A proof of optimality for age replacement policies

Source abstract

A well-known maintenance procedure for stochastically failing units is the age replacement policy (ARP). Under the ARP a unit is replaced on failure, or when it reaches a predetermined critical age. In previous papers concerned with this procedure the authors searched for the optimal critical age to minimize the objective function under discussion. The purpose of this paper is to prove that the ARP itself is the optimal decision rule amongst all reasonable policies.