Mathematical Programming Approach to the Optimality of the Solution for Deterministic Inventory Models with Partial Backordering

Abstract

We give an alternative proof of the optimality of the solution for the deterministic EPQ with partial backordering (EPQ-PBO) [Omega, vol. 37, no. 3, pp. 624–636, 2009]. Our proof is based on the mathematical programming theory. We also demonstrate the determination of the optimal decision policy through solving the corresponding mathematical programming problem. We indicate that the same approach can be used within other inventory models with partial backordering, and we consider additional models.