Supply network modelling and simulation methodology

Abstract

Supply network management in today's business climate characterized by high uncertainty, globalization of business, outsourcing, shorter product life-cycles, and high customer expectations is extremely challenging. Simulation can be a valuable tool for supply network analysis, planning, optimization, evaluation, and risk management. This paper presents a methodology for modelling both structure and dynamics of complex supply networks based on process approach. It also describes the model-driven simulation methodology and the main components of the simulation software solution: model database, process library, knowledge base, and execution engine. Finally, simulation results of the case supply network are presented.