Strategic planning in forest industries (Q1069855)

The problem of modelling high investment decisions faced by a forest industry is analyzed in this paper. Data and concerns of a particular enterprise give form to an application of the approach. A mixed integer model is used for the investment decisions, for which the original silvicultural information is aggregated, based on LP aggregation criteria first proposed by \textit{P. H. Zipkin} [Oper. Res. 28, 403-418 (1980; Zbl 0426.90056) and ibid. 28, 903-916 (1980; Zbl 0441.90057)]. This model interacts with a typical more detailed forest management model. Results obtained indicate this is a promising approach for integrating complex investment decisions into the planning process.