Simulation techniques allow looking into dose-concentration as well as concentration-response relationship based on the mathematical models. Pharmacokinetic simulations allow predicting multiple dose drug concentrations based on a single dose data which allow evaluating safe drug levels during drug development. In formulation development, IVIVC simulation aids in modified release product optimization. Pharmacodynamic simulations allow examining the relationship between the drug concentration and the response. These techniques assist in optimizing the formulation development and predicting drug response relationship to design better clinical trials.