Critical level policies in lost sales inventory systems with different demand classes

Aleksander Wieczorek 1 Ana Busic 1, * Emmanuel Hyon 2
* Corresponding author
1 TREC - Theory of networks and communications
DI-ENS - Département d'informatique de l'École normale supérieure, Inria Paris-Rocquencourt
Abstract : We consider a single-item lost sales inventory model with different classes of customers. Each customer class may have different lost sale penalty costs. We assume that the demands follow a Poisson process and we consider a single replenishment hypoexponential server. We give a Markov decision process associated with this optimal control problem and prove some structural properties of its dynamic programming operator. This allows us to show that the optimal policy is a critical level policy. We then discuss some possible extensions to other replenishment distributions and give some numerical results for the hyperexponential server case.
Liste complète des métadonnées

Cited literature [11 references]  Display  Hide  Download

https://hal.inria.fr/inria-00620243
Contributor : Ana Busic <>
Submitted on : Wednesday, September 7, 2011 - 3:36:17 PM
Last modification on : Thursday, March 21, 2019 - 12:59:08 PM
Document(s) archivé(s) le : Tuesday, November 13, 2012 - 10:05:45 AM

File

RR-7732.pdf
Files produced by the author(s)

Identifiers

  • HAL Id : inria-00620243, version 1

Citation

Aleksander Wieczorek, Ana Busic, Emmanuel Hyon. Critical level policies in lost sales inventory systems with different demand classes. [Research Report] RR-7732, INRIA. 2011. ⟨inria-00620243⟩

Share

Metrics

Record views

510

Files downloads

403