Chemical SC scheme for integrated planning

For integrated planning approaches, all elements in the considered chemical SC are relevant including transport relations to (external) customers and suppliers. Only external suppliers or customers themselves are not modelled in detail. 

Core elements of chemical SCs considered in integrated planning approaches at the tactical/strategicaf level are capacities and parameters of the production systems and the logistical systems (e.g. turnover or inventory capacities). Since sites and plants are interconnected, local adjustments more or less immediately affect the remaining sites/-plants. Integrated approaches capture these spill-over effects by a combined modelling of the interdependent components. 

Integration not only focuses on the spatial or temporal dimension of an SC but also on separated planning (sub-)problems. These (sub-)problems and their interdependencies are modeUed in a common framework. Basically, two options for integration can be distinguished The first option is to merge the sub-problems into a monolithic model (also called deep integration). The second option is to stay with the decomposition into 

The decomposition of the monolithic model into suitable sub-problems and setting up a functional integration scheme.  

The development of tailored optimization techniques by exploiting specific properties of the monolithic model. 

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Figure 4.1 Chemical SC scheme for integrated planning (relevant elements highlighted)...

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