Article ID Journal Published Year Pages File Type
1032784 Omega 2013 14 Pages PDF
Abstract

Due to unreliable production facility and stochastic preventive maintenance, deriving an optimal production inventory decision in practice is very complicated. In this paper, we develop a production model for deteriorating items with stochastic preventive maintenance time and rework using the first in first out (FIFO) rule. From our literature search, no study has been done on the above problem. The problem is solved using a simple search procedure; this makes it more practical for use by industries. Two case examples using uniform and exponential distribution preventive maintenance time are applied. Examples and sensitivity analysis are conducted for each case. The results show that rework and preventive maintenance time have significant affected the total cost and the optimal production time. This provides helpful managerial insights to help management in making smart decisions.

► We develop a production model with stochastic preventive maintenance time and rework. ► The model considers deteriorating items using first in first out (FIFO) rule. ► Uniform and exponential distribution preventive maintenance time is considered. ► The results have significant effects on the total cost and the optimal production time. ► This provides helpful managerial insights to management in decisions making.

Related Topics
Social Sciences and Humanities Business, Management and Accounting Strategy and Management
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