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Predictive simulation is the science of creating accurate models to represent the behavior of real-life processes.

Today’s businesses are facing increasingly difficult and complex decisions. Markets are changing constantly, competition is fierce, and customers are demanding innovative new experiences and consistently high service levels. Predictive simulation simplifies this complexity. A simulated model of your business generates powerful future-state data and helps demystify much of the analytical process by providing a rich interactive visualisation of information.

Predictive simulation helps both analysts and decision-makers understand their business processes, data and how they affect one another.

When to Use Predictive Simulation

Processes that involve high connectivity, variability, disruptions and complexity are ideal for simulation. Other techniques for measuring processes, such as Excel spreadsheets and Value Stream Maps, often treat these factors as static averages, with critical implications for decision-making. As companies become more digitally complex and connected, these implications can become game-changers. Predictive simulation allows for virtual 'what-if' testing, where testing in real life would be impractical, expensive and dangerous. 

New Data and Process Insight

Proponents of big data claim that all data must be valuable. The reality is that most companies either don’t know what to do with their data, or what questions they need to ask of it. A simulation model of your processes raises key process management questions to ensure that stakeholders understand the dynamic and interconnected nature of their business. This results in new insights into how processes are run, how policy is applied and highlights areas of particularly valuable yet missing data.

Predictive Analytics

Once a predictive simulation model of the business process is created, businesses can ask ‘what-if?’ questions of the model and run scenarios. This allows for understanding of the future impact and consequence of each scenario, without incurring any risk or cost. This foresight provides powerful decision clarity across areas such as capital investments, resource planning and process design, or even service policies. Predictive simulation leads to smarter business decisions and drives higher return on investments.

The Basics of Predictive Simulation

There are different types of simulation modelling. Lanner specialises in Discrete Event Simulation techniques but also offers a range of other simulation approaches. Discrete Event Simulation (DES) works by modelling individual events that occur using a time-based engine, taking into account resources, constraints, and interaction with other events. Your model can reflect the process rules, randomness and variability that affect the behaviour of real-life systems and complex operating environments. By creating a mirror of your processes you can then experiment with different "what if" scenarios without the risk or expense involved with altering your real processes. 

Getting Started with Predictive Simulation

2981-predictive-simulation.pngLanner's flagship software, WITNESS Horizon, enables professional modelers to rapidly develop feature-rich predictive simulation models that provide unparalleled insight into your processes through dynamic data visualisation and the freedom to test choices in a risk-free virtual environment. WITNESS training courses are available to help you get the most from your software, maximising your simulation and modelling capabilities whether you are a novice or experienced professional. Lanner's proven technology is complemented by our expert team of consultants, who can support your model building or provide full-service model delivery. Their extensive experience across a wide range of sectors means they can help you maximise value to your organisation from predictive simulation.

To learn more about how you can get started with predictive simulation, contact us today.

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