Question: In an offshore facility, securing replacement is challenging Offshore installation manager wishes to maintain sufficient inventory of critical component (pump) to achieve 99% of reliability

In an offshore facility, securing replacement is challenging Offshore installation manager wishes to maintain sufficient inventory of critical component (pump) to achieve 99% of reliability of production operation. For simplicity purpose, consider time to failure of a pump is exponentially distributed with a failure rate of 0.00058/hr. There are 10 pumps operating at the offshore facility. How many spare pumps the facility management must maintain to achieve a 0.99 probability of replacing all failures in a given year? Assume continuous, round the clock production throughout the year

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