1.79-Approximation Algorithms for Continuous Review Single-Sourcing Lost-Sales and Dual-Sourcing Inventory Models

Published Online:https://doi.org/10.1287/opre.2021.2150

References

  • Allon G, Van Mieghem JA (2010) Global dual sourcing: Tailored base-surge allocation to near- and offshore production. Management Sci. 56(1):110–124.LinkGoogle Scholar
  • Bijvank M, Vis IFA (2011) Lost-sales inventory theory: A review. Eur. J. Oper. Res. 215(1):1–13.CrossrefGoogle Scholar
  • Boute RN, Disney SM, Gijsbrechts J, Van Mieghem JA (2022) Dual sourcing and smoothing under non-stationary demand time series: Re-shoring with SpeedFactories. Management Sci. Forthcoming.Google Scholar
  • Chen X, Stolyar AL, Xin L (2019) Asymptotic optimality of constant-order policies in joint pricing and inventory control models. Preprint, submitted May 9, https://dx.doi.org/10.2139/ssrn.3375203.Google Scholar
  • Fukuda Y (1964) Optimal policies for the inventory problem with negotiable leadtime. Management Sci. 10(4):690–708.LinkGoogle Scholar
  • Goldberg DA, Katz-Rogozhnikov DA, Lu Y, Sharma M, Squillante MS (2016) Asymptotic optimality of constant-order policies for lost sales inventory models with large lead times. Math. Oper. Res. 41(3):898–913.LinkGoogle Scholar
  • Hill RM (1999) On the suboptimality of (S-1, S) lost sales inventory policies. Internat. J. Production Econom. 59(1–3):387–393.CrossrefGoogle Scholar
  • Huh WT, Janakiraman G, Muckstadt JA, Rusmevichientong P (2009) Asymptotic optimality of order-up-to policies in lost sales inventory systems. Management Sci. 55(3):404–420.LinkGoogle Scholar
  • Jagerman DL (1974) Some properties of the Erlang loss function. Bell System Technical J. 53(3):525–551.CrossrefGoogle Scholar
  • Janakiraman G, Seshadri S, Shanthikumar G (2007) A comparison of the optimal costs of two canonical inventory systems. Oper. Res. 55(5):866–875.LinkGoogle Scholar
  • Janakiraman G, Seshadri S, Sheopuri A (2015) Analysis of tailored base-surge policies in dual sourcing inventory systems. Management Sci. 61(7):1547–1561.LinkGoogle Scholar
  • Karlin S, Scarf H (1958) Inventory models of the Arrow-Harris-Marschak type with time lag. Arrow K, Karlin S, Scarf H, eds. Studies in the Mathematical Theory of Inventory and Production (Stanford University Press, Stanford, CA), 155–178.Google Scholar
  • Karush W (1957) A queueing model for an inventory problem. Oper. Res. 5(5):693–703.LinkGoogle Scholar
  • Levi R, Janakiraman G, Nagarajan M (2008) A 2-approximation algorithm for stochastic inventory control models with lost-sales. Math. Oper. Res. 33(2):351–374.LinkGoogle Scholar
  • Levi R, Pa’l M, Roundy R, Shmoys D (2007) Approximation algorithms for stochastic inventory control models. Math. Oper. Res. 32(2):284–302.LinkGoogle Scholar
  • Lin Z, Bai Z (2011) Probability Inequalities (Science Press, Beijing; Springer-Verlag, Berlin Heidelberg).CrossrefGoogle Scholar
  • Massey WA, Whitt W (1994) An analysis of the modified offered load approximation for the Erlang loss model. Ann. Appl. Probab. 4(4):1145–1160.CrossrefGoogle Scholar
  • Moinzadeh K, Schmidt CP (1991) An (S-1, S) inventory system with emergency orders. Oper. Res. 39(2):308–321.LinkGoogle Scholar
  • Morrison JA, Ramakrishnan KG (2003) Asymptotic solution to an inverse problem for a shared unbuffered resource. SIAM J. Appl. Math. 63(1):222–240.CrossrefGoogle Scholar
  • Muckstadt JA (2005) Analysis and Algorithms for Service Parts Supply Chains (Springer, New York).Google Scholar
  • Reiman MI (2004) A new simple policy for a continuous review lost-sales inventory model. Working paper, Bell Labs, Lucent Technologies, Murray Hill, NJ.Google Scholar
  • Sheopuri A, Janakiraman G, Seshadri S (2010) New policies for the stochastic inventory control problem with two supply sources. Oper. Res. 58(3):734–745.LinkGoogle Scholar
  • Shi C (2014) Approximation algorithms for stochastic optimization problems in operations management. Cochran JJ, ed. Encyclopedia of Operations Research and Management Science(Wiley, Hoboken, NJ).CrossrefGoogle Scholar
  • Song JS, Zhang Y (2020) Stock or print? Impact of 3D printing on spare parts logistics. Management Sci. 66(9):3860–3878.LinkGoogle Scholar
  • Song JS, Zipkin P (2009) Inventories with multiple supply sources and networks of queues with overflow bypasses. Management Sci. 55(3):362–372.LinkGoogle Scholar
  • Sun J, Van Mieghem JA (2019) Robust dual sourcing inventory management: Optimality of capped dual index policies and smoothing. Manufacturing Service Oper. Management 21(4):912–931.LinkGoogle Scholar
  • Svoboda J, Minner S, Yao M (2021) Typology and literature review on multiple supplier inventory control models. Eur. J. Oper. Res. 293(1):1–23.CrossrefGoogle Scholar
  • Veeraraghavan S, Scheller-Wolf A (2008) Now or later: Dual index policies for capacitated dual sourcing systems. Oper. Res. 56(4):850–864.LinkGoogle Scholar
  • Wei L, Jasin S, Xin L (2021) On a deterministic approximation of inventory systems with sequential probabilistic service level constraints. Oper. Res. 69(4):1057–1076.LinkGoogle Scholar
  • Whittmore AS, Saunders SC (1977) Optimal inventory under stochastic demand with two supply options. SIAM J. Appl. Math. 32(2):293–305.CrossrefGoogle Scholar
  • Xin L (2021a) Understanding the performance of capped base-stock policies in lost-sales inventory models. Oper. Res. 69(1):61–70.LinkGoogle Scholar
  • Xin L (2021b) Asymptotic analysis of a remanufacturing system with non-identical lead times. Preprint, submitted February 18, https://dx.doi.org/10.2139/ssrn.3760906.Google Scholar
  • Xin L, Goldberg DA (2016) Optimality gap of constant-order policies decays exponentially in the lead time for lost sales models. Oper. Res. 64(6):1556–1565.LinkGoogle Scholar
  • Xin L, Goldberg DA (2018) Asymptotic optimality of tailored base-surge policies in dual-sourcing inventory systems. Management Sci. 64(1):437–452.LinkGoogle Scholar
  • Xin L, He L, Bewli J, Bowman J, Feng H, Qin ZT 2017. On the performance of tailored base-surge policies: theory and application at Walmart.com. Preprint, submitted December 20, https://dx.doi.org/10.2139/ssrn.3090177.Google Scholar
  • Zipkin P (2008) Old and new methods for lost-sales inventory systems. Oper. Res. 56(5):1256–1263.LinkGoogle Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.