This article analyzes a continuous time back-ordered inventory system with stochastic demand and stochastic delivery … done. Next, by modeling demand as a diffusion process, we reformulate the inventory control problem as an impulse control … obtain the optimality of the (s, S) policy and the limiting distribution of the inventory level. We also obtain the long run …

This paper considers a continuous-review, single-product, production-inventory system with a constant replenishment … considered: (1) the sum of the expected discounted inventory holding costs and lost-sales penalties, both over an infinite time … horizon, given an initial inventory level; and (2) the long-run time average of the same costs. The goal is to minimize these …

by a discrete-time Markov process. We describe applications to inventory control systems with partial observations. We …