Details

Case

Educator Copy

Maqsood Sugar Farms

Usman Asad, Arif Iqbal Rana


INDUSTRY : Sugar

AREA : Production & Operation Management

ORGANIZATION : Maqsood Sugar Farms

LENGTH : 2

LUMS No : 03-823-2004-1

PUBLICATION YEAR : 2004

DESCRIPTION

KEYWORDS:

Maqsood Sugar Farms,Production,Operations Management,Sugar Cane Farmer,Harvesting,Timing,Risk,Sugar Prices,Structured Decision Making Process


DESCRIPTION:

This case concerns Maqsood Ahmed, a sugar cane farmer, who had to decide when to harvest his farm. He had the option of harvesting sugar cane in November with an opportunity to plant wheat as well or wait till April in anticipation of a rise in sugar prices as well as increase in yield? However there was a risk that sugar prices might actually not rise. This is an introductory case on ¿decision trees¿ tool that intends to highlight the importance of structured decision making process. 


LEARNING OBJECTIVES:

1) To introduce decision trees. 2) Using decision trees as a base, to perform value of perfect information analysis. 3) To highlight the importance of sensitivity analysiss in mathematical modelling.


SUBJECTS COVERED:

Production, Operations Management