Accession Number : AD0664456

Title :   A MARKOV DECISION PROCESS WITH COSTLY INSPECTION.

Descriptive Note : Technical rept.,

Corporate Author : STANFORD UNIV CALIF DEPT OF STATISTICS

Personal Author(s) : Tafeen,Stephen M.

Report Date : 15 JAN 1968

Pagination or Media Count : 51

Abstract : A simple production process which has only two states in which production is possible, and two other states in which no production can take place is studied. The items produced are classified as either acceptable or defective. Costs are associated with producing defective items, inspecting items and repairing the process. Immediately after repair, and only then, is the process state known. An optimal control rule, which tells when to inspect items and when to repair the machinery, based on the past history of the process is sought. The problem in which inspection costs are nil, and hence 100% inspection is used, has been studied by Girshick and Rubin. When the process satisfies certain conditions, an optimal control rule is characterized, and a method for obtaining the rule is presented. Several other methods are given which produce almost optimal solutions when these conditions are violated. (Author)

Descriptors :   (*DECISION THEORY, OPTIMIZATION), (*PRODUCTION CONTROL, OPTIMIZATION), NUMERICAL ANALYSIS, MANAGEMENT PLANNING AND CONTROL, DECISION MAKING, MAINTENANCE, STATISTICAL PROCESSES, APPROXIMATION(MATHEMATICS), BANACH SPACE, CONTROL, COSTS, LINEAR PROGRAMMING, OPERATIONS RESEARCH, PROBABILITY, SET THEORY, THEOREMS

Subject Categories : Administration and Management
      Operations Research
      Mfg & Industrial Eng & Control of Product Sys

Distribution Statement : APPROVED FOR PUBLIC RELEASE