IDEAS home Printed from https://ideas.repec.org/a/eee/ejores/v279y2019i1p68-78.html
   My bibliography  Save this article

On optimal preventive-maintenance policy for generalized Polya process repairable products under free-repair warranty

Author

Listed:
  • Chien, Yu-Hung
  • Zhang, Zhe George
  • Yin, Xiaoling

Abstract

This paper focuses on analyzing the cost behavior of a free-repair warranty (FRW) policy with a preventive maintenance (PM) schedule for a complex product. We utilize a generalized Polya process to model the more general failure and repairs during the FRW coverage period. The expected cost function of the FRW with PMs is derived. We firstly prove that a unique optimal PM schedule exists for a FRW with a finite number of PMs, and then propose a search algorithm for computing the optimal number of PMs and their implementation times for a given FRW coverage period. A certain amount of numerical analysis is conducted to gain further insights into the FRW with PMs. Owing to the significant cost-saving advantages of scheduling PMs for the FRW, our study offers an important analytical tool for marketing managers in the design of more competitive and cost-effective warranty policies for complex and durable products.

Suggested Citation

  • Chien, Yu-Hung & Zhang, Zhe George & Yin, Xiaoling, 2019. "On optimal preventive-maintenance policy for generalized Polya process repairable products under free-repair warranty," European Journal of Operational Research, Elsevier, vol. 279(1), pages 68-78.
    • Handle: RePEc:eee:ejores:v:279:y:2019:i:1:p:68-78
    DOI: 10.1016/j.ejor.2019.03.042
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0377221719303005
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ejor.2019.03.042?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Ciriaco Valdez‐Flores & Richard M. Feldman, 1989. "A survey of preventive maintenance models for stochastically deteriorating single‐unit systems," Naval Research Logistics (NRL), John Wiley & Sons, vol. 36(4), pages 419-446, August.
    2. Pham, Hoang & Wang, Hongzhou, 1996. "Imperfect maintenance," European Journal of Operational Research, Elsevier, vol. 94(3), pages 425-438, November.
    3. Cha, Ji Hwan & Finkelstein, Maxim, 2016. "On information-based warranty policy for repairable products from heterogeneous populationAuthor-Name: Lee, Hyunju," European Journal of Operational Research, Elsevier, vol. 253(1), pages 204-215.
    4. Wang, Hongzhou, 2002. "A survey of maintenance policies of deteriorating systems," European Journal of Operational Research, Elsevier, vol. 139(3), pages 469-489, June.
    5. Richard Barlow & Larry Hunter, 1960. "Optimum Preventive Maintenance Policies," Operations Research, INFORMS, vol. 8(1), pages 90-100, February.
    6. Yeh, Ruey Huei & Lo, Hui-Chiung, 2001. "Optimal preventive-maintenance warranty policy for repairable products," European Journal of Operational Research, Elsevier, vol. 134(1), pages 59-69, October.
    7. Shafiee, Mahmood & Chukova, Stefanka, 2013. "Maintenance models in warranty: A literature review," European Journal of Operational Research, Elsevier, vol. 229(3), pages 561-572.
    8. Ki Mun Jung & Minjae Park & Dong Ho Park, 2012. "Optimal maintenance strategy for non‐renewing replacement–repair warranty," Applied Stochastic Models in Business and Industry, John Wiley & Sons, vol. 28(6), pages 607-614, November.
    9. Chien, Yu-Hung, 2012. "The effects of a free-repair warranty on the discrete-time periodic replacement policy," International Journal of Production Economics, Elsevier, vol. 135(2), pages 832-839.
    10. Minjae Park & Hoang Pham, 2011. "Maintenance and Warranty Concepts," Springer Series in Reliability Engineering, in: Hoang Pham (ed.), Safety and Risk Modeling and Its Applications, pages 101-122, Springer.
    11. Yeh, Ruey Huei & Chen, Ming-Yuh & Lin, Chen-Yi, 2007. "Optimal periodic replacement policy for repairable products under free-repair warranty," European Journal of Operational Research, Elsevier, vol. 176(3), pages 1678-1686, February.
    12. Chukova, S. & Arnold, R. & Wang, Dong Q., 2004. "Warranty analysis: An approach to modeling imperfect repairs," International Journal of Production Economics, Elsevier, vol. 89(1), pages 57-68, May.
    13. Blischke, W. R. & Murthy, D. N. P., 1992. "Product warranty management -- I: A taxonomy for warranty policies," European Journal of Operational Research, Elsevier, vol. 62(2), pages 127-148, October.
    14. Toshio Nakagawa, 2005. "Maintenance Theory of Reliability," Springer Series in Reliability Engineering, Springer, number 978-1-84628-221-8, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zhu, Ying & Xia, Tangbin & Chen, Zhen & Pan, Ershun & Xi, Lifeng, 2022. "Optimal maintenance service strategy for OEM entering competitive MRO market under opposite patterns," Reliability Engineering and System Safety, Elsevier, vol. 217(C).
    2. Dui, Hongyan & Tian, Tianzi & Wu, Shaomin & Xie, Min, 2023. "A cost-informed component maintenance index and its applications," Reliability Engineering and System Safety, Elsevier, vol. 230(C).
    3. Cha, Ji Hwan & Finkelstein, Maxim & Levitin, Gregory, 2021. "Optimal warranty policy with inspection for heterogeneous, stochastically degrading items," European Journal of Operational Research, Elsevier, vol. 289(3), pages 1142-1152.
    4. Shang, Lijun & Liu, Baoliang & Qiu, Qingan & Yang, Li, 2023. "Three-dimensional warranty and post-warranty maintenance of products with monitored mission cycles," Reliability Engineering and System Safety, Elsevier, vol. 239(C).
    5. Amel Ben Mabrouk & Anis Chelbi & Mohamed Salah Aguir & Sofiene Dellagi, 2024. "Optimal Maintenance Policy for Equipment Submitted to Multi-Period Leasing as a Circular Business Model," Sustainability, MDPI, vol. 16(12), pages 1-14, June.
    6. Shang, Lijun & Liu, Baoliang & Qiu, Qingan & Yang, Li & Du, Yongjun, 2023. "Designing warranty and maintenance policies for products subject to random working cycles," Reliability Engineering and System Safety, Elsevier, vol. 234(C).
    7. Liu, Peng & Wang, Guanjun, 2022. "Minimal repair models with non-negligible repair time," Reliability Engineering and System Safety, Elsevier, vol. 217(C).
    8. Huang, Yeu-Shiang & Fang, Chih-Chiang & Lu, Chang-Ming & (Bill) Tseng, Tzu-Liang, 2022. "Optimal Warranty Policy for Consumer Electronics with Dependent Competing Failure Processes," Reliability Engineering and System Safety, Elsevier, vol. 222(C).
    9. Safaei, Fatemeh & Taghipour, Sharareh, 2022. "Optimal preventive maintenance for repairable products with three types of failures sold under a renewable hybrid FRW/PRW policy," Reliability Engineering and System Safety, Elsevier, vol. 223(C).
    10. Afsahi, Mohsen & Shafiee, Mahmood, 2020. "A stochastic simulation-optimization model for base-warranty and extended-warranty decision-making of under- and out-of-warranty products," Reliability Engineering and System Safety, Elsevier, vol. 197(C).
    11. Wang, Xiaolin & Li, Lishuai & Xie, Min, 2020. "An unpunctual preventive maintenance policy under two-dimensional warranty," European Journal of Operational Research, Elsevier, vol. 282(1), pages 304-318.
    12. Zhao, Xiujie & Liu, Bin & Xu, Jianyu & Wang, Xiao-Lin, 2023. "Imperfect maintenance policies for warranted products under stochastic performance degradation," European Journal of Operational Research, Elsevier, vol. 308(1), pages 150-165.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chien, Yu-Hung, 2019. "The optimal preventive-maintenance policy for a NHPBP repairable system under free-repair warranty," Reliability Engineering and System Safety, Elsevier, vol. 188(C), pages 444-453.
    2. Shafiee, Mahmood & Chukova, Stefanka, 2013. "Maintenance models in warranty: A literature review," European Journal of Operational Research, Elsevier, vol. 229(3), pages 561-572.
    3. Ji Hwan Cha & Maxim Finkelstein, 2022. "A new warranty policy for heterogeneous items subject to monotone degradation processes," Journal of Risk and Reliability, , vol. 236(1), pages 55-65, February.
    4. Badía, F.G. & Berrade, M.D. & Cha, Ji Hwan & Lee, Hyunju, 2018. "Optimal replacement policy under a general failure and repair model: Minimal versus worse than old repair," Reliability Engineering and System Safety, Elsevier, vol. 180(C), pages 362-372.
    5. Huang, Yeu-Shiang & Gau, Wei-Yo & Ho, Jyh-Wen, 2015. "Cost analysis of two-dimensional warranty for products with periodic preventive maintenance," Reliability Engineering and System Safety, Elsevier, vol. 134(C), pages 51-58.
    6. Cha, Ji Hwan & Finkelstein, Maxim, 2016. "On information-based warranty policy for repairable products from heterogeneous populationAuthor-Name: Lee, Hyunju," European Journal of Operational Research, Elsevier, vol. 253(1), pages 204-215.
    7. J-A Chen & Y-H Chien, 2007. "Optimal age-replacement policy for renewing warranted products," Journal of Risk and Reliability, , vol. 221(4), pages 229-237, December.
    8. Mohamed Noomane Darghouth & Anis Chelbi & Daoud Ait-kadi, 2017. "Investigating reliability improvement of second-hand production equipment considering warranty and preventive maintenance strategies," International Journal of Production Research, Taylor & Francis Journals, vol. 55(16), pages 4643-4661, August.
    9. Vanderschueren, Toon & Boute, Robert & Verdonck, Tim & Baesens, Bart & Verbeke, Wouter, 2023. "Optimizing the preventive maintenance frequency with causal machine learning," International Journal of Production Economics, Elsevier, vol. 258(C).
    10. Miaomiao Yu & Yinghui Tang, 2017. "Optimal replacement policy based on maximum repair time for a random shock and wear model," TOP: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer;Sociedad de Estadística e Investigación Operativa, vol. 25(1), pages 80-94, April.
    11. Cha, Ji Hwan & Finkelstein, Maxim & Levitin, Gregory, 2021. "Optimal warranty policy with inspection for heterogeneous, stochastically degrading items," European Journal of Operational Research, Elsevier, vol. 289(3), pages 1142-1152.
    12. Xiaolin Wang & Wei Xie, 2018. "Two-dimensional warranty: A literature review," Journal of Risk and Reliability, , vol. 232(3), pages 284-307, June.
    13. Hamdan, K. & Tavangar, M. & Asadi, M., 2021. "Optimal preventive maintenance for repairable weighted k-out-of-n systems," Reliability Engineering and System Safety, Elsevier, vol. 205(C).
    14. Finkelstein, Maxim & Cha, Ji Hwan & Langston, Amy, 2023. "Improving classical optimal age-replacement policies for degrading items," Reliability Engineering and System Safety, Elsevier, vol. 236(C).
    15. Ji Hwan Cha & Maxim Finkelstein, 2020. "On optimal life extension for degrading systems," Journal of Risk and Reliability, , vol. 234(3), pages 487-495, June.
    16. Belyi, Dmitriy & Popova, Elmira & Morton, David P. & Damien, Paul, 2017. "Bayesian failure-rate modeling and preventive maintenance optimization," European Journal of Operational Research, Elsevier, vol. 262(3), pages 1085-1093.
    17. Briš, Radim & Byczanski, Petr & Goňo, Radomír & Rusek, Stanislav, 2017. "Discrete maintenance optimization of complex multi-component systems," Reliability Engineering and System Safety, Elsevier, vol. 168(C), pages 80-89.
    18. Mitra, Amitava, 2021. "Warranty parameters for extended two-dimensional warranties incorporating consumer preferences," European Journal of Operational Research, Elsevier, vol. 291(2), pages 525-535.
    19. Toon Vanderschueren & Robert Boute & Tim Verdonck & Bart Baesens & Wouter Verbeke, 2022. "Prescriptive maintenance with causal machine learning," Papers 2206.01562, arXiv.org.
    20. Zhang, Qin & Fang, Zhigeng & Cai, Jiajia, 2021. "Preventive replacement policies with multiple missions and maintenance triggering approaches," Reliability Engineering and System Safety, Elsevier, vol. 213(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ejores:v:279:y:2019:i:1:p:68-78. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/eor .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.