A BAYESIAN APPROACH TO THE OPTIMAL WARRANTY LENGTH FOR PARETO DISTRIBUTED PRODUCT WITH THE GENERAL PROGRESSIVE TYPE-II CENSORING SCHEME
Journal Title: International Journal for Quality Research - Year 2019, Vol 13, Issue 3
Abstract
The object of the study is to determine the optimal warranty length under free replacement warranty (FRW), pro rata warranty (PRW) and combined warranty policies and the most beneficial warranty scheme to the producer for the product having Pareto life time distribution. A Bayesian approach is used to determine the optimal warranty length based on the general progressive type-II censored data. The optimal warranty is obtained by maximizing the expected utility of the product. A numerical data is presented to exemplify the theory. A simulation study is carried out to check the effect of the hyper parameters on the optimal warranty length and the optimal value of expected utility. From our study we observed that the combined policy gives maximum utility followed by PRW and then by FRW for any choice of the prior parameters. Hence we suggest the producer to adopt the combined policy for such a product.
Authors and Affiliations
Divya T. Patel, Manharlal N. Patel
Keywords
Related Articles
- EP ID EP627894
- DOI 10.24874/IJQR13.03-04
- Views 84
- Downloads 0
IMPROVEMENTS IN WOOD THERMOPLASTIC MATRIX COMPOSITE MATERIALS PROPERTIES BY PHYSICAL AND CHEMICAL TREATMENTS
This paper presents a short overview of the developments made in the field of wood thermoplastic composites in terms of surface treatment, flammability, matrix/reinforcement model, properties and application of recycled...
PRACTICES IN ENTREPRENEURSHIP EDUCATION IN SOUTH EAST EUROPE AND RUSSIA
The REBUS project emerged in countries where the younger generations are reluctant to engage in private business and entrepreneurship, preferring "safe" employment at the public (state owned) enterprises. Their awareness...
GENERIC QUALITY STANDARDS VS. SPECIFIC QUALITY STANDARDS: THE CASE OF HIGHER EDUCATION
Quality as a new requirement for the field of higher education leads institutions to seek to satisfy generic or specific quality standards imposed directly or indirectly by its customers. The aim of this study is to comp...
THE LEVEL OF CUSTOMER SATISFACTION AS ONE OF THE GOALS OF THE QUALITY OF THE ORGANIZATION IN THE BAKERY INDUSTRY
The original definition of consumption (from Latin "consumer") that is closely related to the notion of consumer, related to the taking of foodconsuming. This paper describes an original methodology of measuring customer...
SIX SIGMA-BASED X-BAR CONTROL CHART FOR CONTINUOUS QUALITY IMPROVEMENT
Introduced by Shewhart, the traditional variable control chart for mean (X-bar Chart) is an effective tool for controlling and monitoring processes. Notwithstanding, the main disadvantage of X-bar chart is that the popul...