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Cost Models for One-Dimensional Warranties

In: Warranty Data Collection and Analysis

Author

Listed:
  • Wallace R. Blischke
  • M. Rezaul Karim

    (Rajshahi University)

  • D. N. Prabhakar Murthy

    (The University of Queensland)

Abstract

When a manufacturer offers a warranty, all legitimate claims under warranty must be serviced. The number of claims that might be expected depends on the reliability of the product. Servicing of the claims results in additional costs to the manufacturer. There are several notions of warranty costs, each of which leads to a distinct cost model. In this chapter we focus on models for prediction of warranty costs as a function of product reliability for various one-dimensional warranties. These models play a critical role in warranty management.

Suggested Citation

  • Wallace R. Blischke & M. Rezaul Karim & D. N. Prabhakar Murthy, 2011. "Cost Models for One-Dimensional Warranties," Springer Series in Reliability Engineering, in: Warranty Data Collection and Analysis, chapter 0, pages 113-135, Springer.
    • Handle: RePEc:spr:ssrchp:978-0-85729-647-4_6
    DOI: 10.1007/978-0-85729-647-4_6
    as

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