The Use of Warranties for Defense Avionics Procurement
Abstract
The potential benefit of using warranty agreements as part of military avionics procurements was investigated. Interviews were conducted with airlines, vendors, and military agencies that had made use of warranties. A life-cycle cost model was formulated to permit comparisons between warranty and no-warranty procurements. The model makes it possible to compute the optimum warranty time period and the break-even cost to identify the minimum additional funds that may be spent on warranty coverage. The major conclusion of the investigation is that a properly constituted and applied warranty can yield significant reliability and life-cycle cost benefits and that broader use of warranties is advisable.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jun 01, 1973
- Accession Number
- AD0769399
Entities
People
- Bernard L. Retterer
- Harold S. Balaban
Organizations
- ARINC