Optimal Base-Stock Inventory-Management Policies of Cement Retailers under Supply-Side Disruptions

Performance of inventory management policies under supply disruptions and partial-backordering

In this paper the risk of supply chain disruptions is investigated in relations to different policies of inventory replenishment. The increasing attention to this issue in the academic and business, has strongly motivated the development of this work, above all to obtain analysis of costs in terms of distributions and variability. The goal is to enrich literature in constant growth and allow co...

Inventory Management Under Random Supply Disruptions and Partial Backorders

We explore the management of inventory for stochastic-demand systems, where the product’s supply is randomly disrupted for periods of random duration, and demands that arrive when the inventory system is temporarily out of stock become a mix of backorders and lost sales. The stock is managed according to the following modified (s , S) policy: If the inventory level is at or below s and the supp...

Optimal inventory policies with non-stationary supply disruptions and advance supply information

How Probability Weighting Affects Inventory Management with Supply Disruptions

There are many evidences that people tend to overweight low-probability events and underweight highprobability events. This risk attitude is generally expressed as an inverse-S shaped weighting function. This paper considers a risk-averse inventory manager who operates a continuous-review inventory system subject to supply disruption risk. Both Zero-Inventory-Order (ZIO) and Non-ZIO policies ar...

Optimal Operation of Microgrids Under Demand Side Management

One of the major problem in the optimal operation of the power system is optimal operation of microgrid with regard to the Demand-side-management. From one side, demand-side-management programs  reduce the operating costs of the power system and on the other hand, the implementation of these programs requires a financial incentive policies. In this paper, optimal operation of microgrid with dem...