Most of the challenges in corporations or government agencies are similar in nature. While they may differ in detail, they are often caused by similar structural causes. Generic simulation models can be built for these common problems.
The point of generic structures is to focus only on the overall outcomes of the system. These models contain valuable insights to tackle problems in complex systems.
What are the important elements in generating the current system’s outcomes?
How can we change it?
What outcomes should be expected after changing each part of the system?
These models can share valuable lessons that can be used for decision making. One advantage of simulation is that we can test different scenarios and observe outcomes.
Generic structures can be one of the outputs of facilitated modeling sessions or can be developed independently by our modelers.
To answer targeted questions such as:
How much should we increase Variable A to double Variable B?
At what time should we switch to the alternative scenario?
For this purpose, we apply “calibrated models” for real simulations, which can be used for policy recommendations with enough confidence to be implemented in real life.