Risk Management Associated with Weapon System Warranties and Component Breakout
Abstract
The objective of this research was to investigate the relationship between component breakout and warranty cover-age. To accomplish this objective a review of the literature of these two areas was completed. After this review, unstructured interviews were conducted with several experts in the fields of component breakout and warranties. These experts identified eight factors which influence warranty costs. Data for these factors was obtained from the Recoverable Consumption Item Requirement Computation System (DO41) and from data base fourteen of the INFOCEN system. These warranty cost factors were analyzed with the intention of relating these factors back to component breakout. This analysis was made using regression analysis. The statistical package SAS was used as the primary tool for the regression analysis. The regression analysis used repair and acquisition costs as the dependent variables to be modeled. The regression analysis on these eight factors resulted in a model which included only acquisition costs. This analytical model was tested and found inadequate. To improve the aptness of the model, transformations of the acquisition costs were done. The model produced from these transformations used the square root of the acquisition costs. The new model increased the aptness, but the normal distribution was still not the correct distribution to use for cost data. Therefore, one of the recommendations was to model the data with a statistical distribution other than normal. Another of the recommendations was to investigate the data collected on warranty repair costs. Theses.
Document Details
- Document Type
- Technical Report
- Publication Date
- Sep 01, 1988
- Accession Number
- ADA201468
Entities
People
- Raymond B. Zaun
Organizations
- Air Force Institute of Technology