Accession Number : ADP000611

Title :   The Economics of Simulation,

Corporate Author : ARMY FIELD ARTILLERY SCHOOL FORT SILL OK

Personal Author(s) : Rezek,Ronald E. ; Gray,Paul ; Young,Donovan

Report Date : 1973

Pagination or Media Count : 16

Abstract : This paper presents the methodology and preliminary results of a study of the economics of stochastic, discrete-event simulations. The point of view taken is that of the manager who, faced with a large problem, must ask two interrelated questions: Should I use simulation as my method of solution; and If I simulate, how should I do so? It has been our observation that for large-scale simulations--which are arbitrarily defined as those which require more than 2 man-years for development or run for more than 15 minutes on an IBM 360/50--the initial decision is often made quite casually. The thesis of this paper is that conduct of a cost-benefit analysis of the simulation aids in the decision-making process. (Author)

Descriptors :   *Army operations, *Operations research, *Computerized simulation, *Cost analysis, *Cost effectiveness, Decision making, Data acquisition, Data management, Data processing

Distribution Statement : APPROVED FOR PUBLIC RELEASE