We consider a base stock inventory control system serving two customer classes whose demands are generated by two independent compound renewal processes. We show how to derive order and volume fill rates of each class. Based on assumptions about first order stochastic dominance we prove when one customer class will get the best service. That theoretical result is validated through a series of n...

Consider an inventory model which consists in controlling the level of stock of a single product where the demands D1, D2, . . . for the product in periods 1, 2, . . . are independently and identically distributed i.i.d random variables with density function ψ, and finite mean μ < ∞. Assume that at the beginning of each period the system is reviewed and we are allowed to increase the level of s...

Abstract In this paper we propose a modification to the standard forecasting, periodic order-up-tolevel inventory control approach to dealing with intermittent demand items, when the lead-time length is shorter than the average inter-demand interval. In particular, we develop an approach that relies upon the employment of separate estimates of the interdemand intervals and demand sizes, when de...

purchase or non-purchase of one item or itemset on the purchase or non-purchase of another item or itemset. The research in this paper models for incorporating purchase dependencies in retail multi-item inventory management. One illustrative example has been discussed with data mining in retail sale data. Various types of purchase dependencies including negative dependency have been identified ...