Title of article
Learning effects on maintenance outsourcing
Author/Authors
Hakan Tarakci، نويسنده , , Kwei Tang، نويسنده , , Sunantha Teyarachakul، نويسنده ,
Issue Information
روزنامه با شماره پیاپی سال 2009
Pages
13
From page
138
To page
150
Abstract
The objective of this paper is to study learning effects on maintenance outsourcing. We consider a situation in which a manufacturer offers a short-term outsourcing contract to an external contractor who is responsible for scheduling and performing preventive maintenance and carrying out minimal repairs when the process fails. The manufacturer’s payment to the contractor consists of a fixed amount along with cost subsidization for each maintenance operation performed. We assume learning occurs when the contractor performs preventive maintenance that reduces both time and cost. Two types of learning are considered: natural learning and learning by costly efforts. We demonstrate that a well-designed payment scheme can induce the contractor to adopt the maintenance schedule that maximizes the manufacturer’s profit.
Keywords
Maintenance outsourcing , Learning , Cost subsidization
Journal title
European Journal of Operational Research
Serial Year
2009
Journal title
European Journal of Operational Research
Record number
1313320
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