This chapter develops threshold-type control policies for the supply chains with preventive maintenance decisions presented in Chap. 5. For the joint raw material ordering, production, and preventive maintenance control problem, we present four types of threshold policies and test their performance in comparison with the optimal policy. For the failure-prone manufacturing supply chain without raw material ordering process, extensive analytical results are obtained, including the explicit form of the stationary distribution of the system state, which is then used to produce the formula for various steady-state performance measures. The optimal threshold values can then be obtained by optimizing the relevant formula. Numerical examples demonstrate that the proposed threshold policy is indeed optimal or extremely close to the optimal policy in a range of scenarios.
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