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Operational Research (O.R.) case studies. What’s the problem?. www.LearnAboutOR.com. You are a shop manager…. You are opening a new branch and need to employ staff You want to keep your labour costs as low as possible. www.LearnAboutOR.com. Inexperienced staff are cheaper… - PowerPoint PPT Presentation
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Operational Research
(O.R.) case studies
What’s the problem?
www.LearnAboutOR.com
www.LearnAboutOR.com
You are a shop manager…
You are opening a new branch and need to employ staffYou want to keep your labour costs as low as possible
www.LearnAboutOR.com
Inexperienced staff are cheaper……but experienced staff are more productive
www.LearnAboutOR.com
How many experienced and inexperienced staff should you take on?
www.LearnAboutOR.com
What do we need to know?
How much do you need to pay staff?
Inexperienced staff cost £5 an hourExperienced staff cost £8 an hour
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How productive are inexperienced and experienced staff?Inexperienced staff are two thirds as productive as experienced staff
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You need the equivalent
of 20
experienced members of staff
How many staff do you need?
www.LearnAboutOR.com
Anything else you need to consider?
Head Office states that you must employ at least one experienced member of staff for every three inexperienced members of staff
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Let’s summarise the problem
We want to employ the equivalent of at least 20 experienced members of staff with at least one experienced member of staff for every three inexperienced members of staff with the minimum possible labour cost
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This is an example ofLinear Programming
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Linear Programming Problems
The aim is to choose the best combination of a number of quantitiesto optimise the outcome, subject to certain constraints
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Another example of where this is used
Factories that make several products: deciding how many of each to make weighing up several factors for each product such as the profit to be made, the demand, the time needed to produce it, etc.
Over the next few lessons, we will look at ways of approaching problems of this type…
What next?
www.LearnAboutOR.com