Constrained service reliability under stochastic demand

Authors
Citation
I. Horowitz, Constrained service reliability under stochastic demand, OMEGA-INT J, 28(3), 2000, pp. 361-369
Citations number
7
Categorie Soggetti
Management
Journal title
OMEGA-INTERNATIONAL JOURNAL OF MANAGEMENT SCIENCE
ISSN journal
03050483 → ACNP
Volume
28
Issue
3
Year of publication
2000
Pages
361 - 369
Database
ISI
SICI code
0305-0483(200006)28:3<361:CSRUSD>2.0.ZU;2-4
Abstract
Boronico [Boronico JS. An investigation into the costs and benefits of reli ability of service. Omega 1998;26(1):99-114] considers the determination of ex ante service reliability in a price-taking, expected-profit-maximizing enterprise that must respect an expected-service-quality constraint in the face of stochastic demand. The constrained service-reliability issue, howev er, is much more complex than his analysis reveals. That complexity comes t o light once one recognizes the additional need to consider the curvature o f the underlying functions and the demands imposed upon that curvature by t he second-order conditions for a constrained maximum. The introduction of u ncertainty into the picture only adds to the issue's complexity and further complicates the problem of drawing unambiguous inferences. (C) 2000 Elsevi er Science Ltd. All rights reserved.