ITEE ITEE-1 | Page 27

1-1-2 OR (Operations Research) and IE (Industrial Engineering) Reference OR “OR” is a set of scientific techniques for determining and implementing business plans in a corporation, which has emerged as a field of applied mathematics and computing. Drawing widely from techniques and tools of science, it is a method for analyzing the problems involved in a given task and discovering the optimal solution. Abbreviation for “Operations Research.” Reference IE “IE” is a method for streamlining the processes involved in “manufacturing”, “construction”, etc. More specifically, it uses a variety of methods to study the time involved in a task, to plan and manage daily schedules, to manage costs, etc. It is widely used on the production field as a technique for improving operations. Abbreviation for “Industrial Engineering.” “OR (Operations Research)” is a method for analyzing and solving problems that arise in business administration. “IE (Industrial Engineering),” Meanwhile, is a method for improving problems that arise in the production field or services. Because of the great impact that people, materials, money, and information have on the conduct of business activities, it is important to analyze, solve, and improve problems that arise at both the managerial level and the field level. 1 Understanding operations Various kinds of charts and diagrams are used in OR and IE to analyze, solve, and improve work issues. The followings are used to understand operations. Illustrating the flow of work Workflow Explicating the structure of problems Association diagram, tree diagram, affinity map Expressing relationships Matrix diagram, matrix data analysis Expressing trends over time Z graph Expressing distributions Distribution diagram, portfolio Used in planning and management Gantt chart ●Workflow A “workflow” shows tasks as linked chains of actions. Using a workflow makes it possible to recognize which department is carrying out what task, and what relationships there are between which departments. Customer Orders product Sales Receives order Books order Marketing 21 Accounting Checks inventory Requests product shipment Receives product Issues payment Warehouse Checks product Ships product Settles payment for product