Optimum ordering policies with age-dependent minimal repair and two types of lead times

Abstract

Abstract Two ordering policies for a complex system with age-dependent minimal repair and two types of lead times are considered. Introducing costs due to ordering, repairs, shortage and holding, the expected cost per unit time is derived in the long run as a criterion of optimality and the optimum ordering policies found by minimizing that cost. We show that, under certain conditions, there exists a finite and unique optimum policy. Various special cases are discussed.