Newsboy models have wide applications in solving real-world inventory problems. This paper analyzes the optimal inventory policy for the single-order newsboy problem with fuzzy demand and quantity discounts. The availability of the quantity discount causes the analysis of the associated model to be more complex, and the proposed solution is based on the ranking of fuzzy numbers and optimization...

We propose a solution methodology for the multi-product newsboy model with constraints that is based on quadratic programming and a triangular presentation of the area under the cumulative probability distribution function of the demand. The methodology allows easier application of this important inventory control model that could be of particular interest in supply chain management as well as...

We demonstrate the importance of using a sufficiently long time horizon analysis when modeling inventory systems subject to supply disruptions. Several publications use singleperiod newsboy models to study supply disruptions, and we show that such models underestimate the risk of supply disruptions and generate sub-optimal solutions. We examine a firm with an unreliable supplier that is subject...

Quality of decisions in inventory management problems depends on accuracy of parameter estimates used for decision making. In many situations, error in decision making is unavoidable. In such cases, understanding sensitivity of objective function to sub-optimal decisions is necessary for better implementation of the model. We study sensitivity of expected demand-supply mismatch cost to sub-opti...

We model a retailer whose supplier is subject to complete supply disruptions. We combine discrete-event uncertainty (disruptions) and continuous sources of uncertainty (stochastic demand or supply yield), which have different impacts on optimal inventory settings. This prevents optimal solutions from being found in closed form. We develop a closed-form approximate solution by focusing on a sing...

This paper examines the extended two-echelon newsboy problem for a manufacturer and retailer in a supply chain with asymmetric market information. In this scenario, the retailer has better knowledge of the market s demand, and the manufacturer perceives the same demand. This applied model presents how the manufacturer can take advantage of the retailer s market information and improve the effic...