Energy issues in supply chain and production planning in the steel industry: A case study at SSAB
2014 (English)In: in Grubbström, R.W, Hinterhuber, H.H., (Eds), PrePrints, Vol. 1, 18th International Working Seminar on Production Economics, Innsbruck, Austria, 2014, 489-501 p.Conference paper (Other academic)
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.
Place, publisher, year, edition, pages
2014. 489-501 p.
Production planning, Supply chain planning, energy, case study, steel industry.
Engineering and Technology Economics and Business Business Administration Energy Systems
IdentifiersURN: urn:nbn:se:liu:diva-104978OAI: oai:DiVA.org:liu-104978DiVA: diva2:702996
18th International Working Seminar on Production Economics, Innsbruck, Austria, February 24-28, 2014
FunderSwedish Foundation for Strategic Research