Linking strategic and tactical forestry planning decisions

Abstract

In this paper a two-level model and optimization algorithms are introduced to assist forestry companies in simultaneously considering strategic investment and tactical planning decisions. A procedure to reduce the discrepancy produced in the aggregation and disaggregation process used to link these two-level decisions is also presented. This procedure is based on both cluster analysis over economic parameters defined on "the stand macro-units to be harvested" and on the information transmitted bottom-up and top-down between the strategic and tactical models. We also show a new approach for solving the tactical mixed integer model.