Now in its fourth edition, Powell and Baker’s Management Science: The Art of Modeling with Spreadsheets, 4th Edition provides students and business analysts with the technical knowledge and skill needed to develop real expertise in business modeling. In this book, the authors cover spreadsheet engineering, management science, and the modeling craft. Management Science, 4th Edition provides students and business analysts with the technical knowledge and skill needed to develop real expertise in business modeling. The authors cover spreadsheet engineering, management science, and the modeling craft. The text is designed to improve modeling efficiency and modeling effectiveness by focusing on the most important tasks and tools.
CHAPTER 1 INTRODUCTION 1
CHAPTER 2 MODELING IN A PROBLEM-SOLVING FRAMEWORK 15
CHAPTER 3 SPREADSHEET ENGINEERING 49
CHAPTER 4 ANALYSIS USING SPREADSHEETS 71
CHAPTER 5 DATA EXPLORATION AND PREPARATION 89
CHAPTER 6 CLASSIFICATION AND PREDICTION METHODS 117
CHAPTER 7 SHORT-TERM FORECASTING 167
CHAPTER 8 NONLINEAR OPTIMIZATION 187
CHAPTER 9 LINEAR OPTIMIZATION 219
CHAPTER 10 OPTIMIZATION OF NETWORK MODELS 257
CHAPTER 11 INTEGER OPTIMIZATION 289
CHAPTER 12 OPTIMIZATION OF NONSMOOTH MODELS 315
CHAPTER 13 DECISION ANALYSIS 337
CHAPTER 14 MONTE CARLO SIMULATION 363
CHAPTER 15 OPTIMIZATION IN SIMULATION 415
MODELING CASES 443
APPENDIX 1 459
APPENDIX 2 487
APPENDIX 3 495
- New coverage of data exploration and data mining, shifting focus from explanatory modeling to predictive modeling, and the modern emphasis on predictive performance using validation data.
- Updated content reflecting the latest version of Analytic Solver Platform throughout the book.
- The text has been streamlined so that it is adaptable to different uses: the treatment of basic Excel skills and Visual Basic for Applications are featured in separate appendices, and background material on basic probability and statistics are offered in two other appendices.
- Expanded coverage of data analysis.
- Access to spreadsheet files for all the models presented in the text.
- Access to Analytic Solver Platform for Education, an integrated software platform for sensitivity analysis, optimization, decision trees, data exploration and mining, and simulation.
- Focus on the three skill areas that a business analyst needs to become an effective modeler: spreadsheet engineering, management science, and modeling craft.