IDEAS home Printed from https://ideas.repec.org/a/taf/tprsxx/v61y2023i3p898-909.html
   My bibliography  Save this article

Optimal maintenance policy for equipment leased with base and extended warranty

Author

Listed:
  • Amel Ben Mabrouk
  • Anis Chelbi

Abstract

In this paper, we consider an equipment leased with a warranty contract with the possibility to extend the warranty at a given price that depends on its duration. During the warranty period, the lessor (who possesses the equipment) performs and pays for repairs at failure and for preventive maintenance (PM) actions whenever the equipment reliability reaches a specific limit. After the warranty ends, repairs and PM actions are still performed by the lessor, but they are billed to the lessee (who rents the equipment). Furthermore, in case the total average equipment downtime due to repair and PM actions during the lease period surpasses a certain pre-specified limit agreed on in the lease contract, a penalty is supported by the lessor. A mathematical model and numerical procedure are proposed to determine the PM intervals durations that maximise the lessor’s expected total profit during the lease period. The optimal solution is obtained by determining the combination between the optimal equipment reliability threshold that triggers a PM action and the optimal extended warranty period. A numerical example is given to illustrate the use of the proposed model and a sensitivity analysis is performed.

Suggested Citation

  • Amel Ben Mabrouk & Anis Chelbi, 2023. "Optimal maintenance policy for equipment leased with base and extended warranty," International Journal of Production Research, Taylor & Francis Journals, vol. 61(3), pages 898-909, February.
    • Handle: RePEc:taf:tprsxx:v:61:y:2023:i:3:p:898-909
    DOI: 10.1080/00207543.2021.2018139
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/00207543.2021.2018139
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/00207543.2021.2018139?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.

    Citations

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


    Cited by:

    1. Liu, Biyu & Pang, Jie & Yang, Haidong & Zhao, Yilin, 2024. "Optimal condition-based maintenance policy for leased equipment considering hybrid preventive maintenance and periodic inspection," Reliability Engineering and System Safety, Elsevier, vol. 242(C).
    2. 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.

    More about this item

    Statistics

    Access and download statistics

    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:taf:tprsxx:v:61:y:2023:i:3:p:898-909. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/TPRS20 .

    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.