We study a hybrid strategy that uses both process flexibility and finished goods inventory for supply chain risk mitigation. The interplay between process flexibility and inventory is modeled as a two-stage robust optimization problem. In the first stage, the firm allocates inventory before...

We study an inventory allocation problem in a two-echelon (single-warehouse multiple-retailer) setting with lost sales. At the start of a finite selling season, a fixed amount of inventory is available at the warehouse, and can be allocated to the retailers over the course of the selling horizon...