scholarly journals A Risk-Averse Newsvendor Model under Stochastic Market Price

2021 ◽  
Vol 2021 ◽  
pp. 1-9
Author(s):  
Huirong Zhang ◽  
Zhenyu Zhang ◽  
Jiaping Zhang
Keyword(s):  
Inventory Control ◽  
Market Price ◽  
Operational Efficiency ◽  
Risk Averse ◽  
Price Uncertainty ◽  
Newsvendor Model ◽  
Inventory Cost ◽  
Survival And Development ◽  
The Impact ◽  
Stochastic Market

The optimal inventory control is closely related to an enterprise’s operational efficiency, survival, and development. Market price uncertainty is introduced into the newsvendor model and the uncertainty’s impact on the firm's optimal stocking quantity is discussed. The results show that the impact of stochastic market price on the optimal stocking quantity under a given condition mainly depends on the magnitude of inventory cost. When the inventory cost is low, the market price’s uncertainty leads the firm to increase the stocking quantity. In contrast, when the inventory cost is high, market price uncertainty leads the firm to decrease inventory. Besides, the risk-averse behaviour leads the firm to reduce its stocking quantity.

Modeling and Validation of Hydro Cascade Operation Considering Price Uncertainty

2021 ◽  
Author(s):  
Maxime Libsig ◽  
Elena Raycheva ◽  
Jared B. Garrison ◽  
Gabriela Hug
Keyword(s):  
Market Price ◽  
Electric Power System ◽  
Point Of View ◽  
Computational Time ◽  
Price Uncertainty ◽  
Historical Simulation ◽  
Perfect Knowledge ◽  
System Operator ◽  
Price Uncertainties ◽  
The Impact

Abstract Most studies involving the use of hydropower in an electric power system tend to consider the point of view of the system operator even though under liberalized markets in Europe, the operation of hydro units is set by the owner to maximize their profits. Such studies also often neglect uncertainties related to hydropower operation and instead assume perfect knowledge of the system conditions over the simulation horizon. This paper presents a methodology to overcome the aforementioned limitations. We optimize the operational choices of a hydropower cascade owner with multiple linked hydro assets and the ability to participate in several energy and reserve markets while also accounting for the impact of market price uncertainties on the owner’s operating decisions. The versatile optimization model created includes a detailed representation of any selected hydro cascade’s topology, constraints to reflect the machinery characteristics, and a rolling horizon approach to account for the price uncertainties in the daily operating schedule. The model is first validated using historical data for a hydro cascade in Switzerland and a perfect-knowledge approach. Next, price uncertainty is added to improve the historical simulation results and find a trade-off between accuracy and computational time.

scholarly journals Pengendalian Persediaan Darah Dengan Metode Continuous Review System Pada Palang Merah Indonesia (PMI) Kota Pekanbaru

2019 ◽  
Vol 9 (2) ◽  
pp. 49-57
Author(s):  
Faradila Ananda Yul
Keyword(s):  
Inventory Control ◽  
Blood Supply ◽  
Blood Type ◽  
Review System ◽  
Inventory Cost ◽  
Safety Stock ◽  
Continuous Review ◽  
Reorder Point ◽  
Total Inventory ◽  
The Impact

Blood Transfusion Unit (UTD) PMI Pekanbaru is the organization in charge to provide blood than the one set by the Minister of Health.Masalah yang banyak terdapat pada UTD PMI Kota Pekanbaru adalah permintaan dan ketersediaan akan darah yang tidak pasti dan sulit untuk dikontrol.Thera are many problems in UTD PMI Pekanbaru is the demand and availability of the blood which is unpredictable and difficult to control. Artinya pasokan darah bisa saja habis saat permintaan tinggi dan bisa pula kadaluwarsa akibat terlalu lama di dalam penyimpanan. This means that the blood supply could be depleted when demand is high and can also expire due to too long in storage. Dampak dari tidak tersedianya darah dapat mengakibatkan kematian bagi pasien yang membutuhkannya. The impact of the unavailability of blood can be fatal for patients who need them. Oleh karena itu, diperlukan pengendalian persediaan darah supaya PMI mampu memenuhi permintaan darah. Therefore, the necessary blood inventory control so that PMI is able to meet the demand for blood. Penelitian ini bertujuan untuk menentukan jumlah persediaan darah dan frekuensi pengambilan darah yang optimal. This study aims to determine the amount of blood supply and the frequency of optimal blood. jumlah persediaan dan frekuensi pengambilan darah yang optimal. Inventory number and the frequency of optimal blood. Penelitian ini diawali dengan pengambilan data ke pihak PMI, dilanjutkan dengan pengolahan data dengan menggunakan model continuous review system , pengendalian persediaan dilakukan dengan cara melakukan perhitungan safety stock,reorder point, untuk setiap golongan darah serta implementasi two bin system .This study begins by loading data to the PMI, followed by processing the data using a model of continuous review system, inventory control is done by calculating safety stock,reorder point, for each blood type as well as the implementation of the two-bin system.Berdasarkan metode continuous review system,Total inventory cost (TIC) yang minimum rata-rata dari semua golongan darah adalah sebesar 104.389 rupiah.Based on the method of continuous review system,total inventory cost (TIC) the minimum average of all blood groups amounted to 104 389 rupiah. Terdapat penghematan sekitar 75.000 rupiah atau 56% per kantung darah. There is a saving of about 75,000 rupiah or 56% per bag of blood. Berdasarkan hasil tersebut maka biaya persediaan yang dijalankan pihak UTD PMI kota Pekanbaru belum mencapai titik minimal. Based on these results the cost of inventory that is carried out by UTD PMI Pekanbaru city has not reached the minimum point.  

Risk Attitude and Corporate Investment under Output Market Uncertainty: Evidence from The Mekong River Delta, Vietnam

2016 ◽  
pp. 59-70
Author(s):  
Ninh Le Khuong ◽  
Nghiem Le Tan ◽  
Tho Huynh Huu
Keyword(s):  
Negative Relationship ◽  
Risk Attitude ◽  
Business Strategies ◽  
Risk Averse ◽  
Market Uncertainty ◽  
Firm Investment ◽  
Output Market ◽  
The Impact ◽  
The Relationship

This paper aims to detect the impact of firm managers’ risk attitude on the relationship between the degree of output market uncertainty and firm investment. The findings show that there is a negative relationship between these two aspects for risk-averse managers while there is a positive relationship for risk-loving ones, since they have different utility functions. Based on the findings, this paper proposes recommendations for firm managers to take into account when making investment decisions and long-term business strategies as well.

Income Diversification and Bank Efficiency in Vietnam

2017 ◽  
pp. 52-67
Author(s):  
Sang Nguyen Minh
Keyword(s):  
Regression Model ◽  
Commercial Banks ◽  
Banking System ◽  
Operational Efficiency ◽  
Commercial Banking ◽  
Tobit Regression ◽  
Income Diversification ◽  
Positive Effects ◽  
Study Results ◽  
The Impact

This study uses the DEA (Data Envelopment Analysis) method to estimate the technical efficiency index of 34 Vietnamese commercial banks in the period 2007-2015, and then it analyzes the impact of income diversification on the operational efficiency of Vietnamese commercial banks through a censored regression model - the Tobit regression model. Research results indicate that income diversification has positive effects on the operational efficiency of Vietnamese commercial banks in the research period. Based on study results, in this research some recommendations forpolicy are given to enhance the operational efficiency of Vietnam’s commercial banking system.

Implementation of Vendor Managed Inventory (VMI) in Managing Intra Ocular Lenses (IOL) in Eye Care Organization

2015 ◽  
Vol 2 (9) ◽  
pp. 1 ◽  
Author(s):  
Nancy Sharma
Keyword(s):  
Supply Chain ◽  
Operational Efficiency ◽  
Care Organization ◽  
Healthcare Industry ◽  
Vendor Managed Inventory ◽  
Eye Care ◽  
Inventory Cost ◽  
Innovative Strategies ◽  
Industry Hospital

Nowadays healthcare has a completely changed scenario as compared with the early 90’s. As more and more profit generating hospitals are coming in the industry, hospital and healthcare is no longer remains a charitable or philanthropically act. So to be remain in the market and compete within hospitals need to now focus on the different and innovative strategies in every aspect. Supply chain and operations is one of the important key of any organization which directly impact on business and revenue. Vendor Managed inventory is not a new concept but it is not efficiently utilized in service and healthcare industry as of now. Some retail and automobile industries has utilized the concept and also able to reduce the inventory cost with manageable position of stock out and over stocking position. As hospital’s key functioning is to deal with life of patients on day to day so position of material need to be necessarily on right time and right place. This paper is based on the insight of the application of vendor managed inventory in the management of inventory for the IOL (Intra ocular lenses) that is used for the surgeries in the eye hospital. We will also study the questionnaire on the acceptability of the concept of vendor managed inventory in the hospital that will help to assess the acceptability of VMI in hospital and healthcare industry. Also a framework matrix is designed to understand the relation of VMI with the revenue earning and smoothening of operational efficiency.

scholarly journals Snake charming and the exploitation of snakes in Morocco

Oryx ◽  
2016 ◽  
Vol 52 (2) ◽  
pp. 374-381 ◽  
Author(s):  
Juan M. Pleguezuelos ◽  
Mónica Feriche ◽  
José C. Brito ◽  
Soumía Fahd
Keyword(s):  
Reproductive Output ◽  
Surveys And Questionnaires ◽  
Market Price ◽  
Tourism Industry ◽  
Cultural Dimensions ◽  
Population Declines ◽  
Field Surveys ◽  
Focal Species ◽  
The Impact ◽  
Naja Haje

AbstractTraditional activities that potentially threaten biodiversity represent a challenge to conservationists as they try to reconcile the cultural dimensions of such activities. Quantifying the impact of traditional activities on biodiversity is always helpful for decision making in conservation. In the case of snake charming in Morocco, the practice was introduced there 500 years ago by the religious order the Aissawas, and is now an attraction in the country's growing tourism industry. As a consequence wild snake populations may be threatened by overexploitation. The focal species for snake charming, the Egyptian cobra Naja haje, is undergoing both range and population declines. We estimated the level of exploitation of snakes based on field surveys and questionnaires administered to Aissawas during 2003–2014, and compared our results with those of a study conducted 25 years previously. Aissawas use four venomous and four non-venomous species for snake charming and we estimate they harvest a minimum of 4,500 individuals annually, mostly venomous snakes. For exhibition purposes they selectively remove the largest specimens from the wild (i.e. those that could have the highest reproductive output). Compared to the previous data, we detected (1) a reduction in the number of species collected, (2) an increased distance to collecting fields, and (3) an increase in the market price for snakes, after correction for accumulated inflation, signifying a higher demand for these animals.

RFID-Based Optimization Method for Inventory Control Strategy

2010 ◽  
Vol 34-35 ◽  
pp. 1983-1987
Author(s):  
You Bo Wu ◽  
Yi Tao ◽  
Xiao Hong Pan ◽  
Peng Cheng Wu
Keyword(s):  
Inventory Control ◽  
Small And Medium Enterprises ◽  
Market Competition ◽  
Optimization Method ◽  
Stock Management ◽  
Inventory Cost ◽  
Logistics Cost ◽  
Manufacturing Enterprises ◽  
Management Optimization ◽  
Medium Enterprises

As the market competition became more fiercely and the customers’ needs of diversified products increased, small and medium enterprises (SME) were more and more aware of the importance of getting quick respond of the market. More and more enterprises felt the logistics cost pressure during this business. How to lower down the logistics cost especially the stock cost became crucial for these SME enterprises. Further more, for enterprises whose producing type is many varieties small batches, how to use valid method to decline inventory and waste, is a great hard nut to crack. This article targeted on inventory control of clothing manufacturing enterprises for research, RFID technology was applied in stock management, optimization method was adopted for inventory control based on RFID, optimization control model was built, and the route for declined inventory cost and waste was analyzed. Finally, the application method was verified according emulation.

scholarly journals Adaptive Robust Optimization-Based Optimal Operation of Microgrids Considering Uncertainties in Arrival and Departure Times of Electric Vehicles

Energies ◽  
2018 ◽  
Vol 11 (10) ◽  
pp. 2646 ◽  
Author(s):  
Se-Hyeok Choi ◽  
Akhtar Hussain ◽  
Hak-Man Kim
Keyword(s):  
Robust Optimization ◽  
Electric Vehicles ◽  
Unit Commitment ◽  
Renewable Energy Sources ◽  
Market Price ◽  
Optimal Operation ◽  
Worst Case ◽  
Price Signals ◽  
Power Trading ◽  
The Impact

The optimal operation of microgrids is challenging due to the presence of various uncertain factors, i.e., renewable energy sources, loads, market price signals, and arrival and departure times of electric vehicles (EVs). In order to incorporate these uncertainties into the operation model of microgrids, an adaptive robust optimization-based operation method is proposed in this paper. In particular, the focus is on the uncertainties in arrival and departure times of EVs. The optimization problem is divided into inner and outer problems and is solved iteratively by introducing column and constraint cuts. The unit commitment status of dispatchable generators is determined in the outer problem. Then, the worst-case realizations of all the uncertain factors are determined in the inner problem. Based on the values of uncertain factors, the generation amount of dispatchable generators, the amount of power trading with the utility grid, and the charging/discharging amount of storage elements are determined. The performance of the proposed method is evaluated using three different cases, and sensitivity analysis is carried out by varying the number of EVs and the budget of uncertainty. The impact of the budget of uncertainty and number of EVs on the operation cost of the microgrid is also evaluated considering uncertainties in arrival and departure times of EVs.

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