Testing the optimality, Operation Management

Assignment Help:

Testing the Optimality: After obtaining the initial basic feasible solution the next step is test whether it optimal or not. There are two methods of testing the optimality of a basic feasible solution.

The first of these is called the stepping stone method in which the optimality test is applied by calculating the opportunity cost of each empty cell.

The second method employed for testing optimality is called the modified distribution method ( MODI). The method is easier and more efficient than the stepping stone method. It is based on the concept of the dual variables that are used to evaluate the empty cells. Using these dual variable the opportunity cost of each of the empty cells is determined. The opportunity cost values in both the methods indicate the optimality or otherwise of a given solution.

Improving the Solution: By applying either of these methods if the solution is found to be optimal then the problem is solved. If the solution is not optimal then a new and better basic feasible solution is obtained.. it is done by exchanging a non basic variable for one basic variable. In simple terms rearrangement is made by transferring units from an occupied cell to an empty cell that has the largest opportunity cost and then shifting the units from other related cells so that all the rim requirements are satisfied. This is achieved by first tracing a closed loop.


Related Discussions:- Testing the optimality

Explain ethics training back to the workplace be maximized, Define the term...

Define the term, transfer of learning. (2) A critical issue in training is the transfer of training, and ethics training is no exception. How could the transfer of ethics training

Explain an increased velocity in sensing and responding, Discuss an example...

Discuss an example of an unknown-unknown risk that proved damaging to a supply chain. Explain how the following strategies might have mitigated this risk: • Investment in redund

Explain processing time per claim, Medical Solutions, Inc. has the followin...

Medical Solutions, Inc. has the following claims it must complete in the next week (40 hours). The jobs are as follows: Claim Type Number of Claims to Process Setup (Changeover) Ti

Explain logos and ethos and pathos, Explain what Logos, Ethos and Pathos ar...

Explain what Logos, Ethos and Pathos are and their relevance to being understood. Also discuss their preferred order of use. Construct an example following this model. Grading r

Elements, what are the elements of production forecasting?

what are the elements of production forecasting?

Work study and value analysis - improving productivity, Work Study and Valu...

Work Study and Value Analysis - Improving Productivity  By considering how work is carried out (method study) or considering alternative approaches using a cost-benefit analys

Must adobe establish a policy for granting flexible work, Should Adobe esta...

Should Adobe establish a policy for granting flexible work schedule? If yes what might that policy contain?

Explain what is your personal entrepreneurial strategy, 1. Who was Ewing Ma...

1. Who was Ewing Marion Kauffman, what did he do, and what was his philosophy of entrepreneurial leadership? 2. What is the difference between a manager and a leader? 3. Defi

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd