Abstract
As a new form of support contract, performance-based contracting has been extensively applied in both public and private sectors. However, maintenance policies under performance-based contracting have not gotten enough attention. In this paper, a preventive maintenance optimization model based on three-stage failure process for a single-component system is investigated with an objective of maximizing the profit and improving system performance at a lower cost under performance-based contracting. Different from conventional optimization models, the step revenue function is used to correlate profit with availability and cost. Then, a maintenance optimization model is proposed to maximize profit by optimizing the inspection interval. Moreover, the customers’ upper limit of funds is considered when we use the revenue function, which has rarely been considered in past studies. Finally, a case study on the cold water pumps along with comparison of linear and step revenue function and sensitivity analysis is provided to illustrate the applicability and effectiveness of our proposed approach.
Highlights
As the global economy continues to be more service-based, the role of support and maintenance has become increasingly important. is trend is prominent in capital-intensive industries, such as defence, aviation, and energy [1]
Based on the three-stage failure process, we present a model for preventive maintenance optimization of a singlecomponent system subject to a dominant failure mode under PBC. e main objective is to determine the optimal maintenance policy for maximizing the profit and improving system performance at a lower cost
With respect to the theory based on maintenance optimization, we can see from Table 1 that PBC has applied stochastic degradation model [34], virtual age model [35], two-stage preventive maintenance model [37], time-series model [39, 41], degradation-threshold-shock model [40], and so on
Summary
As the global economy continues to be more service-based, the role of support and maintenance has become increasingly important. is trend is prominent in capital-intensive industries, such as defence, aviation, and energy [1]. Support and maintenance services are implemented under material-based contracts (MBC) [3]. A preventive maintenance optimization model based on three-stage failure process under PBC is proposed. Based on the three-stage failure process, many researchers have developed models to optimize preventive maintenance [21,22,23]. We do not find the work related to maintenance optimization based on three-stage failure process under PBC reported. Based on the three-stage failure process, we present a model for preventive maintenance optimization of a singlecomponent system subject to a dominant failure mode under PBC.
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