Occupation Profile for Operations Research Analysts

Formulate and apply mathematical modeling and other optimizing methods using a computer to develop and interpret information that assists management with decision making, policy formulation, or other managerial functions. May develop related software, service, or products. Frequently concentrates on collecting and analyzing data and developing decision support software. May develop and supply optimal time, cost, or logistics networks for program evaluation, review, or implementation.

Signficant Points

• While a bachelor’s degree is the minimum requirement, employers generally prefer applicants with at least a master’s degree in operations research or a closely related field.
• Computer programming skills and keeping up to date with technological advances and improvements in analytical methods are essential.
• Employment growth is projected to be as fast as the average for all occupations.
• Individuals with a master’s or Ph.D. degree in operations research or a closely related subject should find opportunities in a number of occupations that use their computer, mathematical, and problem-solving skills.

Overview

Sample Job Titles

Training

• These occupations often involve coordinating, training, supervising, or managing the activities of others to accomplish goals. Very advanced communication and organizational skills are required. Examples include librarians, lawyers, aerospace engineers, physicists, school psychologists, and surgeons.
• A bachelor's degree is the minimum formal education required for these occupations. However, many also require graduate school. For example, they may require a master's degree, and some require a Ph.D., M.D., or J.D. (law degree).
• Extensive skill, knowledge, and experience are needed for these occupations. Many require more than five years of experience. For example, surgeons must complete four years of college and an additional five to seven years of specialized medical training to be able to do their job.
• Employees may need some on-the-job training, but most of these occupations assume that the person will already have the required skills, knowledge, work-related experience, and/or training.

A college degree in operations research generally is required. Computer programming skills are essential.

Education and training. Employers generally prefer applicants with at least a master’s degree in operations research or a closely related field—such as computer science, engineering, business, mathematics, information systems, or management science—coupled with a bachelor’s degree in computer science or a quantitative discipline such as economics, mathematics, or statistics. Dual graduate degrees in operations research and computer science are especially attractive to employers. There are more than 130 programs in operations research and related studies in colleges and universities across the United States.

Continuing education is important for operations research analysts. Keeping up to date with technological advances and improvements in analytical methods is vital for maintaining their problem-solving skills.

Other qualifications. Computers are the most important tools used by operations research analysts, so analysts must have training and experience in programming. Analysts typically also need to be proficient in database collection and management, and the development and use of sophisticated software packages.

Operations research analysts must be able to think logically, work well with people, and write and speak well.

Advancement. Beginning analysts usually perform routine work under the supervision of more experienced analysts. As novices gain knowledge and experience, they are assigned more complex tasks and are given greater autonomy to design models and solve problems.

Operations research analysts can advance by becoming technical specialists or supervisors on more complicated projects. Analysts also gain valuable insights into the industry where they work and may assume higher level managerial or administrative positions. Operations research analysts with significant experience or expertise may become consultants, and some open their own consulting practices.

Nature of Work

Operations research and management science are terms that are used interchangeably to describe the discipline of using advanced analytical techniques to make better decisions and to solve problems. The procedures of operations research were first formalized by the military. They have been used in wartime to effectively deploy radar, search for enemy submarines, and get supplies to where they are most needed. In peacetime and in private enterprises, operations research is used in planning business ventures and analyzing options by using statistical analysis, data and computer modeling, linear programming, and other mathematical techniques.

Large organizations are very complex. They must effectively manage money, materials, equipment, and people. Operations research analysts find better ways to coordinate these elements by applying analytical methods from mathematics, science, and engineering. Analysts often find many possible solutions for meeting the goals of a project. These potential solutions are presented to managers, who choose the course of action that they think best.

Operations research analysts are often involved in top-level strategizing, planning, and forecasting. They help to allocate resources, measure performance, schedule, design production facilities and systems, manage the supply chain, set prices, coordinate transportation and distribution, or analyze large databases.

The duties of the operations research analyst vary according to the structure and management of the organization they are assisting. Some firms centralize operations research in one department; others use operations research in each division. Operations research analysts also may work closely with senior managers to identify and solve a variety of problems. Analysts often have one area of specialization, such as working in the transportation or the financial services industry.

Operations research analysts start a project by listening to managers describe a problem. Then, analysts ask questions and formally define the problem. For example, an operations research analyst for an auto manufacturer may be asked to determine the best inventory level for each of the parts needed on a production line and to ascertain the optimal number of windshields to be kept in stock. Too many windshields would be wasteful and expensive, whereas too few could halt production.

Analysts would study the problem, breaking it into its components. Then they would gather information from a variety of sources. To determine the optimal inventory, operations research analysts might talk with engineers about production levels, discuss purchasing arrangements with buyers, and examine storage-cost data provided by the accounting department.

Relevant information in hand, the analysts determine the most appropriate analytical technique. Techniques used may include a Monte Carlo simulation, linear and nonlinear programming, dynamic programming, queuing and other stochastic-process models, Markov decision processes, econometric methods, data envelopment analysis, neural networks, expert systems, decision analysis, and the analytic hierarchy process. Nearly all of these techniques involve the construction of a mathematical model that attempts to describe the system being studied. So, the problem of the windshields, for example, would be described as a set of equations that try to model real-world conditions.

The use of models enables the analyst to explicitly describe the different components and clarify the relationships among them. The descriptions can be altered to examine what may happen to the system under different circumstances. In most cases, a computer program is developed to numerically evaluate the model.

Usually the model chosen is modified and run repeatedly to obtain different solutions. A model for airline flight scheduling, for example, might stipulate such things as connecting cities, the amount of fuel required to fly the routes, projected levels of passenger demand, varying ticket and fuel prices, pilot scheduling, and maintenance costs. By assessing different possible schedules, the analyst is able to determine the best flight schedule consistent with particular assumptions.

Based on the results of the analysis, the operations research analyst presents recommendations to managers. The analyst may need to modify and rerun the computer program to consider different assumptions before presenting the final recommendation. Once managers reach a decision, the analyst usually works with others in the organization to ensure the plan’s successful implementation.

Work environment. Operations research analysts generally work regular hours in an office environment. However, because they work on projects that are of immediate interest to top managers, operations research analysts often are under pressure to meet deadlines and may work more than 40 hours a week.

Related Occupations

• Cost Estimators
• Compensation, Benefits, and Job Analysis Specialists
• Management Analysts
• Accountants
• Auditors
• Budget Analysts
• Mathematicians
• Statisticians
• Economists

Related Academic Programs

• Management Science, General.
• Management Sciences and Quantitative Methods, Other.
• Operations Research.