Intermediate concepts are known as auxiliaries and can change instantaneously. In turn, stocks in a system determine the values of flows. Flows, also known as rates, change the value of stocks. ![]() Stocks (also known as levels, accumulations, or state variables) change their value continuously over time. When constructing stock and flow diagram, we should consider what variables should be modeled with stocks, flows or auxiliaries. We should distinguish the key variables of the model and their patterns of influence and then create stock and flow diagram of the model. ![]() 1.2 Analyzing the model Now we need to analyze the model to decide how it can be described in the system dynamics terms. 2 © 1992-2004 XJ Technologies AnyLogic V System Dynamics Tutorial When working with a project, do not forget to save it by clicking Save. You see the structure diagram is displayed in the center of the workspace, the Project window is displayed in the left panel, and the Properties window-in the right one. In the Project name edit box, type Product Life Cycle. Click the Choose Location… button and browse for the folder where you want to store your project file. Click the New Project The New Project dialog appears. 1.1 Creating a new project First, we will create a new project for your model. The advertising causes a constant fraction of the potential customer population to adopt each time period. ![]() A fraction of these contacts results in the purchase of the new product. Potential customers come into contact with customers through social interactions. Adoption of a new product driven by word of mouth is likewise an epidemic. Potential customers of a product are influenced into buying the product by advertising and by word of mouth from customers – those who have already purchased the new product. The model describes a product diffusion process. The Product Life Cycle Model We will create the product life cycle model. © 1992-2004 XJ Technologies 1 AnyLogic V System Dynamics Tutorial 1. Start Page will appear automatically once you close the model you are editing. You can use the Start Page to open those examples. You can use reference files if you experience any difficulties creating a model and you would like to compare your model with the reference file. Note that there are several reference files available for this model representing the milestones of the editing. Then we will expand our model by considering some details and introducing you to some advanced features of AnyLogic. In the first chapter we will construct the classic Bass diffusion model. We will create a simple illustrative example-the product life cycle model, used for forecasting sales of new products. It is intended to introduce you to AnyLogic interface and many of its main features. This tutorial will briefly take you through the process of constructing a simulation model using AnyLogic. AnyLogic allows you to create complex dynamic models using standard SD graphical notation. There are many spheres where system dynamics simulation can be successfully applied-the range of SD applications includes business, urban, social, ecological types of systems. This document covers System Dynamics modeling approach. 54 iv © 1992-2004 XJ Technologies AnyLogic V System Dynamics Tutorial About this Tutorial AnyLogic V supports different modeling techniques. 40 2.3 MODELING A PROMOTION STRATEGY.43 2.3.1 Modeling advertising expenditures.43 2.3.2 Modeling a promotion plan.45 2.4 OPTIMIZING THE PRODUCT LAUNCH STRATEGY.48 2.4.1 Checking the market saturation.48 2.4.2 Configuring optimization.50 2.4.3 Running optimization.52 3. 38 2.2.2 Formulating the adoption fraction. 33 © 1992-2004 XJ Technologies iii AnyLogic V System Dynamics Tutorial 2.1 ADDING REPLACEMENT PURCHASES LOGIC.33 2.1.1 Modeling the product discard rate.33 2.1.2 Modifying the animation.36 2.2 MODELING THE DEMAND CYCLE.38 2.2.1 Adding experimental data to model. 23 1.15.2 Creating animated stock and flow diagram.24 1.15.3 Adding controls.30 2. 19 1.14.2 Examining the adoption rate.21 1.14.3 Viewing the contribution of different adoption sources. 14 1.11 CONFIGURING SIMULATION.16 1.12 RUNNING THE MODEL.18 1.13 VIEWING THE VALUES OF VARIABLES.18 1.14 DISPLAYING VARIABLE CHANGES WITH CHARTS.19 1.14.1 Viewing customer and potential customer populations dynamics. 12 1.9 DEFINING THE ADOPTION RATE FORMULA. 7 1.5 DEFINING ADOPTION FLOW INFLUENCE ON POPULATIONS. 3 1.3 MODELING CUSTOMER AND POTENTIAL CUSTOMER POPULATIONS AS STOCKS. THE PRODUCT LIFE CYCLE MODEL.2 1.1 CREATING A NEW PROJECT. XJ Technologies Company Ltd ii © 1992-2004 XJ Technologies AnyLogic V System Dynamics Tutorial Contents ABOUT THIS TUTORIAL. AnyLogic V System Dynamics Tutorial Copyright © 1992-2004 XJ Technologies. AnyLogic V System Dynamics Tutorial © 1992-2004 XJ Technologies Company Ltd.
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