Modelling for sustainable development using the triple-bottom line: Methods, challenges and the need for hybrid M&S

Abstract

The concept of sustainable development (SDEV) is a topic of increasing significance in management decision making. SDEV is managed based on the triple-bottom line approach which stresses the importance of achieving a balance between economic, environmental and social impacts. In the context of management decision making, this implies that operational and strategic decisions in an organization must not be limited to the fulfillment of KPIs associated with productivity alone, but should also include metrics that are associated with the environment and society. Modeling & simulation (M&S) lends itself towards evaluation of the three, often competing, metrics. There are several M&S approaches like Discrete-event and System Dynamics; which of the existing techniques is the choice for modelling SDEV? Or, is a combined hybrid approach a better solution? The tutorial explores such questions related to the methodological aspects of M&S for SDEV analysis, and discusses the challenges for modeling such complex systems.