A new algorithm and a new heuristic for serial supply systems

نویسندگان

  • Guillermo Gallego
  • Özalp Özer
چکیده

We present a new dynamic programming formulation for the stochastic multi-stage serial inventory system based on the cost of sub-system with fewer stages. A heuristic based on judiciously selected common downstream holding costs requires solving one newsvendor problem per stage. A closed form approximate upper bound allows for accurate sensitivity analysis. 1

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عنوان ژورنال:
  • Oper. Res. Lett.

دوره 33  شماره 

صفحات  -

تاریخ انتشار 2005