The final order problem for repairable spare parts under condemnation

J.P.J. Kooten, van, T. Tan

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We consider a manufacturer of complex machines that offers service contracts to her customers, committing herself to repair failed spare parts throughout a fixed service period. The suppliers of spare parts often discontinue the production of some parts as technology advances and ask the manufacturer to place a final order. We address the problem of determining final orders for such spare parts. The parts that we consider are repairable, but they are subject to the risk of condemnation. We build a transient Markovian model to represent the problem for a repairable spare part with a certain repair probability and repair lead time and we present some approximations that allow for further real life characteristics to be included. Furthermore, an approximate model that can be computed more efficiently is presented, and the sensitivity of the results obtained with respect to the problem parameters for both of the models is discussed.
Originele taal-2Engels
Plaats van productieEindhoven
UitgeverijTechnische Universiteit Eindhoven
Aantal pagina's18
ISBN van geprinte versie978-90-386-1048-1
StatusGepubliceerd - 2007

Publicatie series

NaamBETA publicatie : working papers
ISSN van geprinte versie1386-9213

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