Engaging Students in Optimization Modeling: Gaining Business Disruption Insights

Abstract

How can students prepare for potential business disruptions? The approach shown in this paper uses optimization modeling with parametric sensitivity analysis and further broadens the search for insights with structural sensitivity analysis in a series of contextual exercises. The exercises prompt students to identify critical resources for business impact analysis by extending production planning to include scenario analyses and contingency considerations. During virtual office hours, one participant described the exercises in terms of a “mystery” to solve. For an open-ended contingency planning question, some participants even proposed new product design decisions. Upon conclusion of the study, 25 of the 28 participants recommended the exercises for future semesters.