Simulations can bring data to life by revealing insights about a problem or an opportunity, and thus showing the way to ground-breaking solutions. With cloud infrastructure more available to companies of all sizes, simulations are more commonplace.
How could your company use cloud-based simulation services? Consider a few possibilities:
- Asset management and optimization: Simulations can help you understand your products better and predict when failures will occur. This allows you to send out repairmen and provide maintenance services to customers at the right time.
- Research and development: Companies are using cloud-based simulations to evaluate how new product concepts will be received in the marketplace; the cost and other challenges they’ll face; and how they’ll perform against the competition.
- Human capital management: Biases creep in when companies determine the caliber, role, and potential of existing and prospective employees. However, a number of companies are using tested models and cloud-based simulations to better predict who will contribute most to what unit, and the best role for them in those units.
- Customer experience: Several different types of simulations can be run to evaluate how customers will react to changes to products or services. Based on insights from such simulations, companies can determine the steps they must take to improve the customer experience.
- Fraud detection: Organizations make financial transactions and deal with several vendors and stakeholders, exposing them to frauds and scams – which simulations can help them better detect and deal with in a timely manner.
- Customer service and field service: Service and product performance issues can be predicted and resolved when companies loop in all the data they have about their products and customers into simulation models.
- Inventory management: Large multinational organizations typically don’t manufacture and store all their goods in one location. Simulations can provide timely insights about what items will be required at which locations.
Apart from opportunities discussed above, there are myriad other tasks you can perform with cloud-based simulations. All you need is a little imagination, some data, and willingness to experiment.
Companies of all sizes and in many industries are using cloud-based simulations in a variety of ways, many of which are providing competitive advantage. To learn more about how cloud-powered simulations might help your organization, read my article Now You Can Simulate Nearly Anything in this edition of our management journal, Perspectives.