| |||||||
STOCHASTIC MODELS ABSTRACTS"Optimality of (s, S) Policies for a Stochastic Inventory Model with Proportional and Lump-Sum Shortage Costs"
LAKDERE BENKHEROUF, Kuwait University - College of Science This note is concerned with the optimality of an (s; S) policy for a single-item infinite-horizon inventory model when the penalty cost is made-up of two parts: A lump-sum cost independent of the amount of the shortage and a variable cost proportional to the amount of the shortage. Using a Quasi-Variational Inequality (QVI) approach, an (s; S) policy is shown to be optimal under some mild technical conditions. | |||||||
^top
Solicitation of Abstracts
This abstracting journal distributes working and accepted papers that propose models, perform analysis, and develop analytical, computational or statistical methods for stochastic systems where variability plays a central role. The journal welcomes research with a focus on applications in functional areas, such as financial engineering, manufacturing, service and supply chain operations, revenue and yield management, telecommunications and networking, where the contributions transcend its functional context. Topics of interest include, but are not limited to, work that provides substantial structural insights via the analysis of tractable yet reasonable models of stochastic systems, work that is intended for literal implementation of policy prescriptions based on computational methods, and work that is for empirically estimating essential parameters used in statistical methods for control and optimization.
Distribution ServicesIf your organization is interested in increasing readership for its research by starting a Research Paper Series, or sponsoring a Subject Matter eJournal, please email: RPS@SSRN.com Distributed by:
|
|
| | ||||
