| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 1142433 | Operations Research Letters | 2014 | 5 Pages |
Abstract
We study an inventory system that replenishes its stock through two shipping services, of which the non-committed shipping service can only ship up to a random capacity that is not known until shipment. By transforming the non-convex optimization in the dynamic program to a convex optimization problem, we show that the optimal policy for each period is determined by a quota for the non-committed shipping and a base-stock level for the committed shipping.
Keywords
Related Topics
Physical Sciences and Engineering
Mathematics
Discrete Mathematics and Combinatorics
Authors
Peng Wu, Xiuli Chao, Jian Chen,