Forest2Market Launches Wood Fiber Supply Chain Optimization System

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Forest2Market’s Supply Chain Optimization System assists manufacturers by identifying inefficiencies and reducing wood fiber costs.

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By combining an optimization process with powerful analytical tools built from transaction data, we are able to help our customers identify and capitalize on cost savings opportunities.

With increased demand for wood fiber and supply restrictions created by a collapsed sawtimber market at the end of the last decade, select wood basins across the South will experience price pressure over the next ten years. In this environment, manufacturers using wood fiber to manufacture wood, paper and energy products will be under more pressure than ever to manage their wood costs.

To help these industries manage and mitigate the risk of higher prices, Forest2Market has launched a supply chain optimization system that can help manufacturers identify inefficiencies in their supply chains and implement strategies for lowering their wood fiber costs.

“The data Forest2Market collects in our Delivered Raw Material Cost database provides a foundation upon which we can help our subscribers compare their performance to their peers and identify the places in which they are out of line with the market,” says Pete Coutu, Director of North American Sales at Forest2Market. “By combining an optimization process with powerful analytical tools built from transaction data, we are able to help our customers identify and capitalize on cost savings opportunities.”

These tools include:

  • Peer group comparisons of product mix, consumption volume, cost components and haul distances
  • Cost curves that peg a mill’s average cost by volume to market highs, lows and averages
  • Market share analysis that identifies high and low cost locations for sourcing wood fiber
  • Stumpage price forecasts for guiding operational decision making
  • Benchmarks and dashboards for monitoring the results of optimization decisions in single or multiple mill systems

To accompany the launch of this product, Forest2Market is producing a series of blog posts, white papers and product brochures to explore supply chain issues and how optimization can benefit wood fiber consumers.

On our blog:

  • "Want to Know If Your Wood Costs Are Too High? Find a Peer Group" by Pete Stewart
  • "How to Avoid Panic Buying: Woodyard Inventory vs. Spot" by Pete Coutu
  • "Solving the High(er) Wood Fiber Cost Problem" by Daniel Stuber
  • "Adapt to Survive: Optimizing the Wood Supply Chain" by Jay Engle
  • "Extract Value from your Wood Supply Chain with Data" by Pete Coutu

Optimizing Your Wood Fiber Supply Chain White Paper:

About Forest2Market
Headquartered in Charlotte, North Carolina, Forest2Market provides market pricing data, cost and performance benchmarks and analytics, as well as other solutions to the complex supply chain challenges faced by wood products, pulp and paper products and wood-based biomaterials producers in the United States, Canada, Brazil and Europe. For more information, visit http://www.forest2market.com.

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Suz-Anne Kinney
Forest2Market
+1 (980) 233-4021
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since: 02/2011
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