Simulation modeling has long been known in academia to provide inventory and service performance information as well as asset utilization data missing from simple optimization modeling. Until recently, simulation modeling has been impractical due to data requirements. For example, optimization uses only average annual demand data by item while simulation uses daily demand details for one or two years of history to define variation in demand. Today, we have use of large ultra fast data bases such as SQL and powerful engines which can very efficiently handle 10 to 15 giga byte files and millions of supply chain relationships.
Supply Chain Guru is a State-of-the-Art supply chain network modeling and inventory optimization tool.
Supply Chain Guru combines the strengths of traditional Optimization modeling and the newer and more powerful Monte Carlo Simulation modeling. Supply Chain Guru uses one network data base to efficiently run both simulation and optimization in tandem.
The combination solves business problems not just answers to mathematical postulations.
Today, we have use of ultra fast data bases and a new more powerful simulation engine. These technologies have transformed simulation modeling into a practical and everyday management tool from an academic exercise.
The modeling elements as shown on the exhibit are intuitive, thus the user can readily understand the model.
For additional information:
Consumer Durable - Case study on supply chain simulation
Flow not Just a Discrete Process - Article on general supply chain simulation
Visit www.llamasoft.com for Simulation software
Our recent paper, Rate Based Planning Clinic
presented, at the Institute of Business Forecasting describes the role of
supply chain simulation
Clinics "Demand Driven Sales & Operations Planning" IBF, New Orleans and Amsterdam
Workshops at DBM Conference in Orlando
