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New structural properties of (s, S) policies for inventory models with lost sales

New structural properties of (s, S) policies for inventory models with lost sales,10.1016/j.orl.2010.06.003,Operations Research Letters,Yanyi Xu,Arnab

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New structural properties of (s, S) policies for inventory models with lost sales  
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We revisit the classical inventory model for which (s,S) policies are optimal. We consider the finite and infinite horizon versions of the lost sales problem. New structural properties are developed for the optimal policy and cost function. These properties are then used to develop computational schemes for the lost sales problem with Erlang demands.
Journal: Operations Research Letters - ORL , vol. 38, no. 5, pp. 441-449, 2010
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