student the ability to recognize
potential application areas in their future jobs, as well as the meaningful utilization
of the Management Science tools and techniques in the government, the local
industry, and in business, particularly in the areas of finance, marketing,
production, and human resource management.
Course Assessment
Major Examinations(Midterm and Finals)
50%
and Semestral Output
50% Exercises (Problem Sets)
COURSE
POLICIES
 A. GRADING SYSTEM
The grading system adopted by this course is as follows:
Excellent 1 98 - 100
Superior 1.25 94 - 97
Very Good 1.5 90 - 93
Good 1.75 88 - 89
Meritorious 2 85 - 87
Very Satisfactory 2.25 83 - 84
Satisfactory 2.5 80 - 82
Fairly Satisfactory 2.75 78 - 79
Passing 3 75 - 77
Failure 5 Below 70
Incomplete INC
*Students who got a computed grade of 70-74 will be given an appropriate remedial activity in which the final
grade should be either passing (3.0) or failure (5.0).
B CLASS POLICY
Attendance will not be included in grade computation. However, to ensure engagement and access of
. students to learning materials and activities, attendance will be regularly monitored by the course
instructor. This will also be useful in identifying students who need guidance and counselling.
MISSED EXAMINATIONS
Students who failed to take the exam during the schedule date can be given a special exam provided he/she
has valid reason. If it is health reason, he/she should provide the faculty with the medical certificate signed
by the attending Physician. Other reasons shall be assessed first by the faculty to determine its validity.
ACADEMIC DISHONESTY
Academic dishonesty includes acts such as cheating during examinations or plagiarism in connection with
any academic work. Such acts are considered major offenses and will be dealt with according to the
University’s Student Norms of Conduct.
DROPPING
Dropping must be made official by accomplishing a dropping form and submitting it at the Registrar’s
Office before the midterm examination. Students who officially drop out of class shall be marked
“Dropped” whether he took the preliminary examination or not and irrespective of their preliminary
grades.
A student who unofficially drops out of class shall be given a mark of “5.0” by the instructor.
Topics:
Chapter Topic
1. Introduction
1.1 Definitions and Characteristics
1 1.2 Models and Modeling
1.3Management Science Techniques
2. Linear Programming
2.1 Formulation of the Mathematical Model
2 2.2 Graphical Solution
2.3 Simplex Method
3. Distribution Models
3 3.1 Transportation Model
3.2 Assignment Problem
MIDTERM EXAMINATION
Chapter Topic
4. Network Models
4.1 Shortest Path Problem
4 4.2 Traveling Salesperson Problem
4.3 Minimal Spanning Tree
4.4 Maximum Flow Problem
5. Project Management
5 5.1 Critical Path Method
5.2 Program Evaluation Review Technique
6. Decision Analysis
6 6.1 Mathematical expectation
6.2 Decision Tree
7. Inventory Model
7 7.1 The Economic Order Quantity Model
FINAL EXAMINATION
 01
INTRODUCTION
TO
MANAGEMENT
SCIENCE
Objectives:
01 02
Define management science Explain the major characteristics of
and describe its importance in management science and how it is
business. applied in problem solving.

03
Explain the importance of
models in decision making
process.
04
Explain and identify the
appropriate management
science technique in
managerial problems.
1.1 Definition and
Characteristics of Management
Science
What is Management
Science?
● According to Turban and Meridith,
management science is applying
analytical principles, procedures, and
instruments to problems concerning
device processes in order to offer
optimal answers to the problems for
those in charge of the processes.
Major Characteristics of Management Science
1. A main focus on decision making by the managers.
2. Usage of the analytical model to the decision-making
phase.
3. Examining the condition of the judgment from a specific
viewpoint
4. Using methods and expertise from multiple disciplines.
5. A dependency on the mathematical models of shape.
6. Computer widespread use.
Decision Making
• a method of deciding between two or more
possible courses of action necessary to accomplish a
particular goal.
• It is a systematic process and can be described by:
a. defining the problem
b. searching for alternative courses of action
c. evaluating alternatives
d. choosing one alternative
1.2 Models and Modelling
Model
• is an abstract mathematical representation of a problem situation.

Modelling
• the application of scientific methods to complex organizational
problems
Management science follows a rational, structured approach to problem solving
that strongly resembles what is known as the analytical process of problem-
solving.
Example:
A business firm that sells a product. The product costs $5 to
produce and sells for $20. the product is made from steel and
that the business firm has 100 pounds of steel available. If it
takes 4 pounds of steel to make each unit of the product.
Compute the total profit that will accrue from the items sold.
Try these:
Consider a model in which two products, x and y, are
produced. There are 100 pounds of material and 80 hours of
labor available. It requires 2 pounds of material and 1 hour of
labor to produce a unit of x, and 4 pounds of material and 5
hours of labor to produce a unit of y. The profit for x is $30
per unit, and the profit for y is $50 per unit. If we want to
know how many units of x and y to produce to maximize
profit.
1.3 Management Science
Techniques
Linear Programming
• This is one of management science's best-known tools. This strategy
describes the problem as maximizing a linear function (minimizing) with
reference to the set of linear constraints.

Integer Linear Programming

• type of optimization problem where the variables are integer values and the
objective function and equations are linear.

Goal Programming
• a specific methodology for coping with such situations, usually in linear
programming.
Distribution Models
• outlines how goods make their way from the manufacturer to a consumer
outlet.
Distribution Problems:
> Problem of Transportation
> Problem of Assignment

Non Linear Programming

• Models used in this field of management science are close to linear
programming models; but there is a major distinction between them:
nonlinear models include nonlinear objective function and/or other nonlinear
constraints.
Network Models
• describes patterns of flow in a connected system, where the flow might
involve material, people, or funds.

Project Management
• focuses on planning and organizing a project and its resources

Inventory Models
• deal with the time at which orders for certain goods are to be placed,
and the quantity of the order
Waiting Line Models
• based on mathematical theories and deals with the problems arising
due to flow of customers towards the service facility.

Simulation
• is a programming experience with a simulation model intended to explain and
measure the actions of the real system-the machine software simulates the
actual system.
Decision Analysis
• a formalized approach to making optimal choices under conditions of
uncertainty.

Theory of Games
• This field is an expansion of the decision making of two or more decision-
makers to the circumstances.

Forecasting
• support the manager predicting future elements of the business operation
Multicriteria Decision Making
• a structured process for evaluating options with conflicting criteria
and choosing the best solution

Markov Analysis
• This approach can be used for explaining a system 's actions in a
complex scenario (system progression over time).

Dynamic Programming
• a mathematical technique for solving certain types of sequential
decision problems
Thank you and
God Bless!