Computer Search Models
Computer search methods are used when an organization has large quantity of information on different production variables. A computer program simulates conditions under all the possible combinations of these variables and identifies the most cost-effective combination, which satisfies the production requirements. It evaluates all possible combinations, based on specified search conditions and rules, in order to identify the optimum aggregate plan.
Computer simulation in capacity evaluation
Computer simulation is used to evaluate the performance of a specific plan, based on real-world variables and situations. Simulation provides what-if analysis of different situations, using different variables with alternative values attached to them, to judge the performance of the system under different conditions. Complex situations can be analyzed with the help of simulation models. For example, in any service organization, the number of customers served is a key measure of productivity. Using simulation, different layouts and schedules can be tested to see which would enable an organization to maximize its capacity utilization. Formulation of simulation method is quite complicated, and the costs associated with it are high.
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