A Joint Policy for Preventive Maintenance and Spare Part Inventory Control

2021-8
Kaya, Tuna Berk
Machine failures are the primary cause of production disruption in manufacturing systems, leading to significant profit loss. Preventive maintenance activities can adjust the frequency of failures to a certain point. Both failure and preventive maintenance activities are conducted by using spare parts. It is reasonable to stock spare parts in the inventory since procurement lead times of spare parts are common, and economies of scale are available. Maintenance and inventory control are usually planned by different functional units in the industry, although jointly managing them can change the profits of the companies. In this study, we propose a joint preventive maintenance and inventory management policy. The objective is to maximize the expected long-run profit rate, characterized by utilizing Renewal Reward Theory. We also introduce five decentralized decision-making strategies, which are usually applied in practice. Through computational analyses, performances of the proposed joint policy and decentralized decision-making strategies are investigated under different levels of problem parameters.

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Citation Formats
T. B. Kaya, “A Joint Policy for Preventive Maintenance and Spare Part Inventory Control,” M.S. - Master of Science, Middle East Technical University, 2021.