Business Analytics Optimization

Catalog description

This course has been designed to provide professional MBA students with the current knowledge and practice of optimization business analysts use. Optimization aims at selecting the best alternative from among available alternatives according to a predetermined objective. In general it involves building a mathematical model and finding the best alternative through a mathematical procedure. Optimization techniques help decision-makers make fact (i.e. data) based decisions and offer the potential of making significant profits or cost savings. The main focus of this course will be on developing modeling skills to gain insight into a wide variety of business decision problems. In other words, the emphasis in this course will be on modeling practical business decision problems, use of relevant software for optimal solution, interpretation of results, and sensitivity analysis rather than the theory of mathematical solution techniques. Coverage of course material will follow the typical sequence of (1) identification and discussion of a business decision problem; (2) developing a graphical model (e.g. influence diagram); (3) developing a mathematical model; (4) computer solution; (5) interpretation of results and sensitivity analysis; (6) discussion of insights gained from the experience; (7) discussion of implementation issues. In addition, heuristics will be discussed when optimization techniques are not available or too costly.