ISE 540:338 Probabilistic Models in OR
Assignment #1: Introduction to OR
Due: Electronic submission, September 10th, 2024 at 5:00pm
**Fill in this Template with a different color: All HWs must be “typed” NOT manually written**
[25 pts]
a. [3 pts] According to George Box: “All models are wrong, but some are useful.” A model is defined as
___________________________________________. A model that is used to optimize bus schedules, for
instance,
should
capture
important
details
like
___________________________
and
____________________________,but leaves out minor details like _______________________________.
In contrast to deterministic models, probabilistic models invoke ________________ to solve OR problems.
b. [3 pts] In class, we have discussed how the battle of Great Britain was one of the real-world challenges
that led to the creation and development of the field of Operations Research (OR). Another application of
OR in World War II is the Battle of the Atlantic (or Battle of the North Atlantic). Describe in 3-4 lines about
how OR sciences helped the Allied forces win the Battle of the North Atlantic? In your view, what were the
decision variables, objective function, and parameters in this problem?
c. [2 pts] You may have been following the emerging and rapid developments in Artificial Intelligence (AI),
especially with the increase in the size and volume of data and how AI can harness this data to extract
meaningful information. In light of the constituents of an OR model (objective function, parameters, decision
variables), where do you think AI can help in developing better OR models, and hence, reaching better
decisions? Give at least one example to clarify your answer. Limit your response to 4-5 lines.
d. [3 pts] You are trying to find the optimal capacity of your company’s warehouse which offers storage
services to the manufacturing industry. Fill in below to describe this as an OR problem, by stating the decision
variables, parameters, and objective function. (You do not have to “mathematically” formulate the problem
– just fill in plain English). Concise answers (no more than 2-3 lines per row).
Objective Function
Decision Variables
Parameters
e. [4 pts] Give an example of how OR can be used to transform an existing business/industry that you regularly
interact with [you may use Google and other relevant resources, if needed, but rephrase in your own words]?
State what would be the decision variables, parameters, and objective function. You can fill in the below
table. (You do not have to “mathematically” formulate the problem – just fill in plain English). Concise
answers (no more than 2-3 lines per row).
Problem Statement
(1-2 lines describing
the problem in English)
Objective Function
Decision Variables
Parameters
f.
[5 pts] Each year, INFORMS organizes a prestigious competition, called: “Franz Edelman competition,”
wherein the goal is to demonstrate the contributions of operations research and analytics in both the profit
and non-profit sectors. Go to this link (https://www.informs.org/Recognizing-Excellence/INFORMSPrizes/Franz-Edelman-Award/Franz-Edelman-Academy), select a year, then scroll through the winners and
finalists. Pick the one that you feel is the most interesting to you (you may want to click on some of the
links in the “Related Content” in the bottom of the page for more information). Fill in below to
describe the problem, and state what would be the decision variables, parameters, and objective function.
Explain why this problem in particular appeals to you. (You do not have to “mathematically” formulate the
problem – just fill in plain English). Concise answers (no more than 2-3 lines per row).
Problem Statement
(1-2 lines describing
the problem in English)
Objective Function
Decision Variables
Parameters
Why This Problem
appeals to you?
g. [5 pts] Go to this paper: “Petropoulos, Fotios, Gilbert Laporte, Emel Aktas, Sibel A. Alumur, Claudia Archetti,
Hayriye Ayhan, Maria Battarra et al. "Operational research: Methods and applications," (2023). After
reading the paper, go to section 3 (Applications), pick one application that is most interesting to you. Now,
either use the article or any online resources to find a problem that lies under this type of application. Fill in
below to describe the problem, and state what would be the decision variables, parameters, and objective
function. Explain why this problem in particular appeals to you. (You do not have to “mathematically”
formulate the problem – just fill in plain English). Concise answers (no more than 2-3 lines per row).
Problem Statement
(1-2 lines describing
the problem in English.
Mention the application
in the paper under
which this problem lies)
Objective Function
Decision Variables
Parameters
Why This Problem
appeals to you?