Case Study 1: Analysis of Air Conditioner Claims Data
The first 18 months of warranty claims data on twenty components of a room air conditioner unit covered under a free-replacement warranty are analyzed. Analyses include preliminary data cleaning and outlier detection, data summary and description, histograms, and Pareto charts to identify most frequently failing components and failure modes, and to select data sets for further analysis. Detailed analyses applied to the selected data include analysis of variance, goodness-of-fit tests for model selection, and nonparametric methods. Time to failure at the component and product level are modeled and the results and used to estimate product reliability, predict future costs and compare alternative warranty policies.
KeywordsFailure Mode Claim Data Warranty Period Pareto Chart Compete Risk Model
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