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A Decision Support System for Production/ Distribution Planning in Continuous Manufacturing

This paper presents a decision support system (DSS) for managing production/distribution planning in a continuous manufacturing environment. The vendor has multiple plants and distribution centers (DCs). The trading partners have widely varying independent demand patterns. The DSS is designed for use in a multiproduct environment with overlapping raw materials and processing requirements. The production and distribution lead times at plants may span multiple planning periods. The impact of any manual override of a suggested solution can also be evaluated. The DSS is based on a linear programming model with a rolling horizon and was originally designed for a large process industry. Results of a pilot implementation using actual data are also presented, which show potential for significant savings for the company.