• Sargent, Frederick W.
  University of Maine Graduate School
  

Forest products industries are faced with inventories in the various stages of production. Inventories are necessary to assure a constant flow of materials, but overly large inventories cause an excessive loss-of-opportunity cost. The operations research tool of inventory control (lot size) models calculate optimal production and warehouse inventory levels by differential calculus. Increasingly complex deterministic inventory control models are examined. A priority condition not mentioned in literature that helps in allocating scarce resources is added on top of a multiple item model.