The process industry in general is very energy-intensive, and therefore models focusing on energy can be very important in order to reach higher profitability. In this study, an optimization model of the supply chain in a pulp company, where energy is included with respect to its revenue generating capabilities, is used. Using real company data, and through an analysis of the model’s results, we show that higher profitability can be achieved when integrating energy into the planning process. Our findings show that when energy-intensive raw materials not only provide fibre to the pulp process but also generate an energy surplus, there is room for different planning approaches in order to maximize the total profit. This paper reveals promising changes that can be made for improving the current planning process. The scenarios considered involve market changes for energy demand and price, and also alternative production opportunities. A cross-analysis compares the scenarios in order to reveal additional relations that are important to consider. Depending on a price change of energy, the model prioritizes in its selection of pulp products to produce. From this we provide guidelines on where and when to increase or decrease pulp production. The model shows that the company can increase its total profit no matter which of the included energy parameters that increase in price. The paper contributes to previous research by enhancing the usefulness of this model for not only the case company as such, but also by illustrating and describing how the approach applied can be useful for other cases within the energy intensive industry.

How can a different planning of production and supply chain increase energy efficiency and effectiveness? This descriptive and rather exploratory case study investigates these possibilities by mapping the production system and its supporting energy system at a steel company’s production site. Several possibilities for improvement in the planning processes have been located and evaluated. Our findings resulted in identifying four different improvement areas: 1) planning slab furnaces, 2) utilizing embedded heat and shortening lead times, 3) broader frame when scheduling for decreasing waste at set-ups, and 4) demandresponse opportunities related to electricity price variations. The first improvement area: planning of the slab furnaces, shows the largest potential, both in terms of energy savings and reduced costs. The second and the third improvement areas are similar to each other in terms of potential energy savings, but if the lead-time also could be decreased in the second it would be more economically beneficial than the other. Additional possibilities are found in the fourth improvement area where electricity demand response actions by rescheduling the energy-intensive production into times of low electricity price might save electricity costs. To conclude, the company could reach both higher energy efficiency and profitability simultaneously, by utilizing the energy- and the production systems combined in a more efficient and effective way.

This paper investigates the possibilities of merging suitable processes for energy management into operations management processes within a steel company. The descriptive and rather exploratory case study maps the production system and its supporting energy system within one of the company’s production sites. Several possibilities for improvement in the planning processes have been located and evaluated. Our findings resulted in that four different improvement areas could be identified: planning furnace ovens, utilizing embedded heat and shortening lead times, wider scheduling for decreasing waste at set-ups, and demand-response opportunities related to electricity price variations. Improved planning of the furnace ovens shows the largest potential, both in terms of energy savings and reduced costs. To utilize embedded heat and to reduce waste at set-ups are similar to each other in terms of potential energy savings, but if the lead-time also could be decreased the economical benefits would excel. There are moreover possible economical benefits of electricity demand response actions by rescheduling the energy-intensive production into times of low electricity price. To conclude, the company could reach both higher environmental performance and economical profitability simultaneously, and thus utilizing the energy- and the production systems combined in a more efficient and effective way.

Planning and scheduling are functions that have large economic impact in the chemical process industry. For integrated sites with many interconnected production areas, obtaining production schedules that respect all production-related constraints is a complex task. One important issue is the constraints due to disturbances in utilities, such as steam and cooling water. These are often site-wide disturbances that may make it impossible to maintain desired production rates in several production areas at a site. In this study, scheduling at two levels of the functional hierarchy at a site of a world lead chemical industry, Perstorp, is handled. The activities are denoted production scheduling (PS) and detailed production scheduling (DPS). Real data of incoming orders and utility disturbances are used to produce a production schedule and detailed production schedule for one month. The PS and DPS problems are formulated as optimization problems, where production-related constraints such as production rate constraints, inventory limitations, and start-up costs are included. The objective functions of the PS and DPS problems are formulated to reflect the importance of different issues at the site. The procedure aims to show how the hierarchical optimization framework may be used to provide decision support for how to operate the production at a site in order to maximize profit while minimizing the effects of site-wide disturbances.

Transformativa upphandlingar är inget upphandlingsförfarande som finns beskrivet och reglerat i direktiv och lagar. Det transformativa inköpsarbetet är ett långsiktigt arbete som behöver påbörjas långt innan upphandlaren skriver ihop förfrågningsunderlaget, med andra ord handlar det om ett strategiskt inköpsarbete.

Tankesmedjan är ett initiativ där individer från kommuner, landsting, statliga myndigheter, akademi och andra relevanta organisationer samlas för att undersöka hur dagens globala utmaningar kan vändas till möjligheter genom transformativa lösningar inom offentlig upphandling och inköp. Detta sker för att bidra till att uppnå de långsiktiga hållbarhetsmål som formulerats på internationell nivå, EU-nivå, nationell nivå och även i allt större utsträckning på lokal nivå.

Tankesmedjans arbete med transformativa lösningar i inköp och upphandling utgår från den upphandlande organisationens behov i förhållande till hållbar utveckling.

Tankesmedjans syfte är att se till alla aktiviteter som tillfredsställer organisationens behov av transformativa lösningar. Det kan vara lösningar som leder till innovationer men perspektivet är inte avgränsat till innovationer utan är ett helhetsperspektiv på alla möjliga lösningar.

Tankesmedjan initierades och koordinerades av Miljöstyrningsrådet från början av 2013 och fram till Miljöstyrningsrådets nedläggning i juli 2014.

Denna skrift är inte en vetenskaplig rapport och inte heller en utredning, det är snarare en stafettpinne. Den handlar om vad Tankesmedjan arbetat med under knappa omständigheter och hur vägen framåt för tankesmedjans fortsatta arbete ser ut nu när Tankesmedjan lämnas över till nästa aktör.

Kanske kan skriften även tjäna som inspirationskälla till alla köpande organisationer att söka transformativa lösningar i inköp och upphandling.

The purpose of this paper is to investigate both environmental effects and cost effects of using less specified contracts regarding bus sizes in public bus transports. The process of choosing the best bid in the public procurement of bus transports is easier if the demands of the qualifications are well specified and detailed. On the other hand, detailed contracts can force the entrepreneurs to use less environmentally friendly and uneconomical alternatives. A mathematical model with binary variables is developed to evaluate the environmental and the economical effects of more optimized bus sizes. Computational results from a bus service provider are reported. The results of the model indicate that the emissions decrease considerably by using less detailed contracts. The results of a sub case indicate that the costs could be reduced as well, depending on how efficient the additional buses can be planned. The process of choosing the best bid in the public procurement process will be more complicated when the contracts are less detailed compared to current situations.

We present a mathematical optimization model that can be used as a decision support tool for the supply chain planning at Perstorp Oxo AB, a global company in the process industry. At their site in Stenungsund, Perstorp Oxo AB produce chemicals to customers in a variety of branches and for further refinement at other Perstorp sites in Gent, Castellanza and Perstorp. The customers are mainly in branches such as food and feed, leather and textile, plastic and safety glass production. Since Perstorp Oxo sells products to customers worldwide, two large inventory facilities are located in Antwerp (Belgium) and Tees (United Kingdom) for five product types each and two smaller facilities in Philadelphia (USA) and Aveiro (Portugal) for one type respectively. The developed model is a mixed-integer linear program, where the objective function maximizes the profit. A solution to the model shows the quantities to be transported between the different sites, production rates, inventory levels, setups and purchases from external suppliers, each with its respective cost. Based on actual sales data from Perstorp Oxo AB, we use rolling horizon techniques to simulate how customer demands vary over a time horizon of one year, and show that our optimization model is able to find feasible and profitable production plans. The results show that there is a potential to increase profit margin by using a decision support tool based on an optimization model.

The integration of scheduling and control in the process industry is a topic that has been frequently discussed during the recent years, but many challenges remain in order to achieve integrated solutions that can be implemented for large-scale industrial sites. In this paper we consider production control under disturbances in the supply of utilities at integrated sites together with the integration towards production scheduling. Utilities, such as steam and cooling water, are often shared between the production areas of a site, which enables formulation of an optimization problem for determining the optimal supply of utilities to each area at the occurrence of a disturbance. Optimization in two timescales is suggested to handle the scheduling and disturbance management problems in a hierarchical fashion. The suggested structure has been discussed with companies within the chemical process industry. A simple example is provided to show how the structure may be used

Integrated planning of the supply chain at a multi-site pulp company has previously been considered, in whichenergy are included with respect to its revenue generating capabilities. When energy intense raw materials notonly give fiber to the pulp process but also generate an energy surplus, there is room for different planningapproaches to maximize the total profit. This paper deeply analyses the model with more analytical scenariosand reveals promising changes that can be done in terms of both refining the current planning, but also byimproving the production system and its corresponding energy system. The scenarios considered involvemarket changes for energy demand and price, and alternative production opportunities. The scenarios arecross-analyzed and compared in order to reveal additional relations that are worthy to consider. The findingstherefore point out the usefulness of the model and its advantages.

In this paper we consider integrated planning of the supply chain at a multi-site pulp company. In addition to the traditional focus on pulp products, also energy aspects are considered, both in the form of raw material and as revenue generating products. The idea is that energy intense raw materials not only gives fibre to the pulp process but also generates an energy surplus that can be used in different ways to create additional value or revenues. The planning horizon is one year and monthly time periods are considered. Decisions included in the planning are; purchase and transportation of raw materials from harvest areas to pulp mills, production allocation by dividing the production among the pulp mills, energy mix by choosing the energy input at the pulp mills, and distribution of products from mills to customer. An MILP model for the entire supply chain is proposed. A number of different scenarios including real data from the case company are analyzed and evaluated. The aim of the study is thus to investigate the effects on profitability while taking energy issues into consideration.