IDEAS home Printed from https://ideas.repec.org/a/pal/jorsoc/v62y2011i4d10.1057_jors.2010.8.html
   My bibliography  Save this article

An optimization-based decision support system for strategic planning in a process industry: the case of aluminium company in India

Author

Listed:
  • G Dutta

    (Indian Institute of Management)

  • N Gupta

    (Maersk Group Procurement)

  • R Fourer

    (Northwestern University)

Abstract

We describe how a generic multi-period optimization-based decision support system (DSS) can be used for strategic planning in process industries. The DSS is built on five fundamental elements—materials, facilities, activities, storage areas, and time periods. It requires little direct knowledge of optimization techniques to be used effectively. Results based on real data from an aluminium company in India demonstrate significant potential for improvement in profits. We conclude with a comparison of similar studies in two other process industries.

Suggested Citation

  • G Dutta & N Gupta & R Fourer, 2011. "An optimization-based decision support system for strategic planning in a process industry: the case of aluminium company in India," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 62(4), pages 616-626, April.
    • Handle: RePEc:pal:jorsoc:v:62:y:2011:i:4:d:10.1057_jors.2010.8
    DOI: 10.1057/jors.2010.8
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1057/jors.2010.8
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1057/jors.2010.8?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

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

    References listed on IDEAS

    as
    1. Miles G. Nicholls, 1995. "Aluminum Production Modeling—A Nonlinear Bilevel Programming Approach," Operations Research, INFORMS, vol. 43(2), pages 208-218, April.
    2. Dutta, Goutam & Fourer, Robert & Majumdar, Akhilesh & Dutta, Debabrata, 2007. "An optimization-based decision support system for strategic planning in a process industry: The case of a pharmaceutical company in India," International Journal of Production Economics, Elsevier, vol. 106(1), pages 92-103, March.
    3. Goutam Dutta & Robert Fourer, 2001. "A Survey of Mathematical Programming Applications in Integrated Steel Plants," Manufacturing & Service Operations Management, INFORMS, vol. 3(4), pages 387-400.
    4. Gopal P. Sinha & B. S. Chandrasekaran & Niloy Mitter & Goutam Dutta & Sudhir B. Singh & Aditya Roy Choudhury & P. N. Roy, 1995. "Strategic and Operational Management with Optimization at Tata Steel," Interfaces, INFORMS, vol. 25(1), pages 6-19, February.
    5. Nicholls, Miles G., 1997. "Developing an integrated model of an aluminium smelter incorporating sub-models with different time bases and levels of aggregation," European Journal of Operational Research, Elsevier, vol. 99(2), pages 477-490, June.
    Full references (including those not matched with items on IDEAS)

    Citations

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


    Cited by:

    1. Goutam Dutta & Payal Apujani & Narain Gupta, 2016. "An Introduction to the Aluminium Industry and Survey of OR Applications in an Integrated Aluminium Plant," Working Papers id:11097, eSocialSciences.
    2. Apujani, Payal & Dutta, Goutam & Gupta, Narain, 2016. "An Introduction to the Aluminum Industry and Survey of OR Applications in an Integrated Aluminum Plant," IIMA Working Papers WP2016-03-50, Indian Institute of Management Ahmedabad, Research and Publication Department.
    3. Gupta, Narain & Dutta, Goutam & Fourer, Robert, 2014. "A Multi-Period Two Stage Stochastic Programming Based Decision Support System for Strategic Planning in Process Industries: A Case of an Integrated Iron and Steel Company," IIMA Working Papers WP2014-04-04, Indian Institute of Management Ahmedabad, Research and Publication Department.
    4. Rao, Harish Venkatesh & Dutta, Goutam & Basu, Sankarshan, 2014. "Database Structure for a Multi Stage Stochastic Optimization Based Decision Support System for Asset – Liability Management of a Life Insurance Company," IIMA Working Papers WP2014-06-02, Indian Institute of Management Ahmedabad, Research and Publication Department.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. J. F. F. Almeida & S. V. Conceição & L. R. Pinto & B. R. P. Oliveira & L. F. Rodrigues, 2022. "Optimal sales and operations planning for integrated steel industries," Annals of Operations Research, Springer, vol. 315(2), pages 773-790, August.
    2. Dutta, Goutam & Gupta, Narain & Robert Fourer, 2008. "An Optimization-Based Decision Support System for Strategic Planning in a Process Industry: The Case of an Aluminum Company in India," IIMA Working Papers WP2008-12-06, Indian Institute of Management Ahmedabad, Research and Publication Department.
    3. Singer, Marcos & Donoso, Patricio, 2006. "Strategic decision-making at a steel manufacturer assisted by linear programming," Journal of Business Research, Elsevier, vol. 59(3), pages 387-390, March.
    4. Goutam Dutta & Robert Fourer, 2001. "A Survey of Mathematical Programming Applications in Integrated Steel Plants," Manufacturing & Service Operations Management, INFORMS, vol. 3(4), pages 387-400.
    5. Sierra-Paradinas, María & Soto-Sánchez, Óscar & Alonso-Ayuso, Antonio & Martín-Campo, F. Javier & Gallego, Micael, 2021. "An exact model for a slitting problem in the steel industry," European Journal of Operational Research, Elsevier, vol. 295(1), pages 336-347.
    6. Bellabdaoui, A. & Teghem, J., 2006. "A mixed-integer linear programming model for the continuous casting planning," International Journal of Production Economics, Elsevier, vol. 104(2), pages 260-270, December.
    7. Blossey, Gregor & Hahn, Gerd J. & Koberstein, Achim, 2022. "Planning pharmaceutical manufacturing networks in the light of uncertain production approval times," International Journal of Production Economics, Elsevier, vol. 244(C).
    8. Cochran, Jeffery K. & Marquez Uribe, Alberto, 2005. "A set covering formulation for agile capacity planning within supply chains," International Journal of Production Economics, Elsevier, vol. 95(2), pages 139-149, February.
    9. Singer, Marcos & Donoso, Patricio, 2008. "Empirical validation of an activity-based optimization system," International Journal of Production Economics, Elsevier, vol. 113(1), pages 335-345, May.
    10. Rao, Harish Venkatesh & Dutta, Goutam & Basu, Sankarshan, 2014. "Database Structure for a Multi Stage Stochastic Optimization Based Decision Support System for Asset – Liability Management of a Life Insurance Company," IIMA Working Papers WP2014-06-02, Indian Institute of Management Ahmedabad, Research and Publication Department.
    11. Peter C. Bell & Chris K. Anderson, 2002. "In Search of Strategic Operations Research/Management Science," Interfaces, INFORMS, vol. 32(2), pages 28-40, April.
    12. Brian Denton & Diwakar Gupta & Keith Jawahir, 2003. "Managing Increasing Product Variety at Integrated Steel Mills," Interfaces, INFORMS, vol. 33(2), pages 41-53, April.
    13. Ankur Sinha & Zhichao Lu & Kalyanmoy Deb & Pekka Malo, 2020. "Bilevel optimization based on iterative approximation of multiple mappings," Journal of Heuristics, Springer, vol. 26(2), pages 151-185, April.
    14. Peter C. Bell & Chris K. Anderson & Stephen P. Kaiser, 2003. "Strategic Operations Research and the Edelman Prize Finalist Applications 1989--1998," Operations Research, INFORMS, vol. 51(1), pages 17-31, February.
    15. Ellis L. Johnson & George L. Nemhauser & Martin W.P. Savelsbergh, 2000. "Progress in Linear Programming-Based Algorithms for Integer Programming: An Exposition," INFORMS Journal on Computing, INFORMS, vol. 12(1), pages 2-23, February.
    16. Apujani, Payal & Dutta, Goutam & Gupta, Narain, 2016. "An Introduction to the Aluminum Industry and Survey of OR Applications in an Integrated Aluminum Plant," IIMA Working Papers WP2016-03-50, Indian Institute of Management Ahmedabad, Research and Publication Department.
    17. Christoph Meyer & Matthias G. Wichmann & Thomas S. Spengler, 2016. "Management of recycling operations for iron and steel making slags," Journal of Business Economics, Springer, vol. 86(7), pages 773-808, October.
    18. Goutam Dutta, 2000. "Lessons for Success in OR/MS Practice Gained from Experiences in Indian and US Steel Plants," Interfaces, INFORMS, vol. 30(5), pages 23-30, October.
    19. Lixin Tang & Ying Meng & Zhi-Long Chen & Jiyin Liu, 2016. "Coil Batching to Improve Productivity and Energy Utilization in Steel Production," Manufacturing & Service Operations Management, INFORMS, vol. 18(2), pages 262-279, May.
    20. Noroozi, Sayeh & Wikner, Joakim, 2017. "Sales and operations planning in the process industry: A literature review," International Journal of Production Economics, Elsevier, vol. 188(C), pages 139-155.

    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:pal:jorsoc:v:62:y:2011:i:4:d:10.1057_jors.2010.8. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave-journals.com/ .

    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.