Note—Sensitivity to Distributions in Inventory Systems
- 1 December 1978
- journal article
- Published by Institute for Operations Research and the Management Sciences (INFORMS) in Management Science
- Vol. 24 (16) , 1769-1772
- https://doi.org/10.1287/mnsc.24.16.1769
Abstract
The optimal decisions and costs of several inventory systems with the s, S policy are presented showing how they are affected by different distributions of demand, different shortage costs and different leadtimes. The numerical results seem to imply that in many cases the optimal decisions depend on the means and standard deviations of demand but not on the specific forms of the distributions.Keywords
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