Modeling Warranty Costs with Preventive Maintenance for Remanufactured Products

Two-dimensional warranty has played a significant role in improving product quality and competitiveness. However, two-dimensional basic warranty (BW) and extended warranty (EW) have not yet been combined effectively, and the customized maintenance strategies based on the consumers’ heterogeneity have been quite limited, which result in high maintenance costs. In this paper, the possibility of reducing warranty cost over BW and EW is explored by classifying customers based on their usage rates and then offering them with customized preventive maintenance (PM) strategies. By considering the purchasing ratio of EW contracts, the PM strategies for BW and EW are closely combined by the bi-level programming model. Numerical analysis is given to show the application of the proposed warranty strategy, and the significant findings and sensitivity of the main parameters are analyzed in the end. The findings demonstrate that the customized PM strategies combining BW and EW can effectively reduce warranty costs within the warranty period and provide a scientific guidance for manufacturers to design a more reasonable PM strategy.

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Design for Lifecycle Cost and Preventive Maintenance Using Time-Dependent Reliability

Advanced Materials Research ◽

10.4028/www.scientific.net/amr.118-120.10 ◽

2010 ◽

Vol 118-120 ◽

pp. 10-16 ◽

Cited By ~ 8

Author(s):

Amandeep Singh ◽

Zissimos P. Mourelatos ◽

Jing Li

Keyword(s):

Preventive Maintenance ◽

Operating Conditions ◽

Time Dependent ◽

Variable Cost ◽

System Response ◽

Time Period ◽

Engineering Requirement ◽

Response Systems ◽

Warranty Costs ◽

The Cost

Reliability is an important engineering requirement for consistently delivering acceptable product performance through time. As time progresses, the product may fail due to time phenomena such as time-dependent operating conditions, component degradation, etc. The degradation of reliability with time may increase the lifecycle cost due to potential warranty costs, repairs and loss of market share. In design for lifecycle cost and preventive maintenance, we must account for product quality, and time-dependent reliability. Quality is a measure of our confidence that the product conforms to specifications as it leaves the factory. Reliability depends on 1) the probability that the system will perform its intended function successfully for a specified interval of time, and 2) on the probability that the system response will not exceed an objectionable by the customer or operator, threshold for a certain time period. Quality is time-independent, and reliability is time-dependent. This paper presents a methodology to determine the optimal design and preventive maintenance of time-dependent, multi-response systems, by minimizing the cost during the life of the product. The lifecycle cost includes a production, an inspection, and an expected variable cost. All costs depend on quality and/or reliability. A roller clutch example highlights the design methodology for lifecycle cost.

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Study on Post Evaluation Method of Highway Asphalt Pavement Preventive Maintenance Engineering

CICTP 2020 ◽

10.1061/9780784483053.104 ◽

2020 ◽

Author(s):

Jie Zhu ◽

Zhi Chai ◽

Shujie Wang ◽

Qianrong Lei

Keyword(s):

Preventive Maintenance ◽

Evaluation Method ◽

Asphalt Pavement ◽

Post Evaluation ◽

Maintenance Engineering

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37. Use of Portable X-Ray Fluorescence (PXRF) in Monitoring Arsenic Exposure During the Preventive Maintenance Task in the Microelectronic Industry

10.3320/1.2758624 ◽

2005 ◽

Author(s):

Y. Hwang ◽

W. Chu ◽

T. Shi ◽

D. Taung ◽

Y. Hsiou ◽

...

Keyword(s):

Preventive Maintenance ◽

Arsenic Exposure ◽

X Ray

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Estimating the Cost of Car Warranty in Indonesia using the Gertsbakh-Kordonsky Method

InPrime: Indonesian Journal of Pure and Applied Mathematics ◽

10.15408/inprime.v2i1.14556 ◽

2020 ◽

Vol 2 (1) ◽

pp. 33-40

Author(s):

Anggis Sagitarisman ◽

Aceng Komarudin Mutaqin

Keyword(s):

Maximum Likelihood ◽

Likelihood Estimation ◽

Type A ◽

Claim Data ◽

Likelihood Method ◽

Selling Price ◽

One Dimensional ◽

Warranty Period ◽

Kolmogorov Smirnov ◽

Warranty Costs

AbstractCar manufacturers in Indonesia need to determine reasonable warranty costs that do not burden companies or consumers. Several statistical approaches have been developed to analyze warranty costs. One of them is the Gertsbakh-Kordonsky method which reduces the two-dimensional warranty problem to one dimensional. In this research, we apply the Gertsbakh-Kordonsky method to estimate the warranty cost for car type A in XYZ company. The one-dimensional data will be tested using the Kolmogorov-Smirnov to determine its distribution and the parameter of distribution will be estimated using the maximum likelihood method. There are three approaches to estimate the parameter of the distribution. The difference between these three approaches is in the calculation of mileage for units that do not claim within the warranty period. In the application, we use claim data for the car type A. The data exploration indicates the failure of car type A is mostly due to the age of the vehicle. The Kolmogorov-Smirnov shows that the most appropriate distribution for the claim data is the three-parameter Weibull. Meanwhile, the estimated using the Gertsbakh-Kordonsky method shows that the warranty costs for car type A are around 3.54% from the selling price of this car unit without warranty i.e. around Rp. 4,248,000 per unit.Keywords: warranty costs; the Gertsbakh-Kordonsky method; maximum likelihood estimation; Kolmogorov-Smirnov test. AbstrakPerusahaan produsen mobil di Indonesia perlu menentukan biaya garansi yang bersifat wajar tidak memberatkan perusahaan maupun konsumen. Beberapa pendekatan statistik telah dikembangkan untuk menganalisis biaya garansi. Salah satunya adalah metode Gertsbakh-Kordonsky yang mereduksi masalah garansi dua dimensi menjadi satu dimensi. Pada penelitian ini, metode Gertsbakh-Kordonsky akan digunakan untuk mengestimasi biaya garansi untuk mobil tipe A pada perusahaan XYZ. Data satu dimensi hasil reduksi diuji kecocokan distribusinya menggunakan uji kecocokan Kolmogorov-Smirnov dan taksiran parameter distribusinya menggunakan metode penaksir kemungkinan maksimum. Ada tiga pendekatan yang digunakan untuk menaksir parameter distribusi. Perbedaan dari ketiga pendekatan tersebut terletak pada perhitungan jarak tempuh untuk unit yang tidak melakukan klaim dalam periode garansi. Sebagai bahan aplikasi, kami menggunakan data klaim unit mobil tipe A. Hasil eksplorasi data menunjukkan bahwa kegagalan mobil tipe A lebih banyak disebabkan karena faktor usia kendaraan. Hasil uji kecocokan distribusi untuk data hasil reduksi menunjukkan bahwa distribusi yang cocok adalah distribusi Weibull 3-parameter. Sementara itu, hasil perhitungan taksiran biaya garansi menunjukan bahwa taksiran biaya garansi untuk unit mobil tipe A sekitar 3,54% dari harga jual unit mobil tipe A tanpa garansi, atau sekitar Rp. 4.248.000,- per unit.Kata Kunci: biaya garansi; metode Gertsbakh-Kordonsky; penaksiran kemungkinan maksimum; uji Kolmogorov-Smirnov.

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