In this paper, we develop approximations that yield insight into the joint optimization of capacity and inventory,and how the optimal inventory policy varies with capacity investment in a single-product, single-station, make-to-stock manufacturing system in which inventory is managed through a...

We compare how experienced procurement managers and students solve the newsvendor problem. We find that managers broadly exhibit the same kind of pull-to-center bias as students do. Also, managers use information and task training no better than students. The performance of managers is...

In existing AS/RS research, storage assignment policies are evaluated based on the probability that item type j will be stored (and subsequently retrieved). This note applies the turnover-based and class-based assignment policies of Hausman et al. (1976) to a stochastic environment by...

This paper presents approximate analytical models to quantify the expected improvement in inventory investment when using a system approach to control inventory as opposed to a simpler item approach. A system approach ensures that a demand-weighted average fill rate is achieved at low inventory...