CHAPTER 1: MANAGEMENT SCIENCE SYSTEM OF

LINEAR EQUATIONS & INEQUALITIES LINEAR EQUATIONS

Management Science – a scientific method of using quantitative ➢ Are equations w/c has variable w/ power of 1.
data w/ a variety of mathematical model in formulating a decision. ➢ Also defined as an equation that can be written in a
form ax + b = 0, where “x” is the variable, “a” and
➢ Called Interchangeably research or decision science. “b” are the coefficients & “c” is the constant.
➢ Introduced by Frederic W. Taylor in early 1900s. ➢ The graph of a linear equation in the cartesian
coordinate plane is a straight line.
MANAGEMENT SCIENCE TECHNIQUES
(QUANTITATIVE TECHNIQUES)

1. Linear Programming – a problem-solving approach

developed for situations involving maximizing or
minimizing a linear function subject to linear
constraints that limit the degree to which the objective
can be pursued.
2. Integer Linear Programming – an approach used for
problems that can be set up as linear programs, with
the additional requirement that some or all of the
decision variables be integer values.
3. Distribution & Network Models – A network is a
graphical description of a problem consisting of
circles “Nodes” that are interconnected by lines
“Arcs”.
→ Specialized solution procedures exist for these
types of problems, enabling us to quickly solve
problems in such areas as transportation system
design, information system design, & project
scheduling.
4. Nonlinear Programming – many business processes
behave in a linear manner.
→ A technique that allows for maximizing or
minimizing a nonlinear function subject to
nonlinear constraints.
5. Project Scheduling: PERT/CPM – managers are
responsible for planning, scheduling, & controlling SYSTEM OF LINEAR EQUATIONS
projects that consist of numerous separate jobs
performed by a variety of departments, individuals,
and so forth.
→ PERT (Program Evaluation & Review
Technique) & CPM (Critical Path Method)
techniques help managers carry out their project ➢ A set of two or more linear equations in a cartesian
scheduling responsibilities. plane. The point/s (x, y) where all the line intersect is
6. Inventory Models – used by managers faced w/ the called the solution.
dual problems of maintaining sufficient inventories to 1. Inconsistent System – no solution.
meet demand for goods &, at the same time, incurring 2. Independent System – one solution.
the lowest possible inventory holding costs. 3. Dependent System – infinite solution.
7. Waiting-Line or Queueing Models – developed to
help managers understand & make better decisions
concerning the operation of systems involving waiting
lines.
8. Simulation – a technique used to model the operation
of a system employs a computer program to model the
operation & perform simulation computations.
9. Decision Analysis – used to determine optimal
strategies in situations involving several decision
alternatives & an uncertain or risk-filled pattern of
events.
10. Goal Programming – technique for solving
multicriteria decision problems, usually w/in the
framework of linear programming. IILUSTRATION:
11. Analytic Hierarchy Process – permits the inclusion
of subjective factors in arriving @ a recommended We can see from the
decision. graph that the two
12. Forecasting – techniques that can be used to predict equations intersects
future aspects of a business operation. at point ( 0 , 2 ). This
13. Markov Process Models – useful in studying the is the solution for
evolution of certain systems over repeated trials. For this system of linear
example, Markov processes have been used to equations. This
describe the probability that a machine, functioning in solution will satisfy
one period, will function or break down in another both equation when
period. substituted. Since
this system of linear
equations only has
one unique solution, this system is called independent system.

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 LINEAR INEQUALITIES

➢ Linear inequalities are like linear equations but the

sign used to show the relationship of terms is an
inequality sign. (<, >, ≤, ≥, ≠)

In solving the
portion to be
shaded, choose
any point
outside the line
then check if it
will satisfy the
inequality. If it
We can see from satisfies the
the graph below inequality, then
that the two that point is
equations are included in the
parallel lines portion that must
(having the same be shaded. If not,
slope) thus these the other side of the line must be shaded.
two lines will not
intersect in any 𝑥 + 2𝑦 ≤ 4 | 0 + 2(0) ≤ 4 | 0 ≤ 4 TRUE ✓
point, thus, does
not have any If we will change the given to 𝑥 + 2𝑦 < 4, the only difference will
solution. be the line drawn which should be drawn using broken line.

Since this system of linear equations has no solution, this system This means that
the points in the
line are not
included in the
solution of the
inequality i.e., it
will not satisfy
the inequality.

For example, let

us use one of the
points in the line
(0,2) and
substitute it in the
inequality.
is called
𝑥 + 2𝑦 < 4 | 0 + 2(2) < 4 | 4 < 4 FALSE X
inconsistent
system. SYSTEM OF LINEAR INEQUALITIES

We can see A solid line will be

from the used in inequality 1
graph below while a broken line
that the two will be used for
equations inequality 2. To
overlapped determine the shaded
one another region, the origin test
thus these two is done as shown
lines will below:
intersect in all
the points and does have infinite solution. Since this system of
linear equations has infinite solution, this system is called 𝑥 + 2𝑦 ≤ 4 | 0 + 2(0) ≤ 4 | 0 ≤ 4 TRUE ✓
dependent system.
2𝑥 + 3𝑦 > 6 | 2(0) + 3(0) > 6 | 0 > 6 FALSE X
METHODS OF SOLVING SYSTEM OF LINEAR
EQUATIONS The darker shade is the common portion of solutions of the two
inequalities, thus, that common portion is the solution of our
system of linear inequalities. To check, we can get one point inside
1. Graphical Method the solution and substitute it in both inequalities. Let’s use point
2. Elimination Method (2,1).
3. Substitution Method
4. Equivalent Method 𝑥 + 2𝑦 ≤ 4 | 2 + 2(1) ≤ 4 | 4 ≤ 4 TRUE ✓
5. Cramer’s Rule
2𝑥 + 3𝑦 > 6 | 2(2) + 3(1) > 6 | 7 > 6 TRUE ✓

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