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A series-type multistage production system with random demand

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  • Ying-Chieh Chen

Abstract

We propose a mathematical model which considers the series-type product structure with n − 1 predecessors. Our objective is to obtain the optimal production functions, in the planning horizon [ 0 , T ] , based on the assumptions (1) that the cost of production unit is a linear function of production quantity in a time unit, (2) that sales of finished goods occur at the end of planning horizon, and (3) that product demand is a random variable. Then the phenomenon of optimal solution is discussed.

Suggested Citation

  • Ying-Chieh Chen, 2003. "A series-type multistage production system with random demand," International Journal of Mathematics and Mathematical Sciences, Hindawi, vol. 2003, pages 1-15, January.
    • Handle: RePEc:hin:jijmms:273967
    DOI: 10.1155/S0161171203112100
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