Operations Research (OR) is a discipline that applies scientific methods and advanced analytical techniques to optimize decision-making in various fields, initially developed during World War II to solve military resource allocation problems. OR is now widespread in sectors like healthcare, finance, and industrial management, focusing on minimizing costs and maximizing profits through systematic problem analysis and model development. The process involves observing problem environments, model building, data collection, solution testing, and implementation, while facing challenges such as employee resistance and computational complexities.

1. INTRODUCTION TO
OPERATIONS
RESEARCH

2. What is Operations Research?
Operations
The activities carried out in an organization.
Research
The process of observation and testing characterized
by the scientific method..
Operations Research
•Research of operations
• scientific method of providing executive
departments with a quantitative basis for decisions
regarding the operations under their control.

3.  Operational Research is the scientific study of
operations for the purpose of making better
decisions.
 It is a discipline that deals with application of
advanced analytical methods to facilitate better
decisions .
 It represents the study of optimal resource allocation.
Overview

4. Overview
In simple terms, it is described as
“the science of better”.
 Modern synonyms for Operational Research are
Management Science or Decision Science.
 It is often considered to be a sub-field of
mathematics.

5. “Operations research is the application of scientific
methods, techniques and tools to problems involving
the operations of a system so as to provide those in
control of the system with optimum solution to the
problem” C.W Churchman
INTRODUCTION

6. “The use of systematic research techniques for program
decision making to achieve a specific outcome.” WHO
(2003)
“Operations Research is the art of giving bad answers to the
problems to which otherwise worst answers are given”
T.L.Satty (1958)
Morse and Kimball have stressed O.R. is a quantitative
approach and described it as “ a scientific method of
providing executive departments with a quantitative basis
for decisions regarding the operations under their control”.
Definitions

7. HISTORY:-The main origin of OR was during the Second World-
War . At that time the military management in England
called upon a team of scientist to study the strategic and
tactical problems related to air and land defence of the
country. since they were having very limited military
resources, it was necessary to decide upon the most effective
utilisation of them.
The OR teams were not actually engaged in military operations
and in fighting the War. But , they were only advisors and
significantly instrumental in winning the war. The new approach
of this team of scientist was named as OPERATIONAL RESEARCH
in England. Hence OR can be associated with
“an art of winning the war without actually fighting it”
History

8. Application of OR
 Now a days the principles and techniques of
Operational Research are being applied in every field
of human research and development (Personnel
management)
 including Health Care Sciences.
 Industrial Management.
 Finance , budgeting & investments.
 Purchasing, procurement & exploration.
 Production management.
 Marketing management.

9. The success of military team attracted the attention of
industrial mangers who were seeking solutions to their
complex problems. The most common problem was:
Minimise Cost and Maximise Profit
 OR came into existence in India in 1949, Regional
research laboratory, Hyderabad.
 In India, OR society founded in 1957,
 Also became a member of international Federation of OR
societies in 1960.
 The Journal OPSEARCH was published for the first time
in 1963.
Operations research in INDIA

10. 
Industries engaging in operation
research:-
Hindustan lever ltd.
Union carbide
TELCO
Hindustan steel
Tata Iron Steel company
FCI
Indian Railways
CSIR

11. Kirloskar Company - AssignmentTechnique
Textile firms uses- LPP

12.  Observe the problem environment
 Analysis and defining the problem
 Developing a model
 Collecting data required by the model
 Coming up with a solution
 Qualifying the models and solution
 Implement the solution
METHODOLOGY

13.  The first step in the process of O.R.
development is the problem environment
observation.
 This step includes different activities; they are
conferences, site visit, research, observations
etc.
 These activities provide sufficient information
to the O.R. specialists to formulate the
problem.
Step I: Observe the problem
environment

14.  In this step in addition to the problem
definition the objectives, uses and limitations of
O.R. study of the problem also defined.
 The outputs of this step are clear grasp of need
for a solution and its nature understanding.
Step II: Analyze and define the
problem

15.  a model is a representation of some abstract or real
situation.
 The models are basically mathematical models, which
describes systems, processes in the form of equations,
formula/relationships.
 The different activities in this step are variables
definition, formulating equations etc.
 The model is tested in the field under different
environmental constraints and modified in order to
work.
 Some times the model is modified to satisfy the
management with the results
Step III: Develop a model

16.  A model works appropriately when there is
appropriate data input.
 Hence, selecting appropriate input data is
important step in the O.R. development stage or
process.
 The activities in this step include internal/external
data analysis, fact analysis, and collection of
opinions and use of computer data banks.
 The objective of this step is to provide sufficient
data input to operate and test the model
developed in Step_III
Step IV: Select appropriate data input

17.  This step is to get a solution with the help of
model and input data.
 This solution is not implemented immediately,
instead the solution is used to test the model
and to find there is any limitations.
 Suppose if the solution is not reasonable or the
behaviour of the model is not proper, the
model is updated and modified at this stage.
 The output of this stage is the solution(s) that
supports the current organizational objectives.
Step V: Provide a solution and test its
reasonableness

18.  At this step the solution obtained from the
previous step is implemented.
 The implementation of the solution involves so
many behavioral issues.
 Therefore, before implementation the
implementation authority has to resolve the
issues.
 A properly implemented solution results in
quality of work and gains the support from the
management.
Step VI: Implement the solution

19.  Methodology
Solution
Formulation
Modelling
Analysis
Implementation
Monitoring

20. Problem Formulation
Model Building
Model Testing 7 Solution
Establishing controls &
solutionsimplementations

21. • Relationship between the Manager and O.R.
Specialist
• Techniques
• Applications

22. Objectives
 Decision making and improve its quality.
 Identify optimum solution.
 Integrating the system
 Improve the objectivity of analysis
 Minimize the cost and maximize the profit.
 Improve the productivity.
 Success in competition and market leadership.

23.  Diagnose the problem
 Select the alternative course of action
 Selecting the best and optimal alternative.
 Problems become controllable.
 Logical and systematic approach to the problem
 Helps in finding solutions for research and
improvement
 Facilitates improved quality of decisions
 Better Control, system ,coordination and
decisions.
ADVANTAGES

24.  Magnitude of Computations
 Non- quantifiable factors
 Resistance from the employees for new
proposals
 Gap between manager and operations
researcher
LIMITATIONS