Application of Average Dynamic Programming to Inventory Systems

Oscar Vega-Amaya; Raúl Montes-De-Oca

doi:10.1007/BF01198405

Application of Average Dynamic Programming to Inventory Systems

Oscar Vega-Amaya^*, Raúl Montes-De-Oca

^*Corresponding author for this work

Research output: Contribution to journal › Article › peer-review

10 Scopus citations

Abstract

We show the existence of average cost (AC-) optimal policy for an inventory system with uncountable state space; in fact, the AC-optimal cost and an AC-optimal stationary policy are explicitly computed. In order to do this, we use a variant of the vanishing discount factor approach, which have been intensively studied in recent years but the available results not cover the inventory problem we are interested in.

Original language	English
Pages (from-to)	451-471
Number of pages	21
Journal	Mathematical Methods of Operations Research
Volume	47
Issue number	3
DOIs	https://doi.org/10.1007/BF01198405
State	Published - 1998

Keywords

Average cost
Discrete-time Markov control processes
Dynamic programming
Inventory systems
Unbounded costs and controls

Access to Document

10.1007/BF01198405

Cite this

@article{c6128e2e3da948dca33ed8cb862cbf3c,

title = "Application of Average Dynamic Programming to Inventory Systems",

abstract = "We show the existence of average cost (AC-) optimal policy for an inventory system with uncountable state space; in fact, the AC-optimal cost and an AC-optimal stationary policy are explicitly computed. In order to do this, we use a variant of the vanishing discount factor approach, which have been intensively studied in recent years but the available results not cover the inventory problem we are interested in.",

keywords = "Average cost, Discrete-time Markov control processes, Dynamic programming, Inventory systems, Unbounded costs and controls",

author = "Oscar Vega-Amaya and Ra{\'u}l Montes-De-Oca",

year = "1998",

doi = "10.1007/BF01198405",

language = "Ingl{\'e}s",

volume = "47",

pages = "451--471",

journal = "Mathematical Methods of Operations Research",

issn = "1432-2994",

publisher = "Physica-Verlag",

number = "3",

}

TY - JOUR

T1 - Application of Average Dynamic Programming to Inventory Systems

AU - Vega-Amaya, Oscar

AU - Montes-De-Oca, Raúl

PY - 1998

Y1 - 1998

N2 - We show the existence of average cost (AC-) optimal policy for an inventory system with uncountable state space; in fact, the AC-optimal cost and an AC-optimal stationary policy are explicitly computed. In order to do this, we use a variant of the vanishing discount factor approach, which have been intensively studied in recent years but the available results not cover the inventory problem we are interested in.

AB - We show the existence of average cost (AC-) optimal policy for an inventory system with uncountable state space; in fact, the AC-optimal cost and an AC-optimal stationary policy are explicitly computed. In order to do this, we use a variant of the vanishing discount factor approach, which have been intensively studied in recent years but the available results not cover the inventory problem we are interested in.

KW - Average cost

KW - Discrete-time Markov control processes

KW - Dynamic programming

KW - Inventory systems

KW - Unbounded costs and controls

UR - http://www.scopus.com/inward/record.url?scp=0031642194&partnerID=8YFLogxK

U2 - 10.1007/BF01198405

DO - 10.1007/BF01198405

M3 - Artículo

SN - 1432-2994

VL - 47

SP - 451

EP - 471

JO - Mathematical Methods of Operations Research

JF - Mathematical Methods of Operations Research

IS - 3

ER -

Application of Average Dynamic Programming to Inventory Systems

Abstract

Keywords

Access to Document

Other files and links

Fingerprint

Cite this