Abstract
This paper provides an efficient computational approach to solve a mixed
integer programming (MIP) model developed for calculating the parameters
of an (R,S) policy in a finite horizon with non-stationary stochastic demand
and service level constraints. Given the replenishment periods, we
characterize the optimal order-up-to levels for the MIP model and use it to
guide the development of a relaxed MIP model, which can be solved in
polynomial time. Extensive numerical tests show that our method dominates
the MIP solution approach and can handle real-life size problems in trivial
time.
Original language | English |
---|---|
Title of host publication | 24th European conference on operational research, July 11-14 2010, Lisbon, Portugal |
Place of Publication | Lisbon |
Pages | 266 |
Publication status | Published - 2010 |
Event | EURO XXIV - Duration: 11 Jul 2010 → 14 Jul 2010 |
Conference
Conference | EURO XXIV |
---|---|
Period | 11/07/10 → 14/07/10 |