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Practical Management Science 5th

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To Mary, my wonderful wife, best friend, and constant companion
And to our Welsh Corgi, Bryn, who still just wants to play ball S.C.A.

To my wonderful family
Vivian, Jennifer, and Gregory W.L.W.

Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
About the Authors
S. Christian Albright got his B.S. degree in Mathematics from
Stanford in 1968 and his Ph.D. degree in Operations Research
from Stanford in 1972. Until his retirement in 2011, he taught in
the Operations & Decision Technologies Department in the Kelley
School of Business at Indiana University. His teaching included
courses in management science, computer simulation, and statis-
tics to all levels of business students: undergraduates, MBAs, and
doctoral students. He has published over 20 articles in leading
operations research journals in the area of applied probability,
and he has authored several books, including Practical Manage-
ment Science, Data Analysis and Decision Making, Data Analysis for Managers, Spread-
sheet Modeling and Applications, and VBA for Modelers. He jointly developed StatTools,
a statistical add-in for Excel, with the Palisade Corporation. In “retirement,” he continues
to revise his books, he works as a consultant for Palisade, and he has developed a commer-
cial product, ExcelNow!, an extension of the Excel tutorial that accompanies this book.
On the personal side, Chris has been married to his wonderful wife Mary for
43 years. They have a special family in Philadelphia: their son Sam, his wife Lindsay,
and their two sons, Teddy and Archer. Chris has many interests outside the academic
area. They include activities with his family (especially traveling with Mary), going to
cultural events at Indiana University, power walking, and reading. And although he earns
his livelihood from statistics and management science, his real passion is for playing
classical music on the piano.

Wayne L. Winston is Professor Emeritus of Decision


Sciences at the Kelley School of Business at Indiana University
and is now a Professor of Decision and Information Sciences
at the Bauer College at the University of Houston. Winston
received his B.S. degree in mathematics from MIT and his
Ph.D. degree in operations research from Yale. He has written
the successful textbooks Operations Research: Applications
and Algorithms, Mathematical Programming: Applications
and Algorithms, Simulation Modeling with @Risk, Practical
Management Science, Data Analysis for Managers, Spreadsheet
Modeling and Applications, Mathletics, Data Analysis and Business Modeling with
Excel 2013, Marketing Analytics, and Financial Models Using Simulation and
Optimization. Winston has published over 20 articles in leading journals and has won
more than 45 teaching awards, including the school-wide MBA award six times. His
current interest is in showing how spreadsheet models can be used to solve business
problems in all disciplines, particularly in finance, sports, and marketing.
Wayne enjoys swimming and basketball, and his passion for trivia won him an
appearance several years ago on the television game show Jeopardy, where he won two
games. He is married to the lovely and talented Vivian. They have two children, Gregory
and Jennifer.

Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
Brief Contents
Preface xiii
1 Introduction to Modeling 1
2 Introduction to Spreadsheet Modeling 19
3 Introduction to Optimization Modeling 71
4 Linear Programming Models 135
5 Network Models 219
6 Optimization Models with Integer Variables 279
7 Nonlinear Optimization Models 341
8 Evolutionary Solver: An Alternative Optimization Procedure 409
9 Decision Making Under Uncertainty 467
10 Introduction to Simulation Modeling 525
11 Simulation Models 599
12 Inventory and Supply Chain Models 677
13 Queueing Models 735
14 Regression and Forecasting Models 785
References 847
Index 853

Online Chapters
15 Project Management 15-1
16 Multiobjective Decision Making 16-1

vii
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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
Contents
Preface xiii 3.3 A Two-Variable Product Mix Model 75
CHAPTER 1 Introduction to Modeling 1 3.4 Sensitivity Analysis 87
1.1 Introduction 3 3.5 Properties of Linear Models 97
1.2 A Capital Budgeting Example 3 3.6 Infeasibility and Unboundedness 100
1.3 Modeling versus Models 6 3.7 A Larger Product Mix Model 103
1.4 A Seven-Step Modeling Process 7 3.8 A Multiperiod Production Model 111
1.5 A Great Source for Management Science 3.9 A Comparison of Algebraic
Applications: Interfaces 13 and Spreadsheet Models 120
1.6 Why Study Management Science? 13 3.10 A Decision Support System 121
1.7 Software Included with This Book 15 3.11 Conclusion 123
1.8 Conclusion 17 Appendix Information on Solvers 130
CASE 3.1 Shelby Shelving 131
CHAPTER 2 Introduction to Spreadsheet CASE 3.2 Sonoma Valley Wines 133
Modeling 19
2.1 Introduction 20 CHAPTER 4 Linear Programming Models 135
2.2 Basic Spreadsheet Modeling: 4.1Introduction 136
Concepts and Best Practices 21 4.2Advertising Models 137
2.3 Cost Projections 25 4.3Employee Scheduling Models 147
2.4 Breakeven Analysis 31 4.4Aggregate Planning Models 155
2.5 Ordering with Quantity Discounts 4.5Blending Models 166
and Demand Uncertainty 39 4.6Production Process Models 174
2.6 Estimating the Relationship between 4.7Financial Models 179
Price and Demand 44
4.8Data Envelopment Analysis (Dea) 191
2.7 Decisions Involving the Time Value of
4.9Conclusion 198
Money 54
CASE 4.1 Blending Aviation Gasoline at Jansen
2.8 Conclusion 59
Gas 214
Appendix Tips for Editing and
CASE 4.2 Delinquent Accounts at GE
Documenting Spreadsheets 64
Capital 216
CASE 2.1 Project Selection at Ewing Natural
CASE 4.3 Foreign Currency Trading 217
Gas 66
CASE 2.2 New Product Introduction at eTech 68
CHAPTER 5 Network Models 219
CHAPTER 3 Introduction to Optimization 5.1 Introduction 220
Modeling 71 5.2 Transportation Models 221
3.1 Introduction 72 5.3 Assignment Models 233
3.2 Introduction to Optimization 73 5.4 Other Logistics Models 240

ix
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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
5.5 Shortest Path Models 249 8.3Introduction to Evolutionary Solver 414
5.6 Network Models in the Airline Industry 258 8.4Nonlinear Pricing Models 419
5.7 Conclusion 267 8.5Combinatorial Models 426
CASE 5.1 International Textile Company, 8.6Fitting an S-Shaped Curve 437
Ltd. 274 8.7Portfolio Optimization 441
CASE 5.2 Optimized Motor Carrier Selection at 8.8Cluster Analysis 445
Westvaco 276 8.9Discriminant Analysis 450
CHAPTER 6 Optimization Models with Integer 8.10
The Traveling Salesperson Problem 455
Variables 279 8.11
Conclusion 459
6.1 Introduction 280 CASE 8.1 Assigning MBA Students to Teams 464
6.2 Overview of Optimization with Integer CASE 8.2 Project Selection at Ewing Natural
Variables 281 Gas 465
6.3 Capital Budgeting Models 285
6.4 Fixed-Cost Models 292
CHAPTER 9 Decision Making Under
Uncertainty 467
6.5 Set-Covering and Location-Assignment
Models 305 9.1Introduction 468
6.6 Cutting Stock Models 322 9.2Elements of Decision Analysis 470
6.7 Conclusion 326 9.3One-Stage Decision Problems 477
9.4The PrecisionTree Add-In 481
CASE 6.1 Giant Motor Company 336
9.5Multistage Decision Problems 484
CASE 6.2 Selecting Telecommunication Carriers to
Obtain Volume Discounts 338 9.6The Role of Risk Aversion 502
CASE 6.3 Project Selection at Ewing Natural 9.7Conclusion 509
Gas 339 CASE 9.1 Jogger Shoe Company 520
CASE 9.2 Westhouser Paper Company 521
CHAPTER 7 Nonlinear Optimization Models 341
CASE 9.3 Electronic Timing System for
7.1Introduction 342
Olympics 522
7.2Basic Ideas of Nonlinear Optimization 343
CASE 9.4 Developing a Helicopter Component for
7.3Pricing Models 349 the Army 523
7.4Advertising Response and Selection Models 367
7.5Facility Location Models 376 CHAPTER 10 Introduction to Simulation
7.6Models for Rating Sports Teams 380 Modeling 525
7.7Portfolio Optimization Models 386 10.1 Introduction 526
7.8Estimating the Beta of a Stock 396 10.2 Probability Distributions for Input
7.9Conclusion 400 Variables 528
CASE 7.1 GMS Stock Hedging 407 10.3 Simulation and the Flaw of
Averages 547
CHAPTER 8 Evolutionary Solver: An Alternative 10.4 Simulation with Built-In Excel Tools 550
Optimization Procedure 409 10.5 Introduction to @Risk 561
8.1 Introduction 410 10.6 The Effects of Input Distributions on
8.2 Introduction to Genetic Algorithms 413 Results 578

x Contents
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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
10.7 Conclusion 587 13.5 Analytic Steady-State Queueing Models 748
Appendix Learning More about @Risk 593 13.6 Queueing Simulation Models 767
CASE 10.1 Ski Jacket Production 594 13.7 Conclusion 777
CASE 10.2 Ebony Bath Soap 595 CASE 13.1 Catalog Company Phone Orders 781
CASE 10.3 Advertising Effectiveness 596 CASE 13.2 Pacific National Bank 783
CASE 10.4 New Product Introduction at
CHAPTER 14 Regression and Forecasting
eTech 598
Models 785
CHAPTER 11 Simulation Models 599 14.1
Introduction 786
11.1 Introduction 601 14.2
Overview of Regression Models 787
11.2 Operations Models 601 14.3
Simple Regression Models 791
11.3 Financial Models 617 14.4
Multiple Regression Models 805
11.4 Marketing Models 641 14.5
Overview of Time Series Models 817
11.5 Simulating Games of Chance 656 14.6
Moving Averages Models 818
11.6 Conclusion 662 Exponential Smoothing Models 824
14.7
Appendix Other Palisade Tools for Simulation 672 14.8
Conclusion 836
CASE 11.1 College Fund Investment 674 CASE 14.1 Demand for French Bread at Howie’s
CASE 11.2 Bond Investment Strategy 675 Bakery 843
CASE 11.3 Project Selection at Ewing Natural CASE 14.2 Forecasting Overhead at Wagner
Gas 676 Printers 844
CASE 14.3 Arrivals at the Credit Union 845
CHAPTER 12 Inventory and Supply Chain
Models 677
Online Chapters
12.1 Introduction 678
12.2 Categories of Inventory and Supply Chain CHAPTER 15 Project Management 15-1
Models 679 15.1 Introduction 15-2
12.3 Types of Costs in Inventory and Supply Chain 15.2 The Basic Cpm Model 15-4
Models 681 15.3 Modeling Allocation of Resources 15-14
12.4 Economic Order Quantity (Eoq) 15.4 Models with Uncertain Activity Times 15-30
Models 682 15.5 A Brief Look at Microsoft Project 15-35
12.5 Probabilistic Inventory Models 697 15.6 Conclusion 15-39
12.6 Ordering Simulation Models 710
12.7 Supply Chain Models 716 CHAPTER 16 Multiobjective Decision Making 16-1
12.8 Conclusion 726 16.1 Introduction 16-2
16.2 Goal Programming 16-3
CASE 12.1 Subway Token Hoarding 733
16.3 Pareto Optimality and Trade-Off Curves 16-12
CHAPTER 13 Queueing Models 735 16.4 The Analytic Hierarchy Process (Ahp) 16-20
13.1 Introduction 736 16.5 Conclusion 16-25
13.2 Elements of Queueing Models 738
13.3 The Exponential Distribution 741 References 847
13.4 Important Queueing Relationships 746 Index 853

Contents xi
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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
Preface
Practical Management Science provides a spreadsheet- ■ Integrate Modeling with Finance, Marketing,
based, example-driven approach to management and Operations Management. We integrate
science. Our initial objective in writing the book was to modeling into all functional areas of business.
reverse negative attitudes about the course by making This is an important feature because the majority
the subject relevant to students. We intended to do this of business students major in finance and
by imparting valuable modeling skills that students can marketing. Almost all competing textbooks
appreciate and take with them into their careers. We are emphasize operations management–related
very gratified by the success of the first four editions. examples. Although these examples are
The book has exceeded our initial objectives. We are important, and many are included in the book,
especially pleased to hear about the success of the book the application of modeling to problems in
at many other colleges and universities around the finance and marketing is too important to ignore.
world. The acceptance and excitement that has been Throughout the book, we use real examples from
generated has motivated us to revise the book and make all functional areas of business to illustrate the
the fifth edition even better. power of spreadsheet modeling to all of these
When we wrote the first edition, management areas. At Indiana University, this has led to the
science courses were regarded as irrelevant or development of two advanced MBA electives
uninteresting to many business students, and the use of in finance and marketing that build upon the
spreadsheets in management science was in its early content in this book. The ­inside front cover of
stages of development. Much has changed since the the book illustrates the ­integrative applications
first edition was published in 1996, and we believe that contained in the book.
these changes are for the better. We have learned a lot ■ Teach Modeling, Not Just Models. Poor ­attitudes
about the best practices of spreadsheet modeling for among students in past management science
clarity and communication. We have also developed courses can be attributed to the way in which they
better ways of teaching the materials, and we were taught: emphasis on algebraic formulations
understand more about where students tend to have and memorization of models. ­Students gain more
difficulty with the concepts. Finally, we have had insight into the power of management science by
the opportunity to teach this material at several developing skills in modeling. Throughout the
Fortune 500 companies (including Eli Lilly, Price book, we stress the logic associated with model
Waterhouse Coopers, General Motors, Tomkins, development, and we discuss solutions in this
Microsoft, and Intel). These companies, through their context. Because real problems and real models
enthusiastic support, have further enhanced the often include limitations or alternatives, we
realism of the examples included in this book. include many “Modeling Issues” sections to
Our objective in writing the first edition was very discuss these important matters. Finally, we
simple—we wanted to make management science include “Modeling Problems” in most chapters to
relevant and practical to students and professionals. help develop these skills.
This book continues to distinguish itself in the market
■ Provide Numerous Problems and Cases.
in four fundamental ways:
Whereas all textbooks contain problem sets for
■ Teach by Example. The best way to learn students to practice, we have carefully and
modeling concepts is by working through judiciously crafted the problems and cases
examples and solving an abundance of problems. contained in this book. Each chapter contains
This active learning approach is not new, but our four types of problems: Level A Problems,
text has more fully developed this approach than Level B Problems, Modeling Problems, and
any book in the field. The feedback we have Cases. Most of the problems following sections
received from many of you has confirmed the of chapters ask students to extend the examples
success of this pedagogical approach for in the preceding section. The end-of-chapter
management science. problems then ask students to explore new

xiii
Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
models. Selected solutions are available to ■ Chapter 9, Decision Making under Uncertainty,
students who purchase the Student Solution Files has been rewritten completely. Now, a single
online and are denoted by the second-color “new product decisions” example is developed
numbering of the problem. Solutions for all of and extended throughout the chapter to promote
the problems and cases are provided to adopting continuity.
instructors. In addition, shell files (templates) are ■ Several out-of-date cases have been removed,
available for most of the problems for adopting and they have been replaced by new cases.
instructors. The shell files contain the basic Specifically, the two (new) cases in Chapter 2
structure of the problem with the relevant extend over several chapters.
formulas omitted. By adding or omitting hints in
■ Chapter 16, Multiobjective Decision Making, is
individual solutions, instructors can tailor these
located online only. It has been rewritten to be
shell files to best meet the individual/specific
more conceptual. In particular, the section on AHP
needs of their students.
no longer contains the step-by-step spreadsheet
details. (We believe these details distract from an
New to the Fifth Edition understanding of the basic procedure.)
The main reason for the fifth edition was the ■ To help students learn, we created tutorial
introduction of Excel 2013. Admittedly, this is not videos that explain concepts and work through
really a game changer, but it does provide new features examples. Students can access the videos for
that ought to be addressed. In addition, once we were free on the textbook companion Web site. A
motivated by Excel 2013 to revise the book, we complete list of videos is available on the Web
saw the possibility for many other changes that will site and video icons appear in the margins of the
hopefully improve the book. Important changes to the textbook next to relevant topics.
fifth edition include the following:
Student Web Site
■ The book is now entirely geared to Excel 2013.
In particular, all screenshots are from this newest For all purchasing options, please go to CengageBrain.
version of Excel. However, the changes are not com or contact your local Learning Consultant. These
dramatic, and users of Excel 2010 and even Excel include the student problem files, example files, case
2007 should have no trouble following. Also, files, the Excel tutorial, SolverTable, Chapter 15,
the latest changes in the accompanying @RISK, Chapter 16, and the new tutorial videos. The link to
PrecisionTree, and StatTools add-ins have been Palisade’s software can also be found on this Web site.
incorporated into the text.
■ In the optimization and simulation chapters, it Software
has always been difficult for many students to We continue to be very excited about offering
go from a verbal description of a problem to an the most comprehensive suite of software ever
eventual spreadsheet model. In this edition, we available with a management science textbook. The
include “big picture” diagrams of the model that commercial value of the software available with
will hopefully act as a bridge from the verbal this text exceeds $1,000 if purchased directly. This
description to the spreadsheet model. These software is available free with new copies of the fifth
diagrams have been created from the latest edition. The following Palisade software is available
add-in in the Palisade DecisionTools Suite, from www.cengagebrain.com.
the BigPicture add-in. Users of the book have
access to BigPicture, just like @RISK and the
■ Palisade’s DecisionTools™ Suite, including the
other Palisade add-ins.(At production time, the award-winning @RISK, PrecisionTree,
BigPicture add-in had not yet been released to StatTools, TopRank, NeuralTools, Evolver,
the public. But it will be available to users as and BigPicture. This software is not available
soon as it is released.) with any competing textbook and comes in an
educational version that is only slightly scaled
■ In addition to the “big picture” diagrams, many down from the expensive commercial version.
videos have been developed to explain important (StatTools replaces Albright’s StatPro add-in
concepts and examples. These are available to all that came with the second edition. If you are
users. interested, StatPro is still freely available from

xiv Preface
Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
http://www.kelley.iu.edu/albrightbooks.) For are available in Excel format. Students can purchase an
more information about the Palisade Corporation instant access code online at www.cengagebrain.com
and the DecisionTools Suite, visit Palisade’s to access the files. In the search window of this Web
Web site at http://www.palisade.com. site, type in the ISBN for the Instant Access Code
■ To make sensitivity analysis for optimization (9781305250925) and press Enter. Students can then
models useful and intuitive, we continue to purchase access to the files as a study tool.
provide Albright’s SolverTable add-in (which
is also freely available from http://www.kelley. Companion VBA Book
iu.edu/albrightbooks). SolverTable provides data
Soon after the first edition appeared, we began using
table–like sensitivity output for optimization
Visual Basic for Applications (VBA), the program­
models that is easy to interpret.
ming language for Excel, in some of our management
Example Files, Data Sets, Problem Files, science courses. VBA allows you to develop decision
and Cases support systems around the spreadsheet models. (An
example appears at the end of Chapter 3.) This use of
Also on the student Web site are the Excel files for VBA has been popular with our students, and many
all of the examples in the book, as well as many instructors have expressed interest in learning how to
data files required for problems and cases. As in do it. For additional support on this topic, a companion
previous editions, there are two versions of the example book, VBA for Modelers, 4e (ISBN 9781133190875) is
files: a completed version and a template to get students available. It assumes no prior experience in computer
started. Because this book is so example- and problem- programming, but it progresses rather quickly to the
oriented, these files are absolutely essential. There development of interesting and nontrivial applications.
are also a few extra example files, in Extra Examples The fifth edition of Practical Manage­ment Science
folders, that are available to instructors and students. depends in no way on this companion VBA book, but
These extras extend the book examples in various ways. we encourage instructors to incorporate some VBA
into their management science courses. This is not
Ancillaries only fun, but students quickly learn to appreciate its
power. If you are interested in adopting VBA for Modelers,
Instructor Materials
contact your local Cengage Learning representative.
Adopting instructors can obtain all resources online.
Please go to http://login.cengage.com to access the Acknowledgments
following resources:
This book has gone through several stages of reviews,
■ PMS5e Problem Database.xlsx file, which and it is a much better product because of them. The
contains information about all problems in the majority of the reviewers’ suggestions were very good
book and the correspondence between them and ones, and we have attempted to incorporate them. We
those in the previous edition would like to extend our appreciation to:
■ Solution files (in Excel format) for all of the Mohammad Ahmadi, University of Tennessee at
problems and cases in the book and solution Chattanooga
shells (templates) for selected problems Ehsan Elahi, University of Massachusetts–Boston
■ PowerPoint® presentation files Kathryn Ernstberger, Indiana University Southeast
■ Test Bank in Word format and now also in the Levon R. Hayrapetyan, Houston Baptist University
online testing service, Cognero Bradley Miller, University of Houston
Sal Agnihothri, Binghamton University, SUNY
Albright also maintains his own Web site at Ekundayo Shittu, The George Washington University
http://www.kelley.iu.edu/albrightbooks. Among other Yuri Yatsenko, Houston Baptist University
things, the instructor Web site includes errata for each We would also like to thank three special
edition. people. First, we want to thank our original editor Curt
Hinrichs. Curt’s vision was largely responsible for the
Student Solutions success of the early editions of Practical Management
Student Solutions for many of the problems (indicated Science. Second, we were then lucky to move from one
in the text with a colored box on the problem number) great editor to another in Charles McCormick. Charles

Preface xv
Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
is a consummate professional. He was both patient and
thorough, and his experience in the publishing
business ensured that the tradition Curt started was
carried on. Third, after Charles’s retirement, we were
fortunate to be assigned to one more great editor,
Aaron Arnsparger, for the current edition. We hope to
continue working with Aaron far into the future.
We would also enjoy hearing from you—we can
be reached by e-mail. And please visit either of the
following Web sites for more information and
occasional updates:
■ http://www.kelley.iu.edu/albrightbooks

■ www.cengagebrain.com

Wayne L. Winston ([email protected])


S. Christian Albright ([email protected])
Bloomington, Indiana

xvi Preface
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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
Practical Management Science

Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
CHAPTER

1 Introduction to Modeling

©michaeljung/Shutterstock.com
BUSINESS ANALYTICS PROVIDES INSIGHTS
AND IMPROVES PERFORMANCE

T his book is all about using quantitative modeling to help companies


make better decisions and improve performance. We have been teach-
ing management science for decades, and companies have been using
the management science methods discussed in this book for decades to
improve performance and save millions of dollars. Indeed, the applied
journal Interfaces, discussed later in this chapter, has chronicled management
science success stories for years. Therefore, we were a bit surprised when
a brand new term, Business Analytics (BA), became hugely popular several
years ago. All of a sudden, BA promised to be the road to success. By using
quantitative BA methods—data analysis, optimization, simulation, prediction,
and others—companies could drastically improve business performance.
Haven’t those of us in management science been doing this for years? What
is different about BA that has made it so popular, both in the academic
world and even more so in the business world?
The truth is that BA does use the same quantitative methods that have
been the hallmark of management science for years, the same methods
you will learn in this book. BA has not all of a sudden invented brand new
quantitative methods to eclipse traditional management science methods.
The main difference is that BA uses big data to solve business problems and
provide insights. Companies now have access to huge sources of data, and

1
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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
the technology is now available to use huge data sets for statistical and quantitative
analysis, predictive modeling, optimization, and simulation. In short, the same
quantitative methods that have been available for years can now be even more effective
by utilizing big data and the corresponding technology.
For a quick introduction to BA, you should visit the BA Wikipedia site (search
the Web for “business analytics”). Among other things, it lists areas where BA plays a
prominent role, including the following: retail sales analytics; financial services analytics;
risk and credit analytics; marketing analytics; pricing analytics; supply chain analytics; and
transportation analytics. If you glance through the examples and problems in this book,
you will see that most of them come from these same areas. Again, the difference is that
we use relatively small data sets to get you started—we do not want to overwhelm you
with gigabytes of data—whereas real applications of BA use huge data sets to advantage.
A more extensive discussion of BA can be found in the Fall 2011 research report,
Analytics: The Widening Divide, published in the MIT Sloan Management Review in collabo-
ration with IBM, a key developer of BA software (search the Web for the article’s title).
This 22-page article discusses what BA is and provides several case studies. In addition,
it lists three key competencies people need to compete successfully in the BA world—
and hopefully you will be one of these people.
Competency
■  1: Information management skills to manage the data. This
competency involves expertise in a variety of techniques for managing data. Given
the key role of data in BA methods, data quality is extremely important. With data
coming from a number of disparate sources, both internal and external to an orga-
nization, achieving data quality is no small feat.
Competency 2: Analytics skills and tools to understand the data. We
■ 
were not surprised, but rather very happy, to see this competency listed among the
requirements because these skills are exactly the skills we cover throughout this
book—optimization with advanced quantitative algorithms, simulation, and others.
Competency 3: Data-oriented culture to act on the data. This refers to the
■ 
culture within the organization. Everyone involved, especially top management, must
believe strongly in fact-based decisions arrived at using analytical methods.
The article argues persuasively that the companies that have these competencies
and have embraced BA have a distinct competitive advantage over companies that are
just starting to use BA methods or are not using them at all. This explains the title of the
article. The gap between companies that embrace BA and those that do not will only
widen in the future.
One final note about the relationship between BA and management science is that,
at the time this book was being revised (Winter 2014), a special issue of the journal
Management Science was about to be published. The entire focus of this special issue is
on BA. The following is an excerpt from the Call for Papers for this issue (search the
Web for “management science business analytics special issue”).
“We envision business analytics applied to many domains, including, but surely not
limited to: digital market design and operation; network and social-graph analysis; pricing
and revenue management; targeted marketing and customer relationship management;
fraud and security; sports and entertainment; retailing to healthcare to financial services
to many other industries. We seek novel modeling and empirical work which includes,
among others, probability modeling, structural empirical models, and/or optimization
methods.”
This is even more confirmation of the tight relationship between BA and manage-
ment science. As you study this book, you will see examples of most of the topics listed
in this quote. ■

2 Chapter 1 Introduction to Modeling


Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
1.1 INTRODUCTION
The purpose of this book is to expose you to a variety of problems that have been solved suc-
cessfully with management science methods and to give you experience in modeling these
problems in the Excel spreadsheet package. The subject of management science has evolved
for more than 60 years and is now a mature field within the broad category of applied math-
ematics. This book emphasizes both the applied and mathematical aspects of management
science. Beginning in this chapter and continuing throughout the rest of the book, we discuss
many successful management science applications, where teams of highly trained people have
implemented solutions to the problems faced by major companies and have saved these com-
panies millions of dollars. Many airlines, banks, and oil companies, for example, could hardly
operate as they do today without the support of management science. In this book, we will lead
you through the solution procedure for many interesting and realistic problems, and you will
experience firsthand what is required to solve these problems successfully. Because we recog-
nize that most of you are not highly trained in mathematics, we use Excel spreadsheets to solve
problems, which makes the quantitative analysis much more understandable and intuitive.
The key to virtually every management science application is a mathematical model.
In simple terms, a mathematical model is a quantitative representation, or idealization, of
a real problem. This representation might be phrased in terms of mathematical expressions
(equations and inequalities) or as a series of related cells in a spreadsheet. We prefer the lat-
ter, especially for teaching purposes, and we concentrate primarily on spreadsheet models
in this book. However, in either case, the purpose of a mathematical model is to represent
the essence of a problem in a concise form. This has several advantages. First, it enables
managers to understand the problem better. In particular, the model helps to define the
scope of the problem, the possible solutions, and the data requirements. Second, it allows
analysts to use a variety of the mathematical solution procedures that have been developed
over the past half century. These solution procedures are often computer-intensive, but
with today’s cheap and abundant computing power, they are usually feasible. F ­ inally, the
modeling process itself, if done correctly, often helps to “sell” the solution to the people
who must work with the system that is eventually implemented.
In this introductory chapter, we begin by discussing a relatively simple example of a
mathematical model. Then we discuss the distinction between modeling and a collection
of models. Next, we discuss a seven-step modeling process that can be used, in essence if
not in strict conformance, in most successful management science applications. Finally, we
discuss why the study of management science is valuable, not only to large corporations,
but also to students like you who are about to enter the business world.

1.2 A Capital Budgeting EXAMPLE


As indicated earlier, a mathematical model is a set of mathematical relationships that represent,
or approximate, a real situation. Models that simply describe a situation are called descriptive
models. Other models that suggest a desirable course of action are called ­optimization
models. To get started, consider the following simple example of a mathematical model. It
begins as a descriptive model, but it then becomes an optimization model.

A Descriptive Model
A company faces capital budgeting decisions. (This model is discussed in detail in
Chapter 6.). There are seven potential investments. Each has an investment cost and a
corresponding stream of cash flows (including the investment cost) summarized by a net

1.2 A Capital Budgeting Example 3


Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
A B C D E F G H
Figure 1.1
1 Capital budgeting model
Costs and NPVs for 2
Capital Budgeting 3 Input data on potential investments ($ millions)
Model 4 Investment 1 2 3 4 5 6 7
5 Cost $5.0 $2.4 $3.5 $5.9 $6.9 $4.5 $3.0
6 NPV $5.6 $2.7 $3.9 $6.8 $7.7 $5.1 $3.3
7 ROI 12.0% 12.5% 11.4% 15.3% 11.6% 13.3% 10.0%

present value (NPV). These are listed in Figure 1.1. Row 7 also lists the return on invest-
ment (ROI) for each investment, the ratio of NPV to cost, minus 1.
The company must decide which of these seven investments to make. There are two
constraints that affect the decisions. First, each investment is an all-or-nothing decision.
The company either invests entirely in an investment, or it ignores the investment
completely. It is not possible to go part way, incurring a fraction of the cost and receiving
a fraction of the revenues. Second, the company is limited by a budget of $15 million. The
total cost of the investments it chooses cannot exceed this budget. With these constraints in
mind, the company wants to choose the investments that maximize the total NPV.
A descriptive model can take at least two forms. One form is to show all of the elements
of the problem in a diagram, as in Figure 1.2. This method, which will be used extensively in
later chapters, helps the company to visualize the problem and to better understand how the
elements of the problem are related. Our conventions are to use red ovals for decisions, blue
rectangles for given inputs, yellow rounded rectangles for calculations, and gray-bordered rect-
angles for objectives to optimize. (These colors are visible when you open the files in Excel.)
Although the diagram in Figure 1.2 helps the company visualize the problem, it does
not provide any numeric information. This can be accomplished with the second descriptive
form of the model in Figure 1.3. Any set of potential decisions, 0/1 values, can be entered
in row 10 to indicate which of the investments are undertaken. Then simple Excel formulas
that relate the decisions to the inputs in rows 5 and 6 can be used to calculate the total invest-
ment cost and the total NPV in cells B14 and B17. For example, the formula in cell B14 is
=SUMPRODUCT(B5:H5,B10:H10)
(If you don’t already know Excel’s SUMPRODUCT function, you will learn it in the next
chapter and then use it extensively in later chapters.) The company can use this model to inves-
tigate various decisions. For example, the current set of decisions looks good in terms of total
NPV, but it is well over budget. By trying other sets of 0/1 values in row 10, the company can
play “what-if” to attempt to find a good set of decisions that stays within budget.
Because there are two possible values for each cell in row 10, 0 or 1, there are 27 5 128
possible sets of decisions, some of which will be within the budget and some of which
will be over the budget. This is not a huge number, so the company could potentially try
each of these to find the optimal investment strategy. However, you can probably see that

Whether to Investment cost


Figure 1.2 invest
Relationships
among Elements of
Total cost of
the Model investments
<= Budget

Maximize
Investment NPV
total NPV

4 Chapter 1 Introduction to Modeling


Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
Another random document with
no related content on Scribd:
(1875.0)
No. Class Description
α δ
1 0ᴴ 56ᵐ 35.1ˢ +31°36′39″ f pF, R, 20″d, *14m 20″p.
2 39.3 31 38 24 e F, R, 20″d, *12m 20″n.
3 49.0 31 22 14 h₀ F, mE110°, 60″l.
4 0 57 5.7 32 4 12 e eF, st. *13m 30″np.
5 54.5 32 17 41 e vF, R, 25″d, *14m 30″sf.
6 0 58 8.9 32 8 33 e vF, R, 25″d, *9 1′nf.
7 22.3 31 33 12 e eF st.
8 41.8 31 45 33 f pF, R, S, Δ2 faint*, bM.
9 42.7 31 17 58 f pF, st. 2*13, 14 1.5′p.
10 54.7 31 16 30 g F, cE0°, 30″l.
11 58.0 31 43 5 g F, cE130°, 30″l, bM.
12 59.7 32 5 33 e vF, R, 30″d.
13 0 59 13.9 31 56 21 f vF, st. *16m40″sf.
14 28.2 31 31 43 f vF, st. *15m 1.5′f.
15 51.6 32 33 48 g vF, E140°, 45″l.
16 58.2 32 1 58 f vF, E60°, 20″l 3f*.
17 58.8 31 41 27 f eF, eS.
18 1 0 0.7 31 54 35 e F, st.
19 3.6 31 18 39 e vF, st. d. nuc.
20 6.4 31 29 19 e vF, 1E, 20″l.
21 8.2 31 42 16 e vF, st.
22 10.9 31 43 12 h vF, E90°, 1′l.
23 15.0 32 24 1 e eF, eS 2*10, 11m1′nf.
24 18.9 31 30 22 g vF, cE, S, *15m40″s.
25 22.0 31 1 42 e vF, st.
26 22.1 32 22 51 e eF, R, 30″d, *12m1.5′nf.
27 22.9 31 31 29 f FcE60°1′l, *16m40″np.
28 25.0 31 45 17 f eF, E, eS.
29 29.0 31 54 48 h₀ Fv, mE160°, 40″l*13m1′s.
30 33.3 31 54 41 e eF, E, eS.
(1875.0)
No. Class Description
α δ
31 39.3 31 25 23 h F, mE130°, 1′l.
32 43.2 32 17 18 e vF, R, 40″d, *14m30″s.
33 59.1 31 35 14 g eF, eS, st.
34 1 1 3.5 32 38 9 e vF, cE40°*11m1′nf.
35 11.3 31 13 16 h₀ vF, 310°, 1′l.
36 19.6 31 47 9 f F, S, E60°, *14m1′s.
37 24.5 31 25 17 f F, st. *14m1′np.
38 27.8 31 52 56 f eF, vS, *15m20″p.
39 32.7 31 45 48 e eF, st. in line with 2f*.
40 50.3 31 45 57 e eF, iR, *14m1′s.
41 58.8 31 25 54 e pF, R, 25″d. no nuc.
42 1 2 5.5 31 34 21 e vF, st. *10m20″s.
43 20.4 31 29 4 e vF, R, 45″d. no nuc.
44 22.3 31 18 42 f F, st. and sev f*.
45 26.4 32 3 22 e vF, st. *11m20″s.
46 32.0 32 6 19 e eF, iR*14m30″sf.
47 39.7 31 30 21 g vF, cE80°, S.
48 48.5 31 47 5 f F, st. *15m1′nf.
49 49.0 31 41 39 f eF, vS, *15m30″f.
50 49.8 31 57 3 f eF, st. *14m1′np.
51 1 3 5.3 31 42 7 f vF, st. 2*14m1′f.
52 8.0 32 14 51 e eF, st.
53 26.4 31 43 18 f vF, st. Δ2vF*.
54 37.6 31 30 51 f eF, st. bet. 2*.
55 57.6 31 55 41 f eF, st. *12m15″p.
56 1 4 16.4 32 2 9 f vF, st. bet. 2*.
57 1 5 1.6 31 48 22 e eF, st. *12m1′s.

Nebulae Previously Known in Field I


N.G.C.
370 0ᴴ 59ᵐ 51.6ˢ +31°44′55″ g vF, S, cE20°* 14m30″s.
N.G.C.
374 1 0 12.5 32 7 35 g₀ pB, mE10°bet. 2*13m.
376 14.3 31 40 43 f vF.
379 22.5 31 51 8 g₀ pB, cE 0°, 60″×30″.
380 24.5 31 48 53 e pB, R, 40″d.
382 30.9 31 44 8 f pB, R, 20″d.
383 32.0 31 44 38 e pB, R, 1'd bM.
384 32.2 31 37 26 g₀ pB, cE135°, 30″l.
385 34.3 31 39 4 f pB, R, 40″d.
386 38.3 31 41 35 f pF, st.
388 54.2 31 38 28 f F, st.
392 1 1 29.1 32 27 59 f pF, R, 30″d bM, *11m1′ sp.
394 31.6 32 28 50 f F, st.
397 36.4 32 26 32 f vF, st.
398 1 2 0.0 31 50 50 f F, st.
399 5.2 31 58 1 g₀ F E50° 40″l.
403 20.0 32 5 9 k pB, mE90°, 60″×20″.

387 1 0 40.1 31 43 23 f vF, eS, st.

I.C.
1618 0 59 3.4 31 44 31 g₀ pF, cE, 150° 25″l, bM.
1619 1 0 28.6 32 23 57 f pF, st. bet. 2*11, 12m.
N.G.C. 379 and 372 are probably the same object, with α of 370,
and δ the mean of the two N.G.C. positions. There is no other
object in the immediate vicinity.
400
401 Faint stars in these positions; no nebulae near.
402
390, Faint star, 16m. in this position. No trace of a nebula.

TABLE X
Field II of Nebulae
(1875.0)
No. Class Description
α δ
1 1ᴴ 39ᵐ 32.1ˢ +31°52′58″ f F, S.
2 41.7 32 46 3 e eF, pS.
(1875.0)
No. Class Description
α δ
3 43.4 32 4 25 d eeF, S.
4 46.7 31 29 2 f vF, S.
5 50.4 32 7 35 e eF, pS.
6 55.6 31 24 29 e eF, eS.
7 59.0 32 10 21 f vF, vS.
8 1 40 27.5 31 24 17 h₀ eeF, S.
9 48.3 31 30 29 e eeF, vS.
10 50.4 31 37 46 e eeF, vS.
11 1 41 5.6 31 44 9 e eF, S.
12 8.9 31 55 48 e vF, vS.
13 9.4 31 59 34 f vF, pS.
14 20.2 31 53 23 e eF, vS.
15 32.6 32 20 2 f vF, S.
16 37.1 31 55 40 e eF, vS.
17 47.6 32 16 38 f eF, vS.
18 51.5 31 55 50 e eeF, S.
19 1 42 0.5 31 56 38 e eeeF S.
20 0.8 32 28 25 f vF, S.
21 15.8 32 11 28 g eF, 30″l.
22 16.4 31 52 43 e eeF, eS.
23 21.1 31 55 41 e eeF, eS.
24 23.5 31 57 24 f F, S.
25 31.5 32 0 9 g vF, S.
26 37.8 32 42 19 e eeF, S.
27 41.4 32 34 24 e eeF, S.
28 43.5 31 29 20 f eeF, eS.
29 44.4 32 10 20 g pF, 30″l.
30 50.4 32 19 55 f vF, S.
31 50.9 32 47 16 e eF, S.
32 51.2 31 24 50 e eeF, eS.
(1875.0)
No. Class Description
α δ
33 58.0 32 0 4 e eeF, eS.
34 1 43 2.7 32 52 33 f eF, S.
35 5.3 31 51 52 e eeeF, eS.
36 7.0 31 48 17 f pF, S.
37 7.5 32 32 4 w eF,40″d.
38 7.7 31 56 36 f vF, vS.
39 8.6 31 54 15 e eeF, eS.
40 9.1 31 53 1 f eF, eS.
41 9.3 32 6 11 e eeF, vS.
42 12.0 31 52 35 f eeF, eS.
43 12.2 32 22 58 f eF, S.
44 13.1 31 51 39 h eeF, S.
45 13.2 31 59 34 e eeF, vS.
46 13.4 32 2 32 e eeF, eS.
47 17.9 31 57 14 f vF, vS.
48 19.6 32 25 39 f vF, vS.
49 20.7 31 50 3 h eeeF, S.
50 22.6 32 36 9 e eeF, vS.
51 22.6 31 49 17 e eeF, S.
52 23.8 31 47 57 e eeF, eS.
53 29.5 31 52 29 f vF, S.
54 30.5 32 27 43 f pF, pS.
55 37.6 31 53 20 e eF, eS.
56 39.0 31 56 43 f eF, eS.
57 39.2 32 28 21 f vF, S.
58 39.3 32 13 46 e eeF, vS.
59 39.9 31 53 5 e eeF, eS.
60 43.4 31 53 22 e eeF, eS.
61 46.8 31 52 18 f eeF, eS.
62 48.9 32 16 44 f eF, vS.
(1875.0)
No. Class Description
α δ
63 56.4 32 18 51 f eF, vS.
64 58.8 32 0 10 e eeeF, vS.
65 1 44 0.7 32 27 29 e eeF, vS.
66 0.8 32 9 58 e eeF, eS.
67 1.9 32 0 17 f vF, vS.
68 4.0 32 29 4 e eeeF, S.
69 8.4 32 24 6 e eF, vS.
70 11.3 32 24 47 f F, pS.
71 14.9 32 12 48 e eeF, vS.
72 20.7 32 25 54 f vF, S.
73 24.6 32 4 37 f eeF, eS.
74 24.6 32 9 38 f eF, eS.
75 34.9 32 5 34 f eeF, eS.
76 43.5 32 27 34 e eeF, pS.
77 47.5 31 33 13 f eF, eS.
78 52.7 32 24 24 e eF, vS.
79 56.0 32 14 24 e eeeF, vS.
80 57.4 32 4 2 e eeF, S.
81 1 46 28.6 31 22 2 f eeF, eS.

Nebulae Previously Known in Field II


I.C.
1733 1ᴴ 43ᵐ 25.6ˢ +31°56′40″ f vF, eS.
1735 35.5 31 55 32 c vF nuc., iR eeF neb.,60″d.

1 42 20.4 31 57 55 q 270″×30″. Found visually by


Barnard. Not catalogued.

TABLE XI
Field III of Nebulae
(1875.0)
No. Class Description
α δ
1 10ᴴ 59ᵐ 59.4ˢ +29°22′40″ e eeF, 25″d.
2 11 0 2.1 29 23 37 e 35″d.
3 14.7 29 46 56 e eF, 30″d.
4 22.0 29 15 59 e vF, 20″d.
5 23.5 29 5 59 f eF, 30″d.
6 25.8 29 27 21 f vF, 30″d.
7 42.5 28 39 11 e ef, 15″d.
8 56.1 29 20 10 d eeF, 30″d.
9 11 1 1.0 28 51 3 e eF, 20″d.
10 5.2 29 10 31 e eF, 25″d.
11 19.5 29 22 46 e eeF, 15″d.
12 22.4 28 39 12 w eF, 30″d, open spiral.
13 23.9 29 12 21 e vF, 25″d.
14 24.8 29 19 4 h₀ eeF, E165°, 35″×10″
15 27.3 29 32 18 d eeF, 15″d.
16 28.4 29 5 32 e vF, 30″d.
17 28.4 29 12 58 d eF, 20″d.
18 29.2 29 31 11 e eF, 15″d.
19 32.3 29 6 30 h₀ eeF, 3160°.
20 36.6 29 17 52 d eeF, 20″ d, some structure.
21 38.6 29 17 13 f eF, 20″d.
22 53.4 29 19 33 e eF, E60°, 30″×15″.
23 56.6 29 54 3 d eF, 30″d.
24 11 2 2.2 29 36 46 d eeF, 15″d.
25 5.7 29 50 3 w eeF, 45″d, open spiral.
26 17.2 28 57 27 e eF, 20″d.
27 24.0 28 45 9 g eF, E160°, 40″×20″.
28 30.3 29 33 6 e eeF, 10″d.
29 36.0 31 14 51 e vF, 25″d.
30 36.4 29 43 59 e eeF, 10″d.
(1875.0)
No. Class Description
α δ
31 37.9 29 24 6 d eeF, 20″d.
32 38.7 29 26 44 e eeF, 15″d.
33 38.8 29 44 12 e eeF, 15″d.
34 39.8 29 20 17 e eeF, 15″d.
35 40.3 29 54 55 e eeF, 15″d.
36 41.2 29 27 20 w eeF, nuc. 10″d, ring, 30″d.
37 41.4 28 55 57 e eF, 15″d.
38 42.8 29 23 45 d vF, 15″d.
39 44.9 29 23 51 e eF, 10″d.
40 47.3 29 18 17 k vF, E150°, 45″×15″.
41 48.0 29 43 23 g₀ eeF, E40°, 20″×10″.
42 48.3 29 21 21 e eF, 15″d.
43 54.0 29 21 19 g₀ eF, 30″×10″.
44 55.7 29 35 33 e F, 20″d.
45 56.6 28 55 41 e eF, 35″d.
46 58.2 29 13 50 g eeF, E50°, 30″×10″.
47 11 3 4.1 29 10 39 a eeF, 15″d, structure.
48 4.3 29 38 56 g₀ eeF, E80°, 20″×10″.
49 21.6 29 1 14 d eF, 15″d.
50 22.6 29 18 15 d eeF, 20″d.
51 23.4 29 17 21 e vF, 20″d.
52 23.6 29 39 35 e eF, 20″d.
53 24.3 29 40 11 e eeF, 20″d.
54 27.9 29 9 3 f eF, 15″d.
55 28.6 30 7 9 f eeF, 30″d.
56 28.7 29 0 47 d eeF, 15″d.
57 30.1 28 49 9 e eeF, 20″d.
58 31.4 29 43 22 e F, 15″d.
59 31.5 29 28 6 e eF, 15″d.
60 32.5 29 14 55 e eF, 15″d.
(1875.0)
No. Class Description
α δ
61 33.4 28 57 49 e eF, 15″d.
62 35.8 29 18 9 f vF, 20″d.
63 38.5 29 23 55 e eeF, 10″d.
64 39.6 29 23 9 a? eF, 35″×25″. E35°,
a miniature Dumb-bell.
65 39.7 29 25 39 e eeeF, 10″d.
66 40.1 29 25 48 e eeeF, 10″d.
67 40.3 29 23 57 e eeF, 10″d.
68 41.3 29 21 55 g₀ eF, E110°, 30″*10″.
69 41.9 29 22 21 e eF, 20″d.
70 43.7 30 7 14 e eeF, 20″d.
71 44.7 29 22 38 e eeF, 20″d.
72 46.2 29 28 7 f eF, 20″d.
73 46.4 29 30 25 d eF, 15″d.
74 49.8 29 22 46 d eeF, 20″d.
75 51.6 29 22 53 e eeF, 10″d.
76 52.4 29 22 34 e eeF, 15″d.
77 52.9 29 43 59 e eeF, 20″d.
78 53.6 28 59 39 e F, 35″d.
79 54.5 29 26 1 d eeF, 20″d.
80 54.7 29 23 5 e eeF, 20″d.
81 55.1 29 21 50 e eF, 15″d.
82 56.7 29 26 22 e eeF, 15″d, E50°.
83 56.9 29 34 40 e eF, 15″d.
84 57.5 29 16 59 e eF, double nebula,
nuc. 4″ apart.
85 57.6 29 8 7 e eF, 30″d.
86 57.7 29 27 19 h₀ eeF, E140°, 15″×5″.
87 11 4 0.8 29 17 51 e eeF, 10″d.
88 1.0 28 56 28 e eeF, 20″d.
(1875.0)
No. Class Description
α δ
89 1.4 29 22 15 e eF, 15″d.
90 1.4 29 39 5 e eeF, 15″d.
91 1.8 28 57 21 e vF, 30″d.
92 3.4 29 27 26 e eF, 10″d.
93 3.7 29 29 10 e eeF, 20″d.
94 2.7 29 20 17 e vF, 20″d.
95 3.8 29 2 9 e eeF, iR.
96 4.4 29 27 33 e eF, 10″d.
97 5.7 29 28 23 e eeF, 15″d, faint extensions.
98 5.8 30 14 51 e eF, st.
99 6.9 29 22 50 e eF, 15″d.
100 7.6 28 56 51 h₀ eeF, E25°, 30″×10″.
101 9.4 29 14 23 e eeF, 15″d.
102 9.9 29 29 29 d eeF, 10″d.
103 10.0 28 53 55 e? eeF, faint extensions
60″×40″?
104 10.1 30 0 27 d eF, 30″d.
105 10.6 29 8 48 g₀ eF, E145°, spiral, 40″×20″.
106 12.8 29 28 58 h eeeF, 20″×10″.
107 13.4 29 23 15 e eeF, 15″d.
108 13.5 29 21 19 g₀ eeF, E125°, 25″×15″.
109 13.8 29 47 14 d eeF, 20″d.
110 14.2 30 0 57 k eF, E40°, 34″×20″.
111 14.4 29 25 24 e eF, 15″d.
112 15.6 29 29 36 d eeeF, 10″d.
113 18.6 28 55 56 e eeF, 15″d.
114 20.2 28 53 6 f eeF, 20″d.
115 22.8 28 54 6 e eeF, 20″d.
116 27.9 29 23 25 f eF, 35″d.
117 27.9 29 26 40 e? eeF, 60″×40″, spiral?
(1875.0)
No. Class Description
α δ
118 28.4 29 22 31 e eF, 45″d.
119 28.6 29 21 58 d eeF, 15″d.
120 28.6 29 25 18 e eeF, 10″d.
121 30.2 29 37 42 e eeF, 15″d.
122 32.0 29 25 37 d eeF, 15″d.
123 34.4 29 21 33 e eF, 20″d.
124 34.9 29 42 1 e eF, 20″d.
125 35.5 29 12 10 e eeF, 10″d.
126 36.0 29 21 0 e eF, E60°, 20″×15″.
127 37.0 29 27 7 d eeeF, 15″d.
128 38.5 28 56 22 e eF, st.
129 39.4 29 24 33 f vF, 25″d.
130 40.2 29 12 57 e eeF, 15″d.
131 41.8 29 27 40 g eeF, E95°, 20″ × 10″.
132 46.8 29 19 18 g eeF, 30″ × 15″.
133 47.9 29 31 9 d eeF, 10″d.
134 49.3 29 26 1 f eF, 15″d.
135 49.9 29 29 19 e eeF, 10″d.
136 49.9 29 14 45 e eeF, 15″d.
137 50.5 29 25 27 e eF, 30″d.
138 51.5 29 22 55 e eF, 10″d.
139 52.7 29 23 21 e eF, 10″d.
140 54.1 29 29 57 e eeF, 15″d.
141 11 5 3.0 28 56 43 e vF, 30″d.
142 4.7 29 16 36 e eF, 15″d.
143 6.8 29 15 53 e eeF, 20″d.
144 7.6 28 53 4 d eeF, 15″d.
145 11.6 29 38 5 e eeF, 20″d.
146 12.3 29 10 1 d eF, 20″d.
147 13.5 30 9 30 d eF, 20″d.
(1875.0)
No. Class Description
α δ
148 14.4 30 6 28 e eF, 20″d.
149 14.7 29 20 38 w eF, 25″d, spiral.
150 15.6 29 8 19 d eeeF, 15″d.
151 17.1 29 29 16 e eF, 20″d.
152 19.4 29 10 52 g vF, E40°, 50″ × 20″.
153 34.3 29 25 10 d eeF, 30″d.
154 35.5 29 15 0 e eeF, 30″d.
155 43.6 28 57 24 e eF, 40″d.
156 49.2 28 42 34 f eF, st.
157 51.3 28 43 12 e eeF, 30″d.
158 59.6 28 57 38 e eeF, 30″d.
159 11 6 6.9 28 44 55 d eeF, 30″d.
160 9.7 29 29 30 d eeeF, 20″d.
161 10.6 28 40 46 e eF, 30″d.
162 11.8 29 4 8 f vF, st.
163 12.8 30 11 16 e eeF, 10″d.
164 17.5 29 25 47 e eF, 15″d.
165 23.2 28 43 55 f eeF, 20″d.
166 24.9 28 39 40 e eeF, 30″d.
167 27.8 28 41 26 e eeF, 30″d.
168 29.0 28 56 22 e eeF, 20″d.
169 40.9 29 20 27 d eeeF, 20″d.
170 37.7 28 33 23 d eeeF, 15″d.
171 42.7 29 37 59 e eeF, 20″d.
172 44.2 29 5 13 d eeeF, 15″d.
173 50.6 29 18 31 e eeF, 20″d.
174 11 7 11.1 28 32 54 d eeF, 20″d.
175 14.9 30 14 45 e eF, 20″d.
176 19.2 29 18 25 h eeeF, 30″×10″.
177 27.1 29 6 26 f eF, 20″d.
(1875.0)
No. Class Description
α δ
178 32.9 28 51 30 e eF, 30″d.

Nebulae Previously Known in Field III


N.G.C.
3527 11ᴴ 0ᵐ 31.4ˢ +29°12′ 6″ f vF, 35″d.
3536 11 2 5.3 29 9 5 e F, 40″d.
3539 22.9 29 20 56 g₀ F, E5°, 60″×20″.
3550 11 3 53.5 29 26 47 pB, eccentric nuc., 35″ × 25″.
3552 11 3 52.2 29 24 38 e F, 20″d.
3554 11 3 57.7 29 22 15 e vF, 25″d.
3558 11 4 10.9 29 13 17 f vF, 15″d, with what appears
to be a faint ring 50″ in d.
3561 11 4 28.4 29 22 31 e eF, 45″d.

TABLE XII
Field IV of Nebulae [10]
(1875.0)
No. Class Description
α δ
1 13ᴴ 32ᵐ 33.0ˢ +56°18′28″ e F, eS, *15m10″n.
2 13 33 0.4 56 49 46 e eeF, pS.
3 16.0 55 49 23 e eF, S.
4 41.7 57 9 1 e eF, S.
5 55.6 56 5 4 e vF, eS.
6 56.9 56 6 15 e eF, S.
7 13 34 9.1 55 50 46 e eeF, eS.
8 11.3 56 32 8 f eF, eS.
9 25.9 56 29 14 f eF, eS.
10 56.6 56 42 36 e eF, vS.
11 57.7 57 0 46 f eF, vS.
12 13 35 4.9 56 45 21 h eeF, S.
13 49.8 56 13 38 h vF, S.
(1875.0)
No. Class Description
α δ
14 52.0 56 52 58 e eF, cS.
15 53.1 56 3 25 e eeF, eS.
16 13 36 20.1 55 50 25 e eeF, eS.
17 29.1 56 51 25 e eF, S.
18 33.1 55 49 59 e eeF, eS.
19 33.2 56 43 54 f eF, eS.
20 38.6 55 46 18 e eeF, eS.
21 39.0 56 18 33 h F, 30″l.
22 41.0 56 12 2 d eeF, S.
23 43.7 56 42 11 e eeF, S, *15m10″s.
24 46.2 56 48 12 e eF, cL.
25 49.7 56 41 26 f eF, S.
26 53.6 56 48 57 e eeF, eS.
27 55.7 56 27 19 h eeF, S.
28 56.1 56 40 17 e eeF, S.
29 13 37 7.2 56 4 29 f vF, S.
30 11.6 55 46 36 e eeF, eS.
31 19.0 56 24 54 e eF, S.
32 20.2 56 26 51 f eeF, vS.
33 35.5 57 7 6 e eF, cS.
34 46.0 56 5 6 f eeF, S.
35 54.0 56 10 12 h eeF, S.
36 58.2 56 9 31 h eeF, S.
37 13 38 4.3 56 7 32 f eeF, S.
38 9.8 56 7 11 f eeF, eS.
39 15.8 56 13 9 e eeF, eS.
40 17.1 56 13 57 f eF, vS.
41 29.1 56 16 49 e eF, S.
42 35.2 56 15 5 h eF, vS.
43 35.4 56 13 55 h eeF, eS.
(1875.0)
No. Class Description
α δ
44 37.3 56 14 41 f eF, vS.
45 47.3 56 41 19 e eeF, cS.
46 52.8 55 35 23 e eeF, eS.
47 56.4 56 12 58 f eF, vS.
48 13 39 6.9 56 15 45 e eeF, eS.
49 7.9 56 16 31 h eF, vS.
50 8.1 56 5 45 f vF, S.
51 9.2 56 11 45 e eeF, eS.
52 9.4 55 56 14 e eeF, eS.
53 13.3 56 16 32 f eeF, vS.
54 17.6 56 10 33 e eeF, eS.
55 19.8 56 10 50 e eeF, eS.
56 23.0 56 11 40 e eF, eS.
57 25.1 56 16 43 e eeF, eS.
58 30.3 56 26 49 f eF, eS.
59 31.6 56 20 3 e eeF, S.
60 45.1 56 29 5 f eF, vS.
61 45.7 56 34 46 e eeF, S.
62 54.2 56 15 18 e eeF, eS.
63 13 40 3.2 56 37 22 e eeF, eS.
64 5.9 56 30 56 e eeF, eS.
65 5.9 56 30 29 h eeF, 30″l.
66 27.2 56 6 27 e eeF, vS.
67 13 41 27.2 56 20 38 e eF, 60″d.
68 38.8 55 47 15 e eF, eS.
69 47.4 55 44 54 f eF, vS.
70 13 42 40.2 56 15 54 e eeF, S.

Nebulae Previously Known in Field IV


N.G.C.
5278 13ᴴ 36ᵐ 59.45ˢ +56°18′3.8″
N.G.C.
5279 37 3.72 56 18 14.5
5294 40 39.7 55 55 2 f eF, S, *15m1′np.

N.G.C. 5278 and 5279 form a double nebula, somewhat


similar to Messier 51. 5278 is the nucleus and 5279 is at the
tail of the arm. The spiral apparently has but one branch.

TABLE XIII
Field V of Nebulae
(1875.0)
No. Class Description
α δ
1 14ᴴ 53ᵐ 52.5ˢ +23°10′16″ e eF, S, R.
2 54.5 23 57 39 e vF, R, 20″d, *18m40″nf.
3 14 54 56.2 23 53 37 g eF, S, m3. *16m1′.np.
4 58.1 23 16 56 e vF, pS, iR.
5 14 55 6.7 23 24 32 f eF, S.
6 16.2 24 5 30 f F, S, *17m30″n.
7 31.4 24 6 9 w F, 30″d. Spiral.
8 35.9 23 58 27 g vF, mE, 40″l, bet. 2*.
9 37.3 24 12 53 e eF, eS.
10 14 56 13.7 23 52 21 g F, E, spiral?
11 17.7 24 2 30 g F, E180°.
12 26.3 24 0 51 h₀ vF, S, iR.
13 27.0 24 9 28 g F, vS, E.
14 28.6 23 23 8 e vF, S, R, 15″d, no nuc.
15 30.0 23 54 53 e vF, vS, R.
16 32.6 24 2 47 f eF, vS.
17 46.4 24 3 54 e eF, S, iR.
18 47.8 24 36 4 e vF, S, iR.
19 51.2 23 40 4 e vF, vS.
20 56.0 23 51 10 e eF, vS, R.
21 58.7 23 49 12 f eF, vS, R.
(1875.0)
No. Class Description
α δ
22 58.7 23 50 14 e eF, eS, R.
23 59.0 23 51 41 g eF, S, IE.
24 14 57 4.3 23 51 51 e eF, S.
25 4.3 23 52 8 f eF, E.
26 6.1 24 5 56 f F, bet. 2*14, 15m.
27 8.4 23 47 22 g eF, cS, iR.
28 8.9 24 16 59 e eF, S.
29 10.3 23 50 31 e eF, S.
30 11.3 23 46 44 e eF, S.
31 11.8 23 49 57 e eF, S.
32 13.6 23 53 2 h eF, S.
33 18.8 23 44 22 g eF, S.
34 24.1 23 42 42 e eF, cS, iR.
35 24.3 24 4 40 e eF, S, iR.
36 26.8 23 45 2 e eF, vS ,iR.
37 35.9 24 6 37 e eF, S.
38 41.7 24 35 7 f eF, S.
39 43.0 23 24 38 e vF, R, 30″d, no nuc.
40 51.7 24 0 48 g eF, vS, Δ with 2*14 and 16m.
41 14 58 0.6 23 18 4 c vF, 25″d, spiral?
42 6.8 23 11 21 g F, cL, mE180°, 80″×15″.
43 18.5 23 26 30 g eF, S, 20″d.
44 19.8 23 21 55 f vF, R? 60″d.
45 25.9 23 25 35 e eF, S, R, 20″d.
46 48.4 23 40 57 g eF, cS, mE.
47 54.7 23 54 12 e F, mE 180°.
48 14 59 56.8 24 10 32 e vF, S, iR, bM.
49 15 0 7.2 23 52 11 e eF, S, iR.

Nebulae Previously Known in Field V


N.G.C.
5829 14ᴴ 57ᵐ 9.6ˢ +23°49′29″ w open 2br, spiral.

I.C.
4526 14 57 5.9 23 50 31 e pB, R, 18″d.
4532 59 21.7 23 44 43 e pB, S, E.

I.C. 4526 is connected with N.G.C. 5829. The two form


a double nebula fashioned as a miniature of Messier 51.

TABLE XIV
Field VI of Nebulae
(1875.0)
No. Class Description
α δ
1 17ᴴ 8ᵐ 16.7ˢ +44° 5′35″ f vF, vS, *13m, 1′f.
2 29.9 43 26 6 f vF, vS, st.
3 35.2 43 23 8 g eF, E 60°, *13m40″sp.
4 52.6 42 57 44 f F, S, st.
5 17 9 2.6 44 18 28 e vF, vS, *16m, 40″s.
6 14.2 44 16 11 e eF, S, *16m, 40″f.
7 17.5 43 50 51 f vF, sharp nuc. 30″d.
8 33.2 43 2 38 e F, pS, *17m, 1′n.
9 35.1 44 2 54 e F, vS, *15m, 30″f.
10 41.1 43 38 39 g₀ pF, S, mE, 60°*14m, 30″p.
11 53.8 43 52 2 e vF, vS, *17m, 40″n.
12 17 10 3.4 44 12 35 f eF, eS, *16m, 30″n.
13 23.3 43 49 32 e vF, vS, bet. 2 vf*.
14 25.5 43 43 7 f vF, vS.
15 29.1 43 44 48 e vF, vS.
16 33.0 44 4 43 g vF, S.
17 37.7 44 5 32 e eF, vS.
18 39.0 43 42 38 g vF, eS, *16m, 40″sf.
19 40.2 44 5 20 h eF, vS.
(1875.0)
No. Class Description
α δ
20 46.7 43 51 14 f vF, vS, *16m, 40″sf.
21 52.8 43 33 9 f vF, S, *16m, 40″sf.
22 55.7 44 4 8 g F, cE 70°, *14m, 40″n.
23 17 11 16.3 43 10 57 f vF, S.
24 25.9 43 25 48 f pF, S, *16m, 40″f.
25 33.9 43 47 21 g vF, vs, cE 160°, *15m, 40″np.
26 36.7 43 42 51 h₀ vF, S, cE 120°, faint nuc.
27 43.0 43 53 35 g₀ pF, S, cE 20°, *14m, 1.5′np.
28 45.7 43 55 42 f F, vS, *15m, 40″nf.
29 48.6 43 58 50 e vF, S *13m, 1.5′n.
30 57.1 44 8 50 e eF, es.
31 57.8 44 8 6 e eF, S.
32 57.9 43 44 57 e vF, vS, *15m, 30″f.
33 17 12 13.3 44 2 16 e F, eS, *12m, 1′n.
34 26.2 44 12 21 e F, eS.
35 37.2 44 12 12 e F, eS, Δ with 2*12m.
36 38.4 43 28 52 f pF, vS, *1.5′s.
37 40.9 43 54 40 h₀ eF, cE 150°, no nuc.
38 44.9 43 45 22 e vF, vS, Δ with 2*16m.
39 50.6 43 39 48 f vF, eS, Δ with 2 f*.
40 51.0 43 48 16 e vF, vS, *16m, 40″nf.
41 17 13 4.9 43 36 37 e eF, vS, *15m, 20″s.
42 27.2 43 40 39 e vF, vS.
43 39.2 43 44 19 e vF, S.

Nebulae Previously Known in Field VI


N.G.C.
6323 17ᴴ 9ᵐ 30.6ˢ +43°55′42″ i pF, mE, ns, 40″l.
6329 17 10 27.3 43 49 40 f pF, pL, slE.
6332 17 11 15.2 43 48 5 g₀ pF, pL, E 45°.
6336 17 12 30.0 43 55 35 v pF, open spiral, 45″d.
N.G.C.

I.C.
4645 17 10 53.0 +43°14′40″ e vF, pS, Δ with 2 faint*.

N.G.C. 6327 is on the plate but was not measured.

TABLE XV
Field VII of Nebulae
(1875.0)
No. Class Description
α δ
1 23ᴴ 10ᵐ 25.7ˢ +8°13′28″ f st. 14m.
2 23 11 19.4 7 34 13 e F, S, *17m30″s.
3 39.3 7 45 26 d vF, R, no nuc., 16m45″ np.
4 47.3 7 3 55 f eF, S, R, no nuc.
5 23 12 23.1 7 18 20 c vF, st. nuc. with ring 45″d.
6 42.2 6 45 7 d eF, S, R, no nuc.
7 51.1 7 2 10 q F, 1bM, mE100°, 100, ×20″.
8 23 13 17.2 7 24 12 h₀ vF, S, 1E50°*14m30″p.
9 19.4 7 34 51 q F, sharp nuc., mE70°, 80″×20″.
10 29.9 7 31 15 f F, S, E150°.
11 33.6 8 6 51 d eF, pS, R.
12 35.4 7 52 39 g pF, bM, mE150° 40″l.
13 41.6 7 32 2 g eF, vS.
14 41.6 7 18 13 e vF, vS, Δ2 faint *.
15 49.1 7 2 16 e vF, S, Δ2 faint *.
16 52.7 7 14 52 h F, sharp nuc. vmE20°90″×15″.
17 56.6 7 19 16 e eF, pL, no nuc.
18 23 14 2.4 6 51 8 f F, S, R, *14m90″n.
19 2.9 7 38 55 f F, S, R, bM.
20 18.4 7 42 40 f F, S, bM.
21 24.4 7 45 35 e eF, vS, *16m30″s.

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