An \(M/M/c\) type of queueing model with \((R_ i,r_ i)\) switch-over policy (Q1310045)

A production/inventory system is modeled as a multiple server queueing system. Consider that there are a number of identical machines available to the production system. Job orders arrive randomly and request a random amount of time to process. When an order is received, it is immediately satisfied from the on-hand stock if available. Otherwise, the job waits in the queue and a backorder occurs. It is assumed that backorder is permitted. Machines are activated and deactivated at different inventory levels. It is economical to operate only a few machines when the demand is low and to operate more machines when the demand is high. An algorithm to compute the average production and inventory cost per unit time is developed and the procedure to search for the optimal inventory levels is discussed in this paper.