Repair contract decision model through additive utility function

Abstract

A repair contract problem has been analysed. Each contract alternative implies in a specific cost of the contract and a commitment of repair time. The decision maker has to choose the best alternative, taking into account the consequences modelled through an additive utility function. These consequences consist of system performance and the cost of the contract. The system performance is represented by system interruption time. The solution corresponds to a contract which optimises the additive utility function. The paper presents formulation and derivations in order to find the solution. A numerical application of the decision model proposed is presented including a sensitivity analysis step.

Citation

Teixeira de Almeida, A. (2001), "Repair contract decision model through additive utility function", Journal of Quality in Maintenance Engineering, Vol. 7 No. 1, pp. 42-48. https://doi.org/10.1108/13552510110386883