Supply Chain Optimisation in the Paper Industry |
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Authors: | Andrew Philpott Graeme Everett |
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Affiliation: | (1) School of Engineering, University of Auckland, Private Bag, Auckland, New Zealand;(2) Fletcher Challenge Paper Limited, Private Bag, 92114 Auckland, New Zealand |
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Abstract: | We describe the formulation and development of a supply-chain optimisation model for Fletcher Challenge Paper Australasia (FCPA). This model, known as Paper Industry Value Optimisation Tool (PIVOT), is a large mixed integer program that finds an optimal allocation of supplier to mill, product to paper machine, and paper machine to customer, while at the same time modelling many of the supply chain details and nuances which are peculiar to FCPA. PIVOT has assisted FCPA in solving a number of strategic and tactical decision problems, and provided significant economic benefits for the company. |
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Keywords: | operations research mathematical model supply chain optimisation |
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