Many services products are installed in a complex system that is operated only when the entire system is completed. The time from their installation to commissioning, called a dormant state in this paper, may take several years for systems such as complete buildings or aircraft. Warranties for the products may cover the time starting from their installation to a certain time. Warranty cost on r...

All multi-component product manufacturing companies face the problem of warranty cost estimation. Failure rate analysis of components plays a key role in this problem. Data source used for failure rate analysis has traditionally been past failure data of components. However, failure rate analysis can be improved by means of fusion of additional information, such as symptoms observed during afte...

How health care providers get paid has implications for the delivery of care and cost control; the topic is especially important during an economic downturn with persistent growth in health spending. Adding "warranties" to care is an innovation that transfers risk to providers, because payment includes allowances for defects. How do such warranties affect patient care and bottom lines? We exami...

A new maintenance policy which minimizes the total expected servicing cost for an item with two–dimensional warranty is proposed. An iterative procedure to estimate the item’s failure rate function from historical observations and an optimization algorithm based on Monte Carlo simulation are applied to obtain the best maintenance policy. Numerical examples and sensitivity analysis are presented.

Most of the brand new items are released on the market with a certain type of warranty. A xed length warranty period is assumed in this paper. A maintenance policy which consists of minimal repair and preventive maintenance is analyzed for the case of known and unknown failure parameters of the item's lifetime distribution. For the second case, two types of Bayesian policies are considered. An ...

As manufacturing companies spend a significant percentage of revenue on warranty and related problems, early warning is one of the focus areas that can help reduce overall costs. Traditionally, manufacturers have used data from warranty claims, repair orders, service reports and other sources to identify early-warning patterns of quality issues and customer complaints. With the advent of social...