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Joint optimization of condition-based maintenance and production lot-sizing

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  • Peng, Hao
  • van Houtum, Geert-Jan

Abstract

Due to the development of sensor technologies nowadays, condition-based maintenance (CBM) programs can be established and optimized based on the data collected through condition monitoring. The CBM activities can significantly increase the uptime of a machine. However, they should be conducted in a coordinated way with the production plan to reduce the interruptions. On the other hand, the production lot size should also be optimized by taking the CBM activities into account. Relatively fewer works have been done to investigate the impact of the CBM policy on production lot-sizing and to propose joint optimization models of both the economic manufacturing quantity (EMQ) and CBM policy. In this paper, we evaluate the average long-run cost rate of a degrading manufacturing system using renewal theory. The optimal EMQ and CBM policy can be obtained by minimizing the average long-run cost rate that includes setup cost, inventory holding cost, lost sales cost, predictive maintenance cost and corrective maintenance cost. Unlike previous works on this topic, we allow the use of continuous time and continuous state degradation processes, which broadens the application area of this model. Numerical examples are provided to illustrate the utilization of our model.

Suggested Citation

  • Peng, Hao & van Houtum, Geert-Jan, 2016. "Joint optimization of condition-based maintenance and production lot-sizing," European Journal of Operational Research, Elsevier, vol. 253(1), pages 94-107.
    • Handle: RePEc:eee:ejores:v:253:y:2016:i:1:p:94-107
    DOI: 10.1016/j.ejor.2016.02.027
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    Cited by:

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    3. de Jonge, Bram, 2019. "Discretizing continuous-time continuous-state deterioration processes, with an application to condition-based maintenance optimization," Reliability Engineering and System Safety, Elsevier, vol. 188(C), pages 1-5.
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    5. Michiel A. J. uit het Broek & Ruud H. Teunter & Bram de Jonge & Jasper Veldman & Nicky D. Van Foreest, 2020. "Condition-Based Production Planning: Adjusting Production Rates to Balance Output and Failure Risk," Manufacturing & Service Operations Management, INFORMS, vol. 22(4), pages 792-811, July.
    6. Liu, Bin & Liang, Zhenglin & Parlikad, Ajith Kumar & Xie, Min & Kuo, Way, 2017. "Condition-based maintenance for systems with aging and cumulative damage based on proportional hazards model," Reliability Engineering and System Safety, Elsevier, vol. 168(C), pages 200-209.
    7. Lin Wang & Zhiqiang Lu & Yifei Ren, 2019. "A rolling horizon approach for production planning and condition-based maintenance under uncertain demand," Journal of Risk and Reliability, , vol. 233(6), pages 1014-1028, December.
    8. Ekin, Tahir, 2018. "Integrated maintenance and production planning with endogenous uncertain yield," Reliability Engineering and System Safety, Elsevier, vol. 179(C), pages 52-61.
    9. Truong Ba, H. & Cholette, M.E. & Borghesani, P. & Zhou, Y. & Ma, L., 2017. "Opportunistic maintenance considering non-homogenous opportunity arrivals and stochastic opportunity durations," Reliability Engineering and System Safety, Elsevier, vol. 160(C), pages 151-161.
    10. A. S. Xanthopoulos & S. Vlastos & D. E. Koulouriotis, 2022. "Coordinating production, inspection and maintenance decisions in a stochastic manufacturing system with deterioration failures," Operational Research, Springer, vol. 22(5), pages 5707-5732, November.
    11. uit het Broek, Michiel A.J. & Teunter, Ruud H. & de Jonge, Bram & Veldman, Jasper, 2021. "Joint condition-based maintenance and condition-based production optimization," Reliability Engineering and System Safety, Elsevier, vol. 214(C).
    12. Yihai He & Changchao Gu & Zhaoxiang Chen & Xiao Han, 2017. "Integrated predictive maintenance strategy for manufacturing systems by combining quality control and mission reliability analysis," International Journal of Production Research, Taylor & Francis Journals, vol. 55(19), pages 5841-5862, October.
    13. de Jonge, Bram & Scarf, Philip A., 2020. "A review on maintenance optimization," European Journal of Operational Research, Elsevier, vol. 285(3), pages 805-824.
    14. Gössinger, Ralf & Helmke, Hanna & Kaluzny, Michael, 2017. "Condition-based release of maintenance jobs in a decentralised production-maintenance system – An analysis of alternative stochastic approaches," International Journal of Production Economics, Elsevier, vol. 193(C), pages 528-537.
    15. Absi, Nabil & van den Heuvel, Wilco & Dauzère-Pérès, Stéphane, 2024. "Complexity analysis of integrated dynamic lot sizing and maintenance planning problems," European Journal of Operational Research, Elsevier, vol. 318(1), pages 100-109.
    16. Zhang, Zhengxin & Si, Xiaosheng & Hu, Changhua & Lei, Yaguo, 2018. "Degradation data analysis and remaining useful life estimation: A review on Wiener-process-based methods," European Journal of Operational Research, Elsevier, vol. 271(3), pages 775-796.
    17. Zhou, Wenhui & Zheng, Zhibin & Xie, Wei, 2017. "A control-chart-based queueing approach for service facility maintenance with energy-delay tradeoff," European Journal of Operational Research, Elsevier, vol. 261(2), pages 613-625.

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