C O U R S E  O U T L I N E

1. GENERAL CONCEPTS OF QUANTITATIVE BUSINESS METHODS

Quantitative  methods in business: main principles and criteria. Quantitative business methods under certainty, partial and complete uncertainty. Models and modeling. Computer in quantitative business methods. Chapter 1.

2. LINEAR PROGRAMMING

Business applications that  require linear programming. Main principles of linear programming. Formulation of  linear programming models.  Solving linear programming models on computer. Chapters 7 and 8.

Graphical solution of linear programming models. The isoprofit line solution corner point solution methods in solving linear programming models graphically. Slack and surplus. Special cases of graphical linear programming. Computer solution of graphical linear programming models. Chapter 7.

The simplex method: principles, approach, and simplex tableaus. Identify the initial feasible solution. Using the simplex method to solving linear programming maximization models with less-than-or-equal-to constraints. Applying the simplex method to solve a maximization linear programming model with mixed constraints and minimization model. Using the simplex method on computer. Chapter 9.

Sensitivity analysis of linear programming models: definition and general approach. Analyzing linear programming solutions using shadow prices, reduced costs, and ranges of the right-hand side values. Analyzing linear programming models using computer solutions. Chapter 9.

3. TRANSPORTATION AND ASSIGNMENT MODELS

Applications of the transportation model. Identifying the initial feasible solution. Using the stepping stone method and MODI methods to identify the optimal solution. Computer solution of the transportation model. Special cases of the transportation model. Chapter 10.

Assignment model: principles and applications. The Hungarian method of solving the assignment model. Solving the and analyzing the assignment model on computer. Chapter 10.

4. DECISION THEORY

Main concepts and elements of decision theory and decision tree analysis. Decision analysis under uncertainty utilizing different criteria. Decision analysis applying expected values and opportunity losses. Structuring decisions using decision trees. Identifying the best decisions with expected values. Using computer to construct and solve decision trees. Chapters 3 and 4.

5. INVENTORY MODELS

Objectives of inventory modeling. Inventory costs. Deterministic inventory models: economic order quantity, noninstantaneous receipt model, and quantity discount model. Identifying the optimal order (production) quantity and costs. Developing and analyzing inventory models on computer. Chapter 6.

6. PROJECT MANAGEMENT

Principles and objectives of project management. The program evaluation and review technique and critical path method. Precedence diagram. Identifying the critical path. Analyzing the project management models on computer. Project activity crashing. Chapter 13.

COURSE OBJECTIVES

introducing to students main concepts and approaches in formulating and solving business and management problems  utilizing quantitative business methods

	developing student skills of formulating and solving quantitative models in business and management and also analyzing them on computer.
	presenting and discussing real-world examples and case studies to illustrate the effectiveness of the specific quantitative methods and models.

LEARNING OUTCOMES

	Develop and expand students’ ability to understand and apply applications of quantitative business methods in formulating and solving a variety of business and management problems
	Develop essential skills of optimizing business and management decisions by utilizing quantitative business methods
	Acquire working knowledge of a variety of quantitative methods, tools, and software used in managing and  optimizing business and management decisions.

TEXT

Render, Barry and Ralph M. Stair. Quantitative Analysis for Management, Sixth Edition, Prentice Hall, 2000.

SOFTWARE

QM for Windows, ver. 2.0 or up (should be supplied with the textbook).

	MS Excel XP, 2000 or 97
	MS Word XP, 2000 or 97

SCHEDULE

REQUIRED ASSIGNMENTS

The required assignments and their due dates are listed in the following table: 

PROJECT

The term project is due on August 28. The project requirements will be presented in class.

GENERAL INFORMATION

GRADING SYSTEM

The final grade in the course will be based on the maximum of 500 points with the following breakdown:

	Five assignments handed in, 30 points maximum each for a total of 150 points.
	Class attendance and participation, up to 50 points maximum.
	Term project, 100 points maximum.
	Two examinations (midterm and final), 100 points maximum each for a total of 200 points.

The final grades will be as following:

	"A"--450 points and up
	"A-"--435-449 points
	"B+"--420-434 points
	"B"--400-419 points
	"B-"--385-399 points
	"C+"--370-384 points
	"C"--350-369 points
	"C-"--335-349 points
	"D+"--320-334 points
	"D"--300-319 points
	"F"--below 300 points

A student accumulated a total number of 450 points or above will receive a grade "A" in the course. A total number below 300 will very likely represent a failing grade in the course.