A dynamic optimization model of an integrated coal supply chain system and its application

Various nodes, logistics, capital flows, and information flows are required to make systematic decisions concerning the operation of an integrated coal supply system. We describe a quantitative analysis of such a system. A dynamic optimization model of the supply chain is developed. It has achieved optimal system profit under conditions guaranteeing a certain level of customer satisfaction. Applying this model to coal production of the Xuzhou coal mines allows recommendations for a more systematic use of washing and processing, transportation and sale resources for commercial coal production to be made. The results show that this model, which is scientific and effective, has an important value for making reasonable decisions related to complex coal enterprises.