Supply network planning with dynamic spot sales pricing: a case study from the chemical industry

摘要

A linear optimization model for supply network planning of chemical commodities is presented. The focus of the modeling approach is on dynamic pricing for spot sales demand and on the coordination of sales and supply decisions throughout the entire value chain. To consider the volatility of spot sales prices and demand, respective price-quantity functions are derived. A two-phase optimization approach is suggested which generates robust supply network plans ensuring minimum profitability even in the case of worst-case spot sales price scenarios.