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Making decisions on preventive maintenance (PM) policy and buffer sizing, as is often studied, may not result in overall optimization. The purpose of this paper is to propose a joint model that integrates PM and buffer sizing with consideration of quality loss for a degenerating system, which aims to minimize the average operation cost for a finite horizon. The opportunistic maintenance (OM) policy which could increase the output and decrease the cost of the system is also explored.

A joint PM and buffer size model considering quality loss is proposed. In this model, the time-based PM and the condition-based PM are taken on the upstream and the downstream machine, respectively. Further, the OM policy based on the theory of constraints (TOC) is also considered. An iterative search algorithm with Monte Carlo is developed to solve the non-linear model. A case study is conducted to illustrate the performance of the proposed PM policies.

The superiority of the proposed integrated policies compared with the separate PM policy is demonstrated. Effects of the policies are testified. The advantages of the proposed TOC-based OM policy is highlighted in terms of low-cost and high-output.

Few studies have been carried out to integrate decisions on PM and buffer size when taking the quality loss into consideration for degenerating systems. Most PM models treat machines equally ignoring the various roles of them. A more comprehensive and integrated model based on TOC is proposed, accompanied by an iterative search algorithm with Monte Carlo for solving it. An OM policy to further improve the performance of system is also presented.