Economic analysis of the M/M/R machine repair problem with warm standbys

Abstract

This paper studies the M/M/R warm-standby machine repair problem under steady-state conditions. This is a generalization of the cold standby model considered in the literature. A profit model is developed in order to determine the optimal values of the number of spares and the number of repairment simultaneously. Numerical examples are provided in which several system characteristics are computed under optimal operating conditions.