Automatic assembly design project 1968/9 :|breport of economic planning committee

Investigations into automatic assembly systems have been carried out. The conclusions show the major features to be considered by a company operating the machine to assemble the contact block with regard to machine output and financial aspects. The machine system has been shown to be economically viable for use under suitable conditions, but the contact block is considered to be unsuitable for automatic assembly. Data for machine specification, reliability and maintenance has been provided

An availability study for a SME

A case study of an availability analysis for a small commercial company is presented. The analysis was carried out to meet a customer requirement for the availability of an electronic ground-based system in a benign environment. Availability calculations were based on failure data provided and an explanation of the methodology and problems encountered and dealt with are discussed. The methodology includes failure classification according to MIL-HDBK-781A and how it may be used to promote and develop internal processes. A commentary on the background to reliability/availability specification is provided and a number of recommendations for monitoring reliability and availability are given

Maintenance/repair and production-oriented life cycle cost/earning model for ship structural optimisation during conceptual design stage

The aim of this paper is to investigate the effect of the change in structural weight due to optimisation experiments on life cycle cost and earning elements using the life cycle cost/earning model, which was developed for structure optimisation. The relation between structural variables and relevant cost/earning elements are explored and discussed in detail. The developed model is restricted to the relevant life cycle cost and earning elements, namely production cost, periodic maintenance cost, fuel oil cost, operational earning and dismantling earning. Therefore it is important to emphasise here that the cost/earning figure calculated through the developed methodology will not be a full life cycle cost/earning value for a subject vessel, but will be the relevant life cycle cost/earning value. As one of the main focuses of this paper is the maintenance/repair issue, the data was collected from a number of ship operators and was solely used for the purpose of regression analysis. An illustrative example for a chemical tanker is provided to show the applicability of the proposed approac

A discounted model for a repairable system with continuous state space

We examine repairable systems with a continous state space and partial repair options, carried out at fixed times $n=1,2,...$. Every time interval $[n,n+1)$ there is a manufacturing cost and a repair cost. These cost functions are not restricted to the class of bounded functions in this study. Conditions are found under which a control-limit replacement policy minimizes the discounted cost. Hence these conditions guarantee that there is an optimal policy under the discounted cost criterion which does not use partial repairs. We explicitly explain how to derive this optimal policy

Determining the optimal moment for replacing equipment

In the present work I tried to reach two main objectives. The first consists in determining whether the theoretical methods regarding the ascertainment of the optimal moment of replacement can be used as tools in adopting a decision of replacement and upgrade of fixed mechanisms in a company. The second objective is to support those investors or managers who, having a technological professional educational background, do not have the possibility to finish studies in the economic field, with emphasis on the information and working techniques necessary for adopting and implementing a development investment decision. Many times the most efficient technical or high-performing solutions, proposed by engineers, do not provide the best solutions or financial effects, determined by economists. That is why there are often contradictions or even conflicts between the approach method and that of putting into practice the company’s activities, especially investments.Investments, development investments, fixed mechanisms, operating period, efficiency, optimal replacement moment, modernized plant, update coefficient.

A unified methodology of maintenance management for repairable systems based on optimal stopping theory

This dissertation focuses on the study of maintenance management for repairable systems based on optimal stopping theory. From reliability engineering’s point of view, all systems are subject to deterioration with age and usage. System deterioration can take various forms, including wear, fatigue, fracture, cracking, breaking, corrosion, erosion and instability, any of which may ultimately cause the system to fail to perform its required function. Consequently, controlling system deterioration through maintenance and thus controlling the risk of system failure becomes beneficial or even necessary. Decision makers constantly face two fundamental problems with respect to system maintenance. One is whether or when preventive maintenance should be performed in order to avoid costly failures. The other problem is how to make the choice among different maintenance actions in response to a system failure. The whole purpose of maintenance management is to keep the system in good working condition at a reasonably low cost, thus the tradeoff between cost and condition plays a central role in the study of maintenance management, which demands rigorous optimization. The agenda of this research is to develop a unified methodology for modeling and optimization of maintenance systems. A general modeling framework with six classifying criteria is to be developed to formulate and analyze a wide range of maintenance systems which include many existing models in the literature. A unified optimization procedure is developed based on optimal stopping, semi-martingale, and lambda-maximization techniques to solve these models contained in the framework. A comprehensive model is proposed and solved in this general framework using the developed procedure which incorporates many other models as special cases. Policy comparison and policy optimality are studied to offer further insights. Along the theoretical development, numerical examples are provided to illustrate the applicability of the methodology. The main contribution of this research is that the unified modeling framework and systematic optimization procedure structurize the pool of models and policies, weed out non-optimal policies, and establish a theoretical foundation for further development

THEORETICAL AND EMPIRICAL PROBLEMS IN MODELING OPTIMAL REPLACEMENT OF FARM MACHINES

Farm Management,

Optimal seismic upgrade timing in seaports with increasing throughput demand via real options

A real options (RO) formulation is proposed for decision-making on the timing to upgrade the seismic performance of existing seaports with increasing throughput demand in earthquake prone areas. The pay-off of the seismic upgrade investment option is estimated based on projected net earnings, repair cost, and downtime for a damaging reference seismic event having a pre-specified annual probability of occurrence. These projections inform a discrete-time RO binomial tree, following the American option valuation framework, which propagates the probability of the reference seismic event assuming Poisson temporal distribution of earthquake occurrence. The net present value of the expected annual payoff of the considered investment is used as an index supporting risk-informed decision-making discounted by the weighted average cost of capital (WACC). Numerical examples pertaining to decision makers with different capital cost, namely port authorities and terminal operators, operating in different economic environments typical of developed and developing countries are furnished to illustrate the applicability of the proposed RO formulation. It is found that high WACC and/or low throughput growth bring the optimal seismic upgrade timing forward, while earthquake consequences and upgrade cost have almost no influence on this timing

Integrating optimisation, priority setting, planning and combining of maintenance activities

In this paper we present an integration of optimisation, priority setting, planning and combining of maintenance activities. We use a framework which covers several optimisation models, like the block replacement, a minima