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Log Supply Planning and Log Allocation Optimization
- The "right log to the right mill" is something that is much talked about, but is sometimes difficult to achieve. HALCO provides essential tools that are needed if this is to be achieved in practice.
- Even if there is only one mill, there is usually a need to predict the log mix that will arrive at the mill, before and after bucking, when one or more timber stands are harvested.
- HALCO's WOODSIM™ or CTL-SIM™ programs can be used to do this directly.
- Alternatively WOODSIM™ can set up a database containing the log yields in various diameter, length, grade or quality classes, for various timber stands and alternative stem bucking and log bucking methods. The user can then evaluate the various harvesting alternatives.
- HALCO's WOODMAN™ program provides a much more comprehensive approach to log allocation optimization, log-supply planning and analysis. It uses WOODSIM™ to simulate the log supply operations, HALCO's SAWSIM® program to simulate sawmill and veneer mill operations, and has modules that simulate panel and other plants.
- It is based on the premise that large benefits can be achieved by optimizing log supply operations, particularly when the analysis is carried through to finished products, and the operational and financial effects of log supply decisions throughout the system are properly taken into account. For instance, logs are usually a sawmill's biggest cost by far, and the characteristics of the logs have a big impact on sawmill operations, product mix and revenue.
- There can be substantial benefits when there is only one mill, and even bigger benefits when there are many.
- WOODMAN™ has an option to use return-to-log values at the mills as a basis for its optimization. This option may be useful for testing, but it rarely leads to a satisfactory optimization. In order to calculate return-to-log values, assumptions must be made with respect to which machines will limit production in the mills, whereas one of the purposes of optimizing log allocation is to find log mixes that will make optimum use of the mill facilities and to make sure that mills are operating against the a set of operating and sales constraints that is appropriate to the log mix being processed.
- Typical applications that may require use of one or more of the above programs include:
- return-to-log calculations
- detailed evaluation of harvesting plans;
- log purchase / sale / trade evaluations;
- evaluation of alternative stem utilization criteria;
- evaluation of alternative woods-bucking and log sorting practices.
- WOODMAN™ may be used to simulate or optimize operations involving many timber stands over a fixed period in time, or over multiple time periods, with opening and closing inventories. It may also be used for timber valuations, to determine product yields, operating times, costs, and corresponding cash flows for the various facilities, from a given timber supply. The objective, in this case, is to value a particular stand or group of stands, independently of other stands that may be processed at the same time.
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