Integrated Quality Inspection and Production Run Optimization for Imperfect Production Systems with Zero-Inflated Non-Homogeneous Poisson Deterioration

This study develops an integrated quality inspection and production optimization framework for an imperfect production system, where system deterioration follows a zero-inflated non-homogeneous Poisson process (ZI-NHPP) characterized by a power-law intensity function. Parameters are estimated from historical data using the Expectation-Maximization (EM) algorithm, with a zero-inflation parameter π modeling scenario where the system remains defect-free. Operating in either an in-control or out-of-control state, the system produces products with Weibull hazard rates, exhibiting higher failure rates in the out-of-control state. The proposed model integrates system status, defect rates, employee efficiency, and market demand to jointly optimize the number of conforming items inspected and the production run length, thereby minimizing total costs—including production, inspection, correction, inventory, and warranty expenses. Numerical analyses, supported by sensitivity studies, validate the effectiveness of this integrated approach in achieving cost-efficient quality control. This framework enhances quality assurance and production management, offering practical insights for manufacturing across diverse industries.