VALUE OF INFORMATION IN CONDITION BASED MAINTENANCE USING PROPORTIONAL HAZARDS MODELS: A COMPARISON OF MAINTENANCE STRATEGIES
In this study, a comparison of equipment maintenance strategies’ cost behaviour is performed under different assumptions regarding equipment failure behaviour, availability of condition monitoring data, and its accuracy. Each strategy uses certain level of available information to support decision making in maintenance. Information such as observed state of equipment, actual state of equipment, state transition behaviour, and failure data are used. Long-run average costs of the maintenance strategies are calculated for different sets of system parameters. The value of information is obtained by comparing the long-run average costs of the maintenance strategies while taking into account the time value of money. The significance of this study is that it shows the value of various sorts of information from equipment, which can be compared to the cost of obtaining those information to magnify the financial profit of choosing the proper strategy.