Optimal Computing Budget Allocation of Indifference-zone-selection Procedures

Indifference-zone-selection procedures have been widely studied and applied to determine the required sample sizes for selecting a good design from k alternatives. However, efficiency is still a key concern for application of simulation to ranking and selection problems. In this paper, we present a new approach that can further enhance the efficiency of indifferencezone-selection procedures. Our approach determines a highly efficient number of simulation replications or samples and significantly reduces the total simulation effort. An experimental performance evaluation demonstrates the efficiency of the new procedure.

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