Traditionally, lot sizing decisions in inventory management trade-off the cost of placing orders against the cost of holding inventory. However, when these lot sizes are to be produced in a finite capacity production/inventory system, the lot size has an important impact on the lead times, which...

We provide a novel approach to characterize the order process of continuous review (s,S) and (r,nQ) inventory policies, and study the impact of the batching parameter (the value of Q or S-s) on the variability in the order process. First, we characterize the distribution of the time between...

We consider a supply chain in which orders and lead times are linked endogenously, as opposed to assuming lead times are exogenous. This assumption is relevant when a retailer’s orders are produced by a supplier with finite capacity and replenished when the order is completed. The retailer...

We consider a two-echelon supply chain where a single retailer holds an inventory of finished goods to satisfy an i.i.d. customer demand, and a single manufacturer produces the retailer's replenishment orders on a make-to-order basis. The objective of this paper is to analyse the impact of the...