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Freshman Seminar ieor 24: Introduction to Industrial Engineering and Operations Research


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Freshman Seminar

IEOR 24: Introduction to Industrial Engineering and Operations Research

Prof. Ken Goldberg



Notes on Week 5: The ORMS Major 9/23/09 by: Matan Mansoor
ORMS ADVISOR: Lee Schruben 4131 Etch. lees@berkeley.edu

-Consulting in over 40 industries

-Taught at Cornell for 15 years

-Health care, restaurants, manufacturing, emergency services experience

-Specialty in computer simulation



ORMS in Letters and Sciences

-Flexible (choose own concentration/specialty)

-Difficult to get in since it’s capped

-If double majoring, provides technical background

-Design own area in which to concentrate

-Accredited degree requiring classes in engineering

-Graduate with a Bachelor’s of Arts

-Advisor will check over courses to approve

-Distinguished major with good acceptance to MBA, Pre-Med, and Law programs

-As an ORMS major, can take almost same classes as IEOR

-Small program at a large university (gain benefits from both)
Principles of ORMS

-Model trade-offs

-Risk management

-Optimizing systems often designed by other engineers

-Systems are at a “society-scale”

-Systems may include transportation systems, airports, etc.

-Variety in the types of systems worked on throughout career

-Minimize cost and maximize profit

-Save time and manage queue -> serve more customers

-Improve customer service

-Market segmenting -> see if customer can generate profit

Typical Projects in ORMS

-Food processing

-Airlines (scheduling and facility design)

-Airports (baggage flow)

-Transportation systems

-Entertainment (Disney, Golf)


Ex. Golf

-$60 billion industry

-Get people through course quickly

-Increase throughput (+10-15%= millions of dollars)

-Holes are named so that people don’t necessarily go in same order

-Reduce wait time, more people play, more money made


-Prof. Leechman saved Samsung $1 billion with ORMS principles
Ex. General Mills

-Automated factory

-Weren’t making enough Cheerios

-Increase production

-To get more production, slow down factory

-Reliable machine when speed is slower (less breaking down)

-Bottlenecks and jams occurred when factory was working at full speed

-Had to shut off machines often

-Queues and back-ups were causing this to happen
Root cause of congestion is variability

-Freeway: if one person drives slower, can affect entire system

-Slowing down the factory makes output more reliable and accurate (less variability)

-Queues build up


Issues with ORMS

-Optimal situation may be unrealistic

-Solutions must be robust (able to handle random changes)
IEOR vs. ORMS

-IEOR is an accredited engineering degree

-IEOR is more generic, less flexible

-ORMS has an area of concentration

-IEOR majors will most likely specialize in a field in graduate school
Ex. Quarantine

-Issues associated with societal systems

-Quarantined cows and pigs

-Hog cholera can only be determined by killing it

-Mathematical model w/ probability

-No way to eradicate disease completely

-Mad cow disease affected humans
Ex. Media

-Simulations in video games

-Television spot market (bid wars)
Final Thoughts

-If you have a constraint and can remove it -> make system better



-Think about systems in a structured manner (risks etc.)






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