Minimax Analysis for Finite Horizon Inventory Models
نویسندگان
چکیده
We consider stochastic nite-horizon inventory models with discrete distributions that are incompletely speciied by selected moments, percentiles, or a combination of moments and per-centiles. The objective is to determine an inventory policy that minimizes the maximum expected cost over the class of demand distributions satisfying the speciications described above. We show that many inventory models of this form can be solved by a sequence of linear programs.
منابع مشابه
Two-warehouse system for non-instantaneous deterioration products with promotional effort and inflation over a finite time horizon
In the current global market, organizations use many promotional tools to increase their sales. One such tool is sales teams’ initiatives or promotional policies, i.e., free gifts, discounts, packaging, etc. This phenomenon motivates the retailer/or buyer to order a large inventory lot so as to take full benefit of promotional policies. In view of this the present paper considers a two-warehous...
متن کاملAchievability of asymptotic minimax regret by horizon-dependent and horizon-independent strategies
The normalized maximum likelihood distribution achieves minimax coding (log-loss) regret given a fixed sample size, or horizon, n. It generally requires that n be known in advance. Furthermore, extracting the sequential predictions from the normalized maximum likelihood distribution is computationally infeasible for most statistical models. Several computationally feasible alternative strategie...
متن کاملPlanning Horizon for Production Inventory Models with Production Rate Dependent on Demand and Inventory Level
This paper discusses why the selection of a finite planning horizon is preferable to an infinite one for a replenishment policy of production inventory models. In a production inventory model, the production rate is dependent on both the demand rate and the inventory level. When there is an exponentially decreasing demand, the application of an infinite planning horizon model is not suitable. T...
متن کاملInventory Model for Non – Instantaneous Deteriorating Items, Stock Dependent Demand, Partial Backlogging, and Inflation over a Finite Time Horizon
In the present study, the Economic Order Quantity (EOQ) model of two-warehouse deals with non-instantaneous deteriorating items, the demand rate considered as stock dependent and model affected by inflation under the pattern of time value of money over a finite planning horizon. Shortages are allowed and partially backordered depending on the waiting time for the next replenishment. The main ob...
متن کاملMinimax Observers for Linear DAEs
In this note we construct finite and infinite horizon minimax observers for a linear stationary DAE with deterministic, unknown, but bounded noise. By using generalized Kalman duality and geometric control we prove that the finite (infinite) horizon observer exists if and only if the DAE is observable (detectable). Remarkably, the regularity for the DAE is not required.
متن کامل