Solve the problem using Markov process: A business is rethinking how it replaces car parts on its truck fleet. Currently
Posted: Wed Mar 30, 2022 3:45 pm
Solve the problem using Markov process:
A business is rethinking how it replaces car parts on its truck
fleet. Currently, automotive parts are classified as being in one
of four states upon inspection:
If the company decides to replace a car part during the
examination, each auto part will cost €30 in labor. If the car part
fails while in operation, however, the car part is projected
to cost €50 to replace. The following transition matrix applies
between one inspection and the next, based on previous
inspections.
State
1
2
3
4
1
0
0.9
0.1
0
State
2
0
0.6
0.3
0.1
3
0
0
0.7
0.3
The current policy is only replacing the car parts when they are
in State 4. Should the company adopt a policy of replacing all car
parts found in State 3 or worse on inspection?
A business is rethinking how it replaces car parts on its truck
fleet. Currently, automotive parts are classified as being in one
of four states upon inspection:
If the company decides to replace a car part during the
examination, each auto part will cost €30 in labor. If the car part
fails while in operation, however, the car part is projected
to cost €50 to replace. The following transition matrix applies
between one inspection and the next, based on previous
inspections.
State
1
2
3
4
1
0
0.9
0.1
0
State
2
0
0.6
0.3
0.1
3
0
0
0.7
0.3
The current policy is only replacing the car parts when they are
in State 4. Should the company adopt a policy of replacing all car
parts found in State 3 or worse on inspection?