Optimal cash flow and operational planning in a company supply chain

The current paper shows the links and impact between physical flow and financial flow during the tactical planning process in a company supply chain. The target is to obtain optimal solutions during process operations preserving stock level, liquidity and satisfying customers. The proposed formalization combines a deterministic cash flow management model with a schedule management model using a mixed integer linear program (MILP) formulation. The benefits of this work are shown through a case study that illustrates the operational problem, modelled flows and necessary constraints to help high-level staff during operational planning and financial activities.