Setra is testing OptiNex for tactical sawmill planning
ForestX is now in the final phase of a feasibility study with Setra. What can OptiNex achieve in a Setra sawmill?
In the feasibility study, ForestX has built a full model of OptiNex for Setra’s sawmill in Färila. The model mimics and reacts like the real sawmill with a few simplifications.
Oskar Selmeryd is project manager at ForestX and explains what sawmills like the one in Färila can achieve by using OptiNex:
1. Crystal ball
OptiNex works like a crystal ball! What happens if we want to sell this type of product to this imaginary market at this imaginary price for the coming quarters?
Or what happens if we change the distribution of products. How does it affect the production plan and net profit? We can model different scenarios and then evaluate. You can simply try what effect different types of business have on the net result. And it can be done continuously all the time.
2. Alternative calculation
What effect does it have if we change market and products? How do we manage production, other commitments we already have and what does the utilization rate look like at the sawmill? OptiNex can provide answers to all of this, Oskar Selmeryd explains.
3. Changes in the supply of raw materials
The raw material supply can be changed; the material has a different diameter than planned, or comes in a different length distribution. OptiNex can then show what effect it has on the saw, how the ability to pay changes and how to manage its previous commitments based on the change.
The customer Setra early on raised the question of what requirements are placed on the organization for OptiNex to function best. That part is therefore already included in the feasibility study.
There must be an organization that can receive the tool. Who is responsible for maintaining the product, for example? says Oskar Selmeryd. We have simply looked at the organization linked to the use of OptiNex.
We have also looked at how OptiNex can be technically integrated in the company. This is a completely new tool that they have not used before at Setra, then it’s important that you address both the technical and the organizational issues early, so that it doesn’t just land in someone’s lap when it’s done.
The feasibility study began in October 2021 and already in January 2022, Setra can see and evaluate how OptiNex works in their particular case.
In the feasibility study, ForestX has built a full model of OptiNex for Setra’s sawmill in Färila. From January 2021 Setra can start testing and evaluation how OptiNex work in their processes.
Setra is one of Sweden’s largest wood industry companies. The company has eight production units around Sweden, seven sawmills and a processing unit where Setra manufactures glulam components and KL wood.
Setra is 50 percent owned by Sveaskog and 49.5 percent by the forest owners’ association Mellanskog. Other shares are owned by 1,500 smaller shareholders.
The group includes the subsidiaries Setra Trävaror, Pyrocell and Setra Wood Products. Setra has approximately 800 employees and sales of approximately SEK 4 billion.
About 65 percent of sales consist of exports to Europe, North Africa, the Middle East, Asia and Australia.