(1) Problem Definition: How to dynamically replenish inventory from two supply sources or shipping modes with general lead times. The fast source is more expensive than the slow source.(2) Academic/Practical Relevance: Dual sourcing provides supply chain flexibility to mitigate demand and supply...

This paper studies how judicious resource allocation in networks mitigates risk. Theory is presented for general utility functions and mean-variance formulations and is illustrated with networks featuring resource diversification, flexibility (e.g., inventory substitution), and sharing...