On the single resource capacity problem for multi-item inventory systems. (English) Zbl 0716.90029

Summary: We study multi-item inventory systems under a single resource capacity constraint. In contrast to most previous approaches, we treat the capacity as a decision variable, and not as given data. This is consistent with many practical cases where additional capacities/resources can be acquired/rentend at some cost/profit. Two solution procedures are developed for deriving an optimal policy within the class of policies that has a fixed cycle for all items with phasing of orders within the cycle. These solution procedures can be applied to various types of cost functions, as illustrated by an example.


90B05 Inventory, storage, reservoirs
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