BA46syllabusjune2013

University of San CarlosSchool of Business and Economics

Business Administration Department

SYLLABUS

Course No. : BAOM 22/BA 46

Course Title : Quantitative Techniques in Business

Credit : 3 units (lecture) and 5 hours laboratory

Prerequisite Courses : Math 45 & BA 100

Revised : by Engr. Pepito T. Echavez Revised sem 1: 2013 – 2014

Overview of the Course

The course deals with quantitative techniques in decision-making designed for business applications. It utilizes workable tools and techniques suitable for the current industry. It introduces the student to various concepts, tools and techniques in decision-making. The course demonstrates these approaches and other practical applications intended for global markets, as these relate to situations particularly in the local business industries.

The student must pass all pre-requisite courses and must be well versed on the following competencies:

1. Must know how to use the normal probability distribution model. (BA 100)2. Identify mutually exclusive, not mutually exclusive, independent and dependent events. (BA 100)3. Rules and applications of marginal, joint and conditional probabilities. (BA 100)4. Rules of probability. (BA 100)5. Plot algebraic linear equations in a graphing paper. (Math 15, Math 45)6. Simplify any algebraic equation using either equalities or inequalities. (Math 15, Math 45)7. Manipulate use of fractions. (Math 15, Math 45)8. Formulate equations out of worded problems. (Math 15, Math 45)

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All the models covered in this course will be the basic competencies for the pre-requisite course, BA 107 AB ( Production Management II) and practicum subjects.Mastering this course will intend to continue the University’s vision of molding you into a competent citizen with nobility of character and a sense of community. The University desires to make you seek and apply knowledge justly and honestly and be able to share them to the community. The University likewise, aspires to continue with this course, it’s Mission of transforming you into competent professionals and life-long learners, adept in research and appreciative of community involvement.

Course Description

This course is a core subject for all quantitative management courses which will provide the students to establish a logical decision approach using workable decision tools and technique.This course covers the following quantitative models:

1. Decision Theories2. Decision Trees3. Cost Volume Profit Analysis4. Linear Programming (graphical and simplex method)5. Transportation and Assignment Models6. Linear programming Applications With Computer Analyses

General Objectives

The following are the general objectives of the course:1. To understand the concepts and principles of quantitative approach to decision-making in management2. To recognize the different tools & techniques in decision-making in different decision environments.3. To apply the various tools and techniques of decision-making to specific problems with emphasis on business-related situations.4. To appreciate the impact of the decisions being made as a result of the model applications.5. To develop decision making skills thus maximizing profit/minimizing cost with optimum utilization of resources.

Classroom Management

1. Attendance is a must. Attendance in all classes is required. Being present in class means that you attend each class, and come prepared having read the chapters and the exercises or cases that are assigned for that class. There are 36 sessions/hours in this course and you may incur only seven (7) absences for MW or TTH schedules. Otherwise, you will automatically be dropped from class and receive a grade of either NC (No Credit) or a failing grade of 5.0 whichever is applicable.

2. Tardiness is discouraged. Make sure that you come on time, as it becomes a source of irritation for the members of the class and the professor when students come late. As a policy for this class, you will be considered late if you come to class after 15 minutes of the time, three instances of tardiness whether incurred consecutive or not is considered one absence. Learn to be professionals; respect for other people’s time is a principle that should be valued.

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3. Readmission. Students who incur three consecutive (3) absences will be asked by the instructor to see the Department Chair to secure permission to be re-admitted to class. A re-admission slip should be properly accomplished for this purpose.

4. Prayer. The class begins and ends with a short prayer. Students may take turns in leading the prayer. Being a non-Catholic should not be made a reason for not doing so; this is an opportunity practice ecumenism in the classroom.

5. Classroom Management. Students should assist in maintaining the orderliness and cleanliness of the classrooms. Graffiti writing is strictly prohibited. Any student found violating this rule will be punished with the appropriate sanction. Before leaving the classroom, the instructor with the help of the students, should ensure that no litter/garbage is left behind and that chairs are in their proper order. Should the class be the last schedule for the day, the instructor should arrange that the lights and air conditioning units are switched off. .

6. Eating and Drinking. Food and drinks are not allowed inside the classroom and in the corridors. It is your responsibility to properly schedule your classes so that meals and snacks can be taken at its proper time.

7. Consultation Hours. Students are encouraged to see the instructor during consultation hours for any concerns, questions and assistance with regards to the course. Instructors should ensure that they are available on these hours and at the agreed location.

8. Electronic Gadgets. Use of mobile phones inside the classroom is not allowed; switch them off before entering your class. The teacher has the right to confiscate mobile phones that ring and/or used during class hours. Confiscated units can only be claimed in the Dean’s office at the end of the semester. Also true to I-Pad, Nano, etc.

9. Respect. Respect is a virtue and everyone deserves it. Interactive learning is effective only if everyone behaves accordingly since unnecessary noise is very distracting. Let us give everybody the chance to be heard and to be listened to. Inappropriate behavior will be sanctioned.

10. Textbook. Have your own copy of the textbook. Most of the problems and/or exercises to be done in class are based on the prescribed textbook. There is a CD-ROM that goes with the copy of the textbook purchased. Selected databases from the CD will be assigned to students for them to apply the concepts learned. With your own textbook, you will have access to data sets/resource materials for many of the classroom activities.

11. Calculator. Provide your own calculator. Borrowing from your seatmate is not a good idea since both of you have equal need for it. You deserve to have your own tools for learning.

12. Computer Hands On. You will spend at most five hours in the computer laboratory; tentative schedule is included in this syllabus. Thus, additional charges will be further assessed; please inform your parents accordingly.

13. Cooperation. Cooperation with group mates is expected. Many of the activities in class particularly those involving problems and/or exercises will be done in pairs or in small groups. The reason is for the students to have the opportunity of sharing/discussing with each other and learning from the experience. However, no group member should take advantage of the other members by simply “riding on”, that is, expecting to be given a grade without exerting a reasonable amount of effort.

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14. Special Examination. Special exams are not allowed. Preparing an examination for one or two students takes the same amount of time preparing it for the entire class. The adviser may take exceptions to this rule in case of sickness and other emergency cases provided appropriate certifications are in order.

15. Library Hours. Maximize the use of the library resources. The library hours are: Monday to Saturday 7:30 a.m. to 8:00 p.m.

16. Timely submission of requirements. There is one major report required of the students in this course and failure to submit on time would mean a substantial reduction from the corresponding score or no-score at all will be given; and

17. Enjoy. Make your stay in this class a memorable one. Let every opportunity count. Do not miss an exam or a quiz and comply with other class requirements. Learning is fun if you help make it so. How much you take from the class also depends on how much you give to it. Your creativity will certainly contribute to the learning process.

Suggested Learning Experiences

1. Lecture-Discussion2. Group Dynamics / Games3. Mini Case Analysis4. Internet Research5. Individual / Group Presentations6. Class Interaction7. Seatwork8. Board work9. Video Watching and Analysis

Course Requirements

1. Regular class attendance and punctuality.2. Exams and Class participation3. Computer log-in hours.4. Normal and UNLI Table.5. Separate notebook for the course (lesson plan type).6. Text book and work book.

Evaluation/Grading System

Evaluative Measures Grade/Weights

1. Major Exams (Pre-Midterm, Midterm, Pre-Final, Final) 50 %2. Other classroom activities (Quizzes, class participation, board works, computer work) 40 %3. Other class requirements (homework, reports, researches) 10 %

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For purposes of transmutation, the course will use the following grade equivalent (at 50% passing):

Raw Score

GradeEquivalent Raw Score

GradeEquivalent

99 100 1.0 45 49 3.197 98 1.1 41 44 3.295 96 1.2 37 40 3.393 94 1.3 33 36 3.491 92 1.4 29 32 3.589 90 1.5 27 28 3.687 88 1.6 25 26 3.785 86 1.7 23 24 3.883 84 1.8 21 22 3.981 82 1.9 19 20 4.079 80 2.0 17 18 4.177 78 2.1 15 16 4.275 76 2.2 13 14 4.373 74 2.3 11 12 4.471 72 2.4 9 10 4.569 70 2.5 7 8 4.665 68 2.6 5 6 4.761 64 2.7 3 4 4.857 60 2.8 1 2 4.953 56 2.9 0 5.050 52 3.0

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Specific Objectives Contents Mode of Delivery / Learning Activities and Resources

Assessment Scheme

Session 1: Orientation 1.5 hours

Given this session, students should be able to:1. State the learning objectives of the course2. Evaluate the necessary pre-requisites and

major competencies to proceed with the course.

3. Identify the requirements and explain the grading system for the course

4. Express their expectations from the course, the instructor and their classmates

5. Internalize the standard classroom rules and policies

6. Secure a permanent seat and plot it in the teacher’s seat plan

7. Start knowing their classmates and their instructor

Mission Vision of USCEnvironmental PolicyPre Fire Plan Evacuation Procedures5SLibrary OrientationScope of the CourseSequencing of SubjectsClassroom PoliciesCourse RequirementsEvaluative Measures

group dynamics

interaction

leveling expectations

hand-outs, notes

Classroom protocolOpening PrayerReview of Previous Meeting’s LessonLearner – centered ActivityDeepening (processing of activity)SynthesisAssignmentClosing Prayer

participationwritten summaryquestion & answerlearning statementsrecitation

Session 2: Introduction To Quantitative Analysis 1.5 hours

Given this session, students should be able to:1. Familiarize the instructor diction and accent

by writing down the necessary requisites for a take home quiz through dictation.

2. List important words commonly used in the course and be able to define or describe this properly through library research.

3. Prepare a format for the requisites of the take home quiz.

4. Establish procedure in doing the library

Prepared 50 technical terms as to regard to knowing the subject and five questions as to knowing the institution.

Lecture,discussion,interaction

Written report,return slip of borrowed resource material and signature of librarian.

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research.

Session 3: Pre-test and or Review of Mathematical Techniques or Models Part 1

Session 4: Pre-test and or Review of Mathematical Techniques or Models Part 2

Session 5: Probability Concepts and Applications Part 1 1.5 hours

During the course of the session, students should be able to:1. State the fundamental concepts of

probability.2. Identify mutually exclusive and collectively

exhaustive events.3. Differentiate statistically independent and

dependent events.4. Solve problems having marginal, joint and

conditional probabilities.

Use of probabilityRules of probabilityProbability matrix

Lecture discussionIllustrative examplesExercises/seatwork

Participation rubric

Session 6: Probability Concepts and Applications Part 2 1.5 hours

In this session, students should be able to:1. Explain the difference between discreet and

continuous probability distributions.2. Calculate the values and use the normal

table.3. Use Bayes’ theorem to establish posterior

probabilities.

Probability distributionNormal distribution tableRevision of probabilitiesBaye’s theorem

Lecture discussionIllustrative examplesBoard workProblem solving

Participation rubricInternet research

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Session 7: Fundamentals of Decision Theory models Part 1 1.5 hours

Given this session, students should be able to:1. Classify the types of decision-making

environments.2. Apply the steps in decision theory.3. Make use of the model under the

environment of uncertainty.4. Go deepening process through sensitivity

analysis on the realism criterion.

The steps in decision theoryTypes of decision-making environmentsDecision making under certaintyDecision making under riskDecision making under uncertainty

Illustrative examplesLecture discussionsExercises/ seatwork

Individual output


Through this session, students should be able to:1. Value the expected criterion model.2. Prepare a conditional profit and conditional

loss table.3. Use probability values to make decisions

under risk.4. Evaluate the effect of perfect information to

the problem.

Expected value modelExpected monetary valueExpected opportunity lossConditional profit tableConditional loss tableExpected value of perfect informationExpected value with perfect information

Lecture discussionIllustrative examplesExercises/seatwork



With this session, students should be able to:1. Apply marginal analysis model to problems

with several alternatives and outcomes.2. Establish optimum stocking level of products

having single period useful life.

Marginal analysis with large number of alternatives and states of natureNormal Distribution

Student presentationIllustrative examplesboard work

Board work outputPresentation rubric

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3. Derive the relationship of breakeven probability.

4. Apply the tree model to problems with series of decisions and outcomes.

5. Compute the expected value of sample information.

Decision treesExpected value of sample informationHow probability values are estimated by Bayesian analysis


Given this session, students should be able to:1. Appreciate cost-volume-profit-analysis as a

model in solving decision theory problems.2. Prepare a profit and loss statement.3. Show the breakeven quantity or the number

of units generated having no profit and no loss.

4. Provide the expected monetary value for problems with continuous random variables.

5. Compute the evpi using the normal loss integral table.

6. Evaluate the problem which may have the probability of breakeven, profit or loss.

Cost-volume-profit-analysisNormal distribution tableUnit normal loss integral table

Lecture discussionProblem presentationillustrative examples



In this session, students should be able to:1. Structure complex decision tree problems by

following through the steps in decision tree analysis.

2. Compute how probability values are estimated by the Bayesian analysis.

3. Appreciate the model when sequential decisions need to be made.

Baye’s theoremDecision trees model

Student presentation Presentation rubric

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4. Measure the value of sample information.

Session 12: PRE-MIDTERM EXAMINATIONS

Session 13: LP Models: Graphical and Computer Methods Part 1 1.5 hr

Throughout the session, students should be able to:1. Enumerate the basic assumptions and

properties of linear programming (LP).2. Formulate the objective functions and

constraints using maximization problem.3. Apply the steps in solving LP problems with

two variables using the graphical model.4. Plot linear equations with less than or equal

to constraints.

Requirements of LPLP formulationsGraphical solution to LPDecision matrixMaximization problem

Power point presentationLecture discussionIllustrative examples

Individual output


Completing the session, students should be able to:1. Formulate the objective functions and

constraints using minimization problem.2. Plot constraints in a graph with greater than

or equal to equation.3. Realize the effect of greater than or equal to

if use in a maximization problem.

LP formulation using minimization problemGraphical solution to a minimization problemDecision matrix

PowerPoint presentationLecture discussionIllustrative examples

Group dynamics

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Through this session, students should be able to:1. Use the computer in solving LP problems.2. Input the objective functions and constraints

using excel worksheet or other programs.3. Practice LP programs like Solver, POM, QM

for windows and etc.4. Discover additional information that can be

derived from the output generated from these computer programs.

5. Value the knowledge of using the program as this would help a lot in the solution process.

Optimization softwareExcelPOMQM for windows

Presentation softwareIllustrative examples

Presentation of generated computer results


Given this session, students should be able to:1. Realize that there are special issues in LP.2. Enumerate what are these issues are.3. Plot in the graph the behavior of these

issues.4. To make corrective measures on how to

realign the constraints of the problem so as to generate a solution to the situation.

InfeasibilityUnboundednessRedundancyAlternate optima

Illustrative examplesExercises/seatwork

Group outputPresentation rubric

Session 17: DEPARTMENTAL MIDTERM EXAMINATIONS

Session 18: DEPARTMENTAL MIDTERM EXAMINATIONS

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Session 19: Take Home Quiz 1.5 hours

Throughout the session, students should be able to:1. Acquire a specific problem, in a strip of

paper, designed for the student as this is drawn by lot to be solved at home using a computer.

2. To access the library system for them to locate the problem in a book as specified in the strip of paper drawn by them.

3. List the required information to be extracted from the specific source.

4. Follow the format for the final output of the take home quiz.

Strips of assorted LP problems gathered through the years

Discussion of the mechanics of the quiz

Assignment rubric

Session 20: LP Models: The Simplex Method Part 1 1.5 hours

In this session, students should be able to:1. Define the problem in the context of the

simplex approach.2. Formulate the objective functions and

constraints under the simplex model.3. Convert inequality to equality by adding

slack, surplus and artificial variables in the equations as the case may be.

4. Incorporate all the variables created in each equation.

5. Structure the first simplex tableau.

Simplex solution procedure PowerPoint presentationLecture/discussion


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During the course of the session, students should be able to:1. Evaluate the first simplex tableau.2. Generate pivot columns, pivot row and pivot

number.3. Apply the formula so as to fill up the 2nd, 3rd,

4th , etc. and until optimality is attained.4. Come up an optimum solution to the

problem.

Simplex solution procedure PowerPoint presentationLecture/discussion



During this session, students should be able to:Do the activity presented in session 20 using minimization problem.

Simplex solution procedure Illustrative examplesExercises/seatwork



Throughout the session, students should be able to:Do the activity presented in session 21 using minimization problem as started in session 22.

Simplex solution procedure Illustrative examplesExercises/seatwork



In this session, students should be able to:

1. Identify special cases such as infeasibility, Simplex solution procedure Illustrative examples

Exercises/seatworkParticipation rubric

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unboundedness and degeneracy during the process of simplex iterations;

2. Resolve if this is present in a problem


Throughout the session, students should be able to:

1. Extract vital information hidden in the optimum tableau.

2. Evaluate the effects of a parameter change on the optimum solution.

Sensitivity Analysis with the optimum tableau


Group output

Session 26: LP Models: Applications Part 1

In this session, students should be able to:

1. Model a wide variety of applications of LP such as in: Marketing, Manufacturing, and Employee Scheduling.

2. Solve LP problems with QM for Windows and Excel solver software.

Marketing applications.Manufacturing applications.Employee scheduling applications.


Group output

Session 27: LP Models: Applications Part 2

Following the previous session, students continue to be able to:

1. Model a wide variety of applications of LP such as in: Finance & Investments, transportation and ingredient blending.

2. Solve LP problems with QM for Windows and

Financial applications.Transportation applications.Ingredient blending applications


Group output

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Excel solver software.

Session 28: Pre-Finals Examination

Session 29: LP Models Transportation and Assignment Part 1 1.5 hours

Given this session, students should be able to:

1. Structure the transportation Algorithm in a matrix.

2. Use the matrix to formulate the objective functions and constraints.

3. List the five transportation models.4. Present the transportation tableau.5. Apply the northwest corner in a sample

problem

Setting up a transportation problemDeveloping an initial solution for:Northwest corner method (N-W-C)

PowerPoint presentationLecture discussion

Participation Rubric



1. Use the Greedy, and VAM models to find the initial solution to the problem.

2. Apply the stepping stone method to obtain the optimum value.

Developing an initial solution using greedy and vamFinding a least cost solutionStepping stone method

presentationLecture discussion

Participation Rubric


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1. Use the MODIas another model to obtain the least cost.

2. Show appreciation of using the model as an additional tool in finding the least cost.

Finding a least cost solutionMODI method

Illustrative examplesExercises seatwork

Group output



1. Setup the assignment problem.2. Solve assignment problem with the

Hungarian method.

Setting up the assignment problemApproach of the assignment modelHungarian model or Flood’s technique.

PowerPoint presentationLecture discussion




1. Solve facility location and other application problems with Transportation Models.

2. Detect unbalanced and degenerate transportation and assignment problem.

3. Provide solution for unbalanced and degenerate transportation and assignment problems.

Unbalanced transpo and assignment problemsDegeneracy in transportation problems


Group output

Session 34: LP Models Transportation and

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Assignment Part 6 1.5 hours


1. Use the same principles presented in sessions 29 to 33 to solve maximization transportation and assignment problems

Setting up a transportation problemDeveloping an initial solutionFinding a least cost solutionMaximization of transportation and assignment problems


Group output

Session 35 FINAL EXAMINATIONS

Session 36 FINAL EXAMINATIONS

TOTAL = 54 HOURS

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REFERENCES

A. BOOKS

Textbook:

658.403R29 Render, Barry and Ralph Stair and Hanna. Quantitative Analysis for Management. 11th edition. New Jersey: Prentice Hall Inc. 2012.

References: Agpe, Prakash G., International Financial Management 4th edition, New Delhi: McGraw-Hill, c2006

Anderson, Sweeny, Williams, Martin. Quantitative Methods For Business. 11th Ed.

658.4033 Q25 Bierman, et. al. Quantitative Analysis for Business Decisions. 8th edition.

658.4/034 Levin, Richard I., et al. Quantitative Approaches to Management. 8th edition.

658.5 ST48 Stevenson, William J. Operations Management 10th. Homewood, Illinois: Richard D. Irwin , Inc., 2010

658.4034 H25 Hillier, Frederick S. et. al. Introduction to Operation Research 8th edition. McGraw Hill Higher Education, New York, USA, 2005.

658 ST 48 Stevenson, William J., et. al. Introduction to Management Science with Spreadsheet 2007 edition. McGraw Hill Higher Education, New York, USA, 2007.

658.4033 L43 Lawrence, John A. Applied Management Science 2nd edition. John Wiley and Sons, Inc. 2002.

658.4033 LN8 Anderson, David R. et. al. Introduction to Management Science concise edition. Thomson Asia PTE LTD. 2007. Russel and Taylor. Operations Management 7th edition. John Wiley and Sons, Incorporation. 2011

B. WEBSITES

http://www.usc.edu.ph click libraryhttp://wps.prenhall.com/bp_render_qam_11/

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http://wps.prenhall.com/bp_render_qam_11/

http://www.usc.edu.ph/

RUBRIC

Criteria Points

4 3 2 1

Attendance / PromptnessStudent is always prompt and regularly attends classes.

Student is late to class once every two weeks and regularly attends classes.

Student is late to class more than once every two weeks and regularly attends classes.

Student is late to class more than once a week and/or has poor attendance of classes.

____

Level Of Engagement In Class

Student proactively contributes to class by offering ideas and asking questions more than once per class.

Student proactively contributes to class by offering ideas and asking questions once per class.

Student rarely contributes to class by offering ideas and asking questions.

Student never contributes to class by offering ideas and asking questions.

____

Listening Skills

Student listens when others talk, both in groups and in class. Student incorporates or builds off of the ideas of others.

Student listens when others talk, both in groups and in class.

Student does not listen when others talk, both in groups and in class.

Student does not listen when others talk, both in groups and in class. Student often interrupts when others speak.

____

BehaviorStudent almost never displays disruptive behavior during class.

Student rarely displays disruptive behavior during class.

Student occasionally displays disruptive behavior during class.

Student almost always displays disruptive behavior during class.

____

Preparation

Student is almost always prepared for class with assignments and required class materials.

Student is usually prepared for class with assignments and required class materials.

Student is rarely prepared for class with assignments and required class materials.

Student is almost never prepared for class with assignments and required class materials.

____

Total----> ____

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Criteria Points

4 3 2 1Assignment Completeness All items attempted 9/10 of items attempted. At least 1/2 of the items attempted. Less than 1/2 of all items attempted. ____

Accuracy All items are correct. 9/10 of items are correct.Between 1/2 and 9/10 of items are

correct.Less than 1/2 of all items are correct. ____

Demonstrated KnowledgeShows complete understanding of the questions, mathematical ideas,

and processes.

Shows substantial understanding of the problem, ideas, and

processes.

Response shows some understanding of the problem.

Response shows a complete lack of understanding for the problem.

____

Requirements Goes beyond the requirements of the problem.

Meets the requirements of the problem.

Does not meet the requirements of the problem.

4 ____

Legibility Legible handwriting, typing, or printing ..

Marginally legible handwriting, typing, or printing.

Writing is not legible in places. Writing is not legible. ____

Total----> ____

Criteria Points

4 3 2 1

Explanation A complete response with a detailed explanation.

Good solid response with clear explanation.

Explanation is unclear. Misses key points. ____

Use Of Visuals Clear diagram or sketch with some detail. Clear diagram or sketch. Inappropriate or unclear diagram. No diagram or sketch. ____

Mechanics No math errors.No major math errors or serious

flaws in reasoning.May be some serious math errors

or flaws in reasoning.Major math errors or serious flaws

in reasoning.____

Demonstrated KnowledgeShows complete understanding of the

questions, mathematical ideas, and processes.

Shows substantial understanding of the problem, ideas, and processes.

Response shows some understanding of the problem.

Response shows a complete lack of understanding for the problem.

____

Requirements Goes beyond the requirements of the problem.

Meets the requirements of the problem.

Hardly meets the requirements of the problem.

Does not meet the requirements of the problem.

____

Counter Examples Includes counter examples. a Does not include counter examples.

yy ____

Total----> ____

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Documents

BA46syllabusjune2013