{"title":"Redesign policy for a system with uncertain failure rates","authors":"Qianru Ge , Zümbül Atan , Willem van Jaarsveld","doi":"10.1016/j.orl.2024.107093","DOIUrl":null,"url":null,"abstract":"<div><p>Consider a newly developed system sold under a performance based contract (PBC), and subject to failures following various failure modes. Redesign may address certain failure modes. To trade-off redesign costs and costs associated with the PBC, we find the optimal failure modes to redesign based on the current beliefs on the failure rate per failure mode, and the amount of time remaining under the PBC. We develop analytic insights into the structure of the optimal policy.</p></div>","PeriodicalId":54682,"journal":{"name":"Operations Research Letters","volume":null,"pages":null},"PeriodicalIF":0.8000,"publicationDate":"2024-03-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0167637724000294/pdfft?md5=242d541b6e529813eae13d29b5118db1&pid=1-s2.0-S0167637724000294-main.pdf","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Operations Research Letters","FirstCategoryId":"91","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S0167637724000294","RegionNum":4,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q4","JCRName":"OPERATIONS RESEARCH & MANAGEMENT SCIENCE","Score":null,"Total":0}
引用次数: 0
Abstract
Consider a newly developed system sold under a performance based contract (PBC), and subject to failures following various failure modes. Redesign may address certain failure modes. To trade-off redesign costs and costs associated with the PBC, we find the optimal failure modes to redesign based on the current beliefs on the failure rate per failure mode, and the amount of time remaining under the PBC. We develop analytic insights into the structure of the optimal policy.
期刊介绍:
Operations Research Letters is committed to the rapid review and fast publication of short articles on all aspects of operations research and analytics. Apart from a limitation to eight journal pages, quality, originality, relevance and clarity are the only criteria for selecting the papers to be published. ORL covers the broad field of optimization, stochastic models and game theory. Specific areas of interest include networks, routing, location, queueing, scheduling, inventory, reliability, and financial engineering. We wish to explore interfaces with other fields such as life sciences and health care, artificial intelligence and machine learning, energy distribution, and computational social sciences and humanities. Our traditional strength is in methodology, including theory, modelling, algorithms and computational studies. We also welcome novel applications and concise literature reviews.