Simulation is the imitation of reality, either in the physical form or in the form of mathematical equations. It is a representation of reality through the use of a model (physical or virtual) which will react in the same manner as reality, under the same set of conditions.

Advantages of simulation in solving real life problems:

• Simulation techniques allow experimentation with a model of the real-life system rather than the actual operating system. Many times, experimenting with the actual system itself could prove to be too expensive and in some cases, disruptive.
• Sometimes, these isn’t sufficient time to allow the actual system to operate extensively. While studying long term trends in world population, it is not possible to wait for so many years to see the desired results.
• An employee with no technical knowledge can understand simulation more easily than a complex mathematical model.
• Simulation provides managers insights into certain problems where analytical solutions of a model is not possible, or where the actual environment in difficult to observe, like in space flights.