Motivated by the recent success of integer programming based procedures for computing discrete forecast horizons, we consider two-product variants of the classical dynamic lot-size model. In the first variant, we impose a warehouse capacity constraint on the total ending inventory of the two...

We present structural and computational investigations of a new class of weak forecast horizons - minimal forecast horizons under the assumption that future demands are integer multiples of a given positive real number - for a specific class of dynamic lot-size (DLS) problems. Apart from being...

Focuses on a study which developed a framework for forecast and decision horizons. Definition of finite and infinite horizon stochastic optimization problems for a given forecast; Description of the general framework; Conditions for the existence of a solution horizon; Development of sufficient...

We derive a sharp upper bound on the minimal forecast horizon in the discounted dynamic lot size model with constant initial demand. This bound is given by m(m 1), where m is the EOQ's worth, i.e., the number of periods for which the total demand equals Economic Order Quantity. Our results do...

The models we present in this chapter are related to two classical inventory models: The EOQ model of Harris (1913) and the dynamic lot size model of Wagner and Whitin (1958). In relation to the EOQ model, our models depart in three different ways: (1) the EOQ model assumes that the problem...

Managing product availability in a cost effective way has always been a major challenge faced by inventory managers. We study the problem of a firm selling a perishable product with short-term demand patterns and a long-term service target using the newsvendor framework. The newsvendor...

The concept of a forecast horizon for a given player with respect to the set of equilibria in an abstract dynamic game is defined. Consideration is then given to the case of a stochastic dynamic game with memory-less perfect state information and the Nash equilibrium concept. Sufficient...