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Business and Operations Modeling
Operations modeling carried out by ProAnd is designed to
plants to be theoretically structured and reviewed to test and define outcomes
and enable the answers to questions such as:
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What
is the effect of a new labour agreement of the operations of the company? |
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If
we increase the level of production where will the physical limits of the
plant resource efficiency? |
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What
happens to the bottom line if the market price of tallow drops 20%? |
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Given
the costs of cattle and the finished product prices in different markets,
what is the most profit effective production and sales profile for the
company? |
These are the types of questions that are able to be answered
by the development of computer models to business operations.
Essentially the modeling of business operations by ProAnd
fall into two broad categories.
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Cost and economic Modeling
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Mass Balance
and/or Plant
Operations Modeling
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These classes of model may also be combined to provide a more
extensive model identifying physical, cost elements and drivers of the business
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Cost Modeling
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This type of modeling
essentially allows a plant (particularly one that is being considered for
construction) to be modeled and tested over a range of variables Including:
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Different plant arrangements
(one or two process lines, different chiller requirements etc)
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To investigate at the
effects of different shift and work arrangements
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To test the elements of the
business inputs to revenue and profit sensitivity
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The test the effects of
changing productivity, the substitution of equipment
for labour etc
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Changes to the cost drivers
of the business, overheads, power and utility charges, wages and on
costs etc.
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Generally the outputs of the model
are the costs of operation in gross and unit terms for each of the scenarios.
This data can then be used as
benchmarking input to compare the plant operations with other industry operators
and the plant operations competitively evaluated
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Mass
Balance Modeling
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This type of model looks at the physical
operations of the business and balances the physical movements of products
though each of the process stages. Typically this allows the plant to be tested
for:
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Production
bottlenecks caused by plant sizing or incorrect planning |
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Labour
requirements and labour balancing in the plant operations |
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Raw
material input requirements |
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Mass
and volumes of plant outputs including waste and by product streams. |
For further information download: 
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