... example,consider an insurance company at which claims arrive according to a Poissonprocess and the claim sizes are independent and identically distributed randomvariables, which are also independent ... with back ordering. In this model customers askingfor a certain product arrive according to a Poisson process with rate λ. Each cus-tomer asks for one unit of the product. The initial on-hand ... include the arrivals of customersat a counter, the occurrences of earthquakes in a certain region, the occurrencesof breakdowns in an electricity generator, etc. The Poisson process is a naturalmodelling...