Monte Carlo vs. Discrete Event Simulation: Understanding the Key Differences

Minitab now offers two types of simulation: Monte Carlo and Discrete Event Simulation. What’s the difference? When do you use each of them?  

Minitab Workspace helps you analyze variability and optimize settings with Monte Carlo simulation, while Minitab Simul8 enables you to modify and improve entire process flows using Discrete Event Simulation. But which one is right for your challenge?  

Changing the Process vs. Changing the Settings 

At a fundamental level, the difference between these two simulation techniques comes down to what aspect of the system you want to modify: 

• Monte Carlo Simulation (MC) is for when you want to change the settings on the current process. Monte Carlo focuses on adjusting key parameters—such as temperature, material properties, or service times—to determine optimal operating conditions. It’s widely used for probabilistic analysis and risk assessment. 

• Discrete Event Simulation (DES) is for when you want to change the steps of your process and account for the impact of time. This includes restructuring workflows, removing bottlenecks, introducing parallel processing, or experimenting with new operational sequences. Because DES explicitly considers time, it helps analyze delays, wait times, and resource utilization in dynamic systems. Simul8, for example, allows users to visualize and test changes in process design to optimize efficiency. 

So as shorthand: for Monte Carlo think parameters, for discrete event think processes. 

How They Work 

Monte Carlo Simulation: 

• Uses random sampling and probability distributions to analyze variability and uncertainty in a system. 

• Typically applied to problems involving stochastic inputs where exact outcomes are difficult to determine. 

• Helps identify the best operating conditions under uncertainty. 

• Example Use Case: A factory wants to determine the optimal temperature setting for a machine to minimize defective products. 

Discrete Event Simulation: 

• Simulates systems as a series of discrete events over time, capturing how processes evolve dynamically and interact with resource constraints. 

• Captures the flow of individual entities (e.g., customers, parts, transactions) through a process. 

• Helps decision-makers optimize process efficiency by testing different configurations. 

• Example Use Case: A manufacturing plant wants to reduce production delays by rearranging workstations and reallocating resources. 

When to Use Each Approach

Which One is Right for You? 

If you are trying to redesign or improve a process, Discrete Event Simulation is the right choice. It allows you to experiment with structural changes and visualize how different process configurations impact performance over time. 

If you're aiming to evaluate risk, uncertainty, or find optimal settings for a process without changing its structure, Monte Carlo Simulation is the better fit. It helps you understand how variation in inputs affects outcomes—ideal for identifying the best operating conditions. 

Each method—Monte Carlo and Discrete Event Simulation—offers unique value on its own. But the real power comes when they’re used together. For example, you can use Monte Carlo to determine the best input parameters for a system, and then use Discrete Event Simulation to see how those parameters perform in the dynamic context of your actual process. 

Take a manufacturing example: you're producing automotive components that require powder coating followed by curing in an oven. If components stay in the oven too long, defects occur. Monte Carlo simulation can help you understand how curing time affects product quality and determine the optimal duration. But curing time isn't just a setting—it’s influenced by the entire production line. If the station after the oven is blocked, items may stay in the oven too long, even if your parameters are correct. This is where Discrete Event Simulation comes in. It allows you to analyze the full process flow to ensure that curing time stays within the optimal window, improving product yield and reducing waste. 

Bringing It All Together: The Minitab Difference 

This end-to-end capability—from parameter optimization to real-world process modeling—is what sets the Minitab product suite apart. By combining Monte Carlo, Discrete Event Simulation, and even Digital Twins for live performance management, Minitab gives you a complete, integrated toolkit for continuous process improvement. 

Discover how Minitab’s solutions can support your decision-making and problem-solving needs. Explore our full range of analytical tools and start improving your processes today! 

Want to learn more about how Simul8 can help you optimize your processes? Get in touch with us today!