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Factor copula modeling of coherent systems with dependent components

Many reliability models of systems with dependent components have been developed in order to assess the reliability of such systems. In particular, a copula that can build various multivariate distributions is used to model the dependence. How-ever, most of the copulas such as Archimedean copulas consist of only one parameter expressing the dependence. Hence, the reliability model based on the copulas cannot flexibly design the dependence among multi-component. In this study, we propose a new reliability model that can represent coherent systems with n dependent components with flexibility based on factor copulas. More specifically, the proposed model of an n-component system has at least n parameters for expressing the dependence. Simple examples illustrate the use of the model. This study contributes to reliability analysis under dependent failure occurrence.