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The impact of transportation delays on repairshop capacity pooling and spare part inventories

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  • Sahba, Pedram
  • BalcIog[small tilde]lu, BarIs

Abstract

In this paper, to serve different fleets of machines at different locations, we study whether repair shop pooling is more cost effective than having dedicated on-site repair shops for each fleet. When modeling the former alternative, we take transportation delays and related costs into account and represent it as a closed queueing network. This allows us to include on-site spare-part inventories that operate according to a continuous-review base-stock policy. We obtain the steady-state distribution of components at each location and the cost of the system with a pooled repair shop by applying the Mean-Value Analysis technique. Our numerical findings indicate that when transportation costs are reasonable, repair shop pooling is a better alternative.

Suggested Citation

  • Sahba, Pedram & BalcIog[small tilde]lu, BarIs, 2011. "The impact of transportation delays on repairshop capacity pooling and spare part inventories," European Journal of Operational Research, Elsevier, vol. 214(3), pages 674-682, November.
    • Handle: RePEc:eee:ejores:v:214:y:2011:i:3:p:674-682
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    Cited by:

    1. Pedram Sahba & Barış Balcıog̃lu & Dragan Banjevic, 2018. "Multilevel rationing policy for spare parts when demand is state dependent," OR Spectrum: Quantitative Approaches in Management, Springer;Gesellschaft für Operations Research e.V., vol. 40(3), pages 751-780, July.
    2. Rezapour, Shabnam & Allen, Janet K. & Mistree, Farrokh, 2016. "Reliable flow in forward and after-sales supply chains considering propagated uncertainty," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 93(C), pages 409-436.
    3. William Liang & Barış Balcıog̃lu & Robert Svaluto, 2013. "Scheduling policies for a repair shop problem," Annals of Operations Research, Springer, vol. 211(1), pages 273-288, December.
    4. uit het Broek, Michiel A.J. & Veldman, Jasper & Fazi, Stefano & Greijdanus, Roy, 2019. "Evaluating resource sharing for offshore wind farm maintenance: The case of jack-up vessels," Renewable and Sustainable Energy Reviews, Elsevier, vol. 109(C), pages 619-632.
    5. Rezapour, Shabnam & Allen, Janet K. & Mistree, Farrokh, 2016. "Reliable product-service supply chains for repairable products," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 95(C), pages 299-321.

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