Work

Analysis of a deterministic demand production/inventory system under nonstationary supply uncertainty

Year: 1997

Type: article

Abstract: In this article we investigate a periodic review inventory model under deterministic dynamic demand and supply unavailability. In a given period, supply is either available or completely unavailable with given probabilities. Supply unavailability probabilities are nonstationary over time. We show the optimality of an order-up-to level policy, and obtain a newsboy-like formula that determines the optimal order-up-to levels. Our formula would provide guidence as to the appropriate amount of inventory to stock in the face of uncertainties in the supply process.

Source: IIE Transactions

DOI: 10.1080/07408179708966380

Authors: REFIK GÜLLU, EBRU ÖNOL, NESIM ERKIP

Institution: Middle East Technical University

Language: English

Topic: Supply Chain and Inventory Management

Subfield: Management Information Systems

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: green

OpenAlex ID: W2018420852

FWCI: 0.984

Cites: 15

Cited by: 42

Related to: 10