The model for the optimal procurement in steel slitting and distributing centers

Decreasing the purchasing cost can be an efficient way to gain higher profit in steel slitting and distributing centers. With customer's orders becoming smaller and smaller and the restrictions of production, purchasing plan has become more and more complicated. This paper focuses on making a purchasing model considering the restriction and the minimal purchasing amount of coils. The results will be valuable for the lean procurement management of the center. This study is adverse to the two dimensional cutting stock problem.