Stepping stone methods, Operation Management

Assignment Help:

Stepping Stone Methods :

This is a procedure  of determining the optimal if any for improving  each  of the non basic  variables  in terms of the objective function. To determine  this  potential each of the non basic  variables ( Empty cells ) is consider one by one. For  each  such well  we find  out as to what  effect on  the total cost  would  be if  one unit is assigned to this  cell. With  this information  then we come  to know  whether  the solution  is optimal  or not. If not we  improve  that solution. To  understand  it we  refer to the  table a side which  is a reproduction of the  table above  containing the  initial basic  solution obtained by NW corner rule.

 In the  above table there  are four empty cells  BD, CD, AF, BF,

312_Stepping Stone Methods.png

The  rule for  testing  the optimality  is if none  of the empty  cell has a positive  opportunity  cost the solution is optimal. And if  one ( or more ) of  the empty  cell have  a positive  opportunity  cost the  solution is not  optimal  and calls for revision. We  concentrate only on the cells  that  have  positive  opportunity  cost and would  select the one with  the highest  value.


Related Discussions:- Stepping stone methods

Explain ability to pay, What are three considerations in the wage determina...

What are three considerations in the wage determination criterion "ability to pay"? Why, by itself, can't the ratio of labour cost to total cost always be the formula of a company'

Explain research on leader-member exchange, Write a 750-1,000-word paper th...

Write a 750-1,000-word paper that analyzes the two leadership case studies, "Coach Knight: A Will to Win" and "Coach K: A Matter of the Heart." Address the following questions a

What are the main factors that defines google''s success, What are the key ...

What are the key factors that defines Google's success in the industry? What are their key competencies, capabilities and resources of being a successful search engine?

Mathematical analysis of the normal distribution curve, Mathematical Analys...

Mathematical Analysis of the Normal Distribution Curve Mathematical analysis of the normal distribution curve has produced data tables which provide population statistics in r

Describe potential key changes in communications, Discuss potential key cha...

Discuss potential key changes in technology, communications, and competition that Sigma will face in the future. Which will have the most impact on Sigma%u2019s future marketing st

Explain corporate structure in relation to its strategy, Which company do y...

Which company do you know of that successfully has been able to successfully or not manage its corporate structure in relation to its strategy? Explain you're rational. Cite all yo

Briefly explain two arguments raised in the text, Briefly state two argumen...

Briefly state two arguments raised in the text for and against tort reform

Mba program has a high emphasis on ethical decision, Why do you think the c...

Why do you think the capstone course for the MBA program has a heavy emphasis on ethical decision making?

Explain benefit-cost and cost-effectiveness, "A Closer Look" Please respond...

"A Closer Look" Please respond to the following: •Compare and contrast benefit-cost, cost-effectiveness, and cost-utility analysis and determine which is the most useful to assess

Explain traditional employment agencies, In what ways do executive search f...

In what ways do executive search firms differ from traditional employment agencies?

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