Care must be taken in extending the formulation and solution methodology of Federgruen and Zheng (1992) to include a stockout cost of a different dimensionality: $/unit, rather than $/unit/year. Federgruen and Zheng formulate this extended model for Poisson demand. We modify their formulation to...

Purpose: To demonstrate a simple mathematical model for evaluating operational decisions for preparing compounded sterile products in a hospital pharmacy.Summary: This paper describes a simple mathematical model, based on a small set of parameters easily estimated from existing data. This model...

We model a system which consists of a stream of customers processed through three steps by two resources. The first resource, an investigator, handles the first step, in which she collects information from the customer and decides what work will be done in the second step by the second resource,...