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A Simple Perturbed Demand Inventory Model with Ordering Cost

Author

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  • Thomas W. Hill, Jr.

    (AiResearch Mfg. Co., Phoenix)

Abstract

The optimal order size and reorder point are obtained for a simple perturbed demand inventory model having ordering and holding costs.

Suggested Citation

  • Thomas W. Hill, Jr., 1976. "A Simple Perturbed Demand Inventory Model with Ordering Cost," Management Science, INFORMS, vol. 23(1), pages 38-42, September.
    • Handle: RePEc:inm:ormnsc:v:23:y:1976:i:1:p:38-42
    DOI: 10.1287/mnsc.23.1.38
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    Cited by:

    1. Ernst, Ricardo & Powell, Stephen G., 1998. "Manufacturer incentives to improve retail service levels," European Journal of Operational Research, Elsevier, vol. 104(3), pages 437-450, February.
    2. Ryan W. Buell & Dennis Campbell & Frances X. Frei, 2016. "How Do Customers Respond to Increased Service Quality Competition?," Manufacturing & Service Operations Management, INFORMS, vol. 18(4), pages 585-607, October.
    3. Tianhu Deng & Zuo-Jun Max Shen & J. George Shanthikumar, 2014. "Statistical Learning of Service-Dependent Demand in a Multiperiod Newsvendor Setting," Operations Research, INFORMS, vol. 62(5), pages 1064-1076, October.
    4. Ernst, Ricardo & Powell, Stephen G., 1995. "Optimal inventory policies under service-sensitive demand," European Journal of Operational Research, Elsevier, vol. 87(2), pages 316-327, December.
    5. Fernando Bernstein & Awi Federgruen, 2004. "A General Equilibrium Model for Industries with Price and Service Competition," Operations Research, INFORMS, vol. 52(6), pages 868-886, December.
    6. Liming Liu & Weixin Shang & Shaohua Wu, 2007. "Dynamic Competitive Newsvendors with Service-Sensitive Demands," Manufacturing & Service Operations Management, INFORMS, vol. 9(1), pages 84-93, June.
    7. Liberopoulos, George & Tsikis, Isidoros & Delikouras, Stefanos, 2010. "Backorder penalty cost coefficient "b": What could it be?," International Journal of Production Economics, Elsevier, vol. 123(1), pages 166-178, January.

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