Abstract
This paper provides valuable evidence concerning the use of small, simple models to represent complex systems. The focus is on linear programming planning models. The starting point is a large, detailed model which serves as a proxy for reality. From the large model, we derive a smaller one through aggregation. Through a process of calibration, we develop estimation models for determining the value of the detailed model objective function value from the aggregate model objective function value and a few additional explanatory variables. This overall procedure proves to be remarkably accurate.
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© 1993 Springer Science+Business Media New York
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Wagner, H.M., Vargas, V.A., Kathuria, N.N. (1993). The Accuracy of Aggregate LP Production Planning Models. In: Sarin, R.K. (eds) Perspectives in Operations Management. Springer, Boston, MA. https://doi.org/10.1007/978-1-4615-3166-1_19
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DOI: https://doi.org/10.1007/978-1-4615-3166-1_19
Publisher Name: Springer, Boston, MA
Print ISBN: 978-1-4613-6387-3
Online ISBN: 978-1-4615-3166-1
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