IDEAS home Printed from https://ideas.repec.org/a/eee/jomega/v13y1985i1p29-38.html
   My bibliography  Save this article

An integrated corporate planning model for forest-based industries

Author

Listed:
  • Hausman, Warren H
  • Sepehri, Mehran

Abstract

The paper presents an integrated model for corporate planning of forest-based industries. Techniques are developed to determine the profitability of wood quality manipulations, taking into proper account the impact of uncertainties on future product prices. Production alternatives of final products are specified as functions of wood quality properties which are, in turn, functions of tree type (genotype) alternatives. The total return from processing wood depends on future prices of final products, which are unknown. Selling prices of final products are related to stochastic price indices for solid wood products and paper products. Risk can be reduced by diversifying among genotype alternatives; in a case study the value of a portfolio of genotype alternatives is significantly larger than the single 'best' genotype alternative. The model framework may be applicable to any other natural resource industry with similar characteristics such as agriculture, petroleum or mining.

Suggested Citation

  • Hausman, Warren H & Sepehri, Mehran, 1985. "An integrated corporate planning model for forest-based industries," Omega, Elsevier, vol. 13(1), pages 29-38.
    • Handle: RePEc:eee:jomega:v:13:y:1985:i:1:p:29-38
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/0305-0483(85)90080-5
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Baselli, Gianluca & Contreras, Felipe & Lillo, Matías & Marín, Magdalena & Carrasco, Rodrigo A., 2020. "Optimal decisions for salvage logging after wildfires," Omega, Elsevier, vol. 96(C).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jomega:v:13:y:1985:i:1:p:29-38. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/375/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.