• Title/Summary/Keyword: Cost of Failure Cost

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Cost Analysis of Manufacturer's View Point Under Stepdown Warranty Policy

  • Kim, Jae Joong;Kim, Won Joong
    • Journal of Korean Society for Quality Management
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    • v.19 no.1
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    • pp.103-114
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    • 1991
  • This article is concerned with cost analysis in warranty policy. The warranty cost can be different according to warranty rate and warranty renewal policy. In this paper the stepdown warranty policy is analyzed. Assuming the nonrepairable item, manufacturer's cost is calculated in stepdown warranty policy and free replacement, pro-rata, hybrid policy. Numerical examples are given over Weibull time-to-failure distribution.

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Optimal Burn-In under Waranty

  • Kim, Kui-Nam;Lee, Kwang-Ho
    • Communications for Statistical Applications and Methods
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    • v.6 no.3
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    • pp.719-728
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    • 1999
  • This paper discusses an optimal burn-in procedure to minimize total costs based on the assumption that the failure rate pattern follows a bimodal mixed Weibull distribution. The procedure will consider warranty period as a factor of the total expected burn-in cost. A cost model is formulated to find the optimal burn-in time that minimizes the expected burn-in cost. Conditional reliability for warranty period will be discussed. An illustrative example is included to show how to use the cost model in prctice.

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Economical selection of optimum pressurized hollow fiber membrane modules in water purification system using RbLCC

  • Lee, Chul-sung;Nam, Young-wook;Kim, Doo-il
    • Membrane and Water Treatment
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    • v.8 no.2
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    • pp.137-147
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    • 2017
  • A water treatment utility in South Korea operates a large system of pressurized hollow fiber membrane (PHFM) modules. The optimal selection of membrane module for the full scale plant was critical issue and carried out using Risk-based Life Cycle Cost (RbLCC) analysis based on the historical data of operation and maintenance. The RbLCC analysis was used in the process of decision-making for replacing aged modules. The initial purchasing cost and the value at risk during operation were considered together. The failure of modules occurs stochastically depending on the physical deterioration with usage over time. The life span of module was used as a factor for the failure of Poisson's probability model, which was used to obtain the probability of failure during the operation. The RbLCC was calculated by combining the initial cost and the value at risk without its warranty term. Additionally, the properties of membrane were considered to select the optimum product. Results showed that the module's life span in the system was ten years (120 month) with safety factor. The optimum product was selected from six candidates membrane for a full scale water treatment facility. This method could be used to make the optimum and rational decision for the operation of membrane water purification facility.

A Study on Attribute Analysis of Software Development Cost Model about Life Distribution Considering Shape Parameter of Weibull Distribution (수명분포가 와이블 분포의 형상모수를 고려한 소프트웨어 개발 비용모형에 관한 속성분석 연구)

  • Kim, Hee-Cheul
    • The Journal of Korea Institute of Information, Electronics, and Communication Technology
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    • v.11 no.6
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    • pp.645-650
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    • 2018
  • Software stability is the possibility of operating without any malfunction in the operating environment over time. In a finite failure NHPP for software failure analysis, the failure occurrence rate may be constant, monotonically increasing, or monotonically decreasing. In this study, based on the NHPP model and based on the software failure time data, we compared and analyzed the attributes of the software development cost model using the exponential distribution Rayleigh distribution and inverse exponential distribution considering the shape parameter of the Weibull distribution as the life distribution. The results of this study show that the Rayleigh model is the fastest release time and has the economic cost compared to the inverse-exponential model and the Goel-Okumoto model. Using the results of this study, it can be expected that software developers and operators will be able to predict the optimal release time and economic development cost.

Delivering IPTV Service over a Virtual Network: A Study on Virtual Network Topology

  • Song, Biao;Hassan, Mohammad Mehedi;Huh, Eui-Nam
    • Journal of Communications and Networks
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    • v.14 no.3
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    • pp.319-335
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    • 2012
  • In this study, we design an applicable model enabling internet protocol television (IPTV) service providers to use a virtual network (VN) for IPTV service delivery. The model addresses the guaranteed service delivery, cost effectiveness, flexible control, and scalable network infrastructure limitations of backbone or IP overlay-based content networks. There are two major challenges involved in this research: i) The design of an efficient, cost effective, and reliable virtual network topology (VNT) for IPTV service delivery and the handling of a VN allocation failure by infrastructure providers (InPs) and ii) the proper approach to reduce the cost of VNT recontruction and reallocation caused by VNT allocation failure. Therefore, in this study, we design a more reliable virtual network topology for solving a single virtual node, virtual link, or video server failure. We develop a novel optimization objective and an efficient VN construction algorithm for building the proposed topology. In addition, we address the VN allocation failure problem by proposing VNT decomposition and reconstruction algorithms. Various simulations are conducted to verify the effectiveness of the proposed VNT, as well as that of the associated construction, decomposition, and reconstruction algorithms in terms of reliability and efficiency. The simulation results are compared with the findings of existing works, and an improvement in performance is observed.

A Study on Determining the Optimal Replacement Interval of the Rolling Stock Signal System Component based on the Field Data (필드데이터에 의한 철도차량 신호장치 구성품의 최적 교체주기 결정에 관한 연구)

  • Byoung Noh Park;Kyeong Hwa Kim;Jaehoon Kim
    • Journal of the Korean Society of Safety
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    • v.38 no.2
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    • pp.104-111
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    • 2023
  • Rolling stock maintenance, which focuses on preventive maintenance, is typically implemented considering the potential harm that may be inflicted to passengers in the event of failure. The cost of preventive maintenance throughout the life cycle of a rolling stock is 60%-75% of the initial purchase cost. Therefore, ensuring stability and reducing maintenance costs are essential in terms of economy. In particular, private railroad operators must reduce government support budget by effectively utilizing railroad resources and reducing maintenance costs. Accordingly, this study analyzes the reliability characteristics of components using field data. Moreover, it resolves the problem of determining an economical replacement interval considering the timing of scrapping railroad vehicles. The procedure for determining the optimal replacement interval involves five steps. According to the decision model, the optimal replacement interval for the onboard signal device components of the "A" line train is calculated using field data, such as failure data, preventive maintenance cost, and failure maintenance cost. The field data analysis indicates that the mileage meter is 9 years, which is less than the designed durability of 15 years. Furthermore, a life cycle in which the phase signal has few failures is found to be the same as the actual durability of 15 years.

Estimating Maintenance Cost of RAPCON at Air Force Base (비행기지 RAPCON 유지보수비용 추정)

  • Bang, Jang-Kyu;Lee, Gun-Young
    • Journal of Advanced Navigation Technology
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    • v.20 no.6
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    • pp.511-518
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    • 2016
  • RAPCON non only controls landing/take-off procedures but also approaching air traffics within 60-70 NM range of air force base. This paper, first of all, tries to research the failure rate per operation hours, mean time between failure (MTBF) of RAPCON according to six blocks such as interrogator, receiver, power unit, display unit, data process unit and antenna. In addition, this paper estimates the maintenance cost over next 10 months based on 50 monthly maintenance cost data. Considering the maintenance cost data from RAPCON which has been used over designed service life span, it is no doubt the forecasted data proved the monthly cost would go up incrementally during the rest of economic life of the facility. Such research result is also proven to be the same with the result of bathtub curve data during operating life.

A Study on the Optimal LCC using AMSAA Model (AMSAA Model을 이용한 최적 LCC에 관한 연구)

  • Kim, Jun-Hong
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.29 no.3
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    • pp.135-142
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    • 2006
  • Engineers are always concerned with life cycle costs for making important economic decisions through engineering action like reliability of products. Decisions during the reliability growth development of products involve trade-offs between invested costs and its returns. In order to find minimal LCC containing the reliability improvement cost, production cost, repair and replacement costs, and holding cost of spare parts for failure items we suggest in this paper relationship between development cost and sustaining cost in values of growth parameter $\beta$ of AMSAA model. This model is applied to the reliability growth program based on AMSAA model during R&D phase, the warranty activities of items and the block replacement policy for maintenance of items in avionic equipment.

The Relationships among the Degree of Quality Cost Deviation, Quality Management Activities and Performance (품질비용 발생편차와 품질관리활동 그리고 성과간의 관계:품질성과와 납기성과를 중심으로)

  • 김달곤;김순기;정순여
    • Journal of Korean Society for Quality Management
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    • v.31 no.4
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    • pp.1-18
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    • 2003
  • Quality is a critical competitive factor in today's environment because of the impact of quality on costs and delivery. Many companies regard quality as a key concept of company strategy in order to achieve the competitive edge. Measuring and reporting quality cost is the first step in quality management program. The supposition of quality cost model is that investment in prevention activities will bring rewards from reduced failure costs, and that further investment in prevention activities will show profits from reduced appraisal costs. In this study, the degree of quality cost deviation is conceptualized. This means a deviation between the ideal and present ranking in the amounts of quality cost categories. This study analysed that the effect of its deviation on quality management activity and performance variables. However, there are no difference in these variables. The major reason is that most of companies are endeavoring for quality management but operating quality cost system unsystematically. The review against a prevention and appraisal activity is necessary.

Optimization of Quality Cost using Multiobjective Decision Making Method (다목적의사결정 기법을 이용한 품질비용의 최적화에 관한 연구)

  • 송종대
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.16 no.28
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    • pp.21-29
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    • 1993
  • We want to know the interrelationship among the four components of Total Quality Cost. So that we will be able to say what changes will occur in one when another is changed Even though the relationship among the component Cost is as varied as there are companies keeping such cost systems, existence of some general pattern is hypothesized at least among similar companies doing similar business or producing similar products. The purpose of this study is to drive Optimum Quality Cost on base of the result of the quality cost analyses in N business, after multiple regression model with failure cost as dependent variable is established. Vector Optimization (VOP) method were used for solving multiobjective decision ploblem.

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