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The stochastic knapsack has been used as a model in wide ranging applications from dynamic resource allocation to admission control in telecommunication. In recent years, a variation of the model has become a basic tool in studying problems…

Pricing of Securities · Quantitative Finance 2008-12-02 Grace Lin , Yingdong Lu , David Yao

This paper extends the single-item single-stocking location non-stationary stochastic inventory problem to relax the assumption of independent demand. We present a mathematical programming-based solution method that relaxes the assumption…

Optimization and Control · Mathematics 2023-09-26 Mengyuan Xiang , Roberto Rossi , Belen Martin-Barragan , S. Armagan Tarim

The configuration balancing problem with stochastic requests generalizes many well-studied resource allocation problems such as load balancing and virtual circuit routing. In it, we have $m$ resources and $n$ requests. Each request has…

Data Structures and Algorithms · Computer Science 2022-08-30 Franziska Eberle , Anupam Gupta , Nicole Megow , Benjamin Moseley , Rudy Zhou

This work focuses on optimal harvesting-renewing for a stochastic population. A mixed regular-singular control formulation with a state constraint and regime-switching is introduced. The decision-makers either harvest or renew with finite…

Optimization and Control · Mathematics 2022-11-07 K. Q. Tran , L. T. N. Bich , George Yin

The well-known Influence Maximization (IM) problem has been actively studied by researchers over the past decade, with emphasis on marketing and social networks. Existing research have obtained solutions to the IM problem by obtaining the…

Machine Learning · Statistics 2018-11-06 Trisha Lawrence

In this paper, we study the optimal control problem for a company whose surplus process evolves as an upward jump diffusion with random return on investment. Three types of practical optimization problems faced by a company that can control…

Portfolio Management · Quantitative Finance 2016-11-04 Chuancun Yin , Kam Chuen Yuen

We study the dynamic assortment planning problem, where for each arriving customer, the seller offers an assortment of substitutable products and customer makes the purchase among offered products according to an uncapacitated multinomial…

Machine Learning · Statistics 2019-02-11 Xi Chen , Yining Wang , Yuan Zhou

Chance constraints are frequently used to limit the probability of constraint violations in real-world optimization problems where the constraints involve stochastic components. We study chance-constrained submodular optimization problems,…

Optimization and Control · Mathematics 2023-09-27 Xiankun Yan , Anh Viet Do , Feng Shi , Xiaoyu Qin , Frank Neumann

We propose stochastic rank-$1$ bandits, a class of online learning problems where at each step a learning agent chooses a pair of row and column arms, and receives the product of their values as a reward. The main challenge of the problem…

Machine Learning · Computer Science 2017-03-09 Sumeet Katariya , Branislav Kveton , Csaba Szepesvari , Claire Vernade , Zheng Wen

We study the optimal excess-of-loss reinsurance problem when both the intensity of the claims arrival process and the claim size distribution are influenced by an exogenous stochastic factor. We assume that the insurer's surplus is governed…

Mathematical Finance · Quantitative Finance 2019-04-12 Matteo Brachetta , Claudia Ceci

This study addresses the difficulties associated with inventory management of products with stochastic demand. The objective is to find the optimal combination of order quantity and reorder point that maximizes profit while considering…

Computational Engineering, Finance, and Science · Computer Science 2023-10-05 Sarit Maitra , Vivek Mishra , Sukanya Kundu

Motivated by modern-day applications such as Attended Home Delivery and Preference-based Group Scheduling, where decision makers wish to steer a large number of customers toward choosing the exact same alternative, we introduce a novel…

Optimization and Control · Mathematics 2025-02-13 Omar El Housni , Marouane Ibn Brahim , Danny Segev

Based on a point of view that solvency and security are first, this paper considers regular-singular stochastic optimal control problem of a large insurance company facing positive transaction cost asked by reinsurer under solvency…

Risk Management · Quantitative Finance 2010-12-22 Zongxia Liang , Jicheng Yao

We study the cyclic inventory routing problem that involves joint decisions on vehicle routing and inventory replenishment on an infinite, cyclic horizon. It considers a single warehouse and a set of geographically dispersed retailers. We…

Optimization and Control · Mathematics 2026-05-07 Menglei Jia , Albert H. Schrotenboer , Ahmadreza Marandi , Feng Chen

This paper bridges some of the gap between optimal planning and reinforcement learning (RL), both of which share roots in dynamic programming applied to sequential decision making or optimal control. Whereas planning typically favors…

Robotics · Computer Science 2026-03-10 Filip V. Georgiev , Kalle G. Timperi , Başak Sakçak , Steven M. LaValle

Optimal stopping is the problem of deciding when to stop a stochastic system to obtain the greatest reward, arising in numerous application areas such as finance, healthcare and marketing. State-of-the-art methods for high-dimensional…

Optimization and Control · Mathematics 2020-01-01 Dragos Florin Ciocan , Velibor V. Mišić

We prove a verification theorem for a class of singular control problems which model optimal harvesting with density-dependent prices or optimal dividend policy with capital-dependent utilities. The result is applied to solve explicitly…

Optimization and Control · Mathematics 2015-06-29 Luis H. R. Alvarez , Edward Lungu , Bernt Øksendal

We consider a stochastic optimal control problem in a market model with temporary and permanent price impact, which is related to an expected utility maximization problem under finite fuel constraint. We establish the initial condition…

Mathematical Finance · Quantitative Finance 2015-10-13 Mourad Lazgham

We consider a general class of dynamic resource allocation problems within a stochastic optimal control framework. This class of problems arises in a wide variety of applications, each of which intrinsically involves resources of different…

Optimization and Control · Mathematics 2018-01-08 Xuefeng Gao , Yingdong Lu , Mayank Sharma , Mark S. Squillante , Joost W. Bosman

Industrial refrigeration systems have substantial energy needs, but optimizing their operation remains challenging due to the tension between minimizing energy costs and meeting strict cooling requirements. Load shifting--strategic…

Optimization and Control · Mathematics 2025-10-07 Vade Shah , Yohan John , Ethan Freifeld , Lily Y. Chen , Jason R. Marden