Subject: WCRS – Warranty Cost Reduction System

Customer: OEM / Automotive

Project Definition

A global operating Automotive OEM engaged RLE to reduce the constantly increasing warranty costs and therewith to enhance the concern’s profit. The only customers’ restriction was to focus on components out of the monthly ‘Top 100 warranty reports’.

All brand names, product names and abbreviations are the property of their respective companies.

The extensive analysis of the system environment, performance indicators, business processes and the Top components of in-house ratings was followed up by the RLE consultants developing an approach based on a target-field-principle (see Pic 1)

To ensure a continuous and sustainable reduction of warranty costs RLE developed a process covering the three layers system, process and components (see Pic 2)


RLE could cover all fields of the investigation due to competencies available in the company (engineering, IT and business process consulting).

The reduction of warranty costs exceeded the project budget by the factor of five already in the first year. In addition by handing over the WCRS process documentation the customer has been enabled to identify further potentials on its own.