Optimal preventive-maintenance warranty policy for repairable products

Abstract

This paper investigates preventive-maintenance warranty (PMW) policies for repairable products. When the length of a warranty period is pre-specified, the optimal number of preventive maintenance actions, corresponding maintenance degrees, and the maintenance schedule are jointly determined. We show that there exists a unique optimal policy such that the expected total warranty cost is minimized. Under some reasonable conditions, structural properties of the optimal policy are obtained. Using these properties, an algorithm is provided to efficiently search for the optimal policy. In the case where the failure density is Weibull, a closed form expression of the optimal policy is derived. Finally, the impact of providing preventive maintenance within a warranty period is illustrated through a numerical example.