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Asymptotic Optimality of Inventory Projection in Dual-Sourcing Systems

Moradi, Poulad et al.
arXiv (All) · Papers
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g-3optimization-and-controlprobability
We consider a single-echelon inventory system under periodic review with two suppliers facing stochastic demand, where excess demand is backlogged. The expedited supplier has a shorter lead time than the regular supplier but charges a higher unit price. We introduce the Projected Expedited Inventory
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