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Simulation models are one way of demonstrating whether ideas are good and whether
they will work. With simulation models, managers can define, represent and experiment
with past and future business processes, decisions and actions. Managers can also
test and experiment with decisions and actions to learn more about their organizations
and the environment they operate in.
Simulation models are tools for rapidly prototyping managerial decisions. They may,
for example, be used to draw conclusions about the risks and benefits associated
with entering a new market, introducing a new product, acquiring or merging with
another firm.
As organizations are increasingly relying on technology to develop, validate and
communicate their business models and strategies to their shareholders, customers,
partners and employees, as well as manage their strategic planning processes, the
search for tools to meet these needs is overwhelming.
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