We extend a heuristic method within the framework of “dynamic capacity apportionment procedure” (DCAP) to allocate an existing capacity among the classes with different profit contributions. In general, DCAP is applied when some capacity shortage exists and can not be enhanced in short - run. Our proposed approach is constructed for a make - to - order manufacturing system that produces a varie...

In financial economics in general the objective function expresses the risk preferences of the decision maker, see for example the mean variance approach in portfolio theory. Only recently in inventory management instead of maximizing expected profit or minimizing expected cost risk-averse objective functions have been used for determining the optimal order quantity. Examples are the exponentia...

Industry in Ukraine is among the world’s most energy intensive. Energy was plentiful and cheap in Soviet times and little effort was made to conserve it. Rising energy prices have had a major impact on profits and production, which also creates a tremendous market potential for energy efficient products and services. Yet Ukrainian industry has not implemented significant energy efficiency measu...

The neoclassical theory of investment implies that expected stock returns are tied with the expected marginal benefit of investment divided by the marginal cost of investment. Winners have higher expected growth and expected marginal productivity (two major components of the marginal benefit of investment), and earn higher expected stock returns than losers. The investment model succeeds in cap...

The relationship between the quality of finishing works, costs, market value, and profit, is presented and explained for residential buildings. The results show that the higher quality of finishing works increases profit for investors. As the maximum market price is limited, there is a limit when the investment in finishing work is no longer cost-effective as, after increase in costs, the marke...

Due to payoff uncertainties combined with risk aversion and/or real options, farmers may demand a premium in order to adopt conservation tillage practices, over and above the compensation for the expected profit losses (if any). We propose a method of directly estimating the financial incentives for adopting conservation tillage and distinguishing between the expected payoff and the premium of ...

We study the price competition of two supply chains with demand uncertainty. Each supply chain consists of one risk-averse manufacturer and one risk-averse retailer. We consider two cases: two competing decentralized supply chains and two competing integrated supply chains. We analyze the effects of the demand uncertainty on the supply chains’ expected profits. In the first case, we find that t...

We consider a flexible manufacturing system processing a variety of different part types. Parts of all types are first processed in a cell, they then continue to separate downstream stations. The total number of buffer spaces for these stations is limited. We determine the optimal buffer allocation and the corresponding optimal scheduling rule such that expected profit is maximized. The resulti...

 Imperfect production processes lead to imperfect products and decrease the profit of a business. Improvement in the production process by increasing the investment cost will decrease the defective percentage of items. This study develops an EPQ model with investments on imperfect production processes under limited capital. An algorithm is developed to derive the replenishment and investment p...

The CGPS of the woodwork of a public university was observed and analyzed. Apart from what is usual in the field of Ergonomics' studies, it is an academic context, where there is not a direct implication of profit, productivity and clientele. The group tried to sever negative and broadcasted opinions about the place by analyzing it from a different point of view. This work was considered releva...