			Home About us Contact

Finite Time Horizon (finite + time_horizon)

Distribution by Scientific Domains

Business, Economics, Finance and Accounting	50%

Selected Abstracts

Regulated Quality Diffusion Revisited

INTERNATIONAL TRANSACTIONS IN OPERATIONAL RESEARCH, Issue 4 2001
Andreas J. Novak
In many manufacturing applications, the regulation of a quality process to attain a given target is of central interest. In a recent paper, Liu and Nam (1999) present a model of optimal quality regulation. The underlying quality process evolves due to regulation actions and superimposed random disturbances. Optimal regulation is sought as to minimize the regulation costs and the mean squared deviation from the desired target over a finite time horizon. Unfortunately the model is incorrectly analyzed in Liu and Nam (1999), and we therefore present the correct results in the following paper. [source]

The Role of Family Ties in the Labour Market.

LABOUR, Issue 4 2001
An Interpretation Based on Efficiency Wage Theory
By casual empiricism, it seems that many firms take explicit account of the family ties connecting workers, often hiring individuals belonging to the same family or passing jobs on from parents to their children. This paper makes an attempt to explain this behaviour by introducing the assumption of altruism within the family and supposing that agents maximize a family utility function rather than an individual one. This hypothesis has been almost ignored in the analysis of the relationship between employers and employees. The implications of this assumption in the efficiency wage models are explored: by employing members of the same family, firms can use a (credible) harsher threat , involving a sanction for all the family's members in case of one member's shirking , that allows them to pay a lower efficiency wage. On the other hand, workers who accept this agreement exchange a reduction in wage with an increase in their probability of being employed: this can be optimal in a situation of high unemployment. Moreover, the link between parents and children allows the firm to follow a strategy that solves the problem of an individual's finite time horizon by its making use of the family's reputation. [source]

The value of information sharing in a two-stage supply chain with production capacity constraints

NAVAL RESEARCH LOGISTICS: AN INTERNATIONAL JOURNAL, Issue 8 2003
David Simchi-Levi
Abstract We consider a simple two-stage supply chain with a single retailer facing i.i.d. demand and a single manufacturer with finite production capacity. We analyze the value of information sharing between the retailer and the manufacturer over a finite time horizon. In our model, the manufacturer receives demand information from the retailer even during time periods in which the retailer does not order. To analyze the impact of information sharing, we consider the following three strategies: (1) the retailer does not share demand information with the manufacturer; (2) the retailer does share demand information with the manufacturer and the manufacturer uses the optimal policy to schedule production; (3) the retailer shares demand information with the manufacturer and the manufacturer uses a greedy policy to schedule production. These strategies allow us to study the impact of information sharing on the manufacturer as a function of the production capacity, and the frequency and timing in which demand information is shared. © 2003 Wiley Periodicals, Inc. Naval Research Logistics, 2003 [source]

Optimal control of a water reservoir with expected value,variance criteria

OPTIMAL CONTROL APPLICATIONS AND METHODS, Issue 1 2007
Andrzej Karbowski
Abstract The article presents how to solve a reservoir management problem, which has been formulated as a two-criteria stochastic optimal control problem. Apart from the expected value of a performance index, its variance is also considered. Three approaches are described: a method based on the Lagrange function; a method based on the ordinary moment of the second order (finite time horizon); and a method based on linear programming (infinite time horizon). In the second part of the article, they are assessed in a case study concerning a reservoir in the southern part of Poland. Copyright © 2006 John Wiley & Sons, Ltd. [source]