Augmented Lagrangian Approach to the Newsvendor Model with Component Commonality
<div><p>Component commonality is a well-known approach in manufacturing, where the same components are used for multiple products. It has been implemented by many established companies such as Airbus, Kodak, Toyota, etc. We consider a standard two-product inventory model with a common co...
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2019
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| _version_ | 1864513523126632448 |
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| author | Abdelouahed Hamdi (14158899) |
| author2 | Lotfi Tadj (18112834) |
| author2_role | author |
| author_facet | Abdelouahed Hamdi (14158899) Lotfi Tadj (18112834) |
| author_role | author |
| dc.creator.none.fl_str_mv | Abdelouahed Hamdi (14158899) Lotfi Tadj (18112834) |
| dc.date.none.fl_str_mv | 2019-05-24T03:00:00Z |
| dc.identifier.none.fl_str_mv | 10.3390/mca24020055 |
| dc.relation.none.fl_str_mv | https://figshare.com/articles/journal_contribution/Augmented_Lagrangian_Approach_to_the_Newsvendor_Model_with_Component_Commonality/25348300 |
| dc.rights.none.fl_str_mv | CC BY 4.0 info:eu-repo/semantics/openAccess |
| dc.subject.none.fl_str_mv | Mathematical sciences Applied mathematics Numerical and computational mathematics stochastic inventory systems component commonality augmented Lagrangian |
| dc.title.none.fl_str_mv | Augmented Lagrangian Approach to the Newsvendor Model with Component Commonality |
| dc.type.none.fl_str_mv | Text Journal contribution info:eu-repo/semantics/publishedVersion text contribution to journal |
| description | <div><p>Component commonality is a well-known approach in manufacturing, where the same components are used for multiple products. It has been implemented by many established companies such as Airbus, Kodak, Toyota, etc. We consider a standard two-product inventory model with a common component. The demands for the products are independent random variables. Instead of the usual approach to minimize the total shortage quantity, we propose to minimize the total shortage cost. The resulting problem is a non-convex nonlinear mathematical program. We illustrate the use of a primal-dual proximal method to solve this problem by obtaining numerically the optimal allocations of components. In particular, we show that a higher unit shortage cost induces a higher allocation.</p><p> </p></div><h2>Other Information</h2> <p> Published in: Mathematical and Computational Applications<br> License: <a href="https://creativecommons.org/licenses/by/4.0/" target="_blank">https://creativecommons.org/licenses/by/4.0/</a><br>See article on publisher's website: <a href="https://dx.doi.org/10.3390/mca24020055" target="_blank">https://dx.doi.org/10.3390/mca24020055</a></p> |
| eu_rights_str_mv | openAccess |
| id | Manara2_de1c2d75ff27de6675493c81ed6a5c4c |
| identifier_str_mv | 10.3390/mca24020055 |
| network_acronym_str | Manara2 |
| network_name_str | Manara2 |
| oai_identifier_str | oai:figshare.com:article/25348300 |
| publishDate | 2019 |
| repository.mail.fl_str_mv | |
| repository.name.fl_str_mv | |
| repository_id_str | |
| rights_invalid_str_mv | CC BY 4.0 |
| spelling | Augmented Lagrangian Approach to the Newsvendor Model with Component CommonalityAbdelouahed Hamdi (14158899)Lotfi Tadj (18112834)Mathematical sciencesApplied mathematicsNumerical and computational mathematicsstochastic inventory systemscomponent commonalityaugmented Lagrangian<div><p>Component commonality is a well-known approach in manufacturing, where the same components are used for multiple products. It has been implemented by many established companies such as Airbus, Kodak, Toyota, etc. We consider a standard two-product inventory model with a common component. The demands for the products are independent random variables. Instead of the usual approach to minimize the total shortage quantity, we propose to minimize the total shortage cost. The resulting problem is a non-convex nonlinear mathematical program. We illustrate the use of a primal-dual proximal method to solve this problem by obtaining numerically the optimal allocations of components. In particular, we show that a higher unit shortage cost induces a higher allocation.</p><p> </p></div><h2>Other Information</h2> <p> Published in: Mathematical and Computational Applications<br> License: <a href="https://creativecommons.org/licenses/by/4.0/" target="_blank">https://creativecommons.org/licenses/by/4.0/</a><br>See article on publisher's website: <a href="https://dx.doi.org/10.3390/mca24020055" target="_blank">https://dx.doi.org/10.3390/mca24020055</a></p>2019-05-24T03:00:00ZTextJournal contributioninfo:eu-repo/semantics/publishedVersiontextcontribution to journal10.3390/mca24020055https://figshare.com/articles/journal_contribution/Augmented_Lagrangian_Approach_to_the_Newsvendor_Model_with_Component_Commonality/25348300CC BY 4.0info:eu-repo/semantics/openAccessoai:figshare.com:article/253483002019-05-24T03:00:00Z |
| spellingShingle | Augmented Lagrangian Approach to the Newsvendor Model with Component Commonality Abdelouahed Hamdi (14158899) Mathematical sciences Applied mathematics Numerical and computational mathematics stochastic inventory systems component commonality augmented Lagrangian |
| status_str | publishedVersion |
| title | Augmented Lagrangian Approach to the Newsvendor Model with Component Commonality |
| title_full | Augmented Lagrangian Approach to the Newsvendor Model with Component Commonality |
| title_fullStr | Augmented Lagrangian Approach to the Newsvendor Model with Component Commonality |
| title_full_unstemmed | Augmented Lagrangian Approach to the Newsvendor Model with Component Commonality |
| title_short | Augmented Lagrangian Approach to the Newsvendor Model with Component Commonality |
| title_sort | Augmented Lagrangian Approach to the Newsvendor Model with Component Commonality |
| topic | Mathematical sciences Applied mathematics Numerical and computational mathematics stochastic inventory systems component commonality augmented Lagrangian |