This book examines contractual options for a performance based contract between an owner of a revenue generating unit and a repair agent for such unit. The framework of the analysis is that of economists' principal-agent problem. The contractual options of a principal and an agent are modeled as...

Traditional sourcing arrangements for after-sales product support have centered around physical assets. Typically, a customer would pay the supplier of maintenance services in proportion to the resources used, such as spare parts, that are needed to maintain the product. In recent years, we have...

Using a proprietary dataset provided by a major manufacturer of aircraft engines, we empirically investigate how product reliability is impacted by use of two different types of after-sales maintenance support contracts: time and material contracts (T&MC) and performance-based contracts (PBC)....