Strategy

When faced with a challenge, businesses need to determine a strategy towards approaching that challenge.  However, this is a high risk endeavor, as the wrong strategy will prevent you from taking advantage of opportunities and may blindside you to possible threats.

 

Cost Analysis

“How much did that cost?” is far more complicated to answer today than it ever has been.

When making business decisions, it can be complicated to determine the actual direct and indirect cost of a particular activity. Reality is complicated and it is easy to overlook “invisible” costs until it is too late and the company is committed to a particular course of action – inefficiencies detected only in hindsight.

 

Forecasting

If the future is uncertain, how do you plan for it? Forecasting based on simulated models allow you to see how the systems at work in the environment around the company will likely influence the future of the company.  While a singular definitive future is unlikely to emerge, forecasting allows you to see which of all possible futures are likely and plausible.

What conditions – economic, environmental, regulatory, or other external factors – can have a significant influence on your business systems?

 

Optimization

If your business model is not well understood, simulation allows you to change the parameters and see how the business behaves under those parameters.  Through simulation, you can change the parameters of your business model to see how it behaves under a variety of situations.  With this experience, you can then move on to optimization – getting the greatest possible reward for the least possible cost.