Full text: Download
We present a practical guide and step-by-step flowchart for establishing uncertainty intervals for key model outcomes in a simulation model in the face of uncertain parameters. The process starts with Powell optimization to find a set of uncertain parameters (the optimum parameter set or OPS) that minimizes the model fitness error relative to historical data. Optimization also helps in refinement of parameter uncertainty ranges. Next, traditional Monte Carlo (TMC) randomization or Markov Chain Monte Carlo (MCMC) is used to create a sample of parameter sets that fit the reference behavior data nearly as well as the OPS. Under the TMC method, the entire parameter space is explored broadly with a large number of runs, and the results are sorted for selection of qualifying parameter sets (QPS) to ensure good fit and parameter distributions that are centrally located within the uncertainty ranges. In addition, the QPS outputs are graphed as sensitivity graphs or box-and-whisker plots for comparison with the historical data. Finally, alternative policies and scenarios are run against the OPS and all QPS, and uncertainty intervals are found for projected model outcomes. We illustrate the full parameter uncertainty approach with a (previously published) system dynamics model of the U.S. opioid epidemic, and demonstrate how it can enrich policy modeling results.