“Decision Simulators” Speed Implementation and Improve Operations

Abstract

Packaging MS/OR models and algorithms in “Decision Simulators” (DS) helps users accept model performance and solutions, making implementation more likely and more rapid. Like video games and flight simulators, a DS emphasizes a believable representation of the decision-making environment, user interaction with immediate feedback on the effect of decisions, and ease of use. A decision simulator was put in practice in 1977 at Weyerhaeuser to implement a dynamic programming approach to improved timber processing. The simulator allows users (either timber buckers or management) to test different crosscutting and log-allocating decisions for economic value. This application continues to yield a multi-million dollar annual profit increase.