Taxonomy of factors for lifetime buy

Connor Jennings, Janis P. Terpenny

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

As products become more electronically complex and component lifecycles are shortened due to rapidly changing technologies, obsolescence management has become a challenging problem associated with sustainable products. One of the most common strategies to manage obsolescence is to purchase enough components to sustain the product over its life in operation. This strategy is known as lifetime buy. Purchasing components for the life of a product depends on satisfying demand, as well as maintaining the product in the context of its use within larger complex products or systems. Firms must also consider manufacturing systems and support systems that were built for the product. Component loss due to damage or expiration in storage and scrap during manufacturing also contribute to lifetime buy quantities. Product support systems, such as warranties and product replacement programs, can consume a portion of lifetime buy reserves and lead to unsatisfied demand from customers. This paper takes on optimizing lifetime buy decisions by investigating the myriad of factors impacting total costs. A taxonomy is put forward that provides the basis for a comprehensive decision support tool, capable of assisting lifetime buy quantity decisions over the product lifecycle.

Original languageEnglish (US)
Title of host publicationIIE Annual Conference and Expo 2015
PublisherInstitute of Industrial Engineers
Pages430-436
Number of pages7
ISBN (Electronic)9780983762447
StatePublished - Jan 1 2015
EventIIE Annual Conference and Expo 2015 - Nashville, United States
Duration: May 30 2015Jun 2 2015

Publication series

NameIIE Annual Conference and Expo 2015

Other

OtherIIE Annual Conference and Expo 2015
CountryUnited States
CityNashville
Period5/30/156/2/15

Fingerprint

Obsolescence
Taxonomies
Purchasing
Costs

All Science Journal Classification (ASJC) codes

  • Control and Systems Engineering
  • Industrial and Manufacturing Engineering

Cite this

Jennings, C., & Terpenny, J. P. (2015). Taxonomy of factors for lifetime buy. In IIE Annual Conference and Expo 2015 (pp. 430-436). (IIE Annual Conference and Expo 2015). Institute of Industrial Engineers.
Jennings, Connor ; Terpenny, Janis P. / Taxonomy of factors for lifetime buy. IIE Annual Conference and Expo 2015. Institute of Industrial Engineers, 2015. pp. 430-436 (IIE Annual Conference and Expo 2015).
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Jennings, C & Terpenny, JP 2015, Taxonomy of factors for lifetime buy. in IIE Annual Conference and Expo 2015. IIE Annual Conference and Expo 2015, Institute of Industrial Engineers, pp. 430-436, IIE Annual Conference and Expo 2015, Nashville, United States, 5/30/15.

Taxonomy of factors for lifetime buy. / Jennings, Connor; Terpenny, Janis P.

IIE Annual Conference and Expo 2015. Institute of Industrial Engineers, 2015. p. 430-436 (IIE Annual Conference and Expo 2015).

Research output: Chapter in Book/Report/Conference proceedingConference contribution

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Jennings C, Terpenny JP. Taxonomy of factors for lifetime buy. In IIE Annual Conference and Expo 2015. Institute of Industrial Engineers. 2015. p. 430-436. (IIE Annual Conference and Expo 2015).