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Optimization of Techno-Economic Wood Procurement From Renewable Forests For Offsetting The Needs of Industry Against Those of The Environment

The importance of the security of wood supply has been emphasized in recent years due to the environmental issues and changes in operating environments. Thanks to resiliency in wood procurement, organizations with decentralized plants may be able to quickly adapt to the changing needs of society toward Industry 5.0. The main aim of this study was to increase the sustainability of these plants’ wood procurement by modeling and optimizing it for determining the company’s profitable wood procurement region while keeping the forests renewable. The sustainability of wood procurement was assessed by considering the additional costs caused through the EEAP mechanism if the carbon sink of the forest worsened due to wood procurement in the area. The supply chains were compared so that the sawmill managers could adopt the best wood value chains to their own and customers’ mills. The results showed that updating the procurement strategy would be necessary. The sawmill managers should purchase wood more by themselves from a larger procurement area than the current one instead of using delivering purchases of wood. The Techno-Economic Wood Payment Ability Model was a useful part of the DSS in guiding wood buyers toward environmentally sustainable wood procurement by increasing the share of renewable forests.

Teijo Palander
UEF
Finland