ABSTRACT

The modern approach to warranty cost reduction consists of four principles. The first principle is to save money by optimizing the productivity of your warranty claims processing area and the claims processing system. This obviously includes diagnosis, repair, or replacement, but it also includes logistics, testing and inspection, and packaging. Some general techniques for improving the productivity of all the activities involved in processing warranty claims are as follows:

• Streamline your warranty service operations as much as you can. • Do a kaizen improvement event on warranty service. • Lay out the warranty service workstations to minimize movement

and make them ergonomically efficient. • Properly equip your service department or schedule warranty ser-

vice use of production equipment on another shift. • Study the flow of materials and revise it so as to maximize efficiency. • Use good preservation and storage. • Maximize tool availability and minimize tool borrowing and misplacing. • Minimize paperwork and duplicated information on forms. Use

computer software to the greatest extent. • Design fixtures for minimal motion and ease of use.