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TECHNICAL NOTE---Exact Analysis of a Lost Sales Model Under Stuttering Poisson Demand

Author

Listed:
  • Jie Chen

    (School of Operations Research and Information Engineering, Cornell University, Ithaca, New York 14853)

  • Peter L. Jackson

    (School of Operations Research and Information Engineering, Cornell University, Ithaca, New York 14853)

  • John A. Muckstadt

    (School of Operations Research and Information Engineering, Cornell University, Ithaca, New York 14853)

Abstract

We investigate the ( S - 1, S ) inventory policy under stuttering Poisson demand and generally distributed lead time when the excess demand is lost. We correct results presented in Feeney and Sherbrooke's seminal paper [Feeney, G. J., C. C. Sherbrooke. 1966. The ( S - 1, S ) inventory policy under compound Poisson demand. Management Sci. 12 (5) 391--411] and note that the stationary distribution of units on order for the general compound Poisson demand case is still an open question.

Suggested Citation

  • Jie Chen & Peter L. Jackson & John A. Muckstadt, 2011. "TECHNICAL NOTE---Exact Analysis of a Lost Sales Model Under Stuttering Poisson Demand," Operations Research, INFORMS, vol. 59(1), pages 249-253, February.
    • Handle: RePEc:inm:oropre:v:59:y:2011:i:1:p:249-253
    DOI: 10.1287/opre.1100.0872
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    References listed on IDEAS

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    1. Kamran Moinzadeh, 1989. "Operating Characteristics of the (S - 1, S) Inventory System with Partial Backorders and Constant Resupply Times," Management Science, INFORMS, vol. 35(4), pages 472-477, April.
    2. G. J. Feeney & C. C. Sherbrooke, 1966. "The (S - 1, S) Inventory Policy Under Compound Poisson Demand," Management Science, INFORMS, vol. 12(5), pages 391-411, January.
    3. Eric Smeitink, 1990. "A Note on "Operating Characteristics of the (S-1, S) Inventory System with Partial Backorders and Constant Resupply Times"," Management Science, INFORMS, vol. 36(11), pages 1413-1414, November.
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    Cited by:

    1. Sean X. Zhou & Chaolin Yang, 2016. "Continuous-Review ( R, nQ ) Policies for Inventory Systems with Dual Delivery Modes," Operations Research, INFORMS, vol. 64(6), pages 1302-1319, December.
    2. Prak, Derk & Teunter, Rudolf & Babai, M. Z. & Syntetos, A. A. & Boylan, D, 2018. "Forecasting and Inventory Control with Compound Poisson Demand Using Periodic Demand Data," Research Report 2018010, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
    3. Prak, Dennis & Teunter, Ruud & Babai, Mohamed Zied & Boylan, John E. & Syntetos, Aris, 2021. "Robust compound Poisson parameter estimation for inventory control," Omega, Elsevier, vol. 104(C).
    4. Kouki, Chaaben & Babai, M. Zied & Jemai, Zied & Minner, Stefan, 2019. "Solution procedures for lost sales base-stock inventory systems with compound Poisson demand," International Journal of Production Economics, Elsevier, vol. 209(C), pages 172-182.
    5. Bijvank, Marco & Vis, Iris F.A., 2011. "Lost-sales inventory theory: A review," European Journal of Operational Research, Elsevier, vol. 215(1), pages 1-13, November.

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