Benefits of Optimisation
The use of optimisation modelling is a invaluable tool to support the decision making process. The benefits of optimsation modelling include:
- Capable of considering hundreds of thousands of possibilities and determining the optimal decision in a very short period of time
- Ability to evaluate multiple criteria as well as explore the effect of changing priorities on each of these objectives
- Automating the process of generating the plans and carrying them out in the simulation reduces the need for human input, and aids in the process of knowledge capture and retention.
- Provides the ability to easily modify and test alternative planning strategies in isolation
Combining Optimisation and Simulation
Optimisation is used to make a set of decisions that aims to optimise the overall performance of the system..
..then simulation is used to implement and verify the correctness of those decisions.
By focussing on the strengths of each method, better quality solutions may be generated compared to using either method alone leading to significant value being added for TSG clients.
Read more: Combining optimisation and simulation to model a supply chain