Mathematical model of optimal formation of raw material supply chains and production volumes with cutting technology at wood enterprises

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Abstract

Important aspects related to the issues of forming supply chains and production volumes at wood enterprises with the most common production technology of cutting of incoming raw materials are considered. The main emphasis is placed on the issue of assessing the optimality of the decisions made. The study focuses on timber processing enterprises without their own sources of raw materials, which try to find an optimal solution at the end of the planning horizon on the basis of data on realized transactions at the commodity exchange. A mathematical model has been developed that takes into account the technology of cutting incoming raw materials, the time of lots in transit and uncertainty factors. Testing of the model on the data of the exchange and the enterprise in Primorsky Krai allowed to determine the optimal trajectory of profit, production volume and other important indicators. The issues of supply chain and production volume planning are considered. Regions — sources of raw materials are analyzed. Advantages and disadvantages of the presented mathematical model are given. It is shown that the developed model can serve as a basis for rational raw material transactions and be of interest to the top management of timber enterprises seeking to improve the efficiency of their activities.

About the authors

Rodion S. Rogulin

Vladivostok State University

Author for correspondence.
Email: rafassiaofusa@mail.ru

Cand. Sci. (Economic), Associate Professor

Russian Federation, 41, Gogol st., 690014, Vladivostok

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