Cart (Loading....) | Create Account
Close category search window
 

Production and Inventory Rationing in a Make-to-Stock System With a Failure-Prone Machine and Lost Sales

Sign In

Cookies must be enabled to login.After enabling cookies , please use refresh or reload or ctrl+f5 on the browser for the login options.

Formats Non-Member Member
$31 $13
Learn how you can qualify for the best price for this item!
Become an IEEE Member or Subscribe to
IEEE Xplore for exclusive pricing!
close button

puzzle piece

IEEE membership options for an individual and IEEE Xplore subscriptions for an organization offer the most affordable access to essential journal articles, conference papers, standards, eBooks, and eLearning courses.

Learn more about:

IEEE membership

IEEE Xplore subscriptions

3 Author(s)
Cheng, T.C.E. ; Dept. of Logistics & Maritime Studies, Hong Kong Polytech. Univ., Kowloon, China ; Chunyan Gao ; Houcai Shen

We consider production and inventory rationing of a product to fulfill multiple demand classes in a make-to-stock production system with a failure-prone machine. Demand that cannot be satisfied immediately is lost and incurs a lost sales cost, which differs from class to class. We find that the optimal control policies under both the expected total discounted cost criterion and the average cost criterion have similar structural properties. Specifically, the optimal production policy is the base-stock policy and the optimal inventory allocation policy is the threshold control policy with machine-state-dependent threshold levels. Finally, we provide numerical examples to show the importance of taking machine failures into consideration and the effectiveness of the optimal control policy.

Published in:

Automatic Control, IEEE Transactions on  (Volume:56 ,  Issue: 5 )

Date of Publication:

May 2011

Need Help?


IEEE Advancing Technology for Humanity About IEEE Xplore | Contact | Help | Terms of Use | Nondiscrimination Policy | Site Map | Privacy & Opting Out of Cookies

A not-for-profit organization, IEEE is the world's largest professional association for the advancement of technology.
© Copyright 2014 IEEE - All rights reserved. Use of this web site signifies your agreement to the terms and conditions.