FOCUS: Customer Service/Warranty process Improvement.
The Customer Service/Warranty claims process in a Machining, Tooling and Assembly organization was too cumbersome and costly. This was causing unnecessary cost to be incurred by the organization, but even worse it was creating an unsatisfactory experience for their customers.
A Lean Six Sigma improvement team was commissioned to look at the Customer Service/Warranty problem, map out the existing process and recommend changes. They quickly identified factors that made the process cumbersome and costly. Using PF/CE/CNX/SOP process, graphical tools and data collection, the team determined that various changes to the Customer Service/Warranty process should be implemented. The key changes made included:
- A new streamline process was created which permitted better tracking of supplier-related warranty costs
- Critical SOPs (Standard Operating Procedures) were developed
- PF/CE/CNX/SOP was instituted as a core improvement methodology
As a result of the process improvements, the company realized over $100,000 in annualized ROI (Return On Investment).
* Due to nondisclosure agreements, the organization referenced in this example cannot be disclosed.