When an alarm condition relating to a performance goal of a storage system is detected, a storage management system invokes an N-step lookahead engine for simulating operation of the storage system when there are multiple actions that could be taken by the storage system for eliminating the alarm condition. The N-step lookahead engine generates N possible system states based on a current state of the storage system. The N possible states are based on a cost model of each of the multiple actions. Each cost model is based on an action, a behavior implication of the action, a resource implication of the action and a transient cost of the action. An action is selected that generates a system state that optimizes the stability, a prerequisite and a transient cost of invoking the selected action.