Deck 4: Modeling and Analysis

Question 1

An influence diagram is a graphical representation of a model; that is,it is a model of a model.

Answer 1

True

Question 2

Predictive analytics is essential for construction and manipulation of models because when a decision is implemented,the results usually occur in the future.

Answer 2

True

Question 3

The pessimistic approach assumes that the best possible outcome of each alternative will occur and then selects the best of the best.

Answer 3

False

Question 4

Models,like data,must be managed to maintain their applicability,and thus their integrity.

Question 5

The use of an optimization model in the auction bidding process to award school meal contracts in Chile has significantly decreased costs.

Question 6

In developing countries,small changes in state-run social programs using management science support can lead to enormous savings.

Question 7

There is a trend toward developing and using Web tools and software to access and run software to perform modeling,optimization,and simulation,even though this has complicated the application of many models to real-world problems.

Question 8

The AHP manipulates quantitative and qualitative decision-making criteria in a fairly structured manner,allowing a decision maker to make trade-offs quickly and expertly.

Question 9

All companies,except for those under financial stress,should invest in simulation models to increase their efficiency.

Question 10

One recent trend in modeling involves the development of model libraries and solution technique libraries.

Question 11

Continuous distributions are situations with unlimited numbers of possible events that follow density functions,such as the normal distribution.

Question 12

Modeling involves data analysis with trend lines and establishing relationships with statistical methods.

Question 13

A DSS can be composed of several models,some standard and some custom built,used collectively to support strategic decisions in the company.

Question 14

Blind search techniques are arbitrary search approaches that are not guided.

Question 15

Today's management systems are designed to help managers attain simultaneous,but at times,conflicting goals.

Question 16

DSS uses mostly qualitative models,whereas expert systems use quantitative models in their applications.

Question 17

One of the assumptions of the linear programming allocation model is that not all data are known with certainty.

Question 18

To use models and solution techniques effectively,one needs to have gained experience through developing and solving simple ones.

Question 19

In decision making under uncertainty,the decision maker considers situations in which several outcomes are possible for each course of action.In this case,the decision maker can estimate the probability of occurrence of the possible outcomes.

Question 20

Heuristics techniques are used mainly for solving structured problems,usually of a tactical or operational nature,in areas such as resource allocation or inventory management.

Question 21

Which of the following is one of the disadvantages of simulation?

A) The model is built from the manager's perspective.
B) Simulation automatically produces many important performance measures.
C) Simulation is often the only DSS modeling method that can readily handle relatively unstructured problems.
D) An optimal solution cannot be guaranteed, but relatively good ones are generally found.

Question 22

________ uses animated computer graphic displays to present the impact of different managerial decisions.It differs from regular graphics in that the user can adjust the decision making process and see the results of the intervention.

A) Visual interactive simulation
B) Quantitative software
C) OLAP
D) Object-oriented model base

Question 23

________ diagrams are graphical models of mathematical models,which can facilitate the process of identifying the model's variables.

A) Decision
B) Tree
C) Fish bone
D) Influence

Question 24

Which of the following are the informal,judgmental knowledge of an application area that constitute the "rules of good judgment" in the field?

A) Binary search
B) Algorithm
C) Heuristic
D) Rule of thumb

Question 25

Decision situations that involve a finite and usually not-too-large number of alternatives are modeled by an approach called ________.

A) exhaustive search
B) decision map
C) decision analysis
D) trial-and-error

Question 26

A model builder makes predictions and assumptions regarding the input data,many of which deal with the assessment of uncertain futures.Which of the following attempts to assess the impact of a change in the input data or parameters on the proposed solution?

A) Mathematical relationships
B) Decision analysis
C) Goal programming
D) Sensitivity analysis

Question 27

The four components in a decision support mathematical model are linked together by the ________ relationships,such as equations.

A) mathematical
B) cause-and-effect
C) analytical
D) data integration

Question 28

Decision situations are often classified on the basis of what the decision maker knows about the forecasted results.Which of the following is one of the categories?

A) Indecision
B) Firmness
C) Ambiguity
D) Certainty

Question 29

E-commerce has created an immense need for ________ and an abundance of available information for performing it.

A) nonlinear programming
B) forecasting
C) auction models
D) queuing

Question 30

Which of the following are factors that affect the result variables,but are not under the control of the decision maker?

A) Parameters
B) Decision variables
C) Independent variables
D) Output variables

Question 31

Which of the following is not a characteristic of a linear programming model?

A) A limited quantity of economic resources is available for allocation.
B) The resources are used in the production of products or services.
C) The maximum number of constraints is four.
D) There are two or more ways in which the resources can be used.

Question 32

Which of the following is a step-by-step search process for obtaining an optimal solution?

A) Analytic technique
B) Algorithm
C) Heuristic
D) Linear programming

Question 33

Which of the following is a key element in most DSS and a necessity in a model-based DSS?

A) Database
B) Analytical model
C) Modeling
D) Business intelligence

Question 34

Which of the following calculates the values of the inputs necessary to achieve a desired level of an output?

A) Goal seeking analysis
B) Decision analysis
C) Trial-and-error
D) Sensitivity analysis

Question 35

Which of the following packages are preprogrammed (sometimes called ready-made)models and optimization systems that sometimes serve as building blocks for other quantitative models?

A) Quantitative software
B) Qualitative software
C) Development tool
D) Application

Question 36

________ is a type of model that is used to find a good enough solution,or the best solution among alternatives,using experimentation.

A) Simulation
B) Heuristics
C) Predictive
D) Deterministic

Question 37

Monte Carlo simulation is a type of ________ simulation.

A) deterministic
B) probabilistic
C) exact
D) analytical

Question 38

Which of the following techniques is used to solve optimization problems that have few alternatives?

A) Trial-and-error
B) Binary search
C) Expert systems
D) Decision trees

Question 39

Typically there is some randomness in decision-making situations.Because DSS deals with semistructured or unstructured situations,reality is complex,which may not be easily represented by optimization or other models but can often be handled by ________.

A) simulation
B) linear programming
C) statistical analysis
D) forecasting

Question 40

Which of the following models takes a single snapshot of a situation where everything occurs in a single interval?

A) Sliced model
B) Snapshot model
C) Stationary model
D) Static model

Question 41

________ is a measure of how difficult a problem is in terms of its formulation for optimization,its required optimization effort,or its stochastic nature.

Question 42

Customer relationship management systems and revenue management systems rely heavily on forecasting techniques,which are typically described as ________.

Question 43

A(n)________ is a model based management system constructed in an object-oriented environment.

Question 44

________ are variables that contain the values of intermediate outcomes in mathematical models.

Question 45

________ models are time dependent; and are valuable because they represent trends and patterns over time.

Question 46

In decision making under ________,the decision maker considers situations in which several outcomes are possible for each course of action.The decision maker does not know,or cannot estimate,the probability of occurrence of the possible outcomes.

Question 47

If the simulation results do not match the intuition or judgment of the decision maker,a ________ gap in the results can occur.

Question 48

________ is a variable that expresses the result of a decision (e.g.,one concerning profit),usually one of the goals of a decision-making problem.

Question 49

A(n)________ is a step-by-step search process for obtaining an optimal solution

Question 50

The allocation of resources in a linear programming problem is usually restricted by limitations and requirements called ________.

Question 51

________ conveniently organize information and knowledge in a systematic,tabular manner to prepare it for analysis.

Question 52

________ investigates what the effect of changing some of the input data or parameters would be.

Question 53

________ is a family of tools designed to help solve managerial problems in which the decision maker must allocate scarce resources among competing activities to optimize a measurable goal.

Question 54

________ analysis calculates the values of the inputs necessary to achieve a desired level of an output.

Question 55

________ is the relational approach to the design and development of a model base management system.

Question 56

________ is a decision-making method that analyzes the risk associated with different alternatives.

Question 57

________ conducts a search for and an analysis of information in external databases and flows of information.

Question 58

________ is a simulation approach used in the decision-making process that shows graphical animation in which systems and processes are presented dynamically to the decision maker.It enables visualization of the results of different potential actions.

Question 59

________ distributions are situations with unlimited numbers of possible events that follow density functions,such as the normal distribution.

Question 60

________ distributions involve a situation with a limited number of events or variables that can take on only a finite number of values.

Question 61

Distinguish between decision making under certainty,risk,and uncertainty.

Question 62

List the type of relationships sensitivity analysis study can test.

Question 63

Distinguish between a static model and a dynamic model.

Question 64

Explain the value of visual interactive simulation (VIS).

Question 65

What is an influence diagram? Name a benefit of influence diagrams.

Question 66

List five most common optimization models.

Question 67

List the characteristics of a linear program allocation problem.

Question 68

List and briefly discuss the three major components of linear programming.

Question 69

List the steps involved in the simulation process.