MANAGEMENT SCIENCE $-$ HOMEWORK GUIDELINES

$$ This is a group assignment. You can see your group membersin the Excel file I uploaded to our Blackboard

course page. You must make your best effort to reach your group members. Since you may not know your

friends$$ contact info $($they are all indeed in the same section with you$),$ everybody must check their Oasis

messages and write a message, if necessary, for the first contact. Then, you can share your phone

numbers and email addresses with your friends for further communication.

$$ If you cannot reach one of the group members in any way or if one group member has not made any

contribution to the assignment, please do not write his$/$her name on the cover page of the report. I

consequently grade his$/$her work accordingly.

$$ Please do not request group changes. This homework also aims to improve your teamwork skills by

urging you to work with unfamiliar people, which is very common in real business life.

Homework Details

$1.$ Your first task is to formulate a linear programming model for the business problem you figured out.

This business problem will be related to one of the following business subfields: production, marketing,

finance, or logistics$.$ Please check the $$Homework Groups$$ file on Blackboard to learn your group is

requested to work on which subfield.

After you write the problem, you should solve it via the QM software, considering the requirements below:

$$ You should first write the business problem you figured up $($related to the business subfield requested$)$

by explaining what the problem is$.$ Then, you should define what the objective is$,$ what you want to learn

for optimization, and what your limitations are. Please be sure you are explaining these clearly and in

detail.

$$ The number of decision variables should be $8,9,$ or $10,$ and the number of constraints should be $10,11,$

or $12$ in the model. $($Therefore$,$ please write your business problem accordingly$).$

$$ You should show me in your report in a separate section that what you have written $($figured up$)$ in your

scenario corresponds to which equation $($objective function and constraints$)$ in your mathematical model.

For example, clearly, you should clearly show me the third constraint coming from which sentence in

your scenario.

$$ By using QM software, you should show the optimal solution $($i$.$e$.,$ the optimal values of decision

variables and objective function$).$ Please share the screenshots in your report $($please elegantly$).$

$$ You should write the results of the sensitivity analysis and summarize the important findings in your

sensitivity analysis. Please share the screenshots in your report.

$2.$ Your second task is to formulate a mixed integer linear programming model by adding one binary $(0-$

$1$ integer$)$ variable $($not more than one!!!$)$ to the business problem you wrote in the first task. Then, please

solve this problem via the QM software considering the requirements below:

$$ Write how you modified the story of your business problem after adding the binary variable.

$$ Please also define your binary $(0-1$ integer$)$ variable and then show how its addition to the model

requires changes in the math equations of objective function and constraints.

$$ By using QM software, you should show the optimal solution $($i$.$e$.,$ the optimal values of decision

variables and objective function$).$ Please share the screenshots in your report.

$$ There is no need to make the sensitivity analysis again.