Profit Optimization modeling is a powerful tool for optimizing the deployment of resources in the forest products industry. Many companies face complex decision environments coordinating sourcing of logs, manufacturing resources and market. Managers must consider profit-sensitive questions related to efficiencies and costs. Literally thousands of variables are in play within this business environment.
Progressive companies understand that a comprehensive modeling tool will allow a business to make much better decisions than simply cranking options through a spreadsheet. The Optware System is designed to maximize profit subject to the business constraints, process flows, revenues and costs. The central technology that drives the system is a powerful linear-programming-based optimizer.
Profit Optimization technology allows companies to treat dispersed operations as a single entity and to capture synergies across the business unit. The tool provides our clients with much greater insight about their businesses and the impact of product mix and log sourcing on operations. The results lead to an improved planning process and higher profits!
Steve Killgore, President, McKenzie Forest Products
“We picked up well over 35% savings in our manufacturing costs in a one year period”
Michael McCollum, President Procurement, Georgia-Pacific Corporation
“We saved 1.5-2% of total fiber costs in transportation savings alone using Optware”
Mark Shuholm, Manager, Containerboard Division, Willamette Industries
“Optimization allowed us to substantially improve our paper machine utilization across the Division”
Richard Dutchak, Engineering Manager, Loewen
“We documented wood cost savings of just under $1,000,000 in the first year of using the software”