Questions? Call us at 503-645-2390

Changing Markets

As plywood prices strengthen, mills have renewed efforts to find the most profitable mix of products.

Optimization software helps managers maximize returns by examining more than just the fixed and variable costs of production.  Advanced LP models sometimes incorporate market data gleaned from in-house sales, while others use price information from a third-party information service. Some software uses price data from multiple sources.

Even small plywood mills can have thousands of variables to consider.  Large, multi-mill operations with broad product lines may track more than 10,000 variables.  “You reach a point where smart guys using spreadsheets just isn’t enough” one software provider said. “It’s beyond human ability to juggle this many variables.”

Good communication between the sales and production departments can be the best way to avoid the pitfalls of following a computer-driven sales plan too closely.  “We’re in constant communication with the mill, because a lot of times the mill can shift production to meet our needs better if we just let them know,” one sales manager said.  “On the other hand, the best product mix is not always obvious, and that’s where the optimization software is important.”

About Optware

Optware Solutions LLC was founded in 1991 (under the name Optware Consulting) as a company dedicated to the application of linear programming technology to the forest products industry. The first system installation was in a plywood plant in France. Optware Solutions has been a pioneer in the integration of relational database technology with linear programming.

Today, Optware Solutions offers a variety of state-of-the-art linear programming-related products and services. Optware Solutions believes that service is our business and we pledge to: place customer needs above our own, to protect confidential information, and to act in a professional manner.

Contact Us

12725 SW Millikan Way Suite 300
Beaverton, OR 97005
(503) 645-2390
info@optware.com

16 Fell Avenue South
Burnaby B.C. V5B 3Y2, Canada
(604) 210-1290
info@optware.com