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An overview of the history and significance of operational research, a data-driven approach to optimizing resources. Originating from wartime efforts to optimize resource usage, operational research has since expanded to address various societal issues. The development of operational research in the 1970s, the introduction of systems theory, and the importance of classification methods, specifically the pivotal reduction method. This method is used to optimize resources by deciding which variables to study, defining constraints, and setting objectives.
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Operational research has its origin in the Second World War. There was a group, called “Bernal’s group” that help to the URSS to optimize the resources like how deep you need to through a bomb in order to damage a submarine (Statistical analysis), which materials do you need to replace the air surveillance, make a location analysis to make use of the radars… After that, with the peace, we had problems. Problems that involve health, education, coal and steel extraction, railways construction… In order to solve this problems Bernal’s group make mathematical analysis. Queuing theory, planning related techniques, simulation, long term planning, linear programming, national planning (input/output tables = linear programming).
In 1970’s there was the middle age crisis, and they developed the systems theory. They analyze the excess, and try to find the efficiency analysis DEA. There were other problems, like conflict, when a firms wanted to acquire another firm, the plan maybe was not totally optimal to both of the parts, was just optimal for one of them, so there were two techniques: operational research for the community and soft operational research (that is the one related with the firm example). Another example is the optimal destruction facilities; that is what is happening with Syria and USA.
So operational research is the optimization of the resources that we have in the best efficient way. And here we introduce the term classification methods: heuristics.
PIVOTAL REDUCTION METHOD 12/09/
In order to develop a good operational research, first of all we have to decide which variables are going to be studied, so (1) Decision variables; After that we have to define the (2) Constraints that are a set of simultaneous equations that have some restrictions, like to be positive or a limited amount of product/raw material…; And finally, define the (3) objective, that use to be maximize profits and minimize the costs.
Let imagine a situation in which we have the following set of constraints: