Inventory control and replenishment with flexible delivery-time upgrade

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

3 Scopus Citations
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Detail(s)

Original languageEnglish
Pages (from-to)418-426
Journal / PublicationNaval Research Logistics
Volume61
Issue number5
Online published1 Jul 2014
Publication statusPublished - Aug 2014

Abstract

We consider a capacitated inventory model with flexible delivery upgrades, in which the seller allocates its on-hand inventory to price- and delivery-time-sensitive customers. The seller has two decisions: inventory commitment and replenishment. The former addresses how the on-hand inventories are allocated between the two classes of customers within an inventory cycle. The latter addresses how the inventory is replenished between inventory cycles. We develop optimal inventory allocation, upgrade, and replenishment policies and demonstrate that the optimal policy can be characterized by a set of switching curves. © 2014 Wiley Periodicals, Inc.

Research Area(s)

  • delivery, inventory management, lead time, upgrade

Citation Format(s)

Inventory control and replenishment with flexible delivery-time upgrade. / Liang, Xiaoying; Yan, Houmin.

In: Naval Research Logistics, Vol. 61, No. 5, 08.2014, p. 418-426.

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