Paola Nunez

written by Chris Cunnane with InterSystems   Automotive manufacturers have invested billions in digital transformation over the past two decades, achieving meaningful gains in production efficiency. Yet one area has stubbornly lagged behind: warranty cost performance. Despite advances aligned with Industry 4.0, warranty costs as a percentage of revenue have remained largely unchanged. This disconnect highlights a critical truth that while production has evolved, warranty operations have not kept pace. At the heart of the issue is a fundamental inefficiency: time. Specifically, the lag between when a warranty claim is submitted and when meaningful problem-solving begins. This delay not only drives up operational costs but also impacts customer satisfaction and brand perception.   The Hidden Complexity of Warranty Claims Warranty management is more than a back-office function. It is a complex, data-driven process involving multiple stakeholders, systems, and validation steps. Each claim requires verification of warranty coverage, assessment of the issue, and coordination across service providers, suppliers, and internal teams. Much of this process remains manual. Organizations often rely on fragmented systems, inconsistent data formats, and time-intensive validation steps such as reviewing receipts, maintenance records, and warranty agreements. These inefficiencies introduce delays that can stretch into weeks before root cause…

Scott Luton was interviewed by Kim Winter for Logistics Executive Groupo on October 6th for their Business Insights Series: “Industry Insights from the Legend Behind Supply Chain Now.” WATCH INTERVIEW HERE.