INVENTORY MODEL WITH LIMITED PRODUCTION CAPACITY AND UNCERTAIN DEMANDS. II. THE DISCOUNTED-COST CRITERION.
Publication
, Journal Article
Federgruen, A; Zipkin, P
Published in: Mathematics of Operations Research
1986
This paper considers a single-item, periodic-review inventory model with uncertain demands. We assume a finite production capacity in each period. With stationary data, a convex one-period cost function and a continuous demand distribution, we show (under a few additional unrestrictive assumptions) that a modified basic-stock policy is optimal under the discounted cost criterion, both for finite and infinite planning horizons. In addition we characterize the optimal base-stock levels in several ways.
Duke Scholars
Published In
Mathematics of Operations Research
Publication Date
1986
Volume
11
Issue
2
Start / End Page
208 / 215
Related Subject Headings
- Operations Research
- 0802 Computation Theory and Mathematics
- 0103 Numerical and Computational Mathematics
- 0102 Applied Mathematics
Citation
APA
Chicago
ICMJE
MLA
NLM
Federgruen, A., & Zipkin, P. (1986). INVENTORY MODEL WITH LIMITED PRODUCTION CAPACITY AND UNCERTAIN DEMANDS. II. THE DISCOUNTED-COST CRITERION. Mathematics of Operations Research, 11(2), 208–215.
Federgruen, A., and P. Zipkin. “INVENTORY MODEL WITH LIMITED PRODUCTION CAPACITY AND UNCERTAIN DEMANDS. II. THE DISCOUNTED-COST CRITERION.” Mathematics of Operations Research 11, no. 2 (1986): 208–15.
Federgruen A, Zipkin P. INVENTORY MODEL WITH LIMITED PRODUCTION CAPACITY AND UNCERTAIN DEMANDS. II. THE DISCOUNTED-COST CRITERION. Mathematics of Operations Research. 1986;11(2):208–15.
Federgruen, A., and P. Zipkin. “INVENTORY MODEL WITH LIMITED PRODUCTION CAPACITY AND UNCERTAIN DEMANDS. II. THE DISCOUNTED-COST CRITERION.” Mathematics of Operations Research, vol. 11, no. 2, 1986, pp. 208–15.
Federgruen A, Zipkin P. INVENTORY MODEL WITH LIMITED PRODUCTION CAPACITY AND UNCERTAIN DEMANDS. II. THE DISCOUNTED-COST CRITERION. Mathematics of Operations Research. 1986;11(2):208–215.
Published In
Mathematics of Operations Research
Publication Date
1986
Volume
11
Issue
2
Start / End Page
208 / 215
Related Subject Headings
- Operations Research
- 0802 Computation Theory and Mathematics
- 0103 Numerical and Computational Mathematics
- 0102 Applied Mathematics