Multi-site Sales and Operation Planning at a Major Flat Carbon Steel Producer

摘要

A major steel producer in the South-East Asia/ pacific region is finalizing the implementation of an integrated Supply Chain Management system in collaboration with Advanced Information Systems (AIS). The solution includes multi-site sales planning, operation planning, master scheduling, unit scheduling and material allocation. In this paper, we describe in detail the multi-site sales and operations planning. This part of the project considers inter-connected production plants, with several production units within each plant, production and stock holding cost per product and per unit, inter-site alternative production steps, inter-site transport costs, monthly time buckets and an order book that includes real and forecasted orders each with associated sales revenue covering 2 years time horizon. The objective is to optimize profit, by choosing which orders have to be produced on the different site production units and when. While doing this, production constraints like line calendar (maintenance, shifts), line campaigns, and minimum /target /maximum levels of work-in-progress (WIP) stock are considered.