Dynamic network inventory control model with interval demand uncertaintyand storage loss in the network nodes

We consider a dynamic inventory control system described by anetwork model with an interval assigned demand. We assume that unknown demand may take any value within the interval. Moreoverwe observe obsolescense of resources in the network nodes. In terms of Kaucher interval arithmetic, we derive necessary and sufficientconditions for the existence of a feasible feedback control and sufficient conditions for the existence of an optimal feedback controlstrategy. We obtain an optimal feasible storage level and estimate the rate of the system convergence to this level. Then we develop thealgorithm of finding the optimal control strategy. These results are applied to an example.

Keywords

Authors

References