Spare parts ordering decisions using age based, block based and condition based replacement policies. (2021) - Ramaganesh, M.
Abstract: In the field of spare parts preparation, various models have been proposed to find the optimal order quantity for spare parts and optimal order interval. Although previous studies have concentrated primarily on classical cost targets on preparing replacement parts that do not take into account the actual deterioration state of the equipment. By combining age-based replacement, block-based replacement and condition-based replacement policies, this paper provides a multi-objective model for spare parts optimization. Spare parts which are having shorter life time, larger number of identical items and low cost items are categorized under block based replacement policy, replacement of all items will be done with fixed time interval. Spare parts which are critical are categorized in condition based replacement method, for those critical equipment remaining useful life (RUL) (i.e. Decision variable) is determined to find the actual degradation state level. Spare parts which are non-critical & having longer life time are categorized under age based replacement method; replacement will be done at its age or failure, whichever occurs first. By taking case studies in the pharmacy industry, the model and technique are demonstrated by a numerical illustration.