The multilocation inventory problem can be thought of naturally as an extension of the single location "newsboy" problem to multiple locations with transshipment possible between locations. Previous work has established the form of optimal policies; however, computational results have been...

It has been observed that firms alter year-end inventory policies in response to accounting tax incentives. This study proposes a stochastic ordering policy model which quantifies these effects. An innovative feature is its use of two decision variables: an initial order-up-to-level at the...

A revision of the Power Approximation for computing (s, S) inventory policies is presented. The revision incorporates modifications which (1) ensure homgeneity in the units chosen to measure demand and (2) ensure the proper limiting behavior of S - s when the variance of demand is extremely...

One of the important uses of an EOQ item's distribution of lead time demand is to set its reorder point. This paper shows that a realistic model of observed demand patterns can be chosen from the compound Poisson family of distributions. Actual historical data from several U.S. Air Force bases...

We show that certain large, multiproduct problems can be well approximated by smaller models of the same form, representing only one aggregate product (or a few such products). This reduction follows from a new technique to approximate the minimal cost of a special allocation or "disaggregation"...

This paper considers an inventory system which maintains stock to meet both high and low priority demands. This model is suggested by the operation of a spare parts pool in a military depot: high priority demands are those which might result in the grounding of an aircraft, for example, while...