Roger Morella wrote:
> Questions:
> In your opinion, what is an acceptable failure rate for electronic
> control assemblies in an industrial product?

That depends.  The failure rate for an industrial floor sweeper could be
very high, say 1 out of ten.  This because it is not an object which is
purchased in volume, and it is not an object which will cause the
factory to lose time/money/lives/etc.

A defective laser safety curtain, however, better have failure rates
lower than 1 in every 100.  If someone steps into a machine zone
expecting the machine to go off automatically (besides being called
stupid) they may end up with catastrophic injuries.  The insurance
companies are relentless in finding out who to blame.

> What about in consumer products?

Same deal.  A watch can have 1 in 30 failure rate.  The user takes it
back to the store, it's replaced, and they're all set.  At most they may
have to send it to the manufacturer, but sometimes it's easier and
cheaper to buy a new one.

> What do you feel is a fair warrenty period for industrial products?

That depends on the expected lifecycle of the product.  If I sell
mechanisms to control traffic lights, an expected 14 yr. life cycle, I
should probably cover at least 10% of its life in a warranty.  But then
you really need to get to the base of the problem and say:
How much can I charge for the product?
What are the MTBFs for the parts I'm using?
What are the warranties I'm given from my part sources?
Are the people who assemble my boards/parts giving me any warranty?
If my MTBF is 1 year, and my customer wants a two year warranty, will
they also accept a 2.5x cost increase?
Does my customer really want a MTBF, or is it just so they can fill out
all the forms they need to fill out?  (remember - MTBF is an estimate
based on statistics which has little legal binding)

> What is fair for consumer products?

90 days parts/labor
1 year parts

> Has anyone considered an extended warrenty purchase program for their
> industrial customers, and if so, how did it work?

It appears to me that industrial people don't want 'intangible
accessories' such as extended warranties.
"Either the part is going to work for two years, or it's not.  The
warranty period won't change that, and chances are in 19 months when it
breaks, I won't be responsible for it - but I am responsible for the
budget report at the end of the month..."

If you can justify extending the warranty to two years for x dollars,
roll the cost in, and tell them it comes with a 2 year warranty.  Every
extra item on the invoice is questioned by the boss and the
accountants.  If it's not a necessary, tangible part, they look at it as
superfluous.

> Where can we find industry data that addresses these issues?

It varies so much from product to product and situation to situation.
the best you can do it find others who are doing the same thing your
are, and see what they are doing.  If they offer a 2yr warranty, you
offer a 3. etc, etc, etc.

> Thanks for responding

-Adam