Slide 2:
SYSTEM SIMULATION METHOD
Under this method, operating environment is produced and the system allows for analysing the response from the environment to alternative management actions. The method is complicated and costly.
Generation of random numbers
Random numbers: it refers to a uniform random variable, following uniform probability density function.
Psuedo-random numbers: random numbers are called psuedo random numbers when they are generated by some deterministic process.
Generating of random numbers: for solving simulation problems, there is the need of generating a sequence of random numbers which constitute which constitute an integral of the simulation model and also help in determining random observations from the probability distribution
Slide 3:
Waiting line simulation model: in waiting line (queuing) problems, the simulation can be applied to solve problems of complex nature.
The uncertain characteristics of the waiting line models are the arrival behaviour of the customer in the system and the service time distribution. Once these two characteristics are known we can know everything about the waiting line model.
Inventory simulation model: Many of the inventory problems especially storage problems can not be solved analytically because of the complex nature of the distribution followed by demand or supply. It is however possible to get the solution by using simulation techniques. In simple problems it is possible to generate artificial samples for future with the help of random numbers.