A note on an optimal choice problem

A note on an optimal choice problem

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Article ID: iaor19941897
Country: Germany
Volume: 38
Start Page Number: 1
End Page Number: 9
Publication Date: Apr 1993
Journal: Mathematical Methods of Operations Research (Heidelberg)
Authors:
Abstract:

An item has probability p0 of not being workable. Before going into use it has to be controlled by some deliberately chosen checks Ci which costs ci≥0, 1•i•n. Total checking costs must be not larger than c0>0. It may happen that a check breaks a workable item, and failures may be overlooked. The problem is to determine an optimal sequence of checks subject to the cost constraints, such that the probability is maximized that an item leaving the checks is workable. This problem is solved by W. Stadje, but numerically the solution method only is applicable to problems of modest size. In this paper a simple reformulation of the original problem is presented. This first allows a simpler derivation of some of the results of Stadje. Further, a dynamic programming algorithm is presented, which is pseudopolynomial, if costs ci are integers. It then requires O(nëc0) time.

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