Naser Shoukat Firfire
Application of Scientific Method :
Application of Scientific Method The third distinguish feature of OR is the use of scientific method to solve the problem under study. Most scientific research, such aschemistry and physics can becarried out well in the laboratories, under controlled conditions, without muchinterference fromthe outside world. However, the same is not true in the system under study byOR teams. For example, no company can risk its failure in order to conduct asuccessful experiment.
Uncovering of New Problems :
Uncovering of New Problems The fourth characteristic of operation research, whichis often overlooked, is that solution of an OR problem may uncover a number of new problems. Of course, all these uncovered problems need not be solved at thesame time. However, in order to derive maximum benefit, each one of them mustbe solved. It must be remembered that OR is not effectively used if it is restrictedto one-shot problems only. In order to derive full benefits, continuity of researchmust be maintained. Of course, the result of OR study pertaining to a particularproblem need not wait untill all the connected problems solved.
Improvement in quality of decisions :
Improvement in quality of decisions OR gives bad answers to problems, to which,otherwise , worse answers are given. It implies that by applying its scientificapproach, it can only improve the quality of solution but it may not be able to giveperfect solution.
b. Explain the nature of Operations Research and its limitations.[ 5 marks]
Operations research has been used to solve only a fairly limited number of managerial problems. Its limitations should not be overlooked.In the first place, there is the sheer magnitude of the mathematical and computingaspects. The number of variables and interrelationships in many managerialproblems, plus the complexities of human relationships and reactions, calls for ahigher order of mathematics than nuclear physics does. The late mathematicalgenius John von Neumann found, in his development of the theory of games, that hismathematical abilities soon reached their limit in a relatively simple strategicproblem. Managers are, however, a long way from fully using the mathematics nowavailable.In the second place, although probabilities and approximations are being substitutedfor unknown quantities and although scientific method can assign values to factorsthat could never be measured before, a major portion of important managerialdecisions still involves qualitative factors. Until these can be measured, operationsresearch will have limited usefulness in these areas, and decisions will continue to bebased on non-quantitative judgments.Related to the fact that many management decisions involve un-measurable factorsis the lack of information needed to make operations research useful in practice. Inconceptualizing a problem area and constructing a mathematical model to representit, people discover variables about which they need information that is not nowavailable. To improve this situation, persons interested in the practical applications of operations research should place far more emphasis on developing this requiredinformation.