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Warranty and Diagnostics The Key to Better Performance and Higher Profits. June 3, 2008. Jay Cappy Managing Director Technology Solutions. BearingPoint, Inc. 1676 International Drive McLean, Virginia 22102 www.bearingpoint.com. Tel: 502.777.5816 [email protected]. - PowerPoint PPT Presentation
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Warranty and DiagnosticsThe Key to Better Performance and Higher Profits
June 3, 2008
© 2008 BearingPoint, Inc. AWaCS 2
Key Contacts
Wayne RelyeaSenior Manager
Technology Solutions
BearingPoint, Inc.25 Independance Boulevard Warren, NJ 07059www.bearingpoint.com
Tel: [email protected]
Jay CappyManaging Director
Technology Solutions
BearingPoint, Inc.1676 International Drive McLean, Virginia 22102www.bearingpoint.com
Tel: [email protected]
© 2008 BearingPoint, Inc. AWaCS 3
Agenda
Objectives
Quality/Warranty Background
AWaCS
– Functionality
– Architecture
– Case Study
Q&A
© 2008 BearingPoint, Inc. AWaCS 4
Objectives
Provide fact based information on the capabilities of a deployed Warranty/Quality Early Warning System.
Describe and discuss the business issues driving the implementation of Early Warning Systems.
Discuss the system architecture and reporting capabilities of a deployed Early Warning System.
Review the proven results from a deployed Early Warning System implementation.
© 2008 BearingPoint, Inc. AWaCS 5
An Early Warning System can Reduce Warranty Costs and Improve Consumer Confidence
“Every day of reduction is a savings of $1M” AMR
Reduction in the Detection-to-Correction is Critical to Improved Performance
Today’s Mission – Customer Satisfaction:Improved Quality and Reduced Warranty Costs
Customers Demand Improvement in the Quality of the Products We Build
Quality Issues are Impacting Customer Satisfaction and Brand Loyalty
Warranty Costs Often Exceed Annual Profits
Competition is Increasing their Investments to Improve Quality
< 120 Days
Time
Co
st o
f W
arra
nty
180 - 220 Days
Not to ScaleTotal Warranty Cost
Cost Reduction
< 120 Days Warranty Claim are not sufficient to identify and
resolve quality issues
Early Warning Systems are needed to identify problems quickly
Diagnostic information provides the most optimal basis for Early Warning
Centralized access to Diagnostic Information facilitates quick Root Cause Analysis
© 2008 BearingPoint, Inc. AWaCS 6
Warranty Analysis is not Enough
What is needed is:
Access to Diagnostic Data as soon as possible after the product is serviced to allow for earlier issue identification
Access to Real-Time Diagnostic Results to detect fault events and proactively report the events
A single access point to the product build, quality, sales, warranty and diagnostic data for analysis and reporting.
Ability to Drill between Warranty and Diagnostic data.
Ability to Analyze Issues by Parts and Suppliers.
Ability to perform Text Mining on Technician and Customer Comments.
© 2008 BearingPoint, Inc. AWaCS 7
AWaCS capabilities reduce the "detection-to-correction" interval, thereby improving both initial and long term quality.
What is AWaCS? (Advanced Warranty Containment System)
AWaCS is a multidimensional web-based system which provides:
combined analysis capabilities using warranty claims and diagnostic information.
AWaCS supports:
the retrieval, integration, reporting and analysis of Production, Sales, Warranty and Diagnostic information.
intuitive, timely, and accurate analysis that is customized to an end user's approach to resolve field problems.
© 2008 BearingPoint, Inc. AWaCS 8
Master Tables Model Year Make & Model Line Series Families Plants Suppliers Parts
Dealers Labor Codes Engine Transmission DTCs PIDs Etc…
Data Warehouse
Input Data VIN Build Record As-Built Record Production Sales Warranty Claims Diagnostics Events Trace Parts Breakpoints
Data Base Server
FTP & ETLServer Application
ServerMappingServer
BI - ReportServer
Modules Warranty Sales Build Change Detection Part Management Fleet Management Regulatory Diagnostics Telematics Traceability(Over 400 Reports
and Templates)
E-Mail and Alerting
SystemAdministration
AWaCS Logical Architecture – Automotive Implementation
Global UserPortal
SupplierPortal
© 2008 BearingPoint, Inc. AWaCS 9
Effective Reporting Observations
Data in and of itself is not information Data is necessary, but not sufficient
Data without structure is overload
Data must be readily accessible to the general user community Report generation must be intuitive.
In general, users do not have Computer Science degrees, and cannot write SQL queries
System validation of user selections is critical to avoid invalid report requests, leading to invalid assessments
Data must be presented in a clear and concise manner to be useful Role based reporting is critical
Different levels of detail are required by different users
© 2008 BearingPoint, Inc. AWaCS 10
Intuitive and Targeted Reporting
Executives
Brand Managers Brand Quality Technical Assistance
Quality ManagersQuality Engineers
Program Quality Managers/Engineers Product Development Engineers Diagnostic Strategists; Engine & Transmission Verification Diagnostic Group Plant/Field Verification Engineers Hardware Technical Experts, Engine, Transmission, EI&S
Product Development EngineersService Operations
Dealerships Technical Assistance Center Warranty, Recalls
Suppliers
• Dashboards• Trends / Projections• Containment Tracking• Pareto Reports• Alerts• Exception Reporting• Ad Hoc Reports
© 2008 BearingPoint, Inc. AWaCS 11
Powertrain Dashboard
© 2008 BearingPoint, Inc. AWaCS 12
DTC Pareto Report
© 2008 BearingPoint, Inc. AWaCS 13
DTC Detail Report
© 2008 BearingPoint, Inc. AWaCS 14
PID Detail Report
© 2008 BearingPoint, Inc. AWaCS 15
Case Study: U.S. Automotive OEMQuality Information System
Client Situation:
A leading U.S. Automotive OEM needed to develop a system for identifying emerging quality issues quickly and focus root cause analysis efforts to resolve problems, improve performance and reduce warranty costs. The early identification of quality issues during development and initial production could reduce the population of recalls. The quality analysis system needed to consolidate vehicle build, sales, warranty and diagnostic data from multiple applications, with daily updates, to provide immediate analysis and visibility to emerging issues.
Client Benefits:
Provided analytics and analysis of issues by multiple vehicle, option, production and DTC attributes
Improved identification of emerging issues, safety problems and critical failures from weeks/months to days
Provided data to support product development to drive improvements in the quality and performance of the vehicles produced
Warranty Cost Avoidance estimated at $100M+ the first 6 months in use.
Chairman’s Global Award for Quality
© 2008 BearingPoint, Inc. AWaCS 16
AWaCS - “The Bottom Line”
Fine Tuning Warranty Systems and Processes is NOT ENOUGH
Manufacturer’s MUST Deploy An Early Warning System Leverage Meaningful Diagnostics Data
Drive Costs Out in Development and Initial Production
AWaCS Delivers a Unique Ability To Identify and Resolve Quality Issues EARLY Proven Cost Avoidance of $10M+ / Month
Improves and Protects Brand Image
Scalability Proven at a Very Large OEM
BearingPoint reduces the RISK of the Project Knowledge and Experience of the Architecture and the Solution
Quicker Implementation -- Lessons Learned
Internal vs External Development -- Skilled and Focused Resources
Build vs Buy -- A Packaged Solution does not exist. Built to meet your business needs.