PPT-Optimal (R, s, S) policy for the inventory lot sizing problem with stochastic non-stationary

IWLS 22 nd August Paris Andrea Visentin Steven Prestwich Roberto Rossi Armagan Tarim Roadmap Introduction Baseline Method Memoization Branch and bound Experimental results Conclusion. N is the process noise or disturbance at time are IID with 0 is independent of with 0 Linear Quadratic Stochastic Control 52 brPage 3br Control policies statefeedback control 0 N called the control policy at time roughly speaking we choo N with state input and process noise linear noise corrupted observations Cx t 0 N is output is measurement noise 8764N 0 X 8764N 0 W 8764N 0 V all independent Linear Quadratic Stochastic Control with Partial State Obser vation 102 br Spring 2011. Dr. Gary Gaukler. Demand Uncertainty. How do we come up with our random variable of demand?. Recall naïve method:. Demand Uncertainty. Demand Uncertainty and Forecasting. Using the standard deviation of forecast error:. the Supply Chain. Chapter 11. Chapter Objectives. Be able to:. Describe the various roles of inventory, including the different types of inventory and inventory drivers. . Distinguish between independent demand and dependent demand inventory. . Introducing the . New. Inventory Guru. ADAPTIVE INTELLIGENT INVENTORY OPTIMIZATION (AI+IO). INVENTORY GURU. DEMAND ANALYSIS. DEMAND CLASSIFICATION. MULTI-ECHELON INVENTORY OPTIMIZER. DISCRETE EVENT INVENTORY SIMULATION. Stock of items held to meet future demand. Inventory management answers two questions. How much to order. When to order. Inventory Hides Problems. Poor. Quality. Unreliable. Supplier. Machine. Breakdown. . Review. . Inventory. . Control. Inventory is checked . periodically. . with. . equal. . intervals. (. weekly. , . monthly. . etc. .). Main. . advantage. is . the. . reduced. . inventory. Dr. Ron . Lembke. Purposes of Inventory. Meet anticipated demand. Demand variability. Supply variability. Decouple production & distribution. permits constant production quantities. Take advantage of quantity discounts. Dr. Ron Tibben-Lembke. Purposes of Inventory. Meet anticipated demand. Demand variability. Supply variability. Decouple production & distribution. permits constant production quantities. Take advantage of quantity discounts. OBJECTIVES. Investigate the effects of unreliable communication network (e.g. TCP) on the stability of the NCS with unknown dynamics. Develop an adaptive observer (AO) to estimate networked control system (NCS) states; . Introduction. Scientific inventory management. Mathematical model describes system behavior. Goal: optimal inventory policy with respect to the model. Computerized information processing system maintains inventory level records. Postponement Strategy. Aggregation Strategy. Vendor Managed Inventory. Cross Docking Strategy. 3-PL and 4-PL Services. Reverse Logistics. E-Logistics. ERP / CRM /SRM. Risks Pooling. Familiarization with Good Practices in . Goal of WC management of Inventory. Cost optimisation (optimum re-order level) and (optimum re-order quantity). In practice this means striking a balance between holding costs on the one hand and stockout and re-order costs on the other. David Shuman, Mingyan Liu, and Owen Wu. University of Michigan. INFORMS Annual Meeting. October 14, 2009. Motivating Application: Wireless Media Streaming. Avoid underflow, so as to ensure playout quality.