When building a model, an initial cost can be assigned to arriving entities.
The cost of doing business can be fixed or variable. Fixed or overhead costs remain constant from period to period, regardless of the amount and type of entities processed or services provided. Examples of fixed cost include rent, utilities and salaries.
Variable costs are costs that are only incurred when processing entities or providing services, the more entities produced or services provided, the greater the variable costs.
Process Simulator allows you to determine either average variable cost or average unit cost. Cost can be accrued that are either time based (e.g., time spent using a resource or undergoing an activity) or event based (e.g., they are incurred whenever an entity arrives or when a resource is used). These videos explain different cost modeling methods.
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When building a model, an initial cost can be assigned to arriving entities. |
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When building a model, cost can be assigned to resources or activities based upon the time they are used. |
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In this solution, each time a particular resource is used the unit cost of an entity is increased by some constant value. |
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This solution shows how to increment the unit cost of an entity based on the time spent waiting in storage or a buffer. |
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