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Given a product design and a repair network, a level of repair analysis (lora) determines for each component in the product (1) whether it should be discarded or repaired upon failure and (2) at which echelon in the repair network to do this. The objective of the lora is to minimize the total (variable and fixed) costs. We propose an ip model that...
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Citations
... Therefore, the fundamental question becomes how to properly manage spare parts inventory in the WDNs, which partially motivates this study. The existing literature applied the continuous inventory control policy (S − 1, S) for the repair shops (Basten et al., 2009(Basten et al., , 2011(Basten et al., , 2012Wang et al., 2019). This is due to the fact that the demand of spare parts in the local repair shops is limited and the interconnection rate between the repair shops and the depot (main) equipment manufacturers (OEMs) serve a technical system that they sold, spare part network is called OEM network www.sciencedirect.co ...
... The third layer optimizes spare part inventory policies over the technical system lifecycle from introducing new equipment to operation phase and its end of life stage (Jangra et al., 2019). The second spare part management category relates to the layering structure in which the stock-points are located (Basten et al., 2009(Basten et al., , 2011(Basten et al., , 2012. Feeney and Sherbrooke (1966) for the first time formulated single echelon (S − 1, S) inventory policy when the input demand from stock points is Poisson. ...
The use of the warranty distribution network (WDN) to support after-sales service contributes to the stakeholders’ market competition and becomes popular in the modern business. However, there are two major challenges in the development of WDN: 1) locating repair centers and allocating corresponding customers, and 2) choosing the spare parts inventory policy for each repair center. In order to address these two challenges, this paper proposes a customized location-allocation WDN model under batch-ordering inventory policy where repair center acts as a two-layer system (two-echelon) to support a set of customers in a two-layer network (two-indenture). In this network, a depot repair center is selected to meet the orders through a high-capacity supplier in the first echelon and a certain number of sub-repair centers are determined to cover customers in the second echelon. To optimize the proposed model, a two-stage solution approach based on Monte-Carlo simulation and Variable Neighborhood Search is developed. The electric vehicle battery system case study is used to validate the proposed model and solution approach. The obtained results showed that depending on the budget available, spare parts inventory level in the operational repair centers is positively associated their distance to the depot repair center.
... perfect maintenance). However, various levels of repair aim to minimise the costs of components' life cycles (Basten et al., 2009). Additionally, a limiting assumption discussed in the literature is related to the consumption of production capacity by PM activities. ...
This paper presents a new bi-objective model to deal with an integrated production planning and reliability-based multi-level preventive maintenance (PM) scheduling problem. The production system includes a set of parallel deteriorating machines. The model aims to find the production lot sizes and the sequence and interval of PM activities over a multi-shift planning horizon. The PM activities are classified as the adjustment and replacement ones, each of which has a specific cost and effect on machines. The model serves to minimise the total cost while maximising customer satisfaction. Also, the most profitable customers are identified by applying a hybrid multi-attribute decision making (MADM) approach (BWM-TOPSIS) in order to fulfil their orders in their desirable time windows. Three efficient meta-heuristic algorithms are developed to solve the proposed model for large-scale problems. Besides, TOPSIS method is employed to select the most desirable solution among the obtained Pareto solutions. Finally, a case study is provided to show the applicability of the proposed approach.
... Most of the works such i.e., Barros (1998); Barros and Riley [2], Saranga and Kumar [9]; Brick and Uchoa (2009); Basten et al. [3], Basten et al. (2011a;2011b) are optimized the maintenance problem considering fixed spare inventory. In these literature, majority of the researchers considered a simplistic assumption such as single base and single OEM problem. ...
... In the existing literature, LOR analysis problem one of the complex problems addressed by various researchers [3] clearly highlighted that LOR analysis is an NP hard problem. Now integrating reliability design selection in the LOR analysis, the problem becomes more challenging and complex. ...
This analysis is conducted to test sensitivity of the developed integrated model for reliability and maintenance decisions for fleet system. Sensitivity analysis is an important analysis to justify the model sensitivity considering the different model parameters. The parameters of integrated model are mean time in transportation delay, maintenance, and repair time at depot and at original equipment manufacturer. Sensitivity analysis of integrated model parameters is carried out to establish the minimum fleet maintenance life cycle cost. This analysis uses maintenance equipment cost, transportation cost and consumable cost. In this analysis, the different failure rates of the component approach are used i.e., Constant Failure Rate CFR and Time-dependent Failure Rate (TDFR). Therefore, to calculate the time to failure of the parts, Exponential distribution and Weibull distribution are used, respectively. The result shows that consumables cost, and transportation cost are sensitive for integrated model.
... Authors mainly optimized the installation location of maintenance facilities. Basten et al. (2009) discussed a model to optimize LOR decisions considering the integer programming technique. Basten et al. (2011a;2011b) proposed a model for LOR decisions considering the minimum cost flow during the LOR operations. ...
... The OR already offers a way to define mathematical models, but the literature can find its obstacles as well as more accessible paths to more precisely formulate a mathematical model, which is the goal of this article. In [22], authors present the basic principles of formulating a classic 20th-century mathematical model that can be easily perceived and used. In [23], authors discuss that it is necessary to develop a precise mathematical representation for tasks as well as appropriate tools to run the mathematical model. ...
Operation Research can be used to apply analitical methods that help make precise and reasonable decisions. In road maintenance case, Operation Research basic principles are used to create a model formulation, that could help lower costs in case of an inaccurately made decision. Firstly, the paper discusses the literature review on different Model Formulations. Afterwards, hypotheses are proposed regarding the model formulation, and then the model, that minimizes total generalized costs from wrong duty orders for road maintenance, is offered. In conclusion, the paper evaluates the hypotheses and the process of improving the mathematical model.
... More variations of the LORA model are developed to improve computational efficiency. Basten, Schutten, and Van Der Heijden (2009) provide an amended version of the LORA model where the integrality constraints can be removed without yielding a fractional solution. Basten, Van der Heijden, and Schutten (2011) study a minimum cost flow formulation for LORA problems to require less computational effort and achieve high model flexibility. ...
... Brick and Uchoa (2009) apply LORA to 15 substantial real world problems, consider distinct maintenance policies and compare 22 resulting different solutions. Basten, van der Heijden, and Schutten (2011) discuss practically related extensions relying on an existing minimum cost flow formulation that is proposed by Basten, Schutten, and Van Der Heijden (2009). ...
... The repair demands are generated by the products served in operating sites of level 1. The exponential assumption of the distribution of the failure times is often made (Alfredsson 1997, Basten, Schutten, and Van Der Heijden 2009). We relax the assumption and suppose that number of annual expected failures is independent and identically, generally distributed random variables. ...
In traditional practices, maintenance system and spare parts inventory control are usually considered in isolation, resulting in suboptimality. In a military system, the level of repair analysis (LORA) is often employed to help operate its repair networks. In this paper, we consider an integrated LORA and inventory control problem and formulate this problem as a mixed-integer nonlinear programming problem with chance constraints. Two second-order cone constraints are proposed to approximate the chance constraints. Furthermore, we propose an outer approximation (OA) algorithm based on the OA cuts. Extensive numerical results show that the OA algorithm significantly improves the computational efficiency under various types of components and network complexity. Next, we investigate the influence of service level and resource capacity, and propose the findings. Our results indicate that a higher service level leads to steeper costs, more resources, larger storage and heavier repair burdens at operating sites. Moreover, enhancements in resource capacity from the status quo lead to improvements in repairs and shrinkage in discards, bringing direct economic benefits. The insights extend to uncertain settings. It may be initially counterintuitive for many practitioners that demand uncertainty poses relatively subtle impacts.
... Determining whether a component should be discarded or repaired upon failure and at which location in the multi-echelon network to execute these repairs is called the level of repair analy-sis (LORA) ( Basten et al., 2009( Basten et al., , 2011 . Since these decisions significantly impact the spare parts investment cost, solving multiechelon spare parts inventory problem in conjunction with LORA is worthwhile. ...
Maintenance and service logistics support are required to ensure high availability and reliability for capital goods and typically represent a significant part of operating costs in capital-intensive industries. In this paper, we present a classification of the maintenance and service logistics literature considering the key characteristics of a particular sector as a guideline, i.e., the maritime sector. We discuss the applicability and the shortcomings of existing works and highlight the lessons learned from a maritime sector perspective. Finally, we identify the potential future research directions and suggest a research agenda. Most of the maritime sector characteristics presented in this paper are also valid for other capital-intensive industries. Therefore, a big part of this survey is relevant and functional for industries such as aircraft/aerospace, defense, and automotive.
... Triki et al. [21] 24 propose an optimization via simulation approach for a multi-indenture single-echelon problem. Basten et al. [5,6] 25 further develop Basten et al. [4] by limiting the resources capacity, and ensuring that the components to be 26 repaired at each location are less than the installed capacity of the resources. They develop mixed-integer 27 models for the multi-indenture multi-echelon case, and propose an approach based on a minimum cost flow 28 model. ...
... Then, in order to find is run again, and this procedure is iterated, until a satisfactory solution is obtained, or a time limit is reached 3 (Fig. 3). It is worth underlying that, since some of the parameters used by the optimization model are estimated 4 when simulating the current solution, the approximation of the availability function is valid only locally (i.e., 5 for neighbors "close" to the current simulated solution). Thus, while moving from one iteration to another for 6 updating the current solution, the optimization phase may involve only small variations of the variables, namely 7 the number of resources, the spare parts and/or the discarded components. ...
... Our model includes the possibility to outsource activities to any other facility of the maintenance network. 4 However, an outsourcing facility is characterized by some peculiar features: (i) its own repairing processes are ...
This paper deals with the problem of designing the logistics support of complex multi-indenture and multi-echelon engineering systems, with the aim of determining the spare parts stock and the maintenance resources capacity, as well as the level of repair. The problem is modeled as an integer program with a nonlinear probabilistic constraint on the expected availability, whose satisfaction can only be evaluated by means of very time-consuming simulation experiments. Thus, we use an optimization via simulation approach, in which the search space is efficiently explored through an approximated neighborhood evaluation mechanism, which makes use of several parameters estimated by means of simulation. Experimental results on a number of instances show the effectiveness of the proposed approach.
... The objective was to minimise the total maintenance cost. Basten et al. (2009) used IP for generalising LORA problem as defined by Barros (1998) and Saranga and Kumar (2006). The formulation was used to solve a case of Thales Nederland. ...
The objective of this research is to develop a genetic algorithm
(GA)-based optimisation approach for a multi-echelon closed-loop inventory
system of items, which are repairable in nature. In the context of the passenger
transportation industry, engineering aggregates like engines, alternators, axles
and tyres are representative examples of such systems. The present work is
motivated by a real-life example of state-owned transport corporation having
more than 9,000 buses. Operationally, the corporation is divided across several
depots (the lower most echelon) and divisions (the next higher echelon). The
contribution from this research is manifold. In terms of specific insights, it is
established that keeping a higher base stock of spare tyres at the divisions than
at the depots is operationally better. This is a consequence of the risk pooling
effect. The present research enables us to understand the optimal policy
parameters of a complex multi-echelon inventory system. The whole
optimisation approach and the simulation model can be generalised and can fit
well in several other related problems and their contexts. Typically, the
approach is applicable to the problems of repairable-parts inventory related to
industries with heavy utilisation of equipments like the chemical and the
petrochemical industries.
... Viewed no matter from the sequence standard of ASD (Aerospace and Defence Industries Association of Europe), or from the perspective of the reality of Integrated Logistics Support, the Level of Repair Analysis (LORA) is the crucial annulus [1]. L. Barros (1998) [2] put forward a relatively complete model of planning to solve the problem of LORA for the first time; In 2000, L. Barros and M. Riley [3] solved the model using the branch and bound algorithm; G. Gutina et al. (2004) [4] reverted the problem of LORA to the maximum weight independent set problem on a bipartite graph and proved that the problem was polynomial-time solvable; In 2006, H. Saranga and U. D. umar [5] set up an integer programming model different from L. Barros (1998); Basten [6][7][8] proposed the level of repair analysis model based on the infinite resources. In China, Hao Wu (2009) [9] set forth a mathematical model of three-echelon-three-indenture LORA economic analysis; Wenfeng Wang and Tao Xue [10][11][12] 12:17 (2015) [6585][6586][6587][6588][6589][6590][6591][6592][6593][6594] method based on the operational availability simulation analysis, but the influence of same level transformation on the total costs was not taken into account. ...
