1. MANAGEMENT SCIENCE

2. MANAGEMENT SCIENCE
 Management Science is concerned with developing
and applying models and concepts that help to
illuminate management issues and solve
managerial problems.
 The models used can often be represented
mathematically, but sometimes computer-based,
visual or verbal representations are used.

3. MANAGEMENT SCIENCE

4. Business managers can make informed decisions only when they have
access to scientifically acquired knowledge. To gain such knowledge,
practitioners of management science undertake the major steps
of scientific inquiry:
 identify the issue or problem
 formulate a hypothesis (theory) about possible solutions to the
problem
 construct appropriate models to test the hypothesis
 collect and analyze the results of the tests
 determine the best way to resolve the issue or address the problem
based on the final results.

5. HISTORY
 Its origins can be traced to operations research,
which made its debut during World War II when the
Allied forces recruited scientists of various
disciplines to assist with military operations. In
these early applications, the scientists utilized
simple mathematical models to make efficient use
of limited technologies and resources. The
application of these models within the corporate
sector became known as Management science.

6. FIELDS
Fields that are enclosed within Management Science include:
 Data mining
 Decision analysis
 Engineering
 Forecasting
 Game theory
 Industrial engineering
 Logistics
 Mathematical modeling
 Optimization
 Probability and statistics
 Project management
 Simulation
 Social network/Transportation forecasting models
 Supply chain management

7. DATA MINING
 Data mining (the analysis step of the "Knowledge
Discovery in Databases" process, or KDD), an
interdisciplinary subfield ofcomputer science, is the
computational process of discovering patterns in
large data sets involving methods at the
intersection of artificial intelligence, machine
learning, statistics, and database systems. The
overall goal of the data mining process is to extract
information from a data set and transform it into an
understandable structure for further use.

8. DECISION ANALYSIS (DA)
 Decision analysis (DA) is the discipline comprising
the philosophy, theory, methodology,
and professional practice necessary to address
important decisions in a formal manner.

9. ENGINEERING
 The creative application of scientific principles to
design or develop structures, machines, apparatus,
or manufacturing processes, or works utilizing them
singly or in combination; or to construct or operate
the same with full cognizance of their design; or to
forecast their behavior under specific operating
conditions; all as respects an intended function,
economics of operation or safety to life and
property.

10. FORECASTING
 Is the process of making statements about events
whose actual outcomes (typically) have not yet
been observed. A commonplace example might
be estimation of some variable of interest at some
specified future date. Prediction is a similar, but
more general term. Both might refer to formal
statistical methods employing time series, cross-
sectional or longitudinal data, or alternatively to less
formal judgmental methods.

11. GAME THEORY
 Is the study of strategic decision making.
Specifically, it is "the study of mathematical
models of conflict and cooperation between
intelligent rational decision-makers". An alternative
term suggested "as a more descriptive name for the
discipline" is interactive decision theory.
 - mainly used in economics, political science, and
psychology, as well as logic, computer science, and
biology

12. INDUSTRIAL ENGINEERING
 Is a branch of engineering which deals with the
optimization of complex processes or systems. It is
concerned with the development, improvement,
implementation of integrated systems of people,
money, knowledge, information, equipment, energy,
materials, analysis and synthesis, as well as the
mathematical, physical andsocial sciences together
with the principles and methods of engineering
design to specify, predict, and evaluate the results
to be obtained from such systems or processes.

13. LOGISTICS
 Is the management of the flow of goods between
the point of origin and the point of consumption in
order to meet some requirements, of customers or
corporations. The resources managed in logistics
can include physical items, such as food, materials,
animals, equipment and liquids, as well as abstract
items, such as time, information, particles, and
energy.

14. MATHEMATICAL MODEL
 Is a description of
a system using mathematical concepts and
language.

15. PROBABILITY AND STATISTICS
 Probability and statistics are two related but
separate academic disciplines. Statistical
analysis often uses probability distributions, and the
two topics are often studied together.
However, probability theory contains much that is
mostly of mathematical interest and not directly
relevant to statistics.

16. PROJECT MANAGEMENT
 Is the process and activity of planning, organizing,
motivating, and controlling resources, procedures
and protocols to achieve specific goals
in scientific or daily problems.

17. SIMULATION
 Is the imitation of the operation of a real-world
process or system over time. The act of simulating
something first requires that a model be developed;
this model represents the key characteristics or
behaviors/functions of the selected physical or
abstract system or process.

18. SUPPLY CHAIN MANAGEMENT (SCM)
 Is "the systemic, strategic coordination of the
traditional business functions and the tactics across
these business functions within a particular
company and across businesses within the supply
chain, for the purposes of improving the long-term
performance of the individual companies and the
supply chain as a whole.

19. APPLICATIONS OF MANAGEMENT SCIENCE
 Applications of management science are abundant in industry such
as airlines, manufacturing companies, service organizations, military
branches, and in government. The range of problems and issues to
which management science has contributed insights and solutions is
vast. It includes:
 scheduling airlines, both planes and crew,
 deciding the appropriate place to place new facilities such as a
warehouse or factory,
 managing the flow of water from reservoirs,
 identifying possible future development paths for parts of the
telecommunications industry,
 establishing the information needs and appropriate systems to
supply them within the health service, and
 Identifying and understanding the strategies adopted by companies
for their information systems.

20. CONTRIBUTION AND LIMITATIONS OF MANAGEMENT
SCIENCE THEORY
Contributions
 1. Management science theory has opened new
frontiers (ways) for managers.
 2. It provides manager, plenty of decision
making tools and techniques.
 3. Enhanced managerial understanding of
overall managerial process.

21. CONTRIBUTION AND LIMITATIONS OF
MANAGEMENT SCIENCE THEORY
Limitations
 1. It ignores the people relationship and non
quantifiable factors.
 2. It is useful in solving physical problems of
organization where measurement if difficult, it has no
application.
 3. It cannot account individual behavior and attitude.
 4. It ignores other managerial skills rather than
management science technique.
 5. It is useful but it cannot solve all problems.
 6. The quantitative models are not suitable for non
routine or unpredictable management decision.

22. MANAGEMENT SCIENCE JOURNAL
 A peer-reviewed academic journal that covers research on all aspects of
management related to strategy, entrepreneurship, innovation, information
technology, and organizations as well as all functional areas of business, such
as accounting, finance, marketing, and operations. It is published by the
Institute for Operations Research and the Management Sciences and was
established in 1954 by the Institute's precursor, The Institute of Management
Sciences.

23. HISTORY
 On December 1, 1953 at the founding meeting at Columbia
University, The Institute of Management Sciences was voted into
existence and William Cooper was elected as the first president.
Establishment of a journal, to be called Management Science, was
made the first order of business. Almost immediately after the
meeting, Cooper recruited C. West Churchman to be the founding
editor. Cooper, Churchman, and Abe Charnes then wrote the policy
statement for the journal. Within weeks Churchman had assembled
an editorial board and had the first issue ready for distribution at the
first membership meeting of the institute in October 1954.
 C. West Churchman quickly built Management Science, both in size
and reputation. By 1960 when he stepped down as editor, the journal
was publishing almost twice as many papers per year as it had in the
first volume. True to his vision, Churchman published papers
representing a wide range of disciplines, from optimization, inventory,
and game theory to management psychology, leadership, and the
epistemology of science.

24. PEOPLE INVOLVED IN MANAGEMENT SCIENCE

25. William C. Cooper

26. PEOPLE INVOLVED IN MANAGEMENT SCIENCE
 William W. Cooper
 William Wager Cooper (July 23, 1914 – June 20, 2012) was an American operations
researcher, known as a father of management science and as "Mr. Linear Programming".
He was the founding president of The Institute of Management Sciences, founding editor-
in-chief of Auditing: A Journal of Practice and Theory, a founding faculty member of the
Graduate School of Industrial Administration at the Carnegie Institute of Technology (now
the Tepper School of Business at Carnegie Mellon University), founding dean of the
School of Urban and Public Affairs (now the Heinz College) at CMU, the former Arthur
Lowes Dickinson Professor of Accounting at Harvard University, and the Foster Parker
Professor Emeritus of Management, Finance and Accounting at the University of Texas at
Austin.

27. RESEARCH
 Cooper's research has been characterized both by its
high volume and by the high diversity of its subjects,
which fall into three major areas: economics,
accounting, and management science and operations
research. He wrote or co-authored more than 500
research articles and wrote or edited 27 books, including
works on linear programming, non-linear programming,
goal programming, least absolute deviations and
fractional programming. His work moved business
education from a largely anecdotal field towards greater
interdisciplinarity and greater mathematical rigor. He
made many innovations in the design of organizations,
as well as applying mathematical optimization in such
applications as the application of antidiscriminatory
policies to the armed forces' management of personnel
and to resource allocation in advertising campaigns.

28. C. West Churchman

29.  Charles West Churchman (29 August 1913, Philadelphia – 21
March 2004, Bolinas, California) was an American philosopher and
systems scientist, who was Professor at the School of Business
Administration and Professor of Peace and Conflict Studies at the
University of California, Berkeley. He was internationally known for
his pioneering work in operations research, system analysis and
ethics.

30. WORK
 C. West Churchman was recruited by William C. Cooper to be the founding
editor. Cooper, Churchman, then wrote the policy statement for the journal.
Within weeks Churchman had assembled an editorial board and had the first
issue ready for distribution at the first membership meeting of the institute in
October 1954.
 C. West Churchman quickly built Management Science, both in size and
reputation. By 1960 when he stepped down as editor, the journal was
publishing almost twice as many papers per year as it had in the first volume.
True to his vision, Churchman published papers representing a wide range of
disciplines, from optimization, inventory, and game theory to management
psychology, leadership, and the epistemology of science.