An efficient model formulation for level of repair analysis


Basten, R.J.I. and Schutten, J.M.J. and Heijden, M.C. van der (2009) An efficient model formulation for level of repair analysis. Annals of Operations Research, 172 (1). pp. 119-142. ISSN 0254-5330

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Abstract:Given a product design and a repair network, a level of repair analysis (LORA)
determines for each component in the product (1) whether it should be discarded or repaired
upon failure and (2) at which echelon in the repair network to do this. The objective of
the LORA is to minimize the total (variable and fixed) costs. We propose an IP model that
generalizes the existing models, based on cases that we have seen in practice. Analysis of
our model reveals that the integrality constraints on a large number of binary variables can
be relaxed without yielding a fractional solution. As a result, we are able to solve problem
instances of a realistic size in a couple of seconds on average. Furthermore, we suggest some
improvements to the LORA analysis in the current literature
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Faculty of Behavioural, Management and Social sciences (BMS)
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