TY - JOUR
T1 - An unpunctual preventive maintenance policy under two-dimensional warranty
AU - Wang, Xiaolin
AU - Li, Lishuai
AU - Xie, Min
N1 - Funding Information:
This work was supported by the National Natural Science Foundation of China (grant numbers 71601166 , 71532008 ) and also by the Research Grants Council of Hong Kong under Theme-based Research Fund (grant number T32-101/15-R) and General Research Fund (grant number CityU 11203815 , CityU 11203519 ). The authors are indebted to the Editor and the four anonymous referees for their constructive comments and suggestions, which led to significant improvements of this paper.
Publisher Copyright:
© 2019 Elsevier B.V.
Copyright:
Copyright 2019 Elsevier B.V., All rights reserved.
PY - 2020/4/1
Y1 - 2020/4/1
N2 - In the business-to-consumer context, e.g., the automobile industry, preventive maintenance (PM) of warranted items usually relies upon customers to return their items to authorized maintenance centers according to prescribed schedules. However, item owners may be unpunctual, causing actual maintenance instants deviating from scheduled instants. This paper studies the impact of customer unpunctuality on the optimization of PM policy and the resultant warranty expenses. An unpunctual imperfect PM policy, which allows customers to advance or postpone scheduled PM activities in a tolerated range, is proposed for repairable items sold with a two-dimensional warranty. The expected total warranty costs of the unpunctual (and punctual) PM policies are derived under the assumption that customer unpunctuality is governed by a specific probability distribution. The optimization and comparison of the two policies are investigated in different scenarios regarding the product's failure rate function. The results for two possible unpunctuality distributions—uniform and triangular—are discussed and compared. Numerical studies show that the expected total warranty cost of the unpunctual policy could be either higher or lower than that of the punctual policy, depending on customer behaviors and the shape of failure rate function. Accordingly, manufacturers could induce customers to adjust their unpunctuality behaviors by modifying PM policies or introducing penalty/bonus mechanisms.
AB - In the business-to-consumer context, e.g., the automobile industry, preventive maintenance (PM) of warranted items usually relies upon customers to return their items to authorized maintenance centers according to prescribed schedules. However, item owners may be unpunctual, causing actual maintenance instants deviating from scheduled instants. This paper studies the impact of customer unpunctuality on the optimization of PM policy and the resultant warranty expenses. An unpunctual imperfect PM policy, which allows customers to advance or postpone scheduled PM activities in a tolerated range, is proposed for repairable items sold with a two-dimensional warranty. The expected total warranty costs of the unpunctual (and punctual) PM policies are derived under the assumption that customer unpunctuality is governed by a specific probability distribution. The optimization and comparison of the two policies are investigated in different scenarios regarding the product's failure rate function. The results for two possible unpunctuality distributions—uniform and triangular—are discussed and compared. Numerical studies show that the expected total warranty cost of the unpunctual policy could be either higher or lower than that of the punctual policy, depending on customer behaviors and the shape of failure rate function. Accordingly, manufacturers could induce customers to adjust their unpunctuality behaviors by modifying PM policies or introducing penalty/bonus mechanisms.
KW - Customer unpunctuality
KW - Finite horizon
KW - Imperfect preventive maintenance
KW - Reliability
KW - Two-dimensional warranty
UR - http://www.scopus.com/inward/record.url?scp=85073060778&partnerID=8YFLogxK
U2 - 10.1016/j.ejor.2019.09.025
DO - 10.1016/j.ejor.2019.09.025
M3 - Journal article
AN - SCOPUS:85073060778
SN - 0377-2217
VL - 282
SP - 304
EP - 318
JO - European Journal of Operational Research
JF - European Journal of Operational Research
IS - 1
ER -