Inventory control with an order-time constraint: optimality, uniqueness and significance (Q2430623)

The paper formulates and solves a new stochastic inventory in continuous-time type problem. This kind of problem is explicitly compared with the actual literature. More precisely, the authors analyze the case of an order-time constraint under a Poisson demand process, with a fixed ordering cost. Under the discounted cost objective and under the average cost objective, the existence and the uniqueness of a corresponding optimal policy is separately proved. For the proofs, the authors use refined mathematical tools. Some special cases are discussed. Finally, the studied model is numerically compared with the classical unconstrained model.