• A FINITE POPULATION DISCRETE-TIME INVENTORY SYSTEM WITH POSTPONED DEMANDS

Abstract

In this paper, we consider the discrete time inventory system in which the demands are originated from the finite number of homogeneous population. The inter demand times of the primary arrival follows geometric distribution. The inventory is replenished according to policy. According to the policy the inventory is reaches a level, we place an order so that the inventory level is up to S and the lead times are assumed to follow a geometric distribution. The demands that occur during stock out period is permitted to enter into the pool. These pooled demands are satisfied only when the inventory level is above. The pooled demands are selected one by one according to the first come first serve basis and the inter-selection time is distributed as geometric. The joint probability distribution of the number of demands in the pool and the inventory level is obtained in steady state case and some important system performance measures are derived in the steady state case.