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Inventory management always seems to be trade-off between reliable production and low stock levels. By using mathematical optimization, you can have both at the same time.
Sometimes optimization specialists combine different existing techniques to tackle a new type of problem. This is the case for flow network analysis and the facility location problem by combining them to flow location networks. Let’s see how that works and what can be solved this way.
Life – and planning in particular – would be so much easier if we knew in advance what was going to happen in the future. Of course, that’s not possible. But with predictive analytics, we come pretty close, at least for our planning questions.
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