bluuebunny/crossref_metadata_2025 huggingface dataset:
Manufacturing Strategy: A Methodology and an Illustration
Authors: Fine Charles H. , Hax Arnoldo C.
Published: October 2008

Manufacturing strategy is a critical part of the firm's corporate and business strategies, comprising a set of well-coordinated objectives and action programs aimed at securing a long-term, sustainable advantage over competitors. It should be consistent with the firm's overall strategies, as well as with other functional strategies. A methodology for designing such manufacturing strategies has been successfully tested in actual manufacturing environments, including the Packard Electric Division of General Motors.
Explaining Observed Productivity Differentials Between Plants: Implications for Operations Research
Authors: Hayes Robert H. , Clark Kim B.
Published: October 2008

Within the same company, several factories, all essentially producing the same products the same way, often differ widely in productivity and profitability. Twelve factories belonging to three companies were studied to discover the impact of managerial policies on productivity. The factories' total factor productivity was measured monthly over several years and related to managerial policies.
Real Applications of Markov Decision Processes
Authors: White Douglas J.
Published: October 2008

In the first few years of an ongoing survey of applications of Markov decision processes where the results have been implemented or have had some influence on decisions, few applications have been identified where the results have been implemented but there appears to be an increasing effort to model many phenomena as Markov decision processes.
Franz Edelman Award for Management Science Achievement
Authors: Rider Kenneth L. , Kolesar Peter , Lilien Gary L.
Published: October 2008

The Edelman Award for Management Science Achievement honors excellence in the practice of management science. It recognizes important implementations of management science that have significant proven benefits. The papers presented in this issue of Interfaces by the finalists of the 1985 award competition: Canadian National Railways, Eletrobrás and CEPEL of Brazil, the New York City Department of Sanitation, Pacific Gas and Electric, United Airlines, and Weyerhaeuser exemplify, in my opinion, some of the finest current work in management science practice.
Letter to the Editor
Authors: Kaplan Edward H.
Published: October 2008

Letter to the Editor about using the Hypercube Queueing Model developed by Prof. Richard C. Larson of MIT for dispatching ambulances in the city of Boston.
PGandE’s State-of-the-Art Scheduling Tool for Hydro Systems
Authors: Ikura Yoshiro , Gross George , Hall Gene Sand
Published: October 2008

A comprehensive hydro-scheduling system, HYSS, was developed for the Pacific Gas and Electric Company to produce optimal release policies for each of the 86 hydropower plants in the 23 river-basin hydroelectric system. HYSS has become the basic tool used to operate the utility’s complex hydro-generation system efficiently. The use of HYSS has helped increase production of hydropower, resulting in a reduction of revenues required from ratepayers of an estimated $10 million to $45 million each year. Also, the improved schedules for hydropower result directly in better resource planning throughout the company.
Polishing the Big Apple: How Management Science Has Helped Make New York Streets Cleaner
Authors: Riccio Lucius J. , Miller Joseph , Litke Ann
Published: October 2008

Management science has played a critical role in increasing the ability of New York’s Department of Sanitation to clean the city’s streets. Not only has the department achieved five consecutive years of improved cleanliness ratings (currently at 68.7 percent acceptably clean from a low of 53 percent), but current ratings are near record levels (72 percent) with 700 fewer cleaners than we had when we last achieved those record ratings. To achieve ratings equal to the highest ever recorded we will need approximately 400 fewer cleaners than we used to have. A savings of 400 cleaners is equivalent in financial terms to $12 million a year in salaries and fringe benefit costs.
Popularization of Management Science in China
Authors: Dequan Chen , Lei Ji , Chungmin Pang
Published: October 2008

Since the early sixties, China has been applying mathematical methods to production and planning problems in an environment where qualified personnel are scarce, and where computers are not readily available. Professor Hua Loo-Keng chose the path of popularization, selecting methods that do not require large and complex calculations and can be used by those with relatively little education. A large number of problems can be solved using fairly simple mathematical methods easily taught to nonspecialists. Popularization of mathematical methods has provided a way to extend the application and impact of management science in China.
Strive to Conquer the Black Stink: Decision Analysis in the People’s Republic of China
Authors: Pollock Stephen M. , Chen Kan
Published: October 2008

A group of US and Chinese analysts helped plan for comprehensive water pollution control of the Huangpu River in Shanghai, exploring normative decision analysis as one tool. Trying to adapt this quintessential Western way of thinking to the Chinese decision-making structure was interesting and instructive.
What MS/OR Groups Do: Ethicon Incorporated—A Stitch in Time
Authors: Calderone Ronald
Published: October 2008

Ethicon Incorporated, a member of the Johnson & Johnson family of companies, is the world's largest manufacturer of wound closure products. It produces over 3,000 regular products and 3,000 specialty products for surgeons ranging from catgut suture material attached to finely honed surgical needles to internal and external stapling devices.

The Management Science Department (now called End-User Services) reports to the director of Management Information Services (MIS) who, in turn, reports to the vice-president of finance. The mission of the department is to provide management consulting support and training to all divisions of Ethicon.
Decision Analysis and Its Application in the Choice Between Two Wildcat Oil Ventures
Authors: Hosseini Jinoos
Published: October 2008

The decision environment in which an independent oil and gas producer operates is extremely complex. In a specific case a decision analytic model was found to be useful. To choose between two site locations for drilling an oil well, the decision maker considered geological and engineering factors in light of his attitudes toward risk and money. A decision-tree analysis provided a framework for systematically analyzing the problem and reaching a decision.
A Planning and Decision-Aiding Procedure for Purchasing and Launching Spacecraft
Authors: Scherer William T. , White Chelsea C.
Published: October 2008

Developing a planning and decision support system (PDSS) to determine the number of spacecraft (communications satellites) to purchase and the timing of the these purchases for INTELSAT was complicated by the length of time necessary to manufacture a spacecraft, the potential for spacecraft failure, uncertain future costs and capacity requirements, multiple, conflicting, and noncommensurate objectives, and various exogenous factors. The PDSS uses the simulation of a large Markov decision process (MDP) to evaluate purchase strategies generated by (1) experts, (2) heuristic procedures, and (3) the solution of an aggregated version of the MDP, thus integrating knowledge engineering and formal reasoning approaches to decision aiding and problem solving.
The Ombudsman: Academic Research in MS/OR: Science or Trivial Pursuit?
Authors: Halse Ron , Lilien Gary L.
Published: October 2008

At the bottom of the masthead of this journal, in tiny print, a statement reveals that “Interfaces seeks to improve communication between managers and professionals in MS/OR …” The editor of this journal is at the junction of the academic and practitioner communities, where representatives of both communities frequently express concern about what academics work on and how that work is evaluated. The types of concerns young academics have expressed follow: —To get tenure at my school I need eight hits [publications] in six years … and I can only get them by working on small problems. —The really important problems in my field are too long-term and too risky for someone in my position [without tenure] to work on. —If I work on a big problem, I will have to be part of a research team and may not get credit [recognition? points toward tenure?] for my work.

Our objective here is to explore the question: Do the rewards and incentive systems at our colleges and universities encourage academics in MS/OR to do research on important problems?
Mortgage Selection Using a Decision Tree Approach
Authors: Luna Robert E. , Reid Richard A.
Published: October 2008

People choose mortgage types to minimize their costs, basing their decisions largely on expected future interest rates. An analysis of past changes in interest rates shows surprising regularity. This result provided confidence that the potential benefits associated with a more structured approach could be realized. Using concepts from classical decision theory and a reasonable range of alternative future scenarios, a rational choice for financing a personal investment was identified.
A Note on Yield-to-Maturity Approximations
Authors: Griffith Reynolds , Chandy P. R.
Published: October 2008

There are several types of yields in the bond market vernacular: nominal yield, current yield, yield to maturity, yield to call, and realized yield. Of these, yield to maturity is the most important and widely used valuation model. Several approximate yield-to-maturity formulas are compared with the formula found in most finance and investment textbooks to determine whether it provides us with a reasonably good approximation of the precise yield to maturity. We find that the traditional formula is the least accurate of the ones tested and compared (traditional, Henderson, Standard and Poors, modified Standard and Poors, Todhunter, and modified Todhunter). The Henderson or the modified Todhunter formulas provide significantly better results (depending on the maturity of the bond). Perhaps, the traditional textbook formula should be replaced.
What MS/OR Groups Do: Analytical Tools for Economic Regulation of Energy Utilities
Authors: Kelly Kevin A.
Published: October 2008

State public utility commissions (PUCs) regulate the nation's electric and gas utilities. These economic regulators set the prices and monitor the service quality for this important sector of the economy, and they require a different set of tools from those used by regulators of securities and of environmental, health, and safety effects. The main tools of utility commission regulation during its first century of existence were financial disclosure, accounting, and engineering depreciation studies. However, beginning around 1974 as energy prices soared, PUCs began to require more complex analytical tools for examining electric and gas utilities' performance, particularly tools for examining cost control.

I will discuss here four analytical tools developed at the National Regulatory Research Institute (NRRI) to assist PUCs with these four kinds of analyses. Each tool was developed by NRRI researchers, under my general direction, in response to an expressed commission need, and each represents a different analytical approach to utility regulation.
Management Science/Operations Research in Greece
Authors: Papageorgiou John C.
Published: October 2008

Management science/operations research has followed different patterns of growth in different countries depending on a number of factors, some of which relate to the uniqueness of the socioeconomic and cultural environment. In this paper the evolution of MS/OR in Greece and the results of a study conducted in 1977 aiming at finding the extent of MS/OR applications in the country are reviewed. Indicators of MS/OR work carried out in Greece are the papers presented at the annual national meetings of the Hellenic Operations Research Society and those papers that were presented in the first four annual meetings and were MS/OR related are summarized. Finally, the current status of MS/OR in Greece as perceived by the author during his visit to Greece is evaluated.
Investment Decision-Making Practices in Colombia: A Survey
Authors: Velez Ignacio , Nieto Gabriel
Published: October 2008

About one-half of the large firms in Bogotá, Colombia use discounted methods for investment, as compared to about two-thirds of the firms in the United States. These methods are all the more important in the Colombian economy which has a considerably higher rate of inflation and a monetary policy designed for credit restrictions.
Misapplications Reviews: Ice Follies
Authors: Barnett Arnold
Published: October 2008

Editorial comment about three articles published in The New York Times in February 1986 that deal with light-hearted superficial statistical statements. The point is that some readers may be deceived by the fallacious arguments.
Locating a Blood Bank
Authors: Price W. L. , Turcotte Michel
Published: October 2008

A study was carried out to assist in the relocation of the Red Cross Blood Donor Clinic and Transfusion Center in Quebec City. While models for this type of problem exist, many of them are data-hungry. This one provides advice based on sparse data.
Spreadsheet Modeling as a Stepping Stone
Authors: Bodily Samuel E.
Published: October 2008

Spreadsheet modeling software has evolved to the point where it now provides generalists with the power to analyze their own decisions quickly and easily. These new “modelers” aspiring to extend their spreadsheet experience will find further possibilities in decision tree analysis, expert systems, optimization, risk analysis simulation, and statistical analysis and forecasting. As the spreadsheet evolves further, the management science specialist and the generalist user will come together to form a powerful team.
The Fifth Column: On the Minimization of Need for New Facilities, or Space Wars, Lack of Presence, and Delphi
Authors: Woolsey Gene
Published: October 2008

Editorial about problem of facilities location, often treated in MS/OR/IE.
Routing Special-Education School Buses
Authors: Russell Robert A. , Morrel Reece B.
Published: October 2008

In routing special-education students in an urban environment, the students must be picked up at home and delivered to selected schools which meet their specific educational needs. In addition to the many-to-several problem structure, special sequencing restrictions and route duration limitations exist. Heuristics can achieve significant savings for both route distance and route duration, and a shuttle system is also found to be effective.
Pricing in the Government Bond Market
Authors: Chandy P. R. , Kharabe Prakash
Published: October 2008

To develop the framework for an LP model to help treasury dealers make better investment decisions, we replicated and extended the pioneering work of Yawitz, Hempel, and Marshall [Yawitz, J. B., G. Hempel, W. J. Marshall. 1976. A risk-return approach to the selection of optimal governmental bond portfolios. Financial Management 5(3, Autumn) 36–45.] through the year 1982 and developed an LP model and break-even yield analysis. A test of the model’s capability to identify underpriced and overpriced securities proved it useful.
Why Indirect Health Risks of Regulations Should be Examined
Authors: Keeney Ralph L. , von Winterfeldt Detlof
Published: October 2008

Health and safety regulations are usually evaluated in terms of their expected health benefits. However, regulations can have unintended side effects, and in some instances, possibly produce adverse health effects that are more severe than those intended to be prevented. Such indirect health effects can occur through several pathways, including accidents during the construction and operation of regulatory equipment, stress from unemployment or occupation risks of additional employment, and reduced household income. Ideas for developing a methodology to estimate such unintended health effects are illustrated using regulation of power plants. Sources of relevant literature and examples of estimates of indirect health effects are included.
How Much Safety?
Authors: Machol Robert E.
Published: October 2008

Some formulas concerning the monetary value of human life are examined in the context of assertions concerning airline safety made by representatives of the MS/OR and airline-pilot professions. It is concluded that the level of expenditure on aviation safety is, with some possible exceptions, about right.
Artificial Intelligence and the Management Science Practitioner: Expert Systems—Getting a Handle on a Moving Target
Authors: Fordyce Kenneth , Norden Peter , Sullivan Gerald
Published: October 2008

This is the first appearance of a new column—Artificial intelligence and the management science practitioner. In recent years, interest in artificial intelligence (AI), especially expert systems (ES), has been explosive. We will try to bring you news of the latest directions in AI/ES, examples of innovative work, comments on what worked well and what didn't, information on new software and hardware products, and highlights relating progress in AI/ES to the state of the art in modeling and decision support. Our purpose is to help answer three AI/ES questions facing the MS/OR professional today: (1) What are artificial intelligence and expert systems? (2) What in AI/ES is of value? How are AI and MS related? (3) How might the “AI/ES wave” affect MS/OR?
Scenarios for Strategic Business Planning: A Case History for Aerospace and Defense Companies
Authors: Millett Stephen M. , Randles Fred
Published: October 2008

Scenarios provide a tool for forecasting long-range, complex, and highly uncertain business environments. They offer logically consistent sets of conditions, trend analysis, and simulated models for strategic business planning. Scenarios are applicable to the planning needs of aerospace and defense companies, whose principal customer is the US Department of Defense. The case history reviews the experience of Battelle and the Goodyear Aerospace Corporation in forecasting by use of scenarios the international environment and US defense expenditures to 1995 and deriving strategic business plans from them.
Measuring User Satisfaction
Authors: Mathieson Kieran
Published: October 2008

Bogon the gnome was obsessed with the measurement of user satisfaction. Together with his super-servant LISREL, he set out to test his questionnaire. And so began the greatest MIS experiment in history, one that would change the world, for Bogon’s measurements were more precise and more complete than any that had gone before.
Letter to the Editor
Authors: Greenberg Irwin
Published: October 2008

Comments about inappropriate use of decision support systems that led to many examples of bad management science in practice.
The Ombudsman: The Refereeing Process
Authors: Machol Robert E.
Published: October 2008

Grassmann [Grassmann, W. K. 1986. Is the fact that the emperor wears no clothes a subject worthy of publication? Interfaces 16(2, March–April) 43–46.] complains about refereeing in our journals. He asserts that “most referees in operations research are not particularly inclined to accept simple solutions” and that important results often appear simple and are likely to be rejected as trivial. He also proves Joe's Theorem (“nothing useful will ever be published in queueing theory”). I would like to relate two anecdotes supporting Grassmann's conclusions. But I would also like to present the other side of the coin—the dangers inherent in Grassmann's suggestions.
The Application of Decision Analysis to Clinical Medicine
Authors: Clarke John R.
Published: October 2008

Applying analysis to the clinical practice of medicine may result in better patient care. Although the decision trees are apparently simple, a model of the clinician's analysis requires consideration of the problem at three levels of sophistication. Experts in decision analysis can probably help health care providers and managers more accurately handle the uncertainty in patient care situations by developing good data bases, representing patients' utilities simply and accurately, and providing well-calibrated, data-driven estimates of probabilities. A common clinical problem, what to do for a patient who might have appendicitis, is analyzed in detail as an example.
The Management Science/Operations Research Industrial-Academic Interface
Authors: Bradbard D. A. , Ford F. N. , Cox J. F. , Ledbetter W. N.
Published: October 2008

An analysis of how directors of the MS/OR function in industry view the industrial-academic interfaces of (1) professional journals, (2) professional societies, and (3) the directors' hiring practices replicates a study by Cox, Ledbetter and Smith [1978], allowing comparisons to be made and changing views to be identified. Questionnaires were sent to the MS/OR managers of the 500 largest US industrial corporations. The response rate was approximately 19 percent. Characteristics of the directors were investigated, the three interfaces were examined, and implications for academicians and practitioners were identified.
The Capital Budgeting Process: Theory and Practice
Authors: Mukherjee Tarun K. , Henderson Glenn V.
Published: October 2008

Survey evidence in a four-stage framework for the capital budgeting process reveals that many capital budgeting practices differ from what the relevant theory prescribes. Much of the gap, however, can be explained by deficiencies in the theory itself, suggesting new directions for ongoing capital budgeting research.
Managing Business Risk
Authors: Boodman David M.
Published: October 2008

Dalkon Shield, Bhopal, Tylenol, and asbestos today immediately connote business risk. The earliest writings on general management described risk as one of six major areas of functional responsibility in business, but the function today involves little more than insurance buying. A new view is needed—one to which management science can contribute.
A Survey of Recent Management Science Applications in Higher Education Administration
Authors: White Gregory P.
Published: October 2008

A survey of recent articles reveals how much management science is really used in higher education administration by classifying each article according to the technique used, implementation experience, purpose of the model, administrative level, the resources to be allocated, and academic program. The results indicate an increased use of management science at the departmental level, but very little use in state or federal educational administration. The resource allocation problems of assigning faculty to courses or developing future budgets have been attacked diligently, although often with few actual implementations. However, other potentially rewarding areas such as operation of the physical plant have received little attention. Very few uses of MIS have been reported, but a number of successful DSSs have been developed and used.
The Successful Implementation of Application Software in New Production Systems
Authors: Geisler Eliezer , Rubenstein Albert H.
Published: October 2008

We conducted an empirical study in 18 manufacturing companies, interviewing 24 managers. Our findings suggest that to improve the successful implementation of manufacturing software, managers (1) should encourage direct interchange between software producers (in-house programmers or vendors) and the users (production personnel); (2) should support the ultimate users (production units) before, during, and after the implementation of manufacturing software rather than concentrate on measuring the productivity of software producers; (3) should concentrate on software implementation carefully and set clear and feasible policies on acquisition and utilization of application software.
Strategy and Tactics in a Process Model of Project Implementation
Authors: Schultz Randall L. , Slevin Dennis P. , Pinto Jeffrey K.
Published: October 2008

Successful project implementation involves two key phases and several important factors. A ten-factor model of project implementation includes three factors involving the strategy phase (the “planning”) and seven representing the tactical phase (the “doing”) of project management. The interaction of strategy and tactics effectiveness and the types of error that may occur in project implementation are discussed.
The Changing Role of Management in Information Systems Development
Authors: McAulay Kaye
Published: October 2008

That management involvement in information systems (IS) development is correlated with success in IS implementation has long been accepted (Poll, William J. 1985. Avenues for top management involvement in successful MSI development. MIS Quart. 9(1, March) 43–49.). Initially, management found it difficult to become involved much beyond the front end of IS development because of the extreme difference between the methods and languages of the management and data processing (DP) worlds. One of the most important developments that have enabled management to participate more fully in IS development has been the information analysis methodologies. These have enabled the data and processes of business systems to be analyzed in purely logical terms, producing a logical data model independent of any DP terminology or hardware considerations.
A Turnkey, Microcomputer-Based Logistics Planning System
Authors: Carlisle David P. , Nickerson Kenneth S. , Probst Stephen B. , Rudolph Denise , Sheffi Yosef , Powell Warren B.
Published: October 2008

We describe a microcomputer-based decision support system for logistics planning. The system uses efficient network algorithms to optimize the flow of freight from vendors, through processing centers, to retail store locations. It comprises three different models for determining inbound sourcing, outbound transshipment points, and the location of a set of market service centers. Despite the large size of some of the networks (over 20,000 links) the package offered surprisingly fast execution times even when solving large facility location problems. Overall, the microcomputer environment (IBM PC-AT) offered significantly greater speed (in terms of total turnaround time), flexibility, and ease of use over the corporate mainframe.
Can MS/OR Sell Itself Well Enough?
Authors: Tingley George A.
Published: October 2008

Apparently MS/OR is being overtaken by newer decision aids such as decision support systems (DDS), and in addition, MS/OR has not received credit for its real contributions. This is a consequence of a narrow view of MS/OR emphasizing mathematics and neglecting such aspects as experimentation, heuristics, and modeling. A broad view of MS/OR consistent with its origins leads to a wider market of applications but risks psychological and political complications. We need to (1) take full advantage of computing hardware and software, (2) emphasize prototyping, heuristics, and modeling, as well as mathematics, and (3) promote our work not just in academic journals, but also in trade and management publications.
Operating Aspects of Materiel Distribution Activity within the Canadian Forces
Authors: Ng Kevin Y. K. , Lam M. Natalie , Hudson John R.
Published: October 2008

The materiel distribution activity within the Canadian Forces was evaluated to validate the current operation of the materiel traffic system (MTS). Sample transportation data were collected, and the effectiveness and efficiency of the entire MTS were statistically inferred. Because historical materiel traffic data were lacking, no comparisons could be made, and trends in performance could not be ascertained. An alternate “early time” evaluation scheme was then used to quantify MTS performance. Areas in which the MTS might be improved are suggested.
The Implementation of Office Automation
Authors: Lederer Albert L. , Stubler William F. , Sethi Vijay , Ryan John C.
Published: October 2008

The Nuclear Fuel Division of the Westinghouse Electric Corporation installed office automation (OA) to improve white-collar productivity. The process included a definition of needs, an evaluation of vendors, and a pilot study to identify both quantitative and qualitative savings. Its success depended on the extensive support of an information center. The project produced a number of guidelines useful to organizations considering a similar endeavor. They are assessed in terms of how they extend previous research which provided guidelines for the implementation of conventional information systems.
Note: More on Morrison and Wheat's “Pulling the Goalie Revisited”
Authors: Erkut Erhan
Published: October 2008

This is a note regarding the excellent article “Misapplications Reviews: Pulling the Goalie Revisited” by Morrison and Wheat [Morrison, D. G., R. D. Wheat. 1986. Misapplications reviews: Pulling the Goalie revisited. Interfaces 16(6) 28–34.]. Being a hockey fan, I thoroughly enjoyed the article. I think it is an interesting example of modeling and optimization, well suited for teaching in a NHL city. However, I teach in Edmonton, the recently acclaimed hockey capital of North America, and my students felt uneasy about the first assumption made by the authors, “when both teams have their goalies on the ice, the two teams are of equal ability and each scores goals at a constant rate of L per minute.”
Applications Reviews
Authors: Hall John R. , Millen Roger N. , Winer Russell S. , Dale Charles , Martinich Joseph S.
Published: October 2008

“Applications Reviews” is a guide to accomplished or partial MS/OR applications cited in articles appearing in many of the major journals of the field. We cover only applications—except for the occasional brief mention of a survey article or special issue—and so do not claim to cover all the best articles in MS/OR. The abstracts are purposely kept short to emphasize breadth of coverage over depth; we try to tell you what modeling approach has been applied to what problem, and if possible the size and character of the improvements achieved as a result.
A Simple Model to Estimate Bounds on Total Market Gains and Losses for a Particular Stock
Authors: Sharda Ramesh
Published: October 2008

Investors sometimes buy stock on the basis of premature or inflated announcements by companies. When the expectations are not realized, the investors may sue a company for the losses incurred. This paper describes a model that can be used to estimate bounds on the total loss the investors may have suffered by trading in such a stock. The results of the model are also useful to defendants willing to settle out of court. An actual implementation is reported, though the names and numbers have been changed.
Is Case Teaching More Effective than Lecture Teaching in Business Administration? An Exploratory Analysis
Authors: Böcker Franz
Published: October 2008

Case teaching is said to better motivate students and to transmit managerial information to students more effectively than lecture teaching. Field experimentation performed to quantify the effects of case teaching compared to those of lecture teaching supports the hypothesis that case teaching is more effective than lecture teaching with regard to attaining cognitive as well as motivational aims in the classroom.
Microcomputer Technology in Schools of Business
Authors: Render Barry , Stair Ralph M.
Published: October 2008

A survey of 600 colleges in 1984 and again in 1986, indicates that today's business school is also becoming a computer center. Microcomputer labs on campus have grown dramatically, with an 83 percent increase in the average number of installed micros between 1984 and 1986. Another increase of 49 percent is forecast by 1988. The demand for quality software has also grown, with spreadsheet, data-base, and word-processing packages found in over 98 percent of all microlabs. The use of statistical, MS, and project management software is still growing. Managing the new labs has raised major issues in software protection, equipment replacement, and maintenance and control.
Introduction: The Design and Implementation of Automated Manufacturing Systems
Authors: Singhal Kalyan
Published: October 2008

Automated manufacturing systems have the potential for providing a heretofore unmatched level of manufacturing performance along the four strategic dimensions of cost, quality, delivery, and flexibility. However, the complexity of these systems presents several problems in their design and implementation. This special issue focuses on how models can contribute to solving these problems. Four themes are covered: characteristics of decisions, system design, implementation, and performance measurement and adoption of automated manufacturing.
An Architecture for Decision Making in the Factory of the Future
Authors: Jackson Richard H. F. , Jones Albert W. T.
Published: October 2008

A major manufacturing research facility is being established at the National Bureau of Standards. The Automated Manufacturing Research Facility has been designed to address the need for standards and measurement for the factory of the future. A five-layer hierarchical control architecture is under development to control the various production and support activities needed to drive that factory. The proper execution of many of these activities requires the solution of one or more optimization problems. We propose a decision-making hierarchy that parallels that control architecture, describe the problems that exist at each level within that hierarchy, and discuss the work underway at NBS to address some of those problems.
Modeling an AGV Automobile Body-Framing System
Authors: Bookbinder James H. , Kotwa Terrence R.
Published: October 2008

General Motors of Canada is undertaking a multimillion-dollar modernization of its Oshawa, Ontario assembly plant. Automatic guided vehicles (AGVs) and a substantial amount of robotics and other automation will be used in the body-framing area. We developed a computer simulation model to estimate the minimum number of AGVs required to meet reliably the minimum targetted output. We found the framing system could produce 20 percent more cars per shift, but this increase beyond the target would require acquisition of 70 percent more AGVs. We also found that the system output was relatively insensitive to the cycle time of the automation cells and to the failure rates of three critical process stations.
Integrating Design and Manufacturing to Deploy Advanced Manufacturing Technology
Authors: Ettlie John E. , Reifeis Stacy A.
Published: October 2008

A review of the literature and of several cases of modernization in domestic plants reveals the significance of the challenge of integrating design and manufacturing. Teams, compatible computer-aided-design (CAD) systems, common reporting positions, design for manufacture (DFM) programs, and engineering generalists emerge as the primary mechanisms being used to coordinate the design process when more than one function is involved. Management needs greater involvement of engineers in design-manufacturing integration.
A Plant Productivity Measure for “High-Tech” Manufacturing
Authors: Adler Paul S.
Published: October 2008

A total productivity measure was developed as part of an action research productivity analysis project for a manufacturer of computer peripheral devices. The productivity measure had to be appropriate for a broad range of automation levels, yet resolve the long-standing methodological problems of index construction in a manner intuitive to management. The difficulties encountered in attempting to institutionalize the measure point to the need for a compromise with cost accounting.
A Scheduling Model for LTV Steel's Cleveland Works' Twin Strand Continuous Slab Caster
Authors: Box Richard E. , Herbe Donald G.
Published: October 2008

In 1983, the LTV Steel Company started up a twin strand continuous slab caster to convert molten steel to solid steel slabs. Located at LTV's Cleveland Works, the caster is scheduled by a minicomputer-based system that includes a heuristic algorithm that is used to select the best casting sequences daily. The Cleveland Works has benefited greatly from the scheduling system, with its major benefit the high quality steel produced daily to customer orders. The Cleveland caster currently holds the North American monthly production record for a steel-casting machine. The caster-scheduling system annually saves the LTV Steel Company $1.95 million in combined manpower savings and increased production.
Simulation of a Regional Scheduling Problem
Authors: Lev Benjamin , Kwatny Eugene
Published: October 2008

A large corporate client of Rosenbluth Travel Agency conducts several foreign trips every year which include scientists and business persons. During their tours, each group is supposed to visit as many as 60 different companies located in about 20 different cities. Each meeting is to be attended by a business person and a scientist. Some meetings require the attendance of a specific individual while some allow any scientist or business person. Our objective was to determine a feasible tour with the minimum number of repeat visits. We developed a computer program that uses heuristics to solve the problem.
Federal Agency Use of Computer Modeling and Decision Analytic Support
Authors: Wood Fred B. , Smith Jean E.
Published: October 2008

The major federal government agencies make widespread use of computer modeling and computer-based decision analytic techniques. However, the full extent and actual effects of such use, especially with respect to federal decision making, are poorly understood. Also, guidelines for the evaluation of models are deficient, and the mechanisms for locating and gaining access to key modeling and decision support information are incomplete and inadequate. Several actions can be taken to improve quality control of such activities, to encourage exchange of learning and expertise, to facilitate public access, and to strengthen the understanding and involvement of top agency officials with respect to computer modeling and decision analytic support—in short, to help decision makers more fully realize the potential of information technology to improve federal decision making.
The Fifth Column: On the Optimal Fueling of Airlines or There's No Fuel Like an Oil Fuel
Authors: Woolsey Gene
Published: October 2008

The fifth column: on the optimal fueling of airlines or there's no fuel like an oil fuel referring to Darnell, K. Wayne, Carolyn Loflin. 1977. National airlines fuel management and allocation model. Interfaces 7(2) 1–16.
Finding the Right Number of Servers in Real-World Queuing Systems
Authors: Grassmann Winfried K.
Published: October 2008

Real-life queuing problems tend to be complex and ill-defined, and exact mathematical approaches are therefore illusory. This has to be taken into account when one wants to determine the right number of servers in a real-life queuing system, a problem of considerable practical importance. We suggest a number of approaches to find the number of servers. These approaches are both simple and flexible enough to cover a wide variety of queuing situations. Most of these approaches are based on the normal distribution, and their derivation is similar to the one used in one-period inventory models. Formulas based on classical queuing equations are also discussed.
A Manager's Guide for Evaluating Competitive Analysis Techniques
Authors: Prescott John E. , Grant John H.
Published: October 2008

The wide variety of competitive analysis techniques available to managers presents a problem of choosing the most appropriate set for the objectives of an assignment. A utilization profile table evaluates 21 competitive analysis techniques along a set of 11 dimensions. Managers can use the table to examine trade-offs among the techniques, thereby selecting the most efficient and effective ones for their assignment.
Applications Reviews
Authors: Hall John R. , Millen Roger N. , Dale Charles , Martinich Joseph S. , Kamakura Wagner A.
Published: October 2008

“Applications Reviews” is a guide to accomplished or partial MS/OR applications cited in articles appearing in many of the major journals of the field. We cover only applications—except for the occasional brief mention of a survey article or special issue—and so do not claim to cover all the best articles in MS/OR. The abstracts are purposely kept short to emphasize breadth of coverage over depth; we try to tell you what modeling approach has been applied to what problem, and if possible the size and character of the improvements achieved as a result.
Strategic Sourcing, Vertical Integration, and Transaction Costs
Authors: Walker Gordon
Published: October 2008

In managing strategic risk in sourcing relationships, an organization is assumed to order inputs and operations in terms of their value to accomplishing the firm's product market performance goals. Supplier relationships involving higher value inputs and operations have higher levels of strategic risk, since failure by the supplier leads to greater decline in the performance of the firm. Three types of risk are appropriation, technology diffusion, and end product degradation, which occur under different conditions. Vertical integration (or deintegration) may be undertaken as the level of strategic risk varies and the firm is more or less qualified to perform the operation relative to the best outside supplier.
Computer Assisted Energy Policy Analysis in the Parliament of Finland
Authors: Hämäläinen Raimo P.
Published: October 2008

A decision aid developed for members of the Parliament was used to evaluate the desirability of a new big nuclear power plant in Finland. The decision analytic approach was positively received by the politicians. It also helped to structure the public debate on nuclear power in the media. The project showed that decision aids can be very useful in public policy issues if they are introduced early into the decision-making process.
Artificial Intelligence and the Management Science Practitioner: Rational Choice and Artificial Intelligence
Authors: Jacob Varghese S. , Moore James C. , Whinston Andrew B.
Published: October 2008

Current research in AI, while focusing on the practical problems associated with knowledge engineering and design issues, has not addressed a key question: What is a theoretical basis for AI? This paper addresses the issue of defining a theoretical basis for AI and thus illustrating the common bonds between AI, computer science, economics, psychology, management science, and operations research (MS/OR).
Ranking Hydroelectric Power Projects with Multicriteria Decision Analysis
Authors: Wenstöp Fred E. , Carlsen Arne J.
Published: October 2008

The Norwegian master plan for water resources called for ranking 542 hydropower projects. Two methods were used. The official one was process-oriented rather than analytical but was still intended to be formal and open to investigation. The ranked list produced was backed by the Norwegian government. We used the second method based on multicriteria decision analysis to review the first result. To our embarrassment, the two ranked lists turned out to be almost diametrically opposed to each other. In a public confrontation, political pragmatism was pitted against scientific ideals. Subsequent cooperation led to insight on a higher level and fruitful synthesis of methods.
Mortgage Selection Using a Decision-Tree Approach: An Extension
Authors: Heian Betty C. , Gale James R.
Published: October 2008

Mortgages are available at various interest rates and vary from traditional fixed-rate contracts to adjustable-rate contracts with a wide range of specific features. A method of comparison using decision-tree analysis recognizes the borrower's concern with both the expected value and the variability of possible outcomes. The expected value and the variance for each of three specific mortgages are calculated using plausible assumptions regarding time preferences. The rational choice among mortgages for the risk-averse borrower depends on the terms or features of the mortgage and the individual's expectations and beliefs.
Job-Shop Scheduling Theory: What Is Relevant?
Authors: McKay Kenneth N. , Safayeni Frank R. , Buzacott John A.
Published: October 2008

The theoretical approach of OR and AI to scheduling often is not applicable to the dynamic characteristics of the actual situation. A preliminary field study is used to illustrate that the basic theoretical approach does not represent the reality of open job-shop scheduling, and its applicability is limited to those situations that are fundamentally static and behave like the models. Better understanding and modeling of the scheduling situation is needed.
A Letter to the Readers of Interfaces
Authors: Murphy Frederic H.
Published: October 2008

Since I accepted the post as editor of Interfaces, I have been asking people what they think is good about Interfaces and what new directions it should take. My starting point is that the journal should reflect the needs and goals of our societies but should not overlap with other journals or activities. Let me couch my perceptions in a short history of MS/OR.

Initially, the first discoveries in linear programming and stochastic processes defined MS/OR. We grew separately from industrial engineering: the industrial engineers focused on plant floor issues and work methods, whereas we strove for a wider range of applications with our new tools. Our ideas diffused into such activities as operations analysis and planning, corporate planning, marketing, and finance; into various sectors including business, health care, the military, and civilian government; and such subjects as computer science, engineering, sociology, and economics. The diffusion is so complete that many practitioners of MS/OR do not identify with the field at all.
The Ombudsman: Teaching Entrepreneurship
Authors: Haines George H.
Published: October 2008

Entrepreneurship can be taught. A proposed pedagogical method was actually implemented. Various procedures were used to find out if the teaching method worked, and the data support the hypothesis that the method taught entrepreneurship. However, no one should use the method, even if it is effective and does work.
Should We Turn Off the Lights When Leaving?
Authors: Mosier Charles T. , Sheldon George W. , Avery Glen E.
Published: October 2008

“Since the cost of power saved by turning lamps off may be over-balanced by the cost of shorter lamp life, it may not pay to turn them off for very short periods” [Potter and Roehr 1964]. We developed a decision model to rationally determine whether a policy exhorting facility users to switch off lights is optimal. This model determines the balance between electricity costs and replacement costs for systems using fluorescent lighting.
OR Hits the Heights: Relocation Planning at the Orient Heights Housing Project
Authors: Kaplan Edward H. , Berman Oded
Published: October 2008

The redevelopment of the Orient Heights housing project in East Boston requires the determination of a feasible plan for temporarily and permanently relocating project tenants. Any such plan involves resource trade-offs pertaining to the number of new vacant units that must be created, the extent of temporary underhousing of occupants, and the degree of on-site versus off-site relocation. An integer programming model and scheduling heuristic developed for such problems was refined and applied to this problem. The results of the analysis identify strategic options for the Boston Housing Authority to pursue, in addition to detailed implementation schedules for each of these options.
The Fifth Column: On Inventory System Incentives or The Case of the Overbought Antifreeze
Authors: Woolsey Robert E. D.
Published: October 2008

The fifth column: on inventory system incentives or the case of the overbought antifreeze. An essay about bad planning that led to a very excessive purchase of the winter supply of antifreeze by a regional transportation district.