Unexpected failures of safety‐critical systems during mission execution are not desirable in that they often result in severe safety hazards and significant financial losses. Prompt mission abort based on real‐time degradation data is an effective means to prevent such failures and enhance system safety. In this study, we focus on safety‐critical systems that experience cumulative shock degradation and fails when the degradation exceeds a failure threshold. Real‐time degradation measurements are obtained via sensor monitoring, which are stochastically related to the hidden degradation parameters that vary across components. We formulate the optimal mission risk control problem as a sequential abort decision‐making problem that integrates adaptive parameter learning, following which a dynamic Bayesian learning approach is exploited to sequentially infer the uncertain degradation parameters by utilizing real‐time sensor data. The problem is constituted as a finite horizon Markov decision process to minimize the expected costs associated with inspections, mission failures and system failures. We derive a series of structural properties of the value function and demonstrate the existence of optimal abort thresholds. In particular, we establish that the optimal policy follows a state‐dependent control limit policy. Additionally, we study the existence and monotonicity of control limits associated with both the number of inspections and degradation severities. We demonstrate the performance of the proposed risk management policy through comparative experiments that show substantial superiorities over risk‐induced loss control.
