Production managers face the growing trend of rapid-response orders and inevitable production defects and failures; they must carefully measure these factors’ effects to minimize operating expenditures and operational disruption. Inspired by assisting producers decide the optimal runtime policy under these real situations, this work investigates the collective impact of rework, expedited-rate, external source, and machine failures on such a specific fabrication system. A partial outsourcing and expedited manufacturing rate are considered in the studied system to reduce the batch fabricating time. Additionally, defects rework and repair failure machines are implemented to retain the quality and avoid production disruption. Our research scheme consists of (1) developing a model for the mentioned manufacturing characteristics; and (2) analytical and optimization techniques for deciding the best batch runtime decision by minimizing the system’s overall expenses. Lastly, we provide numerical examples to demonstrate the model’s applicability and disclose important, in-depth characteristics that facilitate managerial decision-making.