Minimal repair warranty cost model and optimal periodic replacement policy for repairable products based on generalized exponential distribution

摘要

Warranty is an essential element of marketing products. Determination of warranty costs helps manufacturers setting an appropriate warranty policy. In this paper we develop warranty cost models for new repairable products when failure times follow generalized exponential distribution under two types of minimal repair warranty, the free and the pro-rate warranty policy. The performance of the minimal repair warranty models is evaluated through an extensive simulation study which gives evidence of highly accurate simulation models. This article also derives the optimal periodic replacement policy under free repair warranty and investigates it through a numerical example.