Integrating process optimization and inventory planning in cutting-stock with skiving option: An optimization model and its application

The implementation of the proposed methodology allows the integration of two hierarchical decision levels (short-term operations vs. mid-term planning) and functional areas (production vs. purchase of materials) within a single planning model, and provides an example of how an element of an Advanced Planning System (APS) could be designed. Moreover, the use of suitable cost figures in the model allows to correctly manage the insertion of hot orders of finite parts.