Title: Warranty cost sharing policies with preventive maintenance strategy for sensor embedded remanufactured products

Authors: Ammar Y. Alqahtani; Surendra M. Gupta

Addresses: Department of Industrial Engineering, Faculty of Engineering, King Abdulaziz University, Jeddah, 22254, Saudi Arabia ' Department of Mechanical and Industrial Engineering, Northeastern University, 334 Snell Engineering Center, 360 Huntington Avenue, Boston, Massachusetts 02115, USA

Abstract: With the rapid growth of interest in remanufactured products, offering warranty for remanufactured products and components is becoming necessary for remanufacturer in order to meet customers' requirements mechanism. Furthermore, maintenance policies are of great importance in order to reduce the warranty cost of the remanufacturer. In this paper, a simulation model for remanufactured items sold with one-dimensional non-renewing cost sharing warranty (CSW) and cost limit warranty (CLW) are proposed from the point of view of remanufacturer. In this model, an end-of-life product (EOLP) is subjected to upgrade action at the end of its past life. During the warranty period, preventive maintenance actions are carried out when the remaining life of the product reaches a pre-specified value so that the remanufacturer's expected profit can be maximised. Finally, a numerical example and design of experiment analysis are provided to demonstrate the proposed approach.

Keywords: reverse supply chain; preventive maintenance; warranty policies; remanufacturing; sensor-embedded products; SEPs.

DOI: 10.1504/IJISE.2019.098545

International Journal of Industrial and Systems Engineering, 2019 Vol.31 No.3, pp.360 - 394

Received: 10 Apr 2017
Accepted: 29 May 2017
Published online: 26 Mar 2019 *

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