Optimal Issuing Policies

Abstract

Consider a stockpile consisting of n items where the i th item has a rating r i , i = 1, …, n . An item with rating r , if kept in stockpile until time t and then released to the field, will have a field life of rd ( t ). Thus it is assumed that for any t , the field life for issuance at time t is proportional to the time 0 field life. Items are to be issued one by one from the stockpile to the field until the stockpile is depleted. The i th issued item is placed in the field immediately upon the death in the field of the ( i − 1)st issued item. Conditions for LIFO and FIFO optimality are obtained.