Title: Hybrid minimal repair and age replacement policy for two-dimensional warranted products

Authors: H. Husniah; U.S. Pasaribu; A.H. Halim; B.P. Iskandar

Addresses: Department of Industrial Engineering, Bandung Institute of Technology, Bandung 40132, Indonesia; Department of Industrial Engineering, Langlangbuana University, Bandung 40132, Indonesia. ' Department of Mathematics and Natural Sciences, Bandung Institute of Technology, Bandung 40132, Indonesia. ' Department of Industrial Engineering, Bandung Institute of Technology, Bandung 40132, Indonesia. ' Department of Industrial Engineering, Bandung Institute of Technology, Bandung 40132, Indonesia

Abstract: In this paper, we investigate a hybrid minimal repair and age replacement policy for a repairable product sold with a two-dimensional non-renewing failure replacement warranty. We first model product failures using the one-dimensional approach and then use a more appropriate formulation to model the effect of age and usage to the product degradation. Under this policy, for a given usage rate y, the product is directly repaired minimally when it fails in (0, Sy] and replaced with the new one on the first failure in (Sy, ?y] or when its age reaches ?y, whichever occurs first. We obtain the global optimal solution of Sy, for a given ?y which minimises the expected cost per unit time to the buyer. We present numerical examples to illustrate the properties of the optimal solution.

Keywords: hybrid repairs; minimal repairs; age replacement; usage rates; warranted products; two-dimensional warranties; repairable products; non-renewing warranties; failure replacement warranties; product failures; one-dimensional approaches; product degradation; optimal solutions; expected costs; unit time; renewal reward theorems; optimisation; collaborative enterprises; collaboration; maintenance modelling; maintenance management.

DOI: 10.1504/IJCENT.2011.043827

International Journal of Collaborative Enterprise, 2011 Vol.2 No.4, pp.284 - 301

Available online: 23 Nov 2011 *

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