Motivated by an aggregate production-planning problem in an actual global manufacturing network, we examine the impact of exchange-rate uncertainty on the choice of optimal production policies when the allocation decision can be deferred until the realization of exchange rates. This leads to the...

This paper studies production planning with random yield and demand. It is a departure from previous studies of random yield in that it defines the sale price and the purchasing cost as exogenous and increasing with decreasing yield. While this behavior can be observed in various industries...

This paper examines a single-stage production system that deteriorates with production actions, and improves with maintenance. The condition of the process can be in any of several discrete states, and transitions from state to state follow a semi-Markov process. The firm can produce multiple...

To meet consumer needs, global firms typically manufacture based on their aggregate production plan after receiving demand projections from all markets. One of the consequences of matching demand with manufacturing is that these plans generally ignore the impact of exchange rate fluctuations....