Cost-benefit Model for PHM

Abstract

Abstract One goal of implementing PHM (Prognostic and Health Management) is to lower the cost of maintenance, and it is highly recommended to implement the model that is adequate for providing the right tool for evaluating PHM system. The implementing PHM will lead some cost and achieve some benefits. There are many types of costs, such as PHM implementation cost, the cost of buying or developing, integrating, and sustaining a PHM technology. The benefit can be quantified in both economic and in non-economic terms. In addition, benefits should be evaluated from a total enterprise viewpoint. This paper presents a methodology to perform cost-benefit analysis from the view of lower costs, analysis the main factors of implementing PHM and designs the Cost-Benefit Model. Using this model, we calculate costs and benefits from PHM together in integrating way according to the different scenarios and choose the right method to get the goal of lowering costs.