SIMULATION MODELING AND ANALYSIS WITH ARENA

T. Altiok and B. Melamed

Chapter 1 Introduction to Simulation Modeling

Simulation Modeling
Paradigm that creates simplified representations of complex systems Generates system histories and observes system behavior and statistics over time Goals are understanding system performance and improving system design

Altiok / Melamed Simulation Modeling and Analysis with Arena Chapter 1

System vs. Its Model

Simplification
Real System

Abstraction Assumptions

Model

Altiok / Melamed Simulation Modeling and Analysis with Arena Chapter 1

Model Classification
Physical (prototypes) Analytical (mathematical) Computer (Monte Carlo Simulation) Descriptive (performance analysis) Prescriptive (optimization)

Altiok / Melamed Simulation Modeling and Analysis with Arena Chapter 1

Typical Uses of Simulation

Estimating a set of productivity measures in production systems, inventory systems, manufacturing processes, materials handling and logistics operations. Designing and planning the capacity of computer systems and communication networks so as to minimize response times. Conducting war games to train military personnel or to evaluate the efficacy of proposed military operations Evaluating and improving maritime port operations, such as container ports or bulk-material marine terminals (coal, oil or minerals), so as to find ways of reducing vessel port times. Improving health care operations, financial and banking operations, transportation systems and airports, among many others.

Altiok / Melamed Simulation Modeling and Analysis with Arena Chapter 1

Model Building Process

Problem analysis and information collection Data collection Model construction Model verification Model validation Construction and execution of simulation experiments Output analysis Recommendations

Altiok / Melamed Simulation Modeling and Analysis with Arena Chapter 1

Example: A Production Control Problem

Fill / Seal Process Raw Material Warehouse Demand Lost Customers

A packaging/warehousing process Product is filled, sealed and put into boxes Boxes are taken to warehouse Customers arrive with product demand

Altiok / Melamed Simulation Modeling and Analysis with Arena Chapter 1

Operational Issues
Process never starves (raw material is always available) Packing is in batches of 5 (10-20 minutes/batch) Process failures
time to failure is distributed as Expo(200) minutes repair time is distributed as Norm(90,45) minutes

Target stock level is R = 500 units and the reorder point is r = 150 units Customer inter arrival time is distributed as Unif(3,7) hours Demand size is distributed as Unif(50,100) units
Altiok / Melamed Simulation Modeling and Analysis with Arena Chapter 1 8

Design and Performance Issues

Can we improve the customer service level (percentage of customers whose demand is completely satisfied)? Is the machinery under-utilized or over-utilized (machine utilization)? Is the maintenance level adequate (downtime probabilities)? What is the trade-off between inventory level and customer service level?

Altiok / Melamed Simulation Modeling and Analysis with Arena Chapter 1