SUPPLY CHAIN SIMULATION
A System Dynamics Based Model

Francisco Campuzano - Josefa Mula
francisco.campuzano@upct.es

1 INTRODUCTION TO SUPPLY CHAIN SIMULATION
1.1 INTRODUCTION
1.2 ANALYTICAL OR SIMULATION-BASED MODELS?
1.3 CHARACTERISTICS OF A SIMULATION MODEL
1.4 OBJECTIVES OF SUPPLY CHAIN SIMULATION
1.5 TYPES OF SUPPLY CHAIN SIMULATION

1.5.1 Spreadsheet-based simulation

1.5.2 System dynamics

1.5.3 Discrete events systems dynamic

1.5.4 Business games
1.6 TECHNIQUES FOR SUPPLY CHAIN SIMULATION
1.7 CONCLUSIONS

2 CONCEPTUAL FRAMEWORK FOR SUPPLY CHAIN SIMULATION
2.1 INTRODUCTION
2.2 THE SUPPLY CHAIN NETWORK STRUCTURE

2.2.1 IDENTIFYING SUPPLY CHAIN MEMBERS

2.2.2 NETWORK STRUCTURAL DIMENSIONS
2.3 SUPPLY CHAIN BUSINESS PROCESSES
2.4 SUPPLY CHAIN COMPONENTS
2.5 SUPPLY CHAIN SIMULATION PROCEDURES
2.6 LEARNING ACTIVITY
2.7 CONCLUSIONS

3 BULLWHIP EFFECT IN SUPPLY CHAINS
3.1 INTRODUCTION
3.2 EXAMPLES OF THE BULLWHIP EFFECT
3.3 THE FOUR CAUSES OF THE BULLWHIP EFFECT
3.4 MEASURING THE BULLWHIP EFFECT
3.5 SUPPLY CHAIN STRUCTURE AND THE BULLWHIP EFFECT
3.6 CONCLUSIONS

4 SYSTEM DYNAMICS: MAIN CONCEPTS
4.1 INTRODUCTION
4.2 CAUSAL LOOP DIAGRAM
4.3 FLOW DIAGRAM
4.4 CONSTRUCTING A MODEL
4.5 SUPPLY CHAIN SIMULATION VARIABLES
4.6 CONCLUSIONS

5 STARTING TO MODEL THE SUPPLY CHAIN. WAREHOUSE MANAGEMENT.
5.1 INTRODUCTION
5.2 NATURE OF A CAUSE-AND-EFFECT DIAGRAM’s DYNAMIC PERFORMANCE. A CASE OF A PRODUCTS WAREHOUSE MANAGEMENT
5.3 PRACTICE PROBLEMS

5.3.1 PROBLEM 1

5.3.2 SOLUTION TO PROBLEM 1

5.3.3 PROBLEM 2

5.3.4 SOLUTION TO PROBLEM 2

5.3.5 PROBLEM 3

5.3.6 SOLUTION TO PROBLEM 3
5.4 CONCLUSIONS

6 MODELING A TRADITIONAL SUPPLY CHAIN BY USING CAUSAL LOOP DIAGRAMS
6.1 INTRODUCTION
6.2 PATTERNS USED TO PROPOSE THE CONSTRUCTION OF A TRADITIONAL SUPPLY CHAIN MODEL
6.3 A TRADITIONAL SUPPLY CHAIN MODELING PROPOSAL. CAUSAL LOOP DIAGRAM

6.3.1 PHYSICAL DESCRIPTION OF THE TRADITIONAL SUPPLY CHAIN

6.3.2 CAUSAL LOOP DIAGRAM OF A TRADITIONAL SUPPLY CHAIN
6.4 OTHER SUPPLY CHAIN MANAGEMENT AREAS
6.5 CONCLUSIONS

7 GETTING INTO PRACTICE. MODELING AN ENTIRE TRADITIONAL SUPPLY CHAIN.
7.1 INTRODUCTION
7.2 PRACTICE PROBLEM. MODELING AN ENTIRE TRADITIONAL SUPPLY CHAIN.

7.2.1 OBSERVATIONS FOR CONSTRUCTING THE PROPOSED MODEL
7.3 SOLUTION TO THE PRACTICE PROBLEM
7.4 CONCLUSIONS

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