IT outsourcing’s adoption by some of the largest international corporations has seen outsourcing become a key component of the Information Management agenda. However, the process of evaluating, selecting, and subsequently contracting out or selling the organization’s IT assets, people and/or activities to a third party supplier raises significant concern in light of the inherent ‘Winner’s Curse...

Expected recourse functions in linear two-stage stochastic programs with mixed-integer second stage are approximated by estimating the underlying probability distribution via empirical measures. Under mild conditions, almost sure uniform convergence of the empirical means to the original expected recourse function is established.

In the area of dynamic matching algorithms, the number of changes to the matching per update step, also known as the recourse bound, is an important measure of quality, Nevertheless, the worstcase recourse bounds of almost all known dynamic approximate matching algorithms are prohibitively large, significantly larger than the corresponding update times. In this paper we fill in this gap via a s...

We investigate sample average approximation (SAA) for two-stage stochastic programs without relatively complete recourse, i.e., problems in which there are first-stage feasible solutions that not guaranteed to have a recourse action. As feasibility measure of the SAA solution, we consider "recourse likelihood", is probability solution has For $\epsilon \in (0,1)$, demonstrate likelihood below $...

Stochastic programming problems with simple recourse belong to problems depending on a random element only through the corresponding probability measure. Consequently, this probability measure can be treated as a parameter of the problem. In this paper the stability with respect to the above mentioned parameter will be studied for generalized simple recourse problems.

Co-production systems, in which multiple products are produced simultaneously in a single production run, are prevalent in many industries. Such systems typically produce a random quantity of vertically differentiated products. This product hierarchy enables the firm to fill demand for a lower-quality product by converting a higher-quality product. In addition to the challenges presented by ran...

Stochastic optimization, especially multistage models, is well known to be computationally excruciating. In this paper, we introduce the concept of semi-complete recourse in the context of stochastic programming as a less restrictive condition compared to complete recourse and propose methods for approximating multistage stochastic programs with risk constraints and semi-complete recourse. We e...