Technical Note—Optimal Readjustment Intervals

Abstract

This note considers systems subject to stochastic initial runtime cost immediately after a renewal and a deterministically increasing operating cost rate thereafter. The problem of establishing the cost-optimal renewal rule is generally set up as a readjustment problem. Using renewal-theoretic results, the note formulates and solves the general readjustment problem for self-contained systems. In the case of a linear cost rate, it gives the complete solution.