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Multivariate Clearing Functions

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Production Planning with Capacitated Resources and Congestion
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Abstract

The clearing functions examined in Chap. 7 all assume that the expected output of a production resource in a planning period is a function of a single, aggregate state variable characterizing the amount of work available to the resource during the planning period; hence they were termed univariate clearing functions. In this chapter we explore several of the limitations of univariate clearing functions, and propose a number of more complex, multivariate clearing functions that seek to address these difficulties. We begin by using transient queueing models to provide an initial intuition for why additional state variables are needed. We then discuss clearing functions that explicitly attempt to represent the transient behavior of the system without assuming steady state, and then proceed to consider additional state variables related to individual products and previous periods.

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Missbauer, H., Uzsoy, R. (2020). Multivariate Clearing Functions. In: Production Planning with Capacitated Resources and Congestion. Springer, New York, NY. https://doi.org/10.1007/978-1-0716-0354-3_8

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