OPTIMAL POLICIES FOR A DYNAMIC INVENTORY PROBLEM WITH EMERGENCY PROVISION,
Abstract
Optimal ordering policies are analyzed for a dynamic inventory model in which, in addition to regular ordering of an arbitrary amount of stock to be delivered one period later, there is also provided emergency ordering with instantaneous delivery of stock whose quantity may be arbitrary but not greater than a given positive number m. It is demonstrated that under suitable cost conditions the optimal policies are similar to those of the dynamic inventory model with one period delivery lag, except for an additional constant stock level up to which the emergency ordering is desired. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Mar 20, 1963
- Accession Number
- AD0411339
Entities
People
- Yoichiro Fukuda
Organizations
- University of California, Los Angeles