Computer simulation: a solution technique for management problems

Abstract

Although computers are currently being used primarily for rapid processing of data, there is little doubt that computer-processed information will be a requirement in providing management with timely and accurate data for evaluation, analysis, and as an aid in decision making. At the top management level, decisions are concerned with directing the organization and providing means of assuring its survival. To achieve maximum effectiveness at the operating level, plans and policies must be applied to the available resources, subject to specified constraints and risks. However, there is generally insufficient information for these decisions, and they often cannot be structured as a set of procedures. But, most important, policy decisions are based on a blend of intuition, experience and emotion.