An economical resetting model in continuous review

✍ Scribed by Dirk Beyer; Hans-Joachim Girlich

• Book ID: 103961859
• Publisher: Elsevier Science
• Year: 1994
• Tongue: English
• Weight: 646 KB
• Volume: 35
• Category: Article
• ISSN: 0925-5273
• DOI: 10.1016/0925-5273(94)90085-x

✦ Synopsis

This paper is concerned with a resetting model, where the states of the underlying dynamic system are to be kept inside a tolerance region around a standard level.

Under some assumptions on the dynamic behaviour, the tolerance region and different costs, an expression for expected average cost is derived.

The approach is applied to a two-product inventory system, and for a simple class of policies optimal parameters are computed.