Value design networks

Genetic Algorithms (GA) are used in case of large combinatorial problems and can be applied e g. for example in complex value chain network design decisions (Chan/Chung 2004)... 

Profit III tries to match the EBT level not considering taxes on a tactical value chain planning level, taxes are not decision-relevant for a global value chain strategy and network design decisions, taxes are of course an important parameter to consider when deciding on sites and locations in the value chain network... 

However, how do you make the design last How do you maximize value The key is the relationship design. Network relationships can only be sustained when there is a sustainable win/win value proposition between the two parties. The relationship needs to weather changes and transcend time. As power positions in the supply chain shift, it needs to adapt without breaking. If the value proposition is a one-sided view, or is not reevaluated on an ongoing basis, it will break. 

The value added network is usually associated with markets where customer preferences are stable. Companies that complement each other in adding value to products or services, work as a part of a network to create significant customer value. The stable market allows companies to invest in long term innovations and creative product designs, as they can be confident that relatimiships with suppliers and intermediaries would not come under stress. While retaining the leadership roles for innovations, companies may outsource production and distribution to global suppliers and service providers on a transactional basis. 

In the textile industry, the main focus of these topics is on the design of flexible, autonomous textile process chains within companies or value-added networks. 

The design of the heat exchanger network is greatly simplified if the design is initialized with an optimized value for... 

A low temperature of approach for the network reduces utihties but raises heat-transfer area requirements. Research has shown that for most of the pubhshed problems, utility costs are normally more important than annualized capital costs. For this reason, AI is chosen eady in the network design as part of the first tier of the solution. The temperature of approach, AI, for the network is not necessarily the same as the minimum temperature of approach, AT that should be used for individual exchangers. This difference is significant for industrial problems in which multiple shells may be necessary to exchange the heat requited for a given match (5). The economic choice for AT depends on whether the process environment is heater- or refrigeration-dependent and on the shape of the composite curves, ie, whether approximately parallel or severely pinched. In cmde-oil units, the range of AI is usually 10—20°C. By definition, AT A AT. The best relative value of these temperature differences depends on the particular problem under study. 

If a network is designed that requires heat to flow across the pinch, then the consumption of the hot and cold utilities will be greater than the minimum values that could be achieved. 

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