| Article ID: | iaor19931709 |
| Country: | Poland |
| Volume: | 20 |
| Issue: | 4 |
| Start Page Number: | 79 |
| End Page Number: | 98 |
| Publication Date: | Jan 1991 |
| Journal: | Control and Cybernetics |
| Authors: | Sernik Enrique L., Marcus Steven I. |
| Keywords: | production, markov processes |
The production replacement process is modelled with partially observed Markov process. The non-stationary value iteration (NVI) adaptive policy for the case of average cost as performance index is derived and its optimality is demonstrated. A parameter estimation algorithm, developed by the same authors, and used for specification of the adaptive policy, is also described. Numerous previously assumed conditions are relaxed or eliminated.