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Warranty return policies for products with unknown claim causes and their optimisation

Wu, Shaomin (2014) Warranty return policies for products with unknown claim causes and their optimisation. International Journal of Production Economics, 156 . pp. 52-61. ISSN 0925-5273. (doi:10.1016/j.ijpe.2014.05.016) (KAR id:41189)

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Abstract

In practical warranty services management, faults may not always be found in claimed items by warranty service agents, which is the well-known no-fault found phenomenon (for example, caused by a loose connection between parts, or simply human error). This phenomenon can contribute more than 40% of reported service faults in electronic products and it can be due to faults of manufacturers or product users. Little research, however, considers this phenomenon in warranty management since faults are normally assumed to be found in the claimed items. On the basis of different levels of testing, this paper proposes three warranty return policies, which decide whether new items should be sent to warranty claimants or not. It then derives and compares the expected costs of the policies, and obtains the optimal warranty periods under supply chain environments. The paper illustrates the results with artificially generated data.

Item Type: Article
DOI/Identification number: 10.1016/j.ijpe.2014.05.016
Subjects: H Social Sciences > HA Statistics > HA33 Management Science
Divisions: Divisions > Kent Business School - Division > Kent Business School (do not use)
Depositing User: Shaomin Wu
Date Deposited: 27 May 2014 17:35 UTC
Last Modified: 16 Feb 2021 12:53 UTC
Resource URI: https://kar.kent.ac.uk/id/eprint/41189 (The current URI for this page, for reference purposes)
Wu, Shaomin: https://orcid.org/0000-0001-9786-3213
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