Preventive maintenance actions over the warranty period have an impact on the warranty servicing cost to the manufacturer and the cost to the buyer of fixing failures over the life of the product after the warranty expires. However, preventive maintenance costs money and is worthwhile only when these costs exceed the reduction in other costs. The paper deals with a model to determine when preve...

Most companies seek efficient rectification strategies to keep their warranty related costs under control. This study develops and investigates different repair strategies for oneand two-dimensional warranties with the objective of minimizing manufacturer’s expected warranty cost. Static, improved and dynamic repair strategies are proposed and analyzed under different warranty structures. Numer...

In today’s global environment, technology is constantly evolving. Being able to stay up-to-date with the very latest technological advances can be extremely hard to accomplish. As a result of these changes and developments in technology, which often come unexpectedly, consumers are frequently tempted to update their devices to the very latest model. The result is that the life cycle of a produc...

Modelling of deteriorating systems with preventive repair during warranty using geometric processes was carried out in the previous chapter. In this chapter the independent and identically distributed assumption of geometric processes is relaxed to assume only the independent successive inter arrival times. Surveying the literature, one is struck by the fact that there has been so little resear...

This paper addresses the problem of durable goods manufacturers in an oligopoly seeking optimal values for three decision variables: product warranty, reliability and price. Each ®rm seeks a warranty-reliability-price combination that maximizes expected pro®t subject to quite general constraints on the ®rm's decision variables. Warranty serves as a signal of product reliability, which is not ob...

In this paper a stochastic model for a single unit repairable system with Preventive Maintenance (PM) under warranty is analyzed in details by using supplementary variable technique. The cost of repair during warranty is born by the manufacturers, but warranty does not apply to product failure due to user-induced damage such as cracked screen or cracked casing, accident, misuse, physical damage...

2 Shaomin Wu 1 3 Cranfield University, School of Applied Sciences, Cranfield, Bedfordshire MK43 0AL, UK 4 5 Abstract 6 Warranty claims are not always due to product failures. They can also be caused by two types of human 7 factors. On the one hand, consumers might claim warranty due to misuse and/or failures caused by other human 8 factors. Such claims might account for more than 10% of all rep...

Many systems might have a long time dormant period, during which the systems are not operated. For example, most building services products are installed while a building is constructed, but they are not operated until the building is commissioned. Warranty terms for such products may cover the time starting from their installation times to the end of their warranty periods. Prior to the commis...

It is observed that in India for all types of two wheeler vehicles, warranty offered is Free Replacement Warranty (FRW) policy. Present paper deals primarily with the cost analysis of warranty being given on different types of two wheeler vehicles, in India. Under the existing cost set up, a new warranty model, which involves an initial FR period, followed by the Pro Rata period, has been devel...

A product warranty is an agreement offered by a producer to a consumer to replace or repair a faulty item, or to partially or fully reimburse the consumer in the event of a failure. Warranties are very widespread and serve many purposes, including protection for producer, seller, and consumer. They are used as signals of quality and as elements of marketing strategies. In this study we review t...