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Simulation, Development Challenges, "What-If" scenarios, MAXIMUM…
Simulation
When To Use
:check:
Verification and Validation
Understand Complex Systems
Education and Training
Visualization
Gain Valuable Insights
Advantages
:+1:
New policies and procedures
Test hypothesis for feasibility
Answer new system uncertainties
Detailed Analysis
Improves system operation
Discover bottleneck processes
Obtain interactable insights
Areas of Application
Manufacturing
Semiconductor Manufacturing
General Manufacturing
Construction
Logistics, Transportation, and Distribution
:passenger_ship:
On-demand Grocery Delivery
Business metrics and benefits
Metrics
Waiting Times
Cost Per Delivery
Customer Experience
Order to Delivery Time
Benefits
Improved Customer Experience (CX)
Increased Efficiency
Reduced Cost per Delivery (CPD)
Real-time Solution
Vehicle Routing Problems
Business metrics and benefits
Metrics
Vehicle utilisation
Delivery time
One monetary unit per kilometre
Capacity usage
Benefits
Improve solution quality via iterative refinement
Improve fleet utilisation and resource allocation
Introduce a degree of randomness
Model real world conditions
Relatively fast in generating solutions
Development challenges
Flexibility in exploration of solution space
Balancing randomness and optimisation
Premature convergence leading to suboptimal solutions
Inability to handle stochastic components
Background
Combining monte carlo simulation with heuristics
Cross-Docking Forklift Route Inefficiency
Business metrics and Benefits
Metrics
Forklift Travel Distance
Operational Efficiency
Cost Savings
Throughput Improvement
Resource Utilization
Benefits
Lower Operational Costs
Reduced Fuel and Equipment Costs
Faster Transshipment Times
Reduced Forklift Travel Distance
Development Challenges
High Dimensionality of Combinations
Complex Terminal Modeling
Data Integration Issues
Time and Cost Constraints
Port Congestion
Development challenges
Unpredictable human behaviour
Data-related
Inaccurate data
Incomplete data
Complex port layouts
Business metrics and benefits
Metrics
Before
Reduce traffic flow
Improve port capacity
Reduce travel times
Discover root causes
After
Fewer security and documentation delays
Enhanced freight traffic routing
Reduced queue lengths at gates
Higher port container throughput
Benefits
Estimated 20% reduced travel time
Lower freight carrier costs
Improved efficiency and stakeholder trust
Decreased congestion within port areas
Aircraft Parcel Service
Business metrics and benefits
Metrics
After
Improve Financial Efficiency
Turnaround Times Reduction
Improve Resource Utilization
Improve System Schedule
Before
Resource Planning
Forecast Future Demand
Identify Operational Bottlenecks
Cost Analysis
Benefits
Cost Saving
Test without disrupting operations
Seamless Parcel Flow
Scalability
Development Challenges
Sensitive Data
Dynamic and Real Time Operation
Comprehensive Modeling
Interdependent Resource Management
Military
Healthcare
Business Operations
Agriculture Systems
Environmental Modelling
Disadvantages
:-1:
Requires Special Training
Utilize the generic models offered by vendors for their operations
Simulated when solvable analytically
Based on professional experience, closed-form models are reliable and can solve most if not all problems
Results difficult to interpret
Vendors provide output analysis tools for companies to analyze simulation results
Time Consuming & Expensive
Rapid advances in hardware and simulation packages allows simulation to be performed faster
When Not To Use
:red_cross:
Can Solve By Common Sense
Can Be Solved Analytically
Direct Simulation Is Cheaper
Insufficient Resources or Time
Costs Exceed Savings
Insufficient Data
Overcomplex System or Human Behaviour
Unrealistic Expectations
Development Challenges
Large Scale Complexity
Balancing CPD & CX metrics
Handling peak demand variability
Integrating JIT Heuristics
"What-If" scenarios
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