Application of MADM methods in System Dynamics simulation of Supply Chain systems

This paper presents an approach that integrates the Multiple Attribute Decision Making (MADM) techniques and System Dynamics (SD), to model a manufacturing Supply Chain (SC) system. Managers and decision makers evaluate the influence of various strategies and different scenarios on the specified objectives of SC. They assess the competing decision alternatives based on the obtained simulation results of the systems. After evaluating the SD and its stimulation, we start ranking the strategies by using MADM methods and by means of Technique for Order-Preference by Similarity to Ideal Solution (TOPSIS) and finally, the suitable policy among them is selected. This integration enables managers to utilize their own experiences, preferences and qualitative assessments, which increases the level of confidence in their decisions and analyses