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The role of repair strategy in warranty cost minimization: An investigation via quasi-renewal processes

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  • SamatlI-Pa, Glay
  • Taner, Mehmet R.

Abstract

Most companies seek efficient rectification strategies to keep their warranty related costs under control. This study develops and investigates different repair strategies for one- and two-dimensional warranties with the objective of minimizing manufacturer's expected warranty cost. Static, improved and dynamic repair strategies are proposed and analyzed under different warranty structures. Numerical experimentation with representative cost functions indicates that performance of the policies depend on various factors such as product reliability, structure of the cost function and type of the warranty contract.

Suggested Citation

  • SamatlI-Pa, Glay & Taner, Mehmet R., 2009. "The role of repair strategy in warranty cost minimization: An investigation via quasi-renewal processes," European Journal of Operational Research, Elsevier, vol. 197(2), pages 632-641, September.
    • Handle: RePEc:eee:ejores:v:197:y:2009:i:2:p:632-641
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    References listed on IDEAS

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    Cited by:

    1. Chun Su & Xiaolin Wang, 2016. "Modeling flexible two-dimensional warranty contracts for used products considering reliability improvement actions," Journal of Risk and Reliability, , vol. 230(2), pages 237-247, April.
    2. van der Heijden, Matthieu & Iskandar, Bermawi P., 2013. "Last time buy decisions for products sold under warranty," European Journal of Operational Research, Elsevier, vol. 224(2), pages 302-312.
    3. Shafiee, Mahmood & Chukova, Stefanka, 2013. "Maintenance models in warranty: A literature review," European Journal of Operational Research, Elsevier, vol. 229(3), pages 561-572.
    4. Ben Mabrouk, A. & Chelbi, A. & Radhoui, M., 2016. "Optimal imperfect maintenance strategy for leased equipment," International Journal of Production Economics, Elsevier, vol. 178(C), pages 57-64.
    5. Moura, Márcio das Chagas & Santana, João Mateus & Droguett, Enrique López & Lins, Isis Didier & Guedes, Bruno Nunes, 2017. "Analysis of extended warranties for medical equipment: A Stackelberg game model using priority queues," Reliability Engineering and System Safety, Elsevier, vol. 168(C), pages 338-354.
    6. Xiaolin Wang & Wei Xie, 2018. "Two-dimensional warranty: A literature review," Journal of Risk and Reliability, , vol. 232(3), pages 284-307, June.

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