Log supply valuation and allocation to alternative cutting programs using log boom scaling data

• Main Author: Smith, Robert Roy
• Language: English
• Published: 2009
• Online Access: http://hdl.handle.net/2429/4240

Numerous methods have been developed by forest companies to ensure that the right logs are processed by the right facility into the right products. Advances in computer technology have made possible the detailed analysis of vast amounts of electronically recorded data, such as log scaling data, and the effective and accurate prediction of lumber recovery from sawlogs using sawing simulation. This thesis describes the development of a method for improving the utilization of merchantable grade log booms through the preliminary analysis of log scaling data and the use of bucking and sawing simulation to predict the lumber value recoverable from various sizes of sawlogs. Potential benefits include preliminary prediction of lumber production, valuation of log booms to improve selling and purchasing accuracy in open log markets, and improved profitability through the specific allocation of a log boom supply to alternative product lines. Based upon the results of a case study conducted on a Coastal British Columbia sawmill, the five step method can effectively predict the volumes and sizes of the lumber contained within a given log boom, as well as provide an estimate of the boom's dollar value. Overall profitability was also improved using a heuristic based allocation procedure on an entire month's log supply.