This document provides an overview of business process modeling and simulation using Extend software. It presents examples of modeling a credit application review process and an underwriting process with queues, random variables, multiple servers, and animation. Statistics, costs and other outputs are calculated. The examples demonstrate basic blocks from the Discrete Event and BPR libraries to model processes, collect data, and calculate metrics.

1. 1
Introduction to Extend
Chapter 7
Business Process Modeling, Simulation and
Design

2. 2
Introduction to Extend
We recommend presenting this chapter by running Extend
6.0 directly, and interactively show how the program
works.
However, for your convenience, we have attached a
selection of the figures/screenshots from Chapter 7 of the
book as the basis for an in class presentation without
access to a computer with Extend installed.
NOTE:

3. 3
count
ev ent
2 V
1 A P
u #
A1-3
A1-3
S
DS
u #
Executive Import Repository
Operation Export
Basic Extend Blocks
Extend Elements

4. 4
2 V
1 A P
Apps In
This example shows a credit application rev iew process. One
application arriv es ev ery 10 minutes and is placed in an in box to
await processing. There are f our applications already in the in box
when the simulation starts. The rev iew process takes 14 minutes f or
each application.
u #
17
In Box
A1-3
A1-3
S
DS
u
0
0
Rev iewer
#
34
Apps Done
count
ev ent
A Simple credit application process
Extend Elements

5. 5
Main Extend window
Tutorial: Basic Queuing Model

6. 6
Import dialog window
Basic Queuing Model

7. 7
2 V
1 A P
Requests In
#
35
Requests done
A1-3
A1-3
S
DS
u
Underwriting
u #
0
In Box
Underwriting process model with a single team
Basic Queuing Model

8. 8
Blocks in the Statistics Submenu of the Discrete Event library
Update
Queue
Stats
Cost
Stats
Update
Resource
Stats
Update
Activ ity
Stats
C T
A
Row
Cost By
Item
Data Collection and Statistics

9. 9
Stack block
L w p
p
R
Queue Statistics

10. 10
Underwriting process model with a stack block
2 V
1 A P
Requests In
#
35
Requests done
A1-3
A1-3
S
DS
u
Underwriting
L w p
p
R
In Box
Queue Statistics

11. 11
Queue statistics for “In Box” block
Queue Statistics

12. 12
Plotter, Discrete Event block
Queue Statistics

13. 13
Underwriting process model with a plotter block
2 V
1 A P
Requests In
#
35
Requests done
A1-3
A1-3
S
DS
u
Underwriting
L w p
p
R
In Box
Queue Statistics

14. 14
Waiting time vs. simulation time
0 10 20 30 40
0
0.25
0.5
0.75
1
1.25
1.5
1.75
2
Time (Hours)
Hours
Waiting time at In Box
Waiting time
Queue Statistics

15. 15
Input Random Number block
1 2 3
Rand
Random Processing Times

16. 16
Underwriting process model with random processing times
2 V
1 A P
Requests In
#
3971
Requests done
A1-3
A1-3
S
DS
u
Underwriting
L w p
p
R
In Box
1 2 3
Rand
Random Processing Times

17. 17
Queue statistics for “In Box” block (100-week run)
Random Processing Times

18. 18
Dialog window of the Underwriting block
Random Processing Times

19. 19
0 1000 2000 3000 4000
0.3832314
0.5374235
0.6916157
0.8458078
1
Time (Hours)
Utilization
Team Uti lization
Average utilization of the underwriting team
Random Processing Times

20. 20
Underwriting process model with two teams
2 V
1 A P
Requests In
#
2455
Requests done
A1-3
A1-3
S
DS
u
Underwriting 1
L w p
p
R
In Box
#
1534
Requests done
1 2 3
Rand
A1-3
A1-3
S
DS
u
Underwriting 2
Adding a Second Team

21. 21
Transaction block
C
# u
D
Adding a Second Team

22. 22
Modeling multiple teams with a transition block
2 V
1 A P
Requests In
#
3989
Requests done
L w p
p
R
In Box
1 2 3
Rand
C
# u
D
Underwriting
Adding a Second Team

23. 23
Additional blocks from the BPR and Discrete Event libraries
Adding a Labor Pool

24. 24
Underwriting process model with a review activity and a labor pool
Adding a Labor Pool

25. 25
“Approve?” block dialog
Adding a Labor Pool

26. 26
Animate tab of “Requests In” block
Animating the Model

27. 27
Animate tab of “Teams” block
Customizing the Animation

28. 28
Cost tab of labor pool block
Calculating Costs

29. 29
Cost per request
Calculating Costs

30. 30
Unbatch block dialog
Calculating Costs

31. 31
Underwriting process model with cost collection blocks
Calculating Costs

32. 32
Flowchart view of the simulation model for the Underwriting process
Using the Flowchart View

33. 33
Queue 1 Queue 2
Server 1 Server 2
Process with two servers in series
Exercise 3

34. 34
Teller configuration (multiple queues)
1 2 3 4 5
Exercise 4