Optimizing Sales and operations planning process for a multi-site group. (S&0P)

Abstract

The objective of this paper is to optimize Magotteaux's S&OP process. Magotteaux establishes its production plan for the next twelve months. The current tool does not allow for optimizing the allocation of forecasts to the plants. Thus, this paper provides a decision-making tool that reduces Magotteaux's total costs while taking into account the various constraints. After an analysis of Magotteaux's products, customers, numerous plants and S&OP process, the planning problem is formulated as a linear mathematical model and optimally solved by the Gurobi solver. The strong point of this new tool is its flexibility. Indeed, it is possible to modify the different parameters of the model and to make simulations and hypotheses. The tool also allows Magotteaux to save a significant amount of time. In this paper, the results of one of the simulations are analysed and suggestions for improvement are discussed.