Modelling and Simulation as a tool for decision making in adaptive value networks

Abstract

To increase their value chain capabilities, companies are introducing new products at an ever faster rate, while at the same time entering new markets. This in turn created the problem of increasing value chain complexity by distributing operations. Modelling and Simulation has long been used to aid production and supply chain managers in decision making, but has never been a preferred choice. The management of adaptive value networks has changed the way executives and managers view their supply chains, which in turn should affect the development of innovative information systems. The present paper introduces a distributed modelling and simulation framework that follows the new paradigms of management and execution of supply chains, enabling the analysis of complex interaction between different players in the supply chain.