This paper follows the discounted cash flow (DCF) approach to investigate inventory replenishment problem with controllable lead time. We establish a replenishment model and prove that the expected present value of total cost is a convex function of cycle length. The results are discussed through a numerical example. Sensitivity analysis of the optimal solution with respect to the parameters of the system is carried out.
關聯:
International Journal of Information and Management Sciences 15(2), pp.11-21
