TY - JOUR
T1 - A generalized single product and single-period inventory problem with non-linear parameters
AU - Luo, Kai
AU - Kerbache, Laoucine
AU - Menezes, Mozart B.C.
AU - van Delft, Christian
PY - 2012/5
Y1 - 2012/5
N2 - In this paper, we extend the study of the classical single-period newsboy inventory problem by considering costs that are non-linear functions of the decision variable. We assume that the demand probability density function is known to the decision maker. We prove that, under some much more relaxed conditions, the total expected profit function remains concave and classical optimization methods can thus be used to obtain the global optimal solution. After that, we provide numerical examples for illustrative purpose.
AB - In this paper, we extend the study of the classical single-period newsboy inventory problem by considering costs that are non-linear functions of the decision variable. We assume that the demand probability density function is known to the decision maker. We prove that, under some much more relaxed conditions, the total expected profit function remains concave and classical optimization methods can thus be used to obtain the global optimal solution. After that, we provide numerical examples for illustrative purpose.
KW - Optimization
KW - Perishable items
KW - Production
KW - Supply chain management
UR - https://www.scopus.com/pages/publications/84861449547
U2 - 10.1111/j.1475-3995.2011.00829.x
DO - 10.1111/j.1475-3995.2011.00829.x
M3 - Article
AN - SCOPUS:84861449547
SN - 0969-6016
VL - 19
SP - 421
EP - 433
JO - International Transactions in Operational Research
JF - International Transactions in Operational Research
IS - 3
ER -