What is Importance of operations research in decision making?

Answer 1

Operations research is a scientific discipline that managers use to make informed decisions for their operations. It draws heavily from math, statistics and science. Operations managers use this extensively to schedule and assemble their production functions. Operations research is primarily used in the manufacturing, oil, energy and telecommunication industries.

1. HistorySignificance
2. Operations research was first developed in the 1940s, during and after World War II. Features
3. Companies use operations research to devise ways and means to maximize their profits and restrict their losses and risks. The company is able to zero down on the most optimum levels of production. Also, they devise means to produce at lower costs or produce more quantities at the same costs. Benefits
4. The operations manager is able to evaluate the various available routes for production and fix the most feasible and practical one. He tries to derive the maximum output with the minimum possible input. Limitation
5. Operations research is very beneficial to the managers in deciding what to produce, the quantities, the methods of production, which employees to engage in the production processes and the marketing schemes of the produced goods.
6. The main limitation of operations research is that it often ignores the human element in the production process. This science is technology driven and does not take into account the emotional factors and absenteeism of the employees.