Integrated multi-item production-inventory systems Academic Article uri icon


  • We study an integrated multi-item production-inventory system with stochastic demands and capacitated production. The problem is to find the base stock levels which minimize expected inventory costs per unit time, for an infinite time horizon. When unit manufacturing times are deterministic or exponentially distributed, we derive analytical expressions that lead to the optimal base stock levels. Our results provide several implications about the interaction of inventories, capacity utilization, and variation in the production environment.

published proceedings

  • European Journal of Operational Research

author list (cited authors)

  • Arreola-Risa, A.

citation count

  • 14

complete list of authors

  • Arreola-Risa, Antonio

publication date

  • January 1996