Fluid queues with synchronized output

Onno Boxma, Offer Kella, Liron Ravner (Corresponding author)

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We present a model of parallel Lévy-driven queues that mix their output into a final product; whatever cannot be mixed is sold on the open market for a lower price. The queues incur holding and capacity costs and can choose their processing rates. We solve the ensuing centralized (system optimal) and decentralized (individual station optimal) profit optimization problems. In equilibrium the queues process work faster than desirable from a system point of view. Several model extensions are also discussed.

Originele taal-2Engels
Pagina's (van-tot)629-635
Aantal pagina's7
TijdschriftOperations Research Letters
Nummer van het tijdschrift6
StatusGepubliceerd - 1 nov 2019

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