IDC Manufacturing Insights unveils Warranty Management Maturity Model

New framework is designed to reduce costs, assess capabilities and initiate continuous improvement process
By Modern Materials Handling Staff
September 21, 2010 - MMH Editorial

IDC Manufacturing Insights’ product lifecycle strategies practice has unveiled an initiative to develop a Warranty Management Maturity Model, a proposed standard framework for companies to assess the maturity and capabilities of their warranty organization, benchmark against peers, and initiate a continuous improvement process. The first of its kind, this framework will provide manufacturers with standard language, metrics, maturity stages, and a basis for the best practices and technologies that improve performance and accelerate business transformation.

Technology and engineering oriented manufacturers will benefit greatly from this new model as, according to IDC research, these organizations spend an average of 2-4% of revenues on warranty.

“Warranty management is an area of great opportunity for cost reduction in the discrete industry,” said Sheila Brennan, Product Lifecycle Strategies program manager for IDC Manufacturing Insights. “Until now, there was no way for organizations to independently assess their ‘as-is’ state of warranty and determine their roadmap for incrementally moving forward.  Standardization will provide a basis for a higher level of collaboration, resulting in streamlined operations and increased business decision agility.”

IDC Manufacturing Insights is working with key members of the Institute of Warranty Chain Management (iWCM), Warranty Week, and industry representatives to vet out the initial model. Other organizations, including OESA and AIAG, are supporting this initiative. Following the development of the model, IDC will launch a large industry assessment survey through Warranty Week (http://www.warrantyweek.com) that will be open to product quality and warranty executives worldwide starting at the end of September.  The framework and study results will be presented at the Warranty Chain Management Conference in March 2011 in San Diego.

Once finalized, IDC Manufacturing Insights will release ownership of the model to the iWCM and its members for future maintenance. This will allow the iWCM to develop training courses, practitioner certifications and other mechanisms to support the advancement of the global warranty management profession, its mission since formation in 2006.



Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

FedEx Ground, a subsidiary of FedEx Corporation, reports today that a decision by a three-judge panel of the United States Court of Appeals for the Ninth Circuit reversed previous rulings by the District Court for the Northern District of Indiana in three class action cases involving mostly former independent contractors for FedEx Ground

More talking remains before the deal is done

The transpacific U.S.-flag carrier has been ranked number one in the ocean carrier category for Logistics Management magazine's Quest for Quality award

This year, the Containerization & Intermodal Institute (CII) will be staging the “Connie” Awards dinner in conjunction with IANA’s Intermodal EXPO in Long Beach

Middlemen comprising the Transportation Intermediaries Association made money last quarter, say researchers.

About the Author

Bob Heaney is a seasoned professional with over 25 years of distinguished leadership experience in research, analysis, and advisory roles in Supply Chain Engineering. Heaney’s coverage area within Aberdeen includes various elements of Supply Chain Execution (Transportation Management, Warehouse Management, Distributed Order Management and Supply Chain Visibility). Contact Bob Heaney

Comments

Post a comment
Commenting is not available in this channel entry.