IDEAS home Printed from https://ideas.repec.org/a/eee/ejores/v311y2023i2p567-580.html
   My bibliography  Save this article

Generalized non-renewing replacement warranty policy and an age-based post-warranty maintenance strategy

Author

Listed:
  • Liu, Peng
  • Wang, Guanjun

Abstract

Nowadays, to protect the interests of customers, quite a few warranted products are sold with some kinds of repair thresholds. For example, a mobile phone manufacturer may provide a replacement service if the phone sold still cannot work after several repair attempts or the cumulative repair time reaches 7 days or 1 month. Motivated by this observation, we study a non-renewing replacement warranty policy with a repair number threshold and a repair time threshold, in which the manufacturer has responsibility for replacing a product when the number of failures is beyond the repair number threshold or the cumulative repair time reaches the repair time threshold, whichever occurs first. In addition, an age-based post-warranty maintenance strategy is developed for the non-renewing replacement warranted product, which provides a lower cost rate than the existing ones. Based on the indicator function method and renewal process theory, we derive the product’s life cycle cost rate. Finally, considerable numerical experiments are carried out to show the influences of various parameters on the proposed maintenance strategy.

Suggested Citation

  • Liu, Peng & Wang, Guanjun, 2023. "Generalized non-renewing replacement warranty policy and an age-based post-warranty maintenance strategy," European Journal of Operational Research, Elsevier, vol. 311(2), pages 567-580.
    • Handle: RePEc:eee:ejores:v:311:y:2023:i:2:p:567-580
    DOI: 10.1016/j.ejor.2023.05.021
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0377221723003855
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ejor.2023.05.021?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. Wang, Xiaolin & Liu, Bin & Zhao, Xiujie, 2021. "A performance-based warranty for products subject to competing hard and soft failures," International Journal of Production Economics, Elsevier, vol. 233(C).
    2. Zheng, Rui & Zhou, Yifan, 2021. "Comparison of three preventive maintenance warranty policies for products deteriorating with age and a time-varying covariate," Reliability Engineering and System Safety, Elsevier, vol. 213(C).
    3. Wang, Xiaolin & Zhao, Xiujie & Liu, Bin, 2020. "Design and pricing of extended warranty menus based on the multinomial logit choice model," European Journal of Operational Research, Elsevier, vol. 287(1), pages 237-250.
    4. Pham, Hoang & Wang, Hongzhou, 1996. "Imperfect maintenance," European Journal of Operational Research, Elsevier, vol. 94(3), pages 425-438, November.
    5. 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.
    6. Schouten, Thijs Nicolaas & Dekker, Rommert & Hekimoğlu, Mustafa & Eruguz, Ayse Sena, 2022. "Maintenance optimization for a single wind turbine component under time-varying costs," European Journal of Operational Research, Elsevier, vol. 300(3), pages 979-991.
    7. 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.
    8. Navarro, Jorge & Arriaza, Antonio & Suárez-Llorens, Alfonso, 2019. "Minimal repair of failed components in coherent systems," European Journal of Operational Research, Elsevier, vol. 279(3), pages 951-964.
    9. Luo, Ming & Wu, Shaomin, 2019. "A comprehensive analysis of warranty claims and optimal policies," European Journal of Operational Research, Elsevier, vol. 276(1), pages 144-159.
    10. 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.
    11. Xin Wang & Zhi-Sheng Ye, 2020. "Design of customized two-dimensional extended warranties considering use rate and heterogeneity," IISE Transactions, Taylor & Francis Journals, vol. 53(3), pages 341-351, December.
    12. Zhao, Xiujie & Chen, Piao & Lv, Shanshan & He, Zhen, 2023. "Reliability testing for product return prediction," European Journal of Operational Research, Elsevier, vol. 304(3), pages 1349-1363.
    13. Wu, Shaomin & Longhurst, Phil, 2011. "Optimising age-replacement and extended non-renewing warranty policies in lifecycle costing," International Journal of Production Economics, Elsevier, vol. 130(2), pages 262-267, April.
    14. Yuan Lin Zhang & Guan Jun Wang, 2019. "A geometric process warranty model using a combination policy," Communications in Statistics - Theory and Methods, Taylor & Francis Journals, vol. 48(6), pages 1493-1505, March.
    15. 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.
    16. Hooti, Fatemeh & Ahmadi, Jafar & Longobardi, Maria, 2020. "Optimal extended warranty length with limited number of repairs in the warranty period," Reliability Engineering and System Safety, Elsevier, vol. 203(C).
    17. Liu, Peng & Wang, Guanjun & Su, Peng, 2021. "Optimal maintenance strategies for warranty products with limited repair time and limited repair number," Reliability Engineering and System Safety, Elsevier, vol. 210(C).
    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. Liu, Peng & Wang, Guanjun, 2024. "Two-dimensional warranty policy design with the consideration of protection term," International Journal of Production Economics, Elsevier, vol. 276(C).
    2. Dai, Anshu & Yang, Xi & Yang, Duo & Li, Ting & Wang, Xin & He, Shuguang, 2025. "Optimizing extended warranty options with preventive maintenance service under multinomial logit model," European Journal of Operational Research, Elsevier, vol. 321(2), pages 600-613.
    3. Hui Chen & Jie Chen & Yangyang Lai & Xiaoqi Yu & Lijun Shang & Rui Peng & Baoliang Liu, 2024. "Discrete Random Renewable Replacements after the Expiration of Collaborative Preventive Maintenance Warranty," Mathematics, MDPI, vol. 12(18), pages 1-21, September.
    4. Liang, Xiaojun & Cui, Lirong & Wang, Ruiting, 2024. "Non-renewable warranty cost analysis for dependent series configuration with distinct warranty periods," Reliability Engineering and System Safety, Elsevier, vol. 246(C).
    5. Qiao, Peirui & Ma, Yizhong & Luo, Ming & Shen, Jingyuan & Zhou, Hanting, 2024. "Reliability modeling and warranty optimization for products with self-healing under a dynamic shock environment," Reliability Engineering and System Safety, Elsevier, vol. 249(C).
    6. Lin Zhao & Lijun Shang & Baoliang Liu, 2024. "Customized Random Maintenance Policies After the Expiration of a Renewal Repair–Replacement Warranty with Random Charge," Mathematics, MDPI, vol. 13(1), pages 1-24, December.

    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. 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).
    2. Hashemi, M. & Asadi, M. & Tavangar, M., 2022. "Optimal maintenance strategies for coherent systems: A warranty dependent approach," Reliability Engineering and System Safety, Elsevier, vol. 217(C).
    3. 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).
    4. Zhu, Ying & Xia, Tangbin & Hong, Ge & Chen, Zhen & Pan, Ershun & Xi, Lifeng, 2022. "Collaborative maintenance service and component sales under coopetition patterns for OEMs challenged by booming used-component sales," Reliability Engineering and System Safety, Elsevier, vol. 226(C).
    5. Lijun Shang & Yongjun Du & Cang Wu & Chengye Ma, 2022. "A Bivariate Optimal Random Replacement Model for the Warranted Product with Job Cycles," Mathematics, MDPI, vol. 10(13), pages 1-16, June.
    6. Dai, Anshu & Wang, Xin & Li, Yu & Li, Ting & He, Shuguang, 2023. "Design of a performance-based warranty policy with replacement–repair strategy and cumulative cost threshold," International Journal of Production Economics, Elsevier, vol. 255(C).
    7. Dai, Anshu & Yang, Xi & Yang, Duo & Li, Ting & Wang, Xin & He, Shuguang, 2025. "Optimizing extended warranty options with preventive maintenance service under multinomial logit model," European Journal of Operational Research, Elsevier, vol. 321(2), pages 600-613.
    8. Liu, Peng & Wang, Guanjun, 2022. "Minimal repair models with non-negligible repair time," Reliability Engineering and System Safety, Elsevier, vol. 217(C).
    9. Li, Ting & He, Shuguang & Zhao, Xiujie, 2022. "Optimal warranty policy design for deteriorating products with random failure threshold," Reliability Engineering and System Safety, Elsevier, vol. 218(PA).
    10. Liu, Peng & Wang, Guanjun & Su, Peng, 2021. "Optimal maintenance strategies for warranty products with limited repair time and limited repair number," Reliability Engineering and System Safety, Elsevier, vol. 210(C).
    11. Li, Ting & He, Shuguang & Zhao, Xiujie & Liu, Bin, 2023. "Warranty service contracts design for deteriorating products with maintenance duration commitments," International Journal of Production Economics, Elsevier, vol. 264(C).
    12. Lijun Shang & Guojun Shang & Yongjun Du & Qingan Qiu & Li Yang & Qinglai Dong, 2022. "Post-Warranty Replacement Models for the Product under a Hybrid Warranty," Mathematics, MDPI, vol. 10(10), pages 1-18, May.
    13. Huang, Hongfu & Liu, Feng & Zhang, Peng, 2021. "To outsource or not to outsource? Warranty service provision strategies considering competition, costs and reliability," International Journal of Production Economics, Elsevier, vol. 242(C).
    14. Ram Niwas & M. S. Kadyan, 2022. "A bi-objective inspection policy for a repairable engineering system with failure free warranty," International Journal of System Assurance Engineering and Management, Springer;The Society for Reliability, Engineering Quality and Operations Management (SREQOM),India, and Division of Operation and Maintenance, Lulea University of Technology, Sweden, vol. 13(2), pages 881-891, April.
    15. Lijun Shang & Xiguang Yu & Liying Wang & Yongjun Du, 2022. "Design of Random Warranty and Maintenance Policy: From a Perspective of the Life Cycle," Mathematics, MDPI, vol. 10(20), pages 1-22, October.
    16. 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).
    17. 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.
    18. Yongjun Du & Lijun Shang & Qingan Qiu & Li Yang, 2022. "Optimum Post-Warranty Maintenance Policies for Products with Random Working Cycles," Mathematics, MDPI, vol. 10(10), pages 1-16, May.
    19. Xiaolin Wang & Wei Xie, 2018. "Two-dimensional warranty: A literature review," Journal of Risk and Reliability, , vol. 232(3), pages 284-307, June.
    20. 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.

    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:311:y:2023:i:2:p:567-580. 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.