Performance Based Logistics (PBL) concept has an aim to improve the system availability and it has been extensively researched
in the recent years. These researches showed that inventory level does not impact system availability as much as component reliability and repair time in repairable system operating under PBL contract. Based on that, in this paper, we propose a new stochastic model for determination of annual repair rate for critical aircraft components in such system in order to achieve desired
availability. The result obtained could be used for planning of base stock level and capacity of repair facilities.
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