| Abstract: | The paper generalizes a replacement schedule optimization problem to multi‐state systems, where the system and its components have a range of performance levels—from perfect functioning to complete failure. The multi‐state system reliability is defined as the ability to satisfy a demand which is represented as a required system performance level. The reliability of system elements is characterized by their lifetime distributions with hazard rates increasing in time and is specified as expected number of failures during different time intervals. The optimal number of element replacements during the study period is defined as that which provides the desired level of the system reliability by minimum sum of maintenance cost and cost of unsupplied demand caused by failures. To evaluate multi‐state system reliability, a universal generating function technique is applied. A genetic algorithm (GA) is used as an optimization technique. Examples of the optimal replacement schedule determination are demonstrated. Copyright © 2000 John Wiley & Sons, Ltd. |
