Order Fulfillment and Replenishment Policies for Fully Substitutable Products

Beyazit Ocaktan () and Ufuk Kula ()
Additional contact information
Beyazit Ocaktan: Sakarya University
Ufuk Kula: Sakarya University

A chapter in Operations Research Proceedings 2011, 2012, pp 533-538 from Springer

Abstract: Abstract We consider a fully substitutable multi product inventory system in which customer demand may be satisfied by delivering any combination of products. A customer requesting a certain quantity, D may accept different combinations of products as long as its order of size D is fulfilled.We model the system as a Markov decision process and develop a approximate dynamic programming algorithm to determine order fulfillment and replenishment policies. In order to reduce the run time of the algorithm, we use two-layer neural network that iteratively fits a function to the state values and finds an approximately optimal order fulfillment and can order type replenishment policy.

Keywords: Markov Decision Process; Product Combination; Replenishment Policy; Markov Decision Process Model; Inventory Replenishment (search for similar items in EconPapers)
Date: 2012
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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:spr:oprchp:978-3-642-29210-1_85

Ordering information: This item can be ordered from
http://www.springer.com/9783642292101

DOI: 10.1007/978-3-642-29210-1_85

Access Statistics for this chapter

More chapters in Operations Research Proceedings from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().