Simulation Model of Labour Force for the Manufacturing Company Based on System Dynamics

The article presents the methodology of constructin g a simulation model of the labour force for a manufacturing company based on the System Dyn amics method. The research presented in the article was conducted in three man ufacturing companies in Poland. Initially, the key mental model variables of the la bour force system were defined. The process of defining the variables was supported by the management as well as by the people directly linked to the labour force management in t he manufacturing companies researched. The next step was to combine the variables into a c ause effect diagram, which reflected direct and indirect relationships between particula r variables and which allowed to discover some sorts of feedback loops in the system . Next, the cause-effect diagram was converted into a simulation model. To that aim the simulation software, Vensim® was used. After that, validation of the simulation model was conduc ted using the following methods: assessing the correctness of the boundary of modell ing, adequacy of the model structure and adopted values (constants) compared with available knowledge about the modelled system, testing the accuracy and consistency of the units o f variables adopted in the model and testing the model behaviour in extreme conditions. The conducted tests confirmed the correctness of the constructed model. Finally, simu lation of the model was conducted for the manufacturing companies researched, the results obt ained were discussed and final conclusions were formulated. The article finishes w ith general indications of the direction of the usage of the simulation model presented.