Cost analysis for multi-component system with failure interaction under renewing free-replacement warranty

Bin Liu*, Jun Wu, Min Xie

*Corresponding author for this work

    Research output: Journal Publications and ReviewsRGC 21 - Publication in refereed journalpeer-review

    99 Citations (Scopus)

    Abstract

    In a multi-component system, the assumption of failure independence among components is seldom valid, especially for those complex systems with complicated failure mechanism. For such systems, warranty cost is subject to all the factors including system configuration, quality of each component and the extent of failure dependence among components. In this paper, a model is developed based on renewing free-replacement warranty by considering failure interaction among components. It is assumed that whenever a component (subsystem) fails, it can induce a failure of one or more of the remaining components (subsystems). Cost models for series and parallel system configurations are presented, followed by numerical examples with sensitivity analysis. The results show that, compared with series systems, warranty cost for parallel systems is more sensitive to failure interaction.
    Original languageEnglish
    Pages (from-to)874-882
    JournalEuropean Journal of Operational Research
    Volume243
    Issue number3
    Online published27 Jan 2015
    DOIs
    Publication statusPublished - 16 Jun 2015

    Research Keywords

    • Failure interaction
    • Multi-component system
    • Renewing free-replacement warranty

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