A Mathematical Model for Imperfect Maintenance Contract

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A Mathematical Model for Imperfect Maintenance Contract

ABSTRACT
In this paper we propose and study maintenance service contracts for a warranted equipment. We consider a situation where an agent offers several service contract options and the owner of equipment (a company) has to select the optimal option which maximizes its profit. This case is typically found in the industry where the Original Equipment Manufacturing is the only maintenance service provider. Since a high equipment availability is needed for gaining some revenue, availibility target should be considered as a performance measure in the service contract options. We study the maintenance service contract considering imperfect maintenance and the availability target from both the owner and OEM point of views and use a non-cooperative game formulation to determine the optimal strategy (pricing structure) for the OEM and the optimal option for the owner.

Statement of Responsibility

Author(s)

U. S. Pasaribu - Personal Name
H. Husniah - Personal Name
B. P. Iskandar - Personal Name

Edition

Call Number

658.15 HUS a

Subject(s)

Availability
imperfect maintenance
service contract
warranty
non-cooperative game theory
Jurnal Internasional
Jurnal Internasional Teknik Industri
International Journal

Classification

600

Series Title

GMD

Text

Language

English

Publisher

CESER PUBLICATIONS

Publishing Year

2015

Publishing Place

Bandung

Specific Detail Info

Int. J. Appl. Math. Stat.; Vol. 53; Issue No. 2

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APA Citation

U. S. Pasaribu. (2015).A Mathematical Model for Imperfect Maintenance Contract.(Electronic Thesis or Dissertation). Retrieved from https://localhost/etd