EconPapers    
Economics at your fingertips  
 

Optimizing (s, S) policies for multi-period inventory models with demand distribution uncertainty: Robust dynamic programing approaches

Ruozhen Qiu, Minghe Sun and Yun Fong Lim

European Journal of Operational Research, 2017, vol. 261, issue 3, 880-892

Abstract: This study considers a finite-horizon single-product periodic-review inventory management problem with demand distribution uncertainty. The problem is formulated as a dynamic program and the existence of an optimal (s, S) policy is proved. The corresponding dynamic robust counterpart models are then developed for the box and the ellipsoid uncertainty sets. These counterpart models are transformed into tractable linear and second-order cone programs, respectively. The effectiveness and practicality of the proposed robust optimization approaches are validated through a numerical study.

Keywords: Inventory; Periodic-review (s, S) policy; Robust optimization; Demand distribution uncertainty; Dynamic programing (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0377221717301492
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:ejores:v:261:y:2017:i:3:p:880-892

DOI: 10.1016/j.ejor.2017.02.027

Access Statistics for this article

European Journal of Operational Research is currently edited by Roman Slowinski, Jesus Artalejo, Jean-Charles. Billaut, Robert Dyson and Lorenzo Peccati

More articles in European Journal of Operational Research from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

 
Page updated 2021-06-30
Handle: RePEc:eee:ejores:v:261:y:2017:i:3:p:880-892