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Enterprise Optimization

 


Kinghorn Systems Engineering provides leading solutions in enterprise modelling using Enterprise Optimizer software from River Logic, Inc. of Dallas, Texas.  River Logic supplies Enterprise Optimizer software while we focus on implementation into your business.  We have found Enterprise Optimizer to be the absolute best modelling software available today.  See for yourself at:

Our specialization is implementation of enterprise optimization in process industries, particularly the forest and coal industries (See Kinghorn Systems Engineering EO Implementation Services).  The end product for the customer is sophisticated mathematical model(s) of their business(es) underlying a set of simple flow diagrams.  All aspects of enterprise (corporate) operations are taken into account in an integrated and holistic way so that the models provide verifiable numbers to assist managers facing decisions such as the following:

 

Decision

Application Examples

    Log purchase pricing
  • What is the highest price that can be paid for a specific timber sale or to purchase specific timberlands?
  • What is the value of headrig logs or peelers and at what volume does the price get too high for the purchase to contribute to profit?
    Harvest Planning
  • Which cut blocks should be harvested when?
  • What harvest methods should be used (selective logging, partial retention, clearcut, etc.)?
    Log allocation
  • Which logs should go to the sawmill, which to the plywood plant and which should be sold?
    Production planning
  • Should the sawmill or planer mill run a third shift?
  • Should the veneer dryers be run on the weekend with overtime premium?
    Product mix selection
  • Which is more profitable, dimension or export, and from which logs?
  • How much 3/4" sheathing should be produced for each M3/8 of underlay to maintain continuous balance of faces & backs and core?
    Product blending
  • What is the most profitable way to blend mine output coals from one or many mines into products to meet customer requirements for various characteristics such as ash, sulphur, volatiles, fluidity, reflectivity, BTU content, sodium, phosphate, CSR, log (ddpm), etc.?
    Sales pricing & volumes
  • Is it worth selling a large volume of one product at a discount price to one customer?
    Capital planning
  • What is the maximum price that can be paid to purchase an OSB plant that's for sale and what impact will it have on other Company mills?
  • What is the annual return for adding a new kiln in the sawmill and what will the pro forma income (P&L) statement show?
  • What is the annual return for adding a new defibrator in the MDF plant?


The models can be as simple or as complex as required.  A single mill can be modeled on its own or the single mill model can be inserted into a full corporate model.  On the other hand, all operations of a company can be modeled without a lot of detail to help support high-level strategic decisions.

To be fully impressed, see Enterprise Optimizer features list, or its easy-to-understand graphical user interface (GUI) flow diagrams, or its user-customized dashboards.  Most importantly, see what Kinghorn Systems Engineering can do for you with our EO implementation services.


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