System Dynamics Applications

Inventory and Sales Game


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System Dynamics Demonstrations

Inventory and Sales Game

Effects of Delivery Delays
     You are a retailer who sells goods in response to customer demand. To ensure that you are always able to satisfy that demand, you aim to hold a pre-determined level of inventory. You know that it typically takes the wholesaler two weeks to deliver in response to your orders. If others retailers simultaneously seek to have their orders fulfilled (such as when there is general increase in demand), supply could be adversely affected and delivery could take longer periods.
     In this game you are challenged to meet customer demand whilst maintaining inventory levels as close as possible to the target level. Running out of stock or deviating from the target inventory level will incur penalties. The aim is to play the simulation week-by-week for 25 weeks, minimising penalties incurred.
     The simulator is InventoryAndSales-Game.sip. It is described at InventoryAndSales-Game.pdf.

 

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