A Comparative Study of Price-Driven Production Control Methods Using a Sawmill Simulator

In today's dynamic markets, decision-making relies heavily on simulation models to evaluate different production control methods. Although price-driven production control methods have proven their effectiveness in exploiting price volatility, certain industries are still reluctant to adopt these methods in their operational decision-making. This research demonstrates the relevance of price-driven methods for the wood products industry. A sawmill simulator is used to illustrate this. Since the simulation of the sawmill production process is time-consuming, we propose a probabilistic sampling-based method to rationalize the dataset size. A comparative study shows that exploiting historical and recent price data increases sawmill revenues.