PITA Fiscal Year 2010 Projects - Product and Process Design and Optimization

Title Computational Models and Algorithms for Enterprise-wide Optimization of Process Industries

Principal Investigators: Ignacio E. Grossmann, Lorenz T. Biegler

The process industry is a key industrial sector in the U.S. and in the state of Pennsylvania. The chemicalindustry is one the major exporters in the U.S. Shipments involved $629 billion in 2007 with a positivetrade surplus of $3billion, and an expenditure of $55 billion dollars of R&D in 2007. The industry employs860,000 people in highly-skilled and high-paying jobs. Enterprise-wide optimization (EWO) has become amajor goal in this industry due to the increasing pressure for remaining competitive in the globalmarketplace. EWO involves simultaneously optimizing the operations of supply, manufacturing anddistribution activities to reduce costs and inventories. It is the goal of this proposal to continue in the fifth year (July 1, 2009-June 30, 2010) the successful research work for developing a comprehensive set of computational capabilities for EWOproblems. The work is performed by a multidisciplinary team from two institutions of Pennsylvania (Carnegie Mellon, Lehigh), composed of chemical and industrial engineers, and operations researchers, working in coordination with ICES at Carnegie Mellon and ATLSS at Lehigh. Our group is developing novel models, algorithms, decomposition methods, and computational techniques in order to provide a new generation of analytical IT tools. The project involves close collaborations with Pennsylvania companies, Air Products and Chemicals, Dow Chemical (Rohm and Haas), Nova Chemicals and PPG, and companies with operations in Pennsylvania, ABB, BP, ExxonMobil, Praxair and Total. The work involves projects that range from scheduling to planning to modeling and evaluation of polymer products. We have meetings twice per year, and conduct a popular seminar series that is broadcast to the companies. Our research results are available in the webpage http://egon.cheme.cmu.edu/ewocp/. We describe plans of our work that include efforts to expand industrial internships and recruit additional companies that are based in Pennsylvania.