A tactical carcass optimisation tool for assisting boning room managers to increase boning room profit

Abstract

In collaboration with Australian lamb supply chains, an integer linear programming model was developed for use by processors to optimally allocate carcasses to different cutting plans for implementation in a boning room on a daily or lot basis. This tactical carcass optimisation tool (TCOT) address the daily challenge of developing operational plans to process carcasses into products whilst maximising profitability subject to constraints on carcass availability, variability of carcass weight and fatness, number of product orders, product size and retail prices. Predicted weights for all available products were derived from cut-weight prediction algorithms established from the combination of carcass weight and fatness ranges. Carcass fatness was expressed as lean meat yield percentage (LMY%) and measured using dual-energy X-ray absorptiometry (DXA) of hot carcasses immediately after slaughter. The TCOT utilises a group-based labour cost model which closely aligns with real-world supply chain practices. The function and application of the optimisation tool were tested in two contrasting case studies. The first case study demonstrated the ability of the optimiser to allocate carcasses to optimal cutting plans based on carcass weight and LMY%. The second case study examined the potential value of the tool for processors supplying lamb into the Australian domestic lamb market and subject to the constraints applied, demonstrated opportunities to increase profitability by at least 1 % compared to current best practice. This work provides a pathway whereby objective carcass measurement technology, combined with carcass sortation and optimisation algorithms, can be leveraged to improve profitability for the lamb supply chain.