Formulating a multi-criteria decision-analysis model for a gypsum manufacturing facility in South-Africa

Abstract

The acquisition of gypsum, a crucial primary resource, within the complex structure of the cement sector in South Africa is a significant determinant affecting the uninterrupted production and long-term viability of the industry. This comprehensive study report explores the various aspects of gypsum procurement in the cement industry in South Africa. The subject matter comprises a comprehensive examination of geological factors, assessments of environmental impacts, complexities within the supply chain, and the management of stakeholders. The main aim of this study is to examine the process of gypsum procurement in the cement industry of South Africa and find suitable alternatives to the current supply chain. This is of importance as the current resources are depleting thereby requiring future alternatives. Methods: The present study employs a rigorous methodology that encompasses a comprehensive assessment of existing literature, both through desktop research and a systematic literature review. Additionally, questionnaires are utilised to evaluate sections of the subject matter. In this study, the researcher aims to assess the capacity requirements of the inland cement industry, analyse the available gypsum sources in South Africa, and suggest the most effective strategies for procuring gypsum. To achieve this, the researcher employs the Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) technique. The results of the study indicate the annual installed capacity of cement in the inland cement sector, the availability of gypsum reserves, and the economic advantages of sourcing gypsum from Richards Bay. In this report, the researcher presents a comprehensive analysis of financial and management strategies that might be used by industry players. The research setting is shaped by several limitations, including geographical borders, product specificity, reliance on existing knowledge, potential perspective bias, scope constraints, and the necessity of examining alternate transportation methods. In conclusion, this research study provides a fundamental and essential resource that may be utilised to facilitate well-informed decision-making within the cement sector of South Africa. The focal points of this study encompass the diffusion of knowledge, conducting financial investigations about the sources of gypsum, evaluating the feasibility of shifting production sites and recognising the significance of material drying in reducing costs within the supply chain. The managerial recommendations primarily centre around the optimisation of the logistical supply chain and the allocation of additional costs towards the establishment of future production facilities. The observations and recommendations presented in this research have the potential to generate positive transformations throughout the gypsum supply chain of South Africa's cement industry. Furthermore, it brings attention to under-investigated areas for future research initiatives, promoting the development of resilience, sustainability, and expansion within this vital domain of the construction materials business. This research plays a crucial role in facilitating the understanding and management of the intricate processes involved in gypsum procurement. It aims to enhance decision-making by providing comprehensive and well-informed insights. Furthermore, it seeks to contribute to the long-term sustainability and growth of the gypsum market within the cement sector of South Africa.