Inventory control in a supply chain is crucial for companies desiring to satisfy their customers demands as well as controlling costs. This paper examines specifically supply planning under uncertainties in MRP environments. Models from literature that deals with random demand or lead time uncertainties are described and commented. Promising research areas emerge from this survey. It appears th...

The development of control-oriented decision policies for inventory management in supply chains has received considerable interest in recent years, and demand modeling to supply forecasts for these policies is an important component of an effective solution to this problem. Drawing from the problem of controlrelevant identification, we present an approach for demand modeling based on data that ...

We consider a stochastic inventory control problem in which a buyer makes procurement decisions while facing periodic random demand and two supply sources, namely, a long-term contract supplier and a spot market. The contract between the buyer and the supplier partially shields the latter from the vicissitudes of the spot market, in that the price paid by the buyer to the supplier is only parti...

This paper considers a concurrent pricing and inventory control problem in a stochastic and periodic review setting. Demand in a period is random and depends on the posted price. Other than holding and backlogging costs, the system incurs stock-replenishment costs that consist of both variable and fixed components. At the beginning of each period, a simultaneous decision has to be made on stock...

Full terms and conditions of use:

This paper presents a case study of applying a Bayesian approach to forecast demand and subsequently determine the appropriate parameter S of an (S-1,S) inventory system for controlling spare parts of electronic equipment. First, the problem and the current policy are described. Then, the basic elements of the Bayesian approach are introduced and the procedure for calculating the appropriate pa...

We consider a manufacturer that must fill stochastic demand. When shortages occur, the manufacturer may choose to meet the unmet demand with overtime production and/or by premium freight shipments. We derive optimal production policies for regular and overtime production and discuss the tradeoffs involved.