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Robust Optimization for Performance-Based Budget Allocation at Payam Noor University

Received: 10 October 2016     Accepted: 12 November 2016     Published: 5 December 2016
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Abstract

Budget allocation is a central problem in universities and research centers. Recently, Payam Noor University (PNU) has used a performance-based approach to allocate budget between proposed projects. Mathematically speaking, this can be modeled as an optimization problem, but in practice the parameters of the problem are subject to uncertainty and are not well-known in advance. This paper uses robust optimization to deal with uncertainty in budget allocation and present numerical results. Our results demonstrate the performance of robust optimization as an effective way to address uncertainty in budget allocation.

Published in American Journal of Applied Mathematics (Volume 4, Issue 6)
DOI 10.11648/j.ajam.20160406.17
Page(s) 310-315
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2016. Published by Science Publishing Group

Keywords

Linear Programming, Robust Optimization, Uncertainty, Budget Allocation

References
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[2] Azar, A., Khadivar, A., Naseri, A., & Rostami, A. (2011). Robust mathematical modeling, new approach in Iran public budgeting. Journal of teacher humanities- management researches in Iran, 15, 1-19.
[3] Ben-Tal, A., Den Hertog, D., De Waegenaere, A., Melenberg, B., & Rennen, G.(2013). Robust solutions of optimization problems affected by uncertain probabilities. Management Science, 59, 341-357.
[4] Ben-Tal, A., Den Hertog, D., & Vial, J.-P. (2015). Deriving robust counterparts of nonlinear uncertain inequalities. Mathematical programming, 149, 265-299.
[5] Ben-Tal, A., & Nemirovski, A. (1998). Robust convex optimization, 23, 769-805.
[6] Ben-Tal, A., & Nemirovski, A. (1999). Robust solution to uncertain linear programs, Operation research letters, 25, 1-13.
[7] Ben-Tal, A., & Nemirovski, A. (2000). Robust solutions of linear programming problems contaminated with uncertain data, 88, 411-424.
[8] Bertsimas, D., & Sim, M. (2004). The price of the robustness. Operations research, 52, 35-53.
[9] Charness, A., & Cooper, W. W. (1971). Studies in mathematical and managerial economics. North-Holland Publishing Company, 166-180.
[10] Caballero, R., Golache, T., Gomez, T., Molina, J., & Torrico, A. (2001). E_cient assignment of _nancial resources within a university system: study of the University of Malaga. European Journal of Operational Research; 133, 298-309.
[11] Gabrel, V., Murat, C., & Thiele, A. (2014). Recent advances in robust optimization: An overview. European journal of operational research, 235, 471-483.
[12] Kwak, N. K., & Lee, C. lee. (1998). A multi-decision-making approach to university resource allocation and information in frastructure planning. European Journal of Operational Research, 110, 234-242.
[13] Lee, M. S. (2010) Performance-oriented budgeting in public universities: The case of a national university in Japan. The journal of _nance and management in colleges and universities, in Japan, 43-60.
[14] Min, H. (1988). Three-phase hierarchical allocation of university resources via interactive fuzzy goal programming. Socio-Economic Planning Sciences, 22, 229-239.
[15] Najafi, S. (2011). Mathematical modeling budgeting in the public section: robust approach. Master thesis industrial engineering, Faculty of Engineering, University of Shahed.
[16] Soyster, A. (1973). Convex programming with set-inclusive constrains and applications to inexact linear programming, 21, 1154-1157.
[17] Shim J. P,.& Lee, M. S. (1984). Zero-base budgeting: Dealing with conicting objective. Long Range Planning, 17, 103-110.
[18] Zanakis, S. H. (1991). A multi criteria approach for library needs assessment and budget allocation. Socio-Economic Planning Science, 251, 233-245.
Cite This Article
  • APA Style

    Mohammad Mehdi Nasrabadi, Elham Sharifi Rasouli, Marziyeh Sharifi. (2016). Robust Optimization for Performance-Based Budget Allocation at Payam Noor University. American Journal of Applied Mathematics, 4(6), 310-315. https://doi.org/10.11648/j.ajam.20160406.17

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    ACS Style

    Mohammad Mehdi Nasrabadi; Elham Sharifi Rasouli; Marziyeh Sharifi. Robust Optimization for Performance-Based Budget Allocation at Payam Noor University. Am. J. Appl. Math. 2016, 4(6), 310-315. doi: 10.11648/j.ajam.20160406.17

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    AMA Style

    Mohammad Mehdi Nasrabadi, Elham Sharifi Rasouli, Marziyeh Sharifi. Robust Optimization for Performance-Based Budget Allocation at Payam Noor University. Am J Appl Math. 2016;4(6):310-315. doi: 10.11648/j.ajam.20160406.17

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  • @article{10.11648/j.ajam.20160406.17,
      author = {Mohammad Mehdi Nasrabadi and Elham Sharifi Rasouli and Marziyeh Sharifi},
      title = {Robust Optimization for Performance-Based Budget Allocation at Payam Noor University},
      journal = {American Journal of Applied Mathematics},
      volume = {4},
      number = {6},
      pages = {310-315},
      doi = {10.11648/j.ajam.20160406.17},
      url = {https://doi.org/10.11648/j.ajam.20160406.17},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ajam.20160406.17},
      abstract = {Budget allocation is a central problem in universities and research centers. Recently, Payam Noor University (PNU) has used a performance-based approach to allocate budget between proposed projects. Mathematically speaking, this can be modeled as an optimization problem, but in practice the parameters of the problem are subject to uncertainty and are not well-known in advance. This paper uses robust optimization to deal with uncertainty in budget allocation and present numerical results. Our results demonstrate the performance of robust optimization as an effective way to address uncertainty in budget allocation.},
     year = {2016}
    }
    

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    T1  - Robust Optimization for Performance-Based Budget Allocation at Payam Noor University
    AU  - Mohammad Mehdi Nasrabadi
    AU  - Elham Sharifi Rasouli
    AU  - Marziyeh Sharifi
    Y1  - 2016/12/05
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    DO  - 10.11648/j.ajam.20160406.17
    T2  - American Journal of Applied Mathematics
    JF  - American Journal of Applied Mathematics
    JO  - American Journal of Applied Mathematics
    SP  - 310
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    PB  - Science Publishing Group
    SN  - 2330-006X
    UR  - https://doi.org/10.11648/j.ajam.20160406.17
    AB  - Budget allocation is a central problem in universities and research centers. Recently, Payam Noor University (PNU) has used a performance-based approach to allocate budget between proposed projects. Mathematically speaking, this can be modeled as an optimization problem, but in practice the parameters of the problem are subject to uncertainty and are not well-known in advance. This paper uses robust optimization to deal with uncertainty in budget allocation and present numerical results. Our results demonstrate the performance of robust optimization as an effective way to address uncertainty in budget allocation.
    VL  - 4
    IS  - 6
    ER  - 

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Author Information
  • Department of Matematical Science, Payam Noor University, Birjand, Iran

  • Graduated Industrial Engineering, Alghadir Non-govenment Institution, Tabriz, Iran

  • Graduated Operation Research, Payam Noor University, Birjand, Iran

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