AN (S − 1, S) Inventory System with Fixed Shelf Life and Constant Lead Times

David Perry · Morton J. M. Posner

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Supply Chain and Inventory Management Reliability and Maintenance Optimization Advanced Queuing Theory Analysis

Abstract

We consider an (S − 1, S) type perishable inventory system in which the maximum shelf life of each item is fixed. An order for an item is placed at each demand time as well as at each time that the maximum shelf life of an item is reached. The order lead times are constant, and the demand process for items is Poisson. Although the resulting process is ostensibly nonregenerative, we adapt level-crossing theory for the case of an S-dimensional Markov process to obtain its stationary law. Within this framework a number of model variants are solved.

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References

1989Stochastic Modeling and the Theory of Queues 1968Metric: A Multi-Echelon Technique for Recoverable Item Control 1991An (S − 1, S) Inventory System with Emergency Orders 1985(S − 1, S) Policies for Perishable Inventory 1983Inventory systems of perishable commodities 1982The Application of Queueing Theory to Continuous Perishable Inventory Systems 1977Optimal Inventories for an (S − 1, S) System with No Backorders 1984Inventory systems for perishable commodities with renewal input and Poisson output

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