AIAG has collaborated with the Original Equipment Suppliers Association (OESA) to release the fourth edition of the CQI-14 Automotive Warranty Management: A Guideline for Industry Best Practices. The goal of this new edition is warranty improvement collaboratively and continuously through best practices, standardization, recommended tools, and a root cause identification culture.
Warranty management is important because consumer satisfaction and value are the real long-term drivers of individual company performance. When a consumer experiences difficulty with their vehicle, that experience impacts the consumer’s satisfaction with not only the vehicle but also the selling and/or servicing dealership and vehicle manufacturer. In some cases, the reputation of the supplier is also at stake. Consequently, the reduction of field warranty claims is critical to improving consumer satisfaction, as measured by the short-term initial quality and long-term vehicle durability and reliability.
As the industry continues to globalize its vehicle production and component-sourcing footprint, however, warranty terms continue to become more complex and comprehensive. It also becomes increasingly important to have the ability to prevent — or quickly and effectively resolve — warranty issues so there is no recurrence in the same or future models.
The fourth edition of the Automotive Warranty Management: A Guideline for Industry Best Practices (CQI-14) publication is designed to promote advances in consumer satisfaction and continuous warranty improvement by providing a recommended, robust warranty management program that instills a consumer-centric approach to warranty management by focusing on incident rate reduction.
In short, the new warranty management guideline has been revised to simplify the assessment and eliminate redundancies. It also includes references to current technologies being used in the automotive industry today – including software change management, vehicle telematics, and advanced analytics – along with steps partner organizations can take to proactively reduce warranty incident rates and risks associated with warranty events.
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