We analyze a firm designing and selling a seasonal product with demand uncertainty and a single ordering opportunity. Prior to the start of the selling season, product quality and inventory must be jointly determined; a higher quality product results in a greater selling price but also greater marginal production cost. We consider both a centralized supply chain, in which a single firm determin...

A stochastic multiproduct capacitated facility location problem involving a single supplier and multiple customers is investigated. Due to the stochastic demands, a reasonable amount of safety stock must be kept in the facilities to achieve suitable service levels, which results in increased inventory cost. Based on the assumption of normal distributed for all the stochastic demands, a nonlinea...

This paper formulates a stochastic inventory model for a single-period seasonal or fashion product inventory system consisting of multiple stocking echelons in series and retailers. By transforming model, an equivalent two-stage stochastic linear program model is developed to solve this stochastic inventory problem, which makes the inventory problem easier to analyze. The optimal placement poli...

Inventory theory provides methods for managing and controlling inventories under different constraints and environments. We consider a class of production/inventory control problems that has a single product and a single stocking location, when a stochastic demand with a known non-stationary probability distribution is given. A control policy for this type of inventory system is the one where t...

We consider an optimization problem for a multiclass queueing model of a decentralized production-distribution system: A single server can produce a variety of products, and completed units pass through an infinite server delay node on their way to a warehouse inventory. Each product has its own warehouse, demand for each product is satisfied by its associated inventory, and unsatisfied demand ...

Many online retailers provide real-time inventory availability information. Customers can learn from the inventory level and update their beliefs about product quality. Thus, consumer purchasing behavior may be impacted by the availability information. Based on a unique setting from Amazon lightning deals, which displays the percentage of inventory consumed in real time, we explore whether and ...

Erratic demands have traditionally shown complexity in inventory management and forecasting. Several organisations, especially in multi-product manufacturing systems with intermittent demand high level of variability and uncertainty, assume suitable estimators are put in place to forecast demand. This forces them to pay attention to controlling the inventory of a system. The forecasted demand i...