We consider the periodic-review, single-location, single-product, production/inventory control problem under non stationary demand and service-level constraints. The product is perishable and has a fixed shelf life. Costs comprise fixed ordering costs and inventory holding costs. For this inventory system we discuss a number of control policies that may be adopted. For one of these policies, we...

We deviate from the Berman et al. models in inventory with positive service time. We establish a necessary and sufficient condition for system stability. Several performance measures are computed. An optimisation problem is discussed. Our analysis suggests that it is optimal to place the replenishment order when the inventory level is positive (even in the zero lead time case). Numerical illust...

We consider an (s,S) inventory system with random lead time and repeated demands of unsatisfied demands from the orbit. Whenever the inventory level falls to the level s, an order is placed to bring the level to S. The quantity ordered is M = S− s. Demands to the system are served immediately if there is a positive inventory. Otherwise it will go to a pool of unsatisfied customers called orbit....

Satisfying the demand in a timely fashion is a critical task in any company. In a service sector like telecommunications where sold information transmission units cannot be stored in inventory or cannot be backordered, having appropriate capacity to fulfill all demand becomes crucial. In order to achieve this goal, not only a well designed planning system but a sound capacity expansion strategy...

We present a problem on risk pooling and cost allocation in inventory of spare parts motivated in the oil and gas sector. Spare parts are held to facilitate operational conditions. Multiple inventory plants control their stock per separate. In practice, however, they supply each other when needed. Risk pooling is a source of savings in this situation. Under a centralized inventory solution, the...

Problem statement: Today, inventory management is considered to be an important field in Supply chain management. Once the efficient and effective management of inventory is carried out throughout the supply chain, service provided to the customer ultimately gets enhanced. Hence, to ensure minimal cost for the supply chain, the determination of the level of inventory to be held at various level...

ABC Worldwide Dosimetry Service provides a high-quality service for measuring and reporting radioactive exposure at its customers’ sites. It leases thermoluminescent badges that record radioactive exposure over a prespecified time period. As each recording cycle ends, ABC must send refurbished (or new) badges to the customers before they return the old badges to ensure continuous monitoring. It...

We consider a single-stage manufacturing system where the physical state of each job is characterized by timedriven dynamics and its temporal state by event-driven dynamics. Extending an earlier analysis of a deterministic model for this system, we study a stochastic model where there are controllable parameters that affect the service processing speed. When job arrivals are represented through...

In this research, a cost/benefit model is developed for supporting investment strategies about inventory and preventive maintenance in an imperfect production system. The effect of such investments on the return is expressed as a function of measurable variables. Using this model, the decision maker can decide whether investments in inventory and preventive maintenance are necessary and how muc...