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...

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....

This paper investigates the relationship between market conditions and the value and use of sourcing flexibility for service processes. We develop and analyze a series of models, and we derive expressions for the optimal switching decision, the value of the option to outsource, the value of the...

A tree network is a collection of trees rooted at a common central node. Several types of network design problems can be viewed as requiring the formation of a spanning tree network of minimum length, subject to a bound on the sum of "weights" on the nodes of any component tree. Such problems...

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...