Optimal burn-in strategy for two-dimensional warranted products considering preventive maintenance

Xiaopeng Li, Zixian Liu, Yukun Wang and Mei Li

International Journal of Production Research, 2019, vol. 57, issue 17, 5414-5431

Abstract: Burn-in and preventive maintenance (PM) are effective approaches to reduce the number of warranty claims and warranty cost during post-sale support. With harsher burn-in settings, early product defects can be removed, but at the same time product degradation is accelerated and more wear-out failures may be introduced. PM actions within warranty alleviate these negative effects. This paper proposes an optimal burn-in strategy for repairable products sold with a two-dimensional base warranty (BW) and an optional extended warranty (EW). Both performance-based and cost-based models incorporating PMs are developed to obtain optimal burn-in settings, including the burn-in duration and the burn-in usage rate, so as to minimise the expected number of warranty claims and total cost respectively. The impacts of different accelerated coefficients and PM degrees on the optimal burn-in strategy are analysed. In view of the performance and cost structures, we conduct numerical examples to illustrate the applicability of the proposed models. Practical implications from a sensitivity analysis for key parameters are also elaborated.

Date: 2019
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Citations: View citations in EconPapers (7)

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DOI: 10.1080/00207543.2018.1526419

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