SDP in Inventory Control: Non-stationary Demand and Service Level Constraints

Research output: Chapter in Book/Report/Conference proceedingChapterAcademicpeer-review

4 Citations (Scopus)

Abstract

Inventory control implies dynamic decision making. Therefore, dynamic programming seems an appropriate approach to look for order policies. For finite horizon planning, the implementation of service level constraints provides a big challenge. This paper illustrates with small instances the implementation of stochastic dynamic programming (SDP) to derive order policies in a straightforward way for systems with non-stationary demand and service level constraints. The small instances allow to perform a full enumeration of possible policies and show that the SDP derived policies are not necessarily optimal.
Original languageEnglish
Title of host publicationComputational Science and Its Applications CSA 2015, Part II
EditorsO. Gervasi, B. Murgante, S. Misra, M.L. Gavrilova, A.M. Alves Coutinho Rocha, C. Torre, D. Taniar, B.O. Apduhan
Place of PublicationCham, Switzerland
Pages397-412
DOIs
Publication statusPublished - 2015

Publication series

NameLecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
PublisherSpringer
Number9156

Fingerprint Dive into the research topics of 'SDP in Inventory Control: Non-stationary Demand and Service Level Constraints'. Together they form a unique fingerprint.

  • Cite this

    Pauls-Worm, K. G. J., & Hendrix, E. M. T. (2015). SDP in Inventory Control: Non-stationary Demand and Service Level Constraints. In O. Gervasi, B. Murgante, S. Misra, M. L. Gavrilova, A. M. Alves Coutinho Rocha, C. Torre, D. Taniar, & B. O. Apduhan (Eds.), Computational Science and Its Applications CSA 2015, Part II (pp. 397-412). (Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics); No. 9156).. https://doi.org/10.1007/978-3-319-21407-8_29