American Institute of Mathematical Sciences

Advanced
January  2007, 3(1): 139-154. doi: 10.3934/jimo.2007.3.139

A nonlinear optimization model for optimal order quantities with stochastic demand rate and price change

M. M. Ali 1, and  L. Masinga 1,

1. 

School of Computational and Applied Mathematics, University of the Witwatersrand, 1 Jan Smut Avenue, Private Bag-3, Wits-2050, South Africa, South Africa

Received  December 2005 Revised  October 2006 Published  January 2007

An inventory problem in which the stochastic demand rate in each period is considered. A model is presented to compute optimal order quantities and optimal delivery points in the planning period. This model can also account for any anticipated price change that may occur from time to time. In addition the model can be used to compute volume discounts in accordance to the size of the order. A stochastic global optimization algorithm is used to obtain the numerical results.
Keywords: Variable Demand, Optimal Order Quantity, Non-linear Programming Model, Global Optimization., Volume Discount.
Mathematics Subject Classification: Primary: 90B05; Secondary: 65K0.
Citation: M. M. Ali, L. Masinga. A nonlinear optimization model for optimal order quantities with stochastic demand rate and price change. Journal of Industrial & Management Optimization, 2007, 3 (1) : 139-154. doi: 10.3934/jimo.2007.3.139
[1]

Zhenwei Luo, Jinting Wang. The optimal price discount, order quantity and minimum quantity in newsvendor model with group purchase. Journal of Industrial & Management Optimization, 2015, 11 (1) : 1-11. doi: 10.3934/jimo.2015.11.1
[2]

Pablo Ochoa. Approximation schemes for non-linear second order equations on the Heisenberg group. Communications on Pure & Applied Analysis, 2015, 14 (5) : 1841-1863. doi: 10.3934/cpaa.2015.14.1841
[3]

Rajesh Kumar, Jitendra Kumar, Gerald Warnecke. Convergence analysis of a finite volume scheme for solving non-linear aggregation-breakage population balance equations. Kinetic & Related Models, 2014, 7 (4) : 713-737. doi: 10.3934/krm.2014.7.713
[4]

Luke Finlay, Vladimir Gaitsgory, Ivan Lebedev. Linear programming solutions of periodic optimization problems: approximation of the optimal control. Journal of Industrial & Management Optimization, 2007, 3 (2) : 399-413. doi: 10.3934/jimo.2007.3.399
[5]

Olha P. Kupenko, Rosanna Manzo. On optimal controls in coefficients for ill-posed non-Linear elliptic Dirichlet boundary value problems. Discrete & Continuous Dynamical Systems - B, 2018, 23 (4) : 1363-1393. doi: 10.3934/dcdsb.2018155
[6]

Kurt Falk, Marc Kesseböhmer, Tobias Henrik Oertel-Jäger, Jens D. M. Rademacher, Tony Samuel. Preface: Diffusion on fractals and non-linear dynamics. Discrete & Continuous Dynamical Systems - S, 2017, 10 (2) : ⅰ-ⅳ. doi: 10.3934/dcdss.201702i
[7]

Dmitry Dolgopyat. Bouncing balls in non-linear potentials. Discrete & Continuous Dynamical Systems - A, 2008, 22 (1&2) : 165-182. doi: 10.3934/dcds.2008.22.165
[8]

Dorin Ervin Dutkay and Palle E. T. Jorgensen. Wavelet constructions in non-linear dynamics. Electronic Research Announcements, 2005, 11: 21-33.

[9]

Armin Lechleiter. Explicit characterization of the support of non-linear inclusions. Inverse Problems & Imaging, 2011, 5 (3) : 675-694. doi: 10.3934/ipi.2011.5.675
[10]

Denis Serre. Non-linear electromagnetism and special relativity. Discrete & Continuous Dynamical Systems - A, 2009, 23 (1&2) : 435-454. doi: 10.3934/dcds.2009.23.435
[11]

Feng-Yu Wang. Exponential convergence of non-linear monotone SPDEs. Discrete & Continuous Dynamical Systems - A, 2015, 35 (11) : 5239-5253. doi: 10.3934/dcds.2015.35.5239
[12]

Paolo Buttà, Franco Flandoli, Michela Ottobre, Boguslaw Zegarlinski. A non-linear kinetic model of self-propelled particles with multiple equilibria. Kinetic & Related Models, 2019, 12 (4) : 791-827. doi: 10.3934/krm.2019031
[13]

Jaime Angulo, Carlos Matheus, Didier Pilod. Global well-posedness and non-linear stability of periodic traveling waves for a Schrödinger-Benjamin-Ono system. Communications on Pure & Applied Analysis, 2009, 8 (3) : 815-844. doi: 10.3934/cpaa.2009.8.815
[14]

Tommi Brander, Joonas Ilmavirta, Manas Kar. Superconductive and insulating inclusions for linear and non-linear conductivity equations. Inverse Problems & Imaging, 2018, 12 (1) : 91-123. doi: 10.3934/ipi.2018004
[15]

Elham Mardaneh, Ryan Loxton, Qun Lin, Phil Schmidli. A mixed-integer linear programming model for optimal vessel scheduling in offshore oil and gas operations. Journal of Industrial & Management Optimization, 2017, 13 (4) : 1601-1623. doi: 10.3934/jimo.2017009
[16]

Emine Kaya, Eugenio Aulisa, Akif Ibragimov, Padmanabhan Seshaiyer. A stability estimate for fluid structure interaction problem with non-linear beam. Conference Publications, 2009, 2009 (Special) : 424-432. doi: 10.3934/proc.2009.2009.424
[17]

Eugenio Aulisa, Akif Ibragimov, Emine Yasemen Kaya-Cekin. Stability analysis of non-linear plates coupled with Darcy flows. Evolution Equations & Control Theory, 2013, 2 (2) : 193-232. doi: 10.3934/eect.2013.2.193
[18]

Faustino Sánchez-Garduño, Philip K. Maini, Judith Pérez-Velázquez. A non-linear degenerate equation for direct aggregation and traveling wave dynamics. Discrete & Continuous Dynamical Systems - B, 2010, 13 (2) : 455-487. doi: 10.3934/dcdsb.2010.13.455
[19]

T. Gilbert, J. R. Dorfman. On the parametric dependences of a class of non-linear singular maps. Discrete & Continuous Dynamical Systems - B, 2004, 4 (2) : 391-406. doi: 10.3934/dcdsb.2004.4.391
[20]

José M. Amigó, Isabelle Catto, Ángel Giménez, José Valero. Attractors for a non-linear parabolic equation modelling suspension flows. Discrete & Continuous Dynamical Systems - B, 2009, 11 (2) : 205-231. doi: 10.3934/dcdsb.2009.11.205

2018 Impact Factor: 1.025

Tools

Metrics

  • PDF downloads (5)
  • HTML views (0)
  • Cited by (1)

Other articles
by authors

[Back to Top]

Copyright © 2019 American Institute of Mathematical Sciences