• Journal of Integrative Natural Science
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• v.17 no.2
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• pp.43-51
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• 2024

Jung et al.(2015) suggest the two-phase warranty model, which is a general type of warranty model. Under the two-phase warranty, the warranty period is divided into two intervals, one of which is for renewing replacement warranty, and the other is for minimal repair warranty. And warranty policies play a very important role in product marketing. In this paper, we suggest the optimal warranty policy for free extended two-phase warranty. To determine the optimal warranty period, we adopt the expected profit per unit product. So, the expressions for the total expected cost, the sale price and the expected profit per unit product from the manufacturer's point of view are derived. Also, we discuss the optimal warranty period and the numerical examples are provided to illustrate the proposed the warranty policy.

• Journal of Korean Institute of Industrial Engineers
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• v.36 no.2
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• pp.108-116
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• 2010

The maintenance of a deteriorating system is often imperfect. Previous studies have shown that the imperfect preventive maintenance (PM) can reduce the wear out and aging effects of deteriorating systems to a certain level between the conditions of as good as new and as bad as old. In this paper, we employ the concept of the improvement factor in investigating two optimal PM policies; failure limit policy and periodic PM policy. We redefine the improvement factor model as a function of the cost of PM, using this concept, we derive the conditions of optimal PM policies and formulate expressions to compute the expected cost rate. Based on this information, the determination of the maintenance policies which minimize the cost rate is examined. Numerical examples for the Weibull distribution case are also given.

• East Asian mathematical journal
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• v.24 no.1
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• pp.45-55
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• 2008

We consider an M/G/1 queue with $P^M_{\lambda}$-service policy, which is a two-stage service policy. The server starts to serve with rate 1 if a job arrives to the sever in idle state. If the workload of the system upcrosses $\lambda$, then the service rate is changed to M and this rate continues until the system is empty. It costs to change the service rate to M and maintaining the rate. When the expectation of the stationary workload is supposed to be less than a given value, we derive the optimal value of M.

• Management Science and Financial Engineering
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• v.15 no.1
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• pp.33-49
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• 2009

We examine the effectiveness of the conventional (Q, r) model in managing production-inventory systems with finite capacity, stochastic demand, and stochastic order processing times. We show that, for systems with finite production capacity, order replenishment lead times are highly sensitive to loading and order quantity. Consequently, the choice of optimal order quantity and optimal reorder point can vary significantly from those obtained under the usual assumption of a load-independent lead time. More importantly, we show that for a given (Q, r) policy the conventional model can grossly under or over-estimate the actual cost of the policy. In cases where a setup time is associated with placing a production order, we show that the optimal (Q, r) policy derived from the conventional model can, in fact, be infeasible.

• Journal of the Korea Safety Management & Science
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• v.6 no.1
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• pp.61-70
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• 2004

In this paper, a group replacement policy based on a failure count is analysed. For a group of identical repairable units, a maintenance policy is performed with two phase considerations: a repair interval phase and a waiting interval phase. Each unit undergoes minimal repair at failure during the repair interval. Beyond the interval, no repair is made until a number of failures. The expected cost rate expressions under the policy is derived. A method to obtain the optimal values of decision variables are explored. Numerical examples are given to demonstrate the results.

• Journal of the military operations research society of Korea
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• v.17 no.1
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• pp.61-83
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• 1991

There has been a great deal of research dealing with the optimal replacement of stochastically deteriorating equipment and research in queueing systems with a finite calling population. However. there has been a lack of research which combines these two areas to deal with optimal replacement for a fixed number of machines and a limited number of repairmen. In this research, an optimal control policy for replacement involving two machines and one repairman is developed by investigating a class of age replacement policies in the context of controlling a G/M/1 queueing system with a finite calling population. The control policy to be imposed on this problem is an age-dependent control policy, described by the control limit $t^{\ast}$. The control limit is operational only when the repairman is idle; that is. if both machines are working, as soon as a machine reaches the age $t^{\ast}$ it is taken out of service for replacememt. We obtain the ${\epsilon}$-optimal control age which will minimize the long-run average system cost. An algorithm is developed that is applicable to general failure time distributions and cost functions. The algorithm does not require the condition of unimodality for implementation.

• International Area Studies Review
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• v.15 no.1
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• pp.59-86
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• 2011

This paper examines a country's strategic optimal tariff policy against a foreign firm with market power. That is, the purpose of the paper is, under asymmetric information, to reexamine the problem of optimal tariff policy against a foreign monopolist from another country's welfare standpoint. This is to extend the analysis of Brander and Spencer(1984) which is both analytic and elaborate. The incentive compatible tariff schedule is derived, and then policy implications are investigated. The main result is that, under incomplete information, the optimal tariff is elevated above its full-information counterpart in order to capture foreign rents. Moreover, it suggests that trade policies motivated by rent extraction are unlikely to be robust to the introduction of incomplete information. This research complements an existing literature on the strategic trade policy in terms of asymmetric information.

• Journal of Korean Institute of Industrial Engineers
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• v.26 no.2
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• pp.81-87
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• 2000

As for M/G/1 queueing system, we use various control policies, with which we can optimize the system. Up to now the most widely adopted policies are N-Policy, T-Policy, D-Policy, and so on. The existing researches are largely concerned to find an optimal operation condition or to optimize the system under single policy in M/G/1 system. There are, however, few literatures dealing with multiple control policies at once to enhance the flexibility of the model. In this study, we consider M/G/1 system adopting N-Policy and T-Policy simultaneously. If one of two conditions is satisfied, then, the server starts the service. We call this Min(N,T)-Policy. We find the probability distribution of the number of customers and mean waiting time in steady state and derive a cost function. Next, we seek the $N^*$, optimal threshold under various N values. Finally, we reveal the characteristics of cost function.

• KDI Journal of Economic Policy
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• v.13 no.4
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• pp.141-153
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• 1991

The optimal choice of the tax rate and the inflation rate framework is extended to yield relevant interpretations for the optimal fiscal and monetary policy regime in Korea. To study the relationship between the government budget and monetary growth in different environments of policy coordination, two models assuming different degrees of fiscal dominance are developed. By modelling differing institutional arrangements of the fiscal and the monetary authority from an optimal government finance viewpoint, we find the optimal relationship among some important fiscal and monetary variables. By testing the existence of the relationship empirically, we find the characteristics of the optimal policy-mix regime in Korea. The first model-the strong from of fiscal dominance-studies the optimal collection of seigniorage in a period-by-period optimization with standard assumptions on the income velocity of money, deriving a general testable result: the optimal inflation/tax rate ratio co-vary with the marginal revenue ratio. The second model-the weak form of fiscal dominance-studies an implication of the inflationary bias of discretionary monetary policy in the presence of fiscal side distortions. This model shows that the tax rate and the inflation rate can have a positive correlation. Empirical tests of the theoretical results are done for the Korean economy for 1972-1989 period. The test results show that the macroeconomic policy regime in Korea can be characterized by the strong form of fiscal dominance, implying the importance of the government budget in explaining money growth and inflation.

• Korean Business Review
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• v.6
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• pp.135-152
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• 1993

The optional market segmentation pricing policy for rooms of hotels are investigated under the assumption of a linear demand function, and for four different situations: (1) single price market, (2) optimal segmentation of the unused capacity of a single-price-maeket, (3) optimal segmantation for all rooms, and (4) opimal segmentation for infiltration from higher priced to adjacent lower priced segments. The purpose of tis study is th show that with proper pricing policy, it would be possible to increase profits considerably. Such a profit increase might be achived by market segmentation coupled with product differentiation, where the different market segments are identified, sperated, and in each segment a different price per room is called for. The different prices are determined based on the specific price elasticity typical for each market segment and the relavant costs. The pricing model implied in this study is based on basic economic pricing theory and optimization techniques. While somewhat complex in its mathmatical solution, it can be easily programmed for use by practitioners, avoiding the need to cope with the technical aspects of the solution. In section II-1, the optimal single-market Single-price policy is evaluated. The optimal strategy under the constraint that only the previously unutilized rooms are segmented is analysed in section II-2, while the optimal strategy without this constraint is determined in section II-3. In section II-4, the optimal market-segmentation pricing policy is derived for the case in which market seperation is allowed for all the rooms under the assumption of custtomer infiltration from each market segment to the adjacent lower priced segment Finally, some considerations relating to the practicality of the model as a decision support tool and the requirements for its implementation are discussed in section III.