A hybrid simulation optimization approach for supply chains Christian Almeder, Margaretha Preusser. EUROSIM 2007, September 9-13, Ljubljana, Slovenia

The main idea of our approach is to combine discrete-event simulation and exact optimization for supply chain network models. Simulation models are constructed in order to mimic a real system including all necessary stochastic and nonlinear elements. Such simulation models are used as proving grounds for analyzing and improving a real situation on a trial-and-error basis. A traditional optimization method on top of a simulation model has major disadvantages: The optimization method uses the simulation model as a black-box. Information about the structure of the problem is not available and cannot be used for an intelligent optimization strategy
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