Case Study: Shell achieves supply chain optimization and margin maximization with AIMMS

Shell Unlocks the Benefits of Supply Chain Optimization with AIMMS

Shell Global Solutions, Shell’s consulting and technical services arm for energy and processing industries, was asked to develop an integrated decision‑support tool to improve gas‑sector and petrochemicals planning. The challenge was to create a coherent framework that could steer economic and operational decisions across corridor planning, gas specification and production balancing, no‑flaring policies and multi‑train debottlenecking while incorporating real‑time operational and market data.

Using AIMMS, Shell developed GMOS/NetSim, an optimization model that links feed supply, manufacturing and distribution to maximize margins for ethylene oxide and ethylene glycols, taking into account feedstock and logistics prices and complex commercial terms (rebates, take‑or‑pay). The tool supports short‑ and mid‑term planning and what‑if scenarios, and has helped Shell define optimal asset structures, source raw materials, balance yields vs. market value, optimize plant volumes and locations, and minimize logistics costs.

Shell

Jim Nastoff

Global Supply Chain Planning Manager, Shell Chemicals