ISSN:
1572-9338
Keywords:
production planning
;
stochastic dynamic programming
;
optimal control
;
long-run average cost
Source:
Springer Online Journal Archives 1860-2000
Topics:
Mathematics
,
Economics
Notes:
Abstract We consider a production planning problem in a two-machine flowshop subject to breakdown and repair of machines and subject to nonnegativity and upper bound constraints on work-in-process. The objective is to choose machine production rates over time to minimize the long-run average inventory/backlog and production costs. For sufficiently large upper bound on the work-in-process, the problem is formulated as a stochastic dynamic program. We then establish a verification theorem and a partial characterization of the optimal control policy if it exists.
Type of Medium:
Electronic Resource
URL:
http://dx.doi.org/10.1023/A:1019272811055
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