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An Integrated Approach to Supply Chain Simulation
Abstract
Simulation can be a valuable tool for supply chain analysis, planning, optimization, evaluation, and risk management. Computer simulation and simulation models can be used to model intricate supply chains close to real systems, execute those models, and observe system behavior. This chapter deals with supply chain modeling and simulation. It starts with a rationale for supply chain simulation, its advantages and benefits. The chapter gives a systematic background research and literature overview related to supply chain simulation with insights into the main simulation approaches and methods. Next, supply chain modeling and simulation methodology are described. It introduces a supply chain metamodel that enables modeling of both supply chain structure and dynamics. The main components like model database, process library, knowledge base, and execution engine are also described. The examples of various simulation scenarios are presented. Finally, the chapter gives the main future research directions and concludes with a brief discussion of supply chain simulation importance and applications.
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