Using System Dynamics to Model Rod Bar Supply Chain in Iranian Market

Steel market and particularly rod bar market play important roles in economy of countries. Economic systems are considered as complex systems which are sophisticated to be modeled mathematically. One way to model these systems is simulation and use of system dynamics. This paper models rod bar supply chain in Iran using system dynamics. Data of this research is gathered from first hand materials published by governmental sector. In order to modeling relationships between variables, interviews were conducted with experts in Iran Ministry of Commerce. Proposed model explains turbulence of rod bar market during 5 years ago and the fluctuations of its price. In addition, it is examined and confirmed by experts of this market in Iran Ministry of Commerce. Although proposed model may not offer an exact prediction of future market, but could be used as an applicable tool for analyzing and adjusting the market in Iran Ministry of Commerce.