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Construction of a flexible simulation model of a corporation

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  • Edward Radosiński
  • Łukasz Radosiński

Abstract

The instability of the real structure of a firm is one of the fundamental problems in simulating microeconomic systems. This paper proposes a method, called ACV (abstraction – gradual concretization – verification) for constructing a flexible simulation model of a corporation. This method is based on the assumption that an effective approach to simulating a microeconomic system should take into account the structural instability of the modelled object. Practical implementation of the ACV method is illustrated using the EK_AN simulator of a firm. The purpose of the simulator as a scientific tool of operations research is to analyse the relations of given inputs (decisions) with the short- and medium-term forecasts of a firm’s economic performance.

Suggested Citation

  • Edward Radosiński & Łukasz Radosiński, 2019. "Construction of a flexible simulation model of a corporation," Operations Research and Decisions, Wroclaw University of Science and Technology, Faculty of Management, vol. 29(1), pages 75-95.
    • Handle: RePEc:wut:journl:v:1:y:2019:p:75-95:id:1410
    DOI: 10.37190/ord190105
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    References listed on IDEAS

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    1. Chandra Pedamallu & Linet Ozdamar & Erik Kropat & Gerhard-Wilhelm Weber, 2012. "A system dynamics model for intentional transmission of HIV/AIDS using cross impact analysis," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 20(2), pages 319-336, June.
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