A generalization of Chu and Chung's (2004) sensitivity of the inventory model with partial backorders

Research output: Journal Publications and Reviews (RGC: 21, 22, 62)21_Publication in refereed journalpeer-review

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Original languageEnglish
Pages (from-to)554-562
Journal / PublicationEuropean Journal of Operational Research
Issue number2
Publication statusPublished - 16 Jul 2009


In this paper, we use the elementary techniques of differential calculus to investigate the sensitivity analysis of Montgomery et al.'s [Montgomery, D.C., Bazaraa, M.S., Keswani, A.K., 1973. Inventory models with a mixture of backorders and lost sales. Naval Research Logistics Quarterly 20, 225-263] inventory model with a mixture of backorders and lost sales and generalize Chu and Chung's [Chu, P., Chung, K.J., 2004. The sensitivity of the inventory model with partial backorders. European Journal of Operational Research 152, 289-295] sensitivity analysis. We provide three numerical examples to demonstrate our findings, and remark the interpretation of the global minimum of the average annual cost at which the complete backordering occurs. © 2008 Elsevier B.V. All rights reserved.

Research Area(s)

  • Inventory model, Monotonic properties, Partial backorders, Sensitivity analysis