ORL-20306 Decision Science 1

Course

Credits 6.00

Language of instruction:

English

Continuation courses:

ORL-30306 Decision Science 2

Contents:

Decision Science is dealing with quantitative methods and techniques to support decision processes. The background of the methods is discussed in the course and it is indicated how they can be applied to practical decision problems. The modelling is illustrated by way of many decision problems of firms, consumers, governments and non-profit organisations. Subjects:
Sketch of some typical decision problems: fodder composition, location-allocation problems, transportation problems, supply chain problems, household budgeting, production planning, etc. Linear algebra with respect to sets of equalities. Linear programming, graphical method, simplex method, duality, shadow prices, sensitivity analysis. Integer Linear programming and the Branch-and-Bound method. Decision problems with several objectives. Dynamic programming. Interpretation of results.

Learning outcomes:

After this course students are expected to be able to:
- recognise and classify situations in which typical decision problems occur;
- analyse the description of a decision problem and formulate a quantitative decision model;
- demonstrate knowledge and understanding of standard modelling and solution techniques;
- apply the studied algorithms to calculate a solution to minor provided problems;
- combine the knowledge and background of the theory with understanding and insight of several optimisation techniques, specifically in an applied context;
- analyse the results of an optimisation and judge how solutions are interpreted correctly.

Activities:

- study written material;
- making exercises;
- using OR software in computer practicals;
- following lectures with an active attitude.

Examination:

Written exam.

Literature:

Decision Science; Theory and applications. ISBN 978-90-8686-001-2