[1] Wu Junjian, Wang Haiyan,. A decision model of optimal production reliability and warrantylength in an imperfect production system [J]. Journal of Southeast University (English Edition), 2014, 30 (4): 537-543. [doi:10.3969/j.issn.1003-7985.2014.04.023]

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A decision model of optimal production reliability and warrantylength in an imperfect production system()

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Journal of Southeast University (English Edition)[ISSN:1003-7985/CN:32-1325/N]

Volumn:

30

Issue:

2014 4

Page:

537-543

Research Field:

Economy and Management

Publishing date:

2014-12-31

Info

Title:

A decision model of optimal production reliability and warrantylength in an imperfect production system

Author(s):

Wu Junjian;  Wang Haiyan

School of Economics and Management, Southeast University, Nanjing 211189, China

Keywords:

imperfect production system;  warranty length;  production reliability;  Euler-Lagrange method

PACS:

F252

DOI:

10.3969/j.issn.1003-7985.2014.04.023

Abstract:

A decision model to maximize the total profit of manufacturers in an imperfect production system is constructed. In this model, the production reliability and the warranty length are jointly used as decision variables for the case that products are sold with a warranty; i.e., the demand is dependent on the warranty length and sale price. Also, all the non-conforming quality(defective)items in the production process are refurbished to conform to quality ones at a cost. The existence and uniqueness of the optimal values of production reliability and the warranty length are proved by using the Euler-Lagrange method in analyzing the model. A numerical example is also provided to illustrate the effectiveness of the decision model. The sensitivity analysis of the key parameters of the optimal solution and objective value is presented in addition.

References:

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Memo

Memo:

Biographies: Wu Junjian(1986—), male, graduate; Wang Haiyan(corresponding author), male, doctor, professor, hywang@seu.edu.cn.
Foundation items: The National Natural Science Foundation of China(No.71171049), the Scientific Innovation Research of College Graduates in Jiangsu Province(No.CXLX13_-097).
Citation: Wu Junjian, Wang Haiyan.A decision model of optimal production reliability and warranty length in an imperfect production system[J].Journal of Southeast University(English Edition), 2014, 30(4):537-543.[doi:10.3969/j.issn.1003-7985.2014.04.023]

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