A Hierarchical Timber Allocation Model to Analyze Sustainable Forest Management Decisions

A two-level Hierarchical Timber Allocation model was developed that iteratively negotiates medium-term (sustainable forest management) decisions with operational (lumber production) plans. At the medium-term level, a multi-criteria timber allocation model optimally allocates forest land units, called stewardship units, to different forest products companies based on five sustainability criteria: profit, employment, wildlife habitat, recreation, and visual quality. At the operational level, a sawmilling model maximizes the profits resulting from optimally converting the timber allocated by the medium-term level into lumber products. An iterative algorithm was developed in which the decisions generated by the two hierarchical levels reach a mutually beneficial solution. The model is demonstrated in two cases and conclusions are presented about future development.