Name
Title | ||
|---|---|---|
A Simple Heuristic For Perishable Item Inventory Control Under Non-Stationary Stochastic Demand |
Abstract | ||
|---|---|---|
In this paper, we study the single-item single-stocking location non-stationary stochastic lot sizing problem for a perishable product. We consider fixed and proportional ordering cost, holding cost and penalty cost. The item features a limited shelf life, therefore we also take into account a variable cost of disposal. We derive exact analytical expressions to determine the expected value of the inventory of different ages. We also discuss a good approximation for the case in which the shelf-life is limited. To tackle this problem, we introduce two new heuristics that extend Silver's heuristic and compare them to an optimal Stochastic Dynamic Programming policy in the context of a numerical study. Our results demonstrate the effectiveness of our approach. |
Year | DOI | Venue |
|---|---|---|
2017 | 10.1080/00207543.2016.1193248 | INTERNATIONAL JOURNAL OF PRODUCTION RESEARCH |
Keywords | DocType | Volume |
stochastic models, Monte Carlo method, Silver's heuristic, perishable inventory control, lot sizing | Journal | 55 |
Issue | ISSN | Citations |
7 | 0020-7543 | 5 |
PageRank | References | Authors |
0.44 | 16 | 4 |
Name | Order | Citations | PageRank |
|---|---|---|---|
| Alejandro Gutierrez Alcoba | 1 | 6 | 1.89 |
| Roberto Rossi | 2 | 130 | 9.10 |
| Belen Martin-Barragan | 3 | 88 | 6.84 |
| Eligius M. T. Hendrix | 4 | 139 | 26.97 |