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Optimal replacement policy for a general geometric process model with δ-shock

Author Affiliations
Lanzhou University of Finance and Economics, Changsha University of Science and Technology, Northeastern University, University of Hong Kong, ...
Published InInternational Journal of Systems Science
Year2010
Citations22

Abstract

In this article, a general geometric process model with δ-shock for a deteriorating system and an improving system is studied. A system will fail as soon as a shock arrives with interarrival time being inside a real set. Assume that a replacement policy N is adopted by which the system will be replaced by a new, identical one at the time following the N-th failure. Then the optimal replacement policy N* for minimising the long-run average cost per unit time is determined analytically. Finally, the sensitivity analysis is studied.
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