Supply Chain Management Simulation Types: A Literature Review (original) (raw)
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Simulation in the supply chain context:matching the simulation tool to the problem
2010
The supply chain can be a source of competitive advantage for the firm. Simulation is an effective tool for investigating supply chain problems. The three main simulation approaches in the supply chain context are System Dynamics (SD), Discrete Event Simulation (DES) and Agent Based Modelling (ABM). A sample from the literature suggests that whilst SD and ABM have been used to address strategic and planning problems, DES has mainly been used on planning and operational problems., A review of received wisdom suggests that historically, driven by custom and practice, certain simulation techniques have been focused on certain problem types. A theoretical review of the techniques, however, suggests that the scope of their application should be much wider and that supply chain practitioners could benefit from applying them in this broader way.
Supply Chain Dynamics: Simulation-Based Training and Education
2011
The paper discusses use of simulation-based business games for training and education in the area of supply chain management. It starts with a state-of-the art review of extant application of simulation games used for training and education in supply chain management, followed by description of a recently developed ECLIPS game. It has been developed within a European project for providing an insight into various aspects of supply chain management, with possibilities to analyze different supply chain structures and control mechanisms. In particular, application of the ECLIPS game to comparison of different supply chain inventory management policies, including non-cyclic and cyclic ones, is provided. For that particular situation, game rules and playing process are explained, as well as sample results obtained by participants are presented and interpreted.
Simulation Conference, 2008. …, 2008
An Internet based supply chain simulation game (ISCS) is introduced and demonstrated in this paper. Different from other games and extended from the Beer Game, a comprehensive set of supply chain (SC) management strategies can be tested in the game, and these strategies can be evaluated and appraised based on the built-in Management Information System (MIS). The key functionalities of ISCS are designed to increase players' SC awareness, facilitate understanding on various SC strategies and challenges, foster collaboration between partners, and improve problem solving skills. It is concluded that an ISCS can be used as an efficient and effective teaching tool as well as a research tool in operations research and management science. Problems and obstacles have been observed while engaging in the SC business scenario game. The actions proposed and implemented to solve these problems have resulted in improved SC performance.
An Integrated Approach to Supply Chain Simulation
2018
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. The goal of simulation is to evaluate existing supply chain configurations, as well as to aid in design of the new supply chains. Supply chain simulation matters both supply chain design and supply chain control. In other words, it helps resolve different supply chain management (SCM) problems which can be grouped into the following categories:
Supply Chain Management by Means of Simulation
Polibits, 2013
Several changes in the macro environment of the companies over the last two decades have meant that the competition is no longer constrained to the product itself, but the overall concept of supply chain. Under these circumstances, the supply chain management stands as a major concern for companies nowadays. One of the prime goals to be achieved is the reduction of the Bullwhip Effect, related to the amplification of the demand supported by the different levels, as they are further away from customer. It is a major cause of inefficiency in the supply chain. Thus, this paper presents the application of simulation techniques to the study of the Bullwhip Effect in comparison to modern alternatives such as the representation of the supply chain as a network of intelligent agents. We conclude that the supply chain simulation is a particularly interesting tool for performing sensitivity analyses in order to measure the impact of changes in a quantitative parameter on the generated Bullwhip Effect. By way of example, a sensitivity analysis for safety stock has been performed to assess the relationship between Bullwhip Effect and safety stock.
The value of simulation in modeling supply chains
1998 Winter Simulation Conference. Proceedings (Cat. No.98CH36274)
In business today, re-engineering has taken a great deal of the cost out of internal corporate processes. Our factories and internal support organizations have become much more efficient, but there is still a great deal of unnecessary cost in the overall delivery system, or the supply chain. Although your corporation does not own all of the supply chain, the entire chain is responsible for product delivery and customer satisfaction. As one of several methodologies available for supply chain analysis, simulation has distinct advantages and disadvantages when compared to other analysis methodologies. This paper discusses the reasons why one would want to use simulation as the analysis methodology to evaluate supply chains, its advantages and disadvantages against other analysis methodologies such as optimization, and business scenarios where simulation can find cost reductions that other methodologies would miss.
How can simulation help in supply chain development
1999
The objective of this paper is to explore how simulation can be applied to support the development of responsive supply chains. We propose a stepwise approach for the use of simulation to support in evaluating appropriate supply chain designs. The role of simulation in the development process is a tool for evaluating and fmding solutions when reconsidering the chain strategy. A basic materials manufacturer case is presented to give an application example. The use of simulation is also discussed from a knowledge management perspective. It is concluded that the integration of simulation models to existing ERP systems will help supply chain development especially for the responsive chains.
Business Simulation Game Development for Education and Training in Supply Chain Management
2012 Sixth Asia Modelling Symposium, 2012
This paper presents a simulation-based business game for training and education in the area of supply chain management. It starts with a short review of existing simulation games used for training and education in supply chain management, which is followed by a brief description of the ECLIPS game that has been developed for providing an insight into various aspects of supply chain management, with opportunity to analyze different supply chain structures and control mechanisms. In particular, the application of the ECLIPS game to comparison of different supply chain inventory management policies, including non-cyclic and cyclic ones, is provided. Also, the paper presents a special computeraided tool that allows testing and evaluating various scenarios of the ECLIPS game. The method of scenario evaluation is described as well.
Supply Chain Simulation: Experimentation without Pain
2010
Bridging the gap between theory and practice has always been a key issue for students and graduates. The magnitude and scope of subject areas that students at third level institutions have to learn in theory means that visualising them without any practical experience can be very difficult. Understanding the complexity of supply chain networks and how to manage them create a considerable level of difficulty for students and professionals. Theories and applications included in supply chain management subjects are the key to empathise the real challenges. Nevertheless, teaching these theories needs substantial efforts and new innovative approaches to deliver the concepts and assure successful transfer of the learning outcomes.
Panel session: opportunities for simulation in supply chain management
Proceedings of the Winter Simulation Conference
It has become a matter of survival that many companies improve their supply chain efficiency. This presents an opportunity for simulation. However, there are many challenges that must be overcome for simulation to be a contributor to play an effective role. Four contributors discuss the opportunities that they see for simulation to play a meaningful role in the area of supply chain management.