Dynamic pricing models for used products in remanufacturing with lost-sales and uncertain quality

In this paper, we investigate the remanufacturing problem of pricing single-class used products (cores) in the face of random price-dependent returns and random demand. Specifically, we propose a dynamic pricing policy for the cores and then model the problem as a continuous-time Markov decision process. Our models are designed to address three objectives: finite horizon total cost minimization, infinite horizon discounted cost, and average cost minimization. Besides proving optimal policy uniqueness and establishing monotonicity results for the infinite horizon problem, we also characterize the structures of the optimal policies, which can greatly simplify the computational procedure. Finally, we use computational examples to assess the impacts of specific parameters on optimal price and reveal the benefits of a dynamic pricing policy. © 2013 Elsevier B.V. All rights reserved.

Extreme events and the morphodynamics of gravel-dominated coastal barriers: Strengthening uncertain ground

The long-term morphodynamic ordering of gravel-dominated coastal systems (GDCS), many of which serve as coastal defences in northwest Europe, is dominated by extreme events that generate barrier crest overflow. An understanding of this morphodynamic ordering is fraught with several unresolved difficulties. These are related to the twin problems of the inadequacy of pertinent morphodynamic parameterisation and of obtaining data from modern shores enabling such parameterisation. Major uncertainties concern the timing of over-crest flow in terms of return period of extreme elevation; the intensity and structure of the overflow field; antecedent beachface characteristics in response to storms; the rate of relative sea-level change; tidal stage control; and barrier resistance to forcing, itself determined by a number of unknowns including barrier form and size, sediment size and mosaics, and barrier resilience. While generalised extreme value modelling may provide a means of characterising overwashing return-period and its variability, exceptional tsunami events are outside the scope of such modelling. The characterisation of GDCS morphodynamics in terms of the forcing extreme events will necessitate integrating some or all of these parameters into a single model.

Review: M. Everson and E. Vos (eds.), Uncertain Risks Regulated (Routledge-Cavendish, 2009)

Review of edited collection.

Adaptive uncertain information fusion to enhance plan selection in BDI agent systems

Correctly modelling and reasoning with uncertain information from heterogeneous sources in large-scale systems is critical when the reliability is unknown and we still want to derive adequate conclusions. To this end, context-dependent merging strategies have been proposed in the literature. In this paper we investigate how one such context-dependent merging strategy (originally defined for possibility theory), called largely partially maximal consistent subsets (LPMCS), can be adapted to Dempster-Shafer (DS) theory. We identify those measures for the degree of uncertainty and internal conflict that are available in DS theory and show how they can be used for guiding LPMCS merging. A simplified real-world power distribution scenario illustrates our framework. We also briefly discuss how our approach can be incorporated into a multi-agent programming language, thus leading to better plan selection and decision making.

A Syntactic Approach to Revising Epistemic States with Uncertain Inputs

Revising its beliefs when receiving new information is an important ability of any intelligent system. However, in realistic settings the new input is not always certain. A compelling way of dealing with uncertain input in an agent-based setting is to treat it as unreliable input, which may strengthen or weaken the beliefs of the agent. Recent work focused on the postulates associated with this form of belief change and on finding semantical operators that satisfy these postulates. In this paper we propose a new syntactic approach for this form of belief change and show that it agrees with the semantical definition. This makes it feasible to develop complex agent systems capable of efficiently dealing with unreliable input in a semantically meaningful way. Additionally, we show that imposing restrictions on the input and the beliefs that are entailed allows us to devise a tractable approach suitable for resource-bounded agents or agents where reactiveness is of paramount importance.

Can(Plan)+: Extending the Operational Semantics of the BDI Architecture to deal with Uncertain Information

The BDI architecture, where agents are modelled based on their beliefs, desires and intentions, provides a practical approach to develop large scale systems. However, it is not well suited to model complex Supervisory Control And Data Acquisition (SCADA) systems pervaded by uncertainty. In this paper we address this issue by extending the operational semantics of Can(Plan) into Can(Plan)+. We start by modelling the beliefs of an agent as a set of epistemic states where each state, possibly using a different representation, models part of the agent's beliefs. These epistemic states are stratified to make them commensurable and to reason about the uncertain beliefs of the agent. The syntax and semantics of a BDI agent are extended accordingly and we identify fragments with computationally efficient semantics. Finally, we examine how primitive actions are affected by uncertainty and we define an appropriate form of lookahead planning.

The Robustness of Periodic Orchestrations in Uncertain Evolving Environments

A framework for assessing the robustness of long-duration repetitive orchestrations in uncertain evolving environments is proposed. The model assumes that service-based evaluation environments are stable over short time-frames only; over longer periods service-based environments evolve as demand fluctuates and contention for shared resources varies. The behaviour of a short-duration orchestration E in a stable environment is assessed by an uncertainty profile U and a corresponding zero-sum angel-daemon game Γ(U) [2]. Here the angel-daemon approach is extended to assess evolving environments by means of a subfamily of stochastic games. These games are called strategy oblivious because their transition probabilities are strategy independent. It is shown that the value of a strategy oblivious stochastic game is well defined and that it can be computed by solving a linear system. Finally, the proposed stochastic framework is used to assess the evolution of the Gabrmn IT system.