Simulation theory can provide practical solutions to complex industrial marketing problems

To maintain adequate levels of production and profit despite prevailing economic recession and inflation, many firms have explored various sectors of potential cost savings within the logistics framework. Models, algorithms, and mathematical-solution techniques have been devised and implemented for warehouse layout and/or location, inventory control, and other problem areas. For instance, for many distribution managers the acceptance of the public warehouse and the centralized distribution center as solutions to profit-squeeze problems has brought to the forefront the intricate problems and high costs associated with advanced shipment scheduling and delivery techniques.