Condition-Based Spare Ordering Model for a Two-Stage Degrading System

Abstract

Proper supply of spares is critical to guarantee safe operation, improve service quality and reduce maintenance costs. This paper proposes a condition-based spare ordering model for a two-stage degrading system, which consists of inflection point transfer process and two-stage degradation process with continuous degradation process and random external shocks. External shocks itself does not directly lead to system failure, but it will speed up the degradation process. In turn, degradation can also make the system more vulnerable to shocks. In general, the degradation rate at the defective stage is greater than that at the normal stage. The proposed model depends on system degradation process and spare lead-time. In order to achieve accurate maintenance and deal with emergency maintenance caused by system rapid degradation after inflection point transfer time, the model considers both the regular lead-time and expedited lead-time. Before inflection point transfer time, regular spare ordering policy is performed. After inflection point transfer time, expedited spare ordering policy is implemented. The decision variable of the model is the ordering time. The objective of this study is to determine the optimal ordering time such that the expected cost rate is minimized. Finally, a numerical example is presented to illustrate the proposed model and sensitivity analysis on critical parameters is carried out.

Keywords

Condition-based spare ordering / inflection point / two-stage degradation / random external shocks / random lead-time

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