Stock-rationing policy for a make-to-stock production system with two priority classes and backordering

✍ Scribed by Albert Y. Ha

• Publisher: John Wiley and Sons
• Year: 1997
• Tongue: English
• Weight: 102 KB
• Volume: 44
• Category: Article
• ISSN: 0894-069X
• DOI: 10.1002/(sici)1520-6750(199708)44:5<457::aid-nav4>3.0.co;2-3

✦ Synopsis

This article considers the problem of production control and stock rationing in a make-to-stock production system with two priority customer classes and backordering. The problem is formulated as a queueing control model. With Poisson arrivals and exponential production times, we show that the optimal production control and stock-rationing policies can be characterized by a single, monotone switching curve.