ArticleOriginal scientific text
Title
(s,S)-type policy for a production inventory problem with limited backlogging and with stockouts
Authors 1
Affiliations
- Institute of Mathematics, Polish Academy of Sciences, P.O. Box 137, 00-950 Warszawa, Poland
Abstract
A production inventory problem with limited backlogging and with stockouts is described in a discrete time, stochastic optimal control framework with finite horizon. It is proved by dynamic programming methods that an optimal policy is of (s,S)-type. This means that in every period the policy is completely determined by two fixed levels of the stochastic inventory process considered.
Keywords
(s,S)-policy, inventory, dynamic programming, limited backlogging, k-convexity
Bibliography
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Pages:
343-354
Main language of publication
English
Received
1996-06-14
Accepted
1996-10-18
Published
1997
Exact and natural sciences