Stochastic Optimization System for Bank Reverse Stress Testing

Bank Stress Testing

The 2008 banking crisis demonstrated that there is a lack of effective methods for modeling and analyzing “exceptional but plausible” risk scenarios in bank stress testing. Existing stress testing practices mainly focus on modeling probability-based risk factors and events in banking systems using historical data. Rare (low probability) risk events that can cause financial crises in banking sys...

Stochastic Optimization for System Design

Optimization problems occur in system designs with simulation applications. The decision variables are controllable system parameters of interest and the objective function is a system performance measure that can be estimated via simulation experiments. Using the estimates of objective function values to find the optimal point is called the stochastic optimization problem. The literature of su...

A Stochastic Optimization Model for Groundwater Management

A Stochastic Optimization Model for Groundwater Management

A reverse logistics chain mathematical model for a sustainable production system of perishable goods based on demand optimization

Sustainability in the supply chain means pushing the supply chain to focus on social, economic and environmental aspects, and addressing the existing problems in the traditional supply chain. Considering the importance of evaluating supply chain networks, especially in the field of perishable commodities, this paper aimed to design a mathematical model for the reverse supply chain of perishable...