Operation Research

Chapter -1
Introduction to Operation Research

1) Define Operation Research? Explain the history of Operation Research.

Ans:- It is defined as “Maximum utilization of Minimum available Resources”.
- It is also defined as “Winning the battles actually without lighting them” giving wrong
answers instead of worst answers.

History:- During the 2nd world war Great Britain faced the problem of shortage of
resources, to overcome this problem, a team of experts which included doctors,
biologists, research & military personnel organizated a study is called „Operation
Research’.
- The team was headed by military officer George.w.clatzlg basically the study was
designed on military associated problems.
- Gradually it was developed in the various fields of the applications.

2) Explain the Applications & Limitations of Operation Research.

Ans:- a)It is used in production, transportation, research & design departments.
b) Network analyst is used in the time scheduling of the traffic, train, airplanes schedules.
c) Used in economic planning of the nation administration.
d) Used by the govt. in public administration.
e) Used by marketing people in forecasting of sales.

Limitation’s of Operation Research.

a) Mathematical models are applicable to only specific categories of problem as they do
not take qualitative factors into account. All influencing factors are cannot be quantified.
b) Operation Research requires huge calculations, which cannot be handled manually. &
they require computers.
c) As it is new field, there is a resistance from the employees to the new proposals

3) Explain Different Phases of Operation Research.

Ans:- a) Formulating the problem.
b) Constructing a mathematical model.
c) Deriving solution from model.
d) Controlling the solution.
e) Implementation.

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Chapter -2
Linear Programming

1) What is an LPP?
Ans:- A linear programming is a mathematical technique for determining an optimal
allocation of the limited available resources to achieve specific object.

2) Define an LPP.
Ans:- LPP generally deals with the optimization of the linear function of the variables
subject to a set of constraints.

3) Explain Degeneracy in LPP.

Ans:- The phenomenon of obtaining a degenerate basic feasible solution in a LPP is
known as Degeneracy in LPP
Degeneracy may arise:-
i) at initial stage ii) at any subsequent iteration stage

4) What are artificial variable in LPP

Ans:- LPP in which constraints may also have ≥ & = signs after ensuring that all bj>0 are
considered. In such cases basis matrix cannot be obtain as an identify matrix in the
starting simplex table, therefore we introduce new type of variable called „artificial
variable‟.
- This variables are cannot have physical meaning.

5) What is SLACK Variable and Surplus Variable?

Ans:- SLACK Variable:- A variable introduced to the left hand side of the constraint
equation so as to equalized the inequality ≥ is called „SLACK Variable‟.

- SURPLUS variable:- A variable which is introduced on the left hand side of the
constraint equalize ≤ is called „SURPLUS variable‟

6) Write short notes for Sensitivity Analysis.

Ans:- The term sensitivity analysis, often called as post-optimality refers to optimal
solution of a linear programming problem, formulated using various methods.
- Here sensitivity analysis helps to solve repeatedly the real problem in a little different
form.
- Generally, these scenarios crop up as an end result of parameter changes due to the
involvement of new advance technologies.
- Sensitivity analysis helps to produce optimal solution of simple perturbations for the
key parameters.
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7) Explain Steps (algorithm) for solving LPP by Graphical Method

The steps involved in graphical method are as follows:
Step 1) Consider each inequality constraint as at equation.
Step 2) Plot each equation on the graph, as each will geometrically represent a straight
line.
Step 3) Mark the region. If the inequality constraint corresponding to that line is < then
the region below the line lying in the first quadrant (due to non-negativity of variables) is
shaded.
- For the inequality constraint ≥ sign, the region above the line in the first quadrant is
shaded.
Step 4) Assign an arbitrary value, say zero, to the objective function.
Step 5) Draw the straight line to represent the objective function with the arbitrary value
(i.e., a straight line through the origin).
Step 6) in the maximization case, this line will stop farthest from the origin, passing
through at least one corner of the feasible region. In the minimization case, this line will
stop nearest to the origin, passing through at least one corner of the feasible region.

Problem:
The manufacture produce two models of color T.V namely model A and model B.
(1) Model A earns profit of Rs 2,000
(2) Model A earns profit of Rs 1,000
a) Both the model used the some Picture tubes and there is a supply of 400 tubes per
month.
b) Model ‘A’ requires 8 hrs labor and model ‘B’ require ‘5’ hour labor.
There is supply of 2600 hrs/month.

Formulate Liner programming problem.

Solution: 𝑥1 𝑥2
Step 1:- MODEL A MODEL B
Profit ₹2,000 ₹1,000
Tubes 1 1 400
Labor 8 5 2,600
Step 2:- Objective function formulate liner programming problem
Max Z=2,000 𝑥1 +1,000𝑥2
Subject to constraints 𝑥1 +𝑥2 ≤ 400
8𝑥1 + 5𝑥2 ≤2,600
Ɏ𝑥1 , 𝑥2 ≤0
Step 3:- Graphical method
Table for plots

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Equation Put 𝑥1 =0, 𝑥2 =? Put 𝑥2 =0, 𝑥1 =? Plot(𝑥1 , 𝑥2 )

1) 𝑥1 +𝑥2 =400 𝑥2 =400 - (0,400)
- 𝑥1 =400 (400,0)
2) 8𝑥1 +5𝑥2 =2,600 𝑥2 =520 - (0,520)
- 𝑥1 =325 (325,0)

8) Explain the Steps (algorithms) for SIMPLEX METHOD

Step 1) Check whether the objective function of the given LPP is to be maximized or
minimized, If it is to be minimized then we convert it into a problem of maximization by
Min Z= -Max (-Z)
Step 2) Check whether all bi (i= 1, 2…. m) are positive. If any bi is negative then
multiply the in equation of the constraint by -1 so as to get all bi to be positive.
Step 3) Express the problem in standard form by introducing slack/surplus variables to
convert the inequality constraints into equations.
Step 4) Obtain an initial basic feasible solution to the problem in the form 𝑋𝐵 = 𝐵−1 and
put it in the first column of the simplex table.
Step 5) Compute the net evaluations 𝑍𝑗 − 𝐶𝑗 by using the relation 𝑍𝑗 − 𝐶𝑗 = 𝐶𝐵 (𝑎𝑗 −
𝐶𝑗 ).
Examine the sign of 𝑍𝑗 − 𝐶𝑗 .
(i) If all 𝑍𝑗 − 𝐶𝑗 ≥0, then the initial basic feasible solution 𝑋𝐵 is an optimum basic feasible
solution.
(ii) If at least one 𝑍𝑗 − 𝐶𝑗 < 0, then proceed to next step as the solution is not optimal.
Step 6) Find out the entering variable. If there are more than one negative𝑍𝑗 − 𝐶𝑗 , choose
the most negative of them. Let it be 𝑍𝑗 − 𝐶𝑗 for some j = r. This gives the entering
variable Xr and is indicated by an arrow at the bottom of the Rth column.
Step 7) To find the leaving variable or key row.
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Problem:
Solve the following using simplex method
Maximize Z =3𝑥1 +2𝑥2 +5𝑥3
Subject to constraints 𝑥1 + 2𝑥2 +𝑥3 ≤430
3𝑥1 +2𝑥3 ≤460
𝑥1 +4𝑥2 ≤420
𝑥1 , 𝑥2 , 𝑥3 ≥0
Solution :
Step 1:- Maximize Z =3𝑥1 +2𝑥2 +5𝑥3 +0𝑠1 +0𝑠2 +0𝑠3
Subject to constraints 𝑥1 + 2𝑥2 +𝑥3 +𝑠1 =430
3𝑥1 +2𝑥3 +𝑠2 =460
𝑥1 +4𝑥2 +𝑠3 =420
Ɏ𝑥1 , 𝑥2 , 𝑥3 , 𝑠1 , 𝑠2 , 𝑠3 ≥0
Step 2:-

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Step 6:-

Step 10:-

Step 11:- Max Z =3𝑥1 +2𝑥2 +5𝑥3 +0𝑠1 +0𝑠2 +0𝑠3

=3(0) +2(100) +5(230) +0(0) +0(0) +0(20)
= 0+200+1150+0+0+0
= 1350

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9) Explain the Steps (algorithms) for Big M METHOD

Ans:- Step 1) Express the problem in the standard form.
Step 2) Add non-negative artificial variables to the left side of each of the equations
corresponding to constraints of the type >=. or =. However, the addition of these artificial
variables causes a violation of the corresponding constraints.
Step 3) Solve the modified LPP by simplex method, until any one of the three cases may
arise.
1) If no artificial variable appears in the basis and the optimality conditions are satisfied,
then the current solution is an optimal basic feasible solution.
2) If at least one artificial variable in the basis at zero level and the optimality condition is
satisfied, then the current solution is an optimal basic feasible solution.
3) If at least one artificial variable appears in the basis at a positive level and the
optimality condition is satisfied, then the original problem has no feasible solution. The
solution satisfies the constraints but does not optimize the objective function.

Rule: - until artificial variable exists in the problem it is Big M method.

1) All ∆j should be negative.
2) After artificial variable removed it become a simplex method.

Problem:
Solve the following LPP by Big M method
Minimize Z=12𝒙𝟏 +20𝒙𝟐
Subject to constraints 6𝑥1 + 8𝑥2 ≥100
7𝑥1 +12𝑥2 ≥120
𝑥1 ,𝑥2 ≥0
Step:-1
Solution:
Minimize Z=12𝒙𝟏 +20𝒙𝟐
Subject to constraints 6𝑥1 + 8𝑥2 -s1+A1=100
7𝑥1 +12𝑥2 -s1+A2=120
Ɏ𝑥1 ,𝑥2 , s1, s2, A1, A2 ≥0
Step:-2

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Step: - 3

Step:-4

Step:- 5

Step:- 6

step:-7
Min Z=12𝒙𝟏 +20𝒙𝟐 +𝑶𝒔𝟏 +𝑶𝒔𝟐 +𝑴𝑨𝟏 +𝑴𝑨𝟐
=12(15) + 20+5/4
=180+25
=205
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Chapter-3
Transportation Problem

1) What is Transportation problem (TP)?

Ans:- Transportation problem deals with the transportation of goods from origins to
various destinations at a most minimum cost. In other words, it tries to reduce the cost of
transportations from the origins to the destination,

2) Explain the Mathematical Formulation of the Transportation problem.

Ans: - Let 𝑋𝑖𝑗 be the amount of commodity shipped from source i to destination j.
Minimize 𝑚 𝑛
𝑖=1 𝑗 =1 𝑐𝑖𝑗 𝑥𝑖𝑗
Subject to the constraints
1) Supply at each source must be used
𝑛
𝑗 =1 𝑥𝑖𝑗 = 𝑎𝑖 , i=1, 2, 3, -------m (row sum).

2) Demand at each destination must be met

𝑚
𝑖=1 𝑥𝑖𝑗 𝑏𝑗 , j=1, 2, 3, --------n (column sum).

3) Flow must be nonnegative

𝑥𝑖𝑗 ≥0, i=1, 2, 3, -----m; j=1, 2, 3, ------n.
Total number of variables =m X n
Total number of constraints = m + n
The given number transportation problem is said to be balanced if
𝑚
𝑖=1 𝑎 = 𝑛𝑗=1 𝑏𝑗
i.e. if the total supply is equal to the total demand.

3) Explain the methods of finding an initial basic feasible solution (IBFS)

Ans: (i) Northwest corner rule (NWC)
(ii) Least cost method (LCM)
(iii) Vogel's approximation method (VAM)

i) North West Corner Rule

Step 1 Start the upper left-hand corner cell (North West Corner) of the transportation
table and allocate many units as possible equal to the minimum between available supply
and demand. I.e. main (𝑎1 𝑏1 ).

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Step 2 Adjust the supply and demand numbers in the respective rows and columns.

Step 3. If the demand for the first cell is satisfied, then move horizontally to the next cell
in the second column.

Step 4. If the supply for the first row is exhausted, then move down to the first cell in the
second row.

Step 5. If for any cell, supply equals demand, then the next allocation can be made in the
cell either in the next row or column.

Step 6. Continue the process until all supply and demand values are exhausted.

Step 7: Transportation cost 20*3+20*5+10*7+40*8+35*2+25*2=670.

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ii) Least Cost Method(LCM) / Matrix minimum method (MMM).

Step 1: Determine the least (smallest) cost of matrix of the transportation table.
Let it be 𝑐𝑖𝑗 . Allocate 𝑥𝑖𝑗 =min (𝑎𝑖𝑗 , 𝑏𝑖𝑗 ) in i, j.
Step 2: i) Identify the row, if 𝑥𝑖𝑗 =𝑎𝑖𝑗 , cross of the ith row of the transportation table and
eliminate (decrease) that row or (column) 𝑏𝑗 by𝑎𝑖 . Then go to step 3.
ii) If 𝑥𝑖𝑗 =𝑏𝑖𝑗 , cross of the jth column of the transportation table and eliminate
(decrease) that row or (column) 𝑎𝑖 by 𝑏𝑗 . Then go to step 3.
iii) If 𝑥𝑖𝑗 =𝑎𝑖 = 𝑏𝑗 cross of either the ith row or the jth column but not both.
Step 3: Repeat steps 1 and 2 for the resulting reduced transportation table until all the
Available quantities are distributed to the required places.
-If the minimum cost is not Unique, the tie can be broken arbitrarily.

iii) Vogel's Approximation Method (VAM)

Step 1: - Find the penalty cost, namely the difference between the smallest and next
smallest costs in each row and column.
Step 2:- i) identify the row or column the penalties as found in step (1), choose the
maximum penalty.
ii) If this maximum penalty is more than one (i.e., if there is a tie), choose any one
arbitrarily.
Step 3:- i) In the selected row or column as by step (2), find out the cell having the least
cost.
ii) Find the penalty written on the right hand side of each row. Repeat the same for
each column.
Step 4:- Select the row or column with largest penalty. If there is
a tie, the same can be broken arbitrarily.
Step 5:- i) Allocate the maximum feasible amount to the smallest cost cell in that row or
column.
ii) Allocate zero elsewhere in the row or column where the supply or demand is
Exhausted.
Step 6:- Delete the row or column that is fully exhausted from further consideration.
Then proceed with the remaining reduced matrix till no rows or columns remain.

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4) Explain MODI Method (Optimality test)

Using V.A.M method

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Chapter-4
Assignment Problem

1) What is the assignment problem?

Ans:- The assignment problem is deals with allocation of Job or Work to the people or
machine.
2) What are the types of assignment problem?
Ans:- 1) Minimization problem (cost ,distance etc…)
2) Maximization problem (Profit, sales, income etc…)

2) Explain the mathematical formation of Assignment Problem.

Ans: Let 𝑋𝑖𝑗 be the amount of commodity shipped from source i to destination j.
Minimize Z= 𝑛𝑖=1 𝑛𝑗=1 𝑐𝑖𝑗 𝑥𝑖𝑗
Where, i=1, 2, 3--------n and j=1, 2, 3, --------n.
Subject to restrictions,
1, 𝑖𝑓 𝑡ℎ𝑒 ith person is assigned jth job
𝑋𝑖𝑗 =
0, 𝑖𝑓 𝑛𝑜𝑡
𝑛 th
𝑗 =1 𝑥𝑖𝑗 =1(one job is done by the i person).
And
𝑚 th
𝑖=1 𝑥𝑖𝑗 =1(only one person should be assigned to thej job).
Where, 𝑋𝑖𝑗 denotes that the jth job is to be assigned to the ith person.

3) What are the Difference between Transportation and Assignment Problems?

Transportation Problems Assignment Problems
1) Number of sources and destinations need 1) Since assignment is done on a one to one
not be equal. Hence, the cost matrix is not basis, the number of sources and
necessarily a square matrix. destinations are equal. Hence, the cost
matrix must be a square matrix.

2)𝑥𝑖𝑗 the quantity to be transported from ith 2)𝑥𝑖𝑗 the jth job is to be assigned to the ith
origin to jth destination can take any person and can take either the value one or
possible positive value, and it satisfies the zero.
rim requirements.
3) The capacity and the requirement value 3) The capacity and the requirement value
is equal to a. and b for the ith source and is exactly one, i.e., for each source of each
jth destination (i = 1, 2 ,....m; j = 1, 2, ... n). destination, the capacity and the
requirement value is exactly one.
4) The problem is unbalanced if the total 4) The problem is unbalanced if the cost
supply and total demand are not equal. matrix is not a square matrix.
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4) Explain the Hungarian method (minimization problem) of solving an assignment

problem.
Ans:- Step 1) Identify row minimum of each row and deduct it in all the element of
corresponding row.
Step 2) Note down reduced matrix of step (1) and then identify the column minimum of
each column and Deduct if from all the corresponding column and note down reduced
matrix.
Step 3(a): Identify a single zero row, box single zero and simultaneously cross out the
column zeros.
(b): Identify a single zero column box, the single zero and simultaneously cross out
the row zeros if number of boxes are equal to number of boxes are equal to number of
rows or column solution optimal if not go to step (1).
Step 4) Draw a minimum number of lines on the reduced matrix so that they cross all
zeros.
If the number of lines draw-is equal to number of rows or number of column
solution optimal if not proceed to step (5).
Step 5) Identify 3 types of elements.
(1) Covered
(2) Uncovered
(3) Intersecting element.
Step 6) identify the least uncovered element
(1) Add it to intersecting element.
(2) Deduct it from uncovered element.
(3) Keep covered elements without them and note down reduced matrix.
Step 7) Repeat the steps 3(a), 3(b), 4, 5,6, until solution is optimal.

Problem
A team of 5 hours and 5 reader enter into a game show the following matrix gives
the penalty score by each reader on respect hours design best assignment.

Solution
Step 1:- Identify row minimum of each row and deduct it in all the element of
corresponding row.

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Step 2:- Identify the column minimum of each column and Deduct if from all the
corresponding column and note down reduced matrix.

Step 3:- (a): Identify a single zero row, box single zero and simultaneously cross out the
column zeros.
(b): Identify a single zero column box, the single zero and simultaneously cross out
the row zeros if number of boxes are equal to number of boxes are equal to number of
rows or column solution optimal if not go to step (1).

Step 4:- Draw a minimum number of lines on the reduced matrix so that they cross all
zeros.
If the number of lines draw-is equal to number of rows or number of column
solution optimal if not proceed to step (5).

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Step 5:- Identify of 3 types

1) Coved (same element)
2) Uncovered (-)
3) Interesting (+)

Step 6) Identify the least uncovered element

(1) Add it to intersecting element.
(2) Deduct it from uncovered element.
(3) Keep covered elements without them and note down reduced matrix.

Step 7) Repeat the steps 3(a), 3(b), 4, 5, 6, until solution is optimal.

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Chapter -5
Game Theory

1) What is a Strategy and what are types of strategies?

Ans: Strategies is a pre-decision or rule by which a player chooses his courses his
courses of action. Or it is complete set of actions specifying precisely what the player will
do under every possible future contingency.
There are two types:
i) Pure strategies: it is pre-decisions of a player to choose his course of action
irrespective of opponent‟s course of action it deterministic in nature
ii) Mixed strategies: it is pre-decision of the players to choose his action based on pre-
assignment probabilities or situation of the game. This is probabilities in nature.

2) What is saddle of the game?

Ans: A saddle point is the value in which the minimax and maxmine co-inside with a
minimum of column maxima. The payoff at the saddle point is called the value of the
game.

3) What is a fair game?

Ans: A game who‟s value is Zero is called fair game.

TYPES OF GAMES:

4) What is two-person zero-sum game?

Ans: A game in which two players participate and gain of one-player is equal to the loss
of the other is called two-person zero sum game.

5) What is n-person game?

Ans: A game in which ‘n’ number or players participated is called n-person game.

6) What are the properties of competitive game?

Ans: - The number of players should be finite.
- Each player has finite courses of action.
- The game begins when a player chooses his courses of action.

7) What is maximin and minimax principle?

Ans: Maximin: it is maximum of the row-minimum is called maximin in other words a
player would like to maximize his minimum profit
- Minimax: it is minimum of the column-maximum in other words a player would like to
minimize his maximum loses.

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8) What is Pay-Off matrix?

Ans: Pay-off is the outcome of playing the game. A pay-off matrix is table showing the
amount received by the player named at the left hand side after all possible plays of the
game.
- The payment is made by the player named at the top of table.
- If A has m courses of actions & player B has n courses, then payoff matrix may be
constructed.

9) Explain Rules of Dominance properties.

Ans:- i) If all the elements of rows, say kth row, are less than or equal to the
corresponding elements of any other row, then kth row is Dominated by the rth row.
ii) If all the elements of a coloumn, say kth row, are greater than or equal to the
corresponding elements of any other coloumn, then kth coloumn is dominated by the rth
coloumn.
iii) Dominated rows & coloumns may be deleted to reduce size of pay-off matrix as the
optimal strategies will remain unaffected.
iv) Repeates the above steps until last values results.

10) What are the methods of solving rectangular game?

Ans: i) Minimax maximin or saddle point method.
ii) Dominance principle.
iii) Dominance – algebraic method
iv) Graphical method (2*2 problems)

11) What are the steps involved in solving a game by saddle point method?
Ans: There are 3-steps in solving a game by saddle point method:
i) Identify row minimum or each row and circle it.
ii) Identify column maximum or each column and box-it
iii) The value with both circle and box is called value of the game.

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Chapter-6
Network Analysis

1) What is Network Analysis? What are the objectives of network analysis?

Ans: Network Analysis is identification of various activities relating to project & their
proper ordering such that it gives more efficiency as limited cost & time to avoid re-
works.
Objectives of Network Analysis:
i) Helps in constructing the projects, such as Road, Dam huge constructions etc…
ii) It helps in Train time scheduling.
iii) It helps in Airways to plan their landing scheduling.

2) What is Network?
Ans: A Network is Symbolic or Diagrammatic representation of essential characteristics
of a project, which helps in PERT and CPM.

3) Differentiate between PERT & CPM.

Ans:
PERT CPM
1) This is project oriented program 1) This is activity oriented program.
2) It is Programmed evaluation 2) It is Critical Path Method.
review technique.
3) PERT is probabilistic method, 3) The sequence of critical activities
where activity time represented by in network called critical path.
probability distribution
4) 4)

4) Explain the following terms:

i) Event
ii) Planning
iii) Scheduling
iv) Activity
v) Dummy Activity
vi) Float
vii) Slack variable.

Ans: i) Event: The beginning and end points of activities are called events or nodes.
Event is a point in time and does not consume any resources.
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ii) Planning: This phase involves setting the objectives of the project as well the
assumptions to be made. It also involves listing of tasks or jobs that must be performed.

iii) Scheduling: This consists of laying the activities to their order of precedence.

iv) Activity: It represents some action and is a time consuming efforts necessary to
complete a particular part of overall project.

v) Dummy Activity: certain activities, which neither consume time nor resources but are
used simply to represent a connection or link between events, are called Dummies.

vi) Float: It is defined as difference between latest and earliest activity time.

vii) Slack variable: It is defined as difference between latest and earliest event time.

5) Explain the Rules of Network Construction.

Ans: i) Try to avoid the arrows.
ii) Use straight arrows.
iii) No event can occur until every activity preceding it has been completed.
iv) An event cannot occur twice i.e there must be no loops
v) Dummies should be introduced only if it is extremely necessary.
vi) Network has only one entry point called start event and one point emergence
called terminal event.

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