Supplier Warranty Training

April 2023
TRAINING DETAILS

 Training will cover processes for Scorecard 3MIS Warranty Claim Removal and Warranty
Liability Rate Change (WLRC)

 These standards only cover suppliers within NNA (Compas, Smyrna and Canton
produced vehicles)

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Supplier 3MIS Warranty
Claim Removal Training
PURPOSE

 The purpose of this document is to standardize the basic format and procedure to use when
handling a request to remove warranty claims from a suppliers scorecard.

 This standard only covers suppliers within NNA (Compas, Smyrna and Canton produced vehicles).

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PROCESS
Supplier Scorecard Claim Removal
Supplier PQE Warranty Analyst SQD

Supplier contact
PQE to set up part
review

Review parts to determine responsibility

Complete the part

evaluation form

PQE validates
claims are eligible
for removal

PQE, Supervisor and

Manager approve
change

Send completed
form to PQE Analyst

Removes claims
from SQD database

Notify supplier of
approved calim Generate Monthly
removal Scorecard

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PART EVALUATION FORM with 3MIS REMOVAL

WARRANTY PARTS EVALUATION REPORT

Supplier Code:
Supplier Name:
Part Description:
PQE Contact: 3MIS CLAIM REMOVAL MANAGEMENT APPROVAL DATE Liability Rate percent (%)
Date: Supplier
Nissan

Responsibility
*For removal of unreturned claims only*
0 0 0 0
Unreturned claims are not eligible for calculating WLRC
Note: All Incident parts reviewed must have a Part Warranty Tag that matches the supplier's EDI142 data for it to be included in the part evaluation. Liability Rate %
Scorecard Part Claim # of Claim
PFP Return Reason part Supporting
Item Nissan Claim Model In Service CS/CT 3MIS Claim Returned Nissan Dealer/ Claim Verbatim- PFP return Eligible for
PFP VIN Last 8 RO # Mileage Prod Date Repair Date NTF Results/Comments Supplier NNA Request was not Documentation
No Number Code Date Codes Claim Removal and Design Customer Verbatim Matched % 3MIS
Date returned Review OK
Request Evaluated Returned Part Removal
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RULES

Rules/Conditions:
1. This procedure covers suppliers within NNA (Compas, Smyrna, and Canton produced vehicles)
2. Claims must be (or will be) within the 3MIS scorecard scoring period
3. Only for claims where the actual part is reviewed (no verbatim analysis)
4. No Trouble Found (NTF) > 10% submitted claims, additional action to be taken
5. Only the Parts Evaluation Form needs to be completed by the supplier and submitted to PQE
6. PQE will obtain management approval and submit form to Analyst for processing
7. Evaluation forms must be submitted to the Analyst by the 5th of each month
8. Only one submission per month for each supplier code/PFP
9. For claim removals without parts returned, please see Slide 9.

Design Responsible Claims:

1. For Nissan designed parts, if claims are proven to be a design issue, then responsibility should be assigned to Nissan
2. For supplier designed parts, if claims are proven to be a design issue, then responsibility should be assigned to the
supplier
*For items binned to design, please provide supporting evidence or get concurrence between Nissan and supplier design

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NTF CLAIM RULES

Rules/Conditions:
1. NTF Claims with Repair Date after June 1st, 2022, are eligible for submission. All previous NTF claims are not eligible
2. If the 3MIS submission has a percentage of NTF claims > 10%, then PQE must request the following additional details
for the claims from the supplier in order for the claims to be approved
3. Manually add an additional tab in the Parts Evaluation form for capture of the required evidence for the NTF claims
(to include the following):
• Request the supplier to add additional evidence to trend NTF claims for monitoring, including a
description/evidence of what actions are being taken to understand and reduce NTF warranty claims (e.g.
evidence that FQC, NTCNA has been made aware of issue)
• Request the supplier to explain the test methods used to conclude NTF parts are defect free. If there are
recurring NTF claims over time, without identified assignable cause, the supplier should explore aggravation
beyond normal process testing to ensure testing is sufficient to cover anticipated vehicle conditions (e.g.
thermal shock, vibration, etc.)

Example of Additional Tab:

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UNRETURNED CLAIM RULES

Scenario:
Warranty claims hitting SSC for parts that were not returned.

Rules/Conditions for 3MIS Claim Removal:

1. Unreturned Claims with Repair Date after April 1st, 2023, are eligible for submission. All previous unreturned part
claims are not eligible
2. The percentage of returned parts (for comparison) can be no lower than 10%.
3. At least 3 parts (establishes trend) per PFP with matching failure mode must be returned and analyzed.
4. Manually add additional tabs in the Parts Evaluation Form to capture the required evidence for the unreturned
parts (to include the following):
• Confirmation that parts were requested to be returned (request date prior to repair date).
• Verbatim matching of parts that were returned to parts that were not returned.
• Supporting documentation from manufacturing time period. Examples:
• Dimensional capability study (30 pieces)
• Retention study of parts (30 pieces) – specifically for parts that came off of vehicle.
• Nissan Process Sheet – documenting a missed process from Nissan.
• Investigation showing where parts were returned.
5. Summarize the detailed evidence on the RH side of the PART EVALUATION FORM (next slide)

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PART EVALUATION FORM (Unreturned Claims Example)

WARRANTY PARTS EVALUATION REPORT Utilize this area to

Supplier Code: summarize unreturned
Supplier Name: claim evidence
Part Description:
PQE Contact: 3MIS CLAIM REMOVAL MANAGEMENT APPROVAL DATE Liability Rate percent (%)
Date: Supplier
Nissan

Responsibility
*For removal of unreturned claims only*
0 0 0 0
Unreturned claims are not eligible for calculating WLRC
Note: All Incident parts reviewed must have a Part Warranty Tag that matches the supplier's EDI142 data for it to be included in the part evaluation. Liability Rate %

Scorecard Part Claim # of Claim

PFP Return Supporting
Item Nissan Claim Model In Service CS/CT 3MIS Claim Returned Nissan Dealer/ Claim Verbatim- PFP return Eligible for
PFP VIN Last 8 RO # Mileage Prod Date Repair Date NTF Results/Comments Supplier NNA Request Reason part was not returned Documentation
No Number Code Date Codes Claim Removal and Design Customer Verbatim Matched % 3MIS
Date Review OK
Request Evaluated Returned Part Removal
1 1 10000 1/23/2023 YES YES YES 3/1/2023 returned Scratched 1 YES 56% YES
2 2 11111 4/1/2023 YES YES NO 3/1/2023 NNA plant had return priority paint 2 YES 0% NO
3 3 10000 4/1/2023 YES YES NO 3/1/2023 Taskforce scuffed 1 YES 56% YES
4 4 10000 4/1/2023 YES YES NO 3/1/2023 Taskforce scratched 1 YES 56% YES
5 5 10000 2/1/2023 YES YES YES 3/1/2023 returned scratched 1 YES 56% YES
6 6 10000 2/12/2023 YES YES YES 3/1/2023 returned scratched 1 YES 56% YES
7 7 10000 2/20/2023 YES YES YES 3/1/2023 returned scratched 1 YES 56% YES
8 8 10000 4/1/2023 YES YES NO 3/1/2023 came off vehicle while driving scratched 1 YES 56% YES
9 9 10000 3/5/2023 YES YES YES 3/1/2023 returned scratched 1 YES 56% YES
10 10 10000 3/7/2023 YES YES NO 3/1/2023 never shipped from dealer scratched 1 YES 56% NO
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FORM FORMATTING

WARRANTY PARTS EVALUATION REPORT

Supplier Code:
Supplier Name:
Part Description:
PQE Contact: 3MIS CLAIM REMOVAL MANAGEMENT APPROVAL DATE Liability Rate percent (%)
Date: Supplier
Nissan

Responsibility
0 0 0 0
Note: All Incident parts reviewed must have a Part Warranty Tag that matches the supplier's EDI142 data for it to be included in the part evaluation. Liability Rate %
Scorecard
Item Nissan Claim Model In Service CS/CT Claim Nissan Dealer/
PFP VIN Last 8 RO # Mileage Prod Date Repair Date NTF Results/Comments 3MIS Claim Supplier NNA
No Number Code Date Codes Removal Design Customer
Request
1
2
3
4
5

VALID REMOVAL REQUEST:

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8
9
10 Repair Date - In Service Date < 90 days
Supplier Responsibility = 0
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15 Prod Date < 18 months, within scorecard
window
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FORM FORMATTING

WARRANTY PARTS EVALUATION REPORT

Supplier Code:
Supplier Name:
Part Description:
PQE Contact: 3MIS CLAIM REMOVAL MANAGEMENT APPROVAL DATE Liability Rate percent (%)
Date: Supplier
Nissan

Responsibility
0 0 0 0
Note: All Incident parts reviewed must have a Part Warranty Tag that matches the supplier's EDI142 data for it to be included in the part evaluation. Liability Rate %
Scorecard
Item Nissan Claim Model In Service CS/CT Claim Nissan Dealer/
PFP VIN Last 8 RO # Mileage Prod Date Repair Date NTF Results/Comments 3MIS Claim Supplier NNA
No Number Code Date Codes Removal Design Customer
Request
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INELIGIBLE FOR SCORECARD REMOVAL:
Repair Date – In Service > 90 days
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10

Scorecard Claim Removal cell blacked out

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FORM FORMATTING

WARRANTY PARTS EVALUATION REPORT

Supplier Code:
Supplier Name:
Part Description:
PQE Contact: 3MIS CLAIM REMOVAL MANAGEMENT APPROVAL DATE Liability Rate percent (%)
Date: Supplier
Nissan

Responsibility
0 0 0 0
Note: All Incident parts reviewed must have a Part Warranty Tag that matches the supplier's EDI142 data for it to be included in the part evaluation. Liability Rate %
Scorecard
Item Nissan Claim Model In Service CS/CT Claim Nissan Dealer/
PFP VIN Last 8 RO # Mileage Prod Date Repair Date NTF Results/Comments 3MIS Claim Supplier NNA
No Number Code Date Codes Removal Design Customer
Request
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2
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INVALID FOR SCORECARD REMOVAL:
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10 Supplier responsibility > 0 and Scorecard
Removal is YES
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15 Cells are highlighted in red to alert PQE to
review request
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FORM FORMATTING

WARRANTY PARTS EVALUATION REPORT

Supplier Code:
Supplier Name:
Part Description:
PQE Contact: 3MIS CLAIM REMOVAL MANAGEMENT APPROVAL DATE Liability Rate percent (%)
Date: Supplier
Nissan

Responsibility
0 0 0 0
Note: All Incident parts reviewed must have a Part Warranty Tag that matches the supplier's EDI142 data for it to be included in the part evaluation. Liability Rate %
Scorecard
Item Nissan Claim Model In Service CS/CT Claim Nissan Dealer/
PFP VIN Last 8 RO # Mileage Prod Date Repair Date NTF Results/Comments 3MIS Claim Supplier NNA
No Number Code Date Codes Removal Design Customer
Request
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2
3
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5
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8
INCOMPLETE REQUEST:
Responsibility must equal 1
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Cells will show red if responsibility sum <> 1
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TIMELINE

Completed Part Evaluations submitted to PQE after 5th of the month

will not be processed until the following month

SQD creates monthly

scorecard
Supplier completes evaluation
form and submits to PQE Supplier verifies scorecard

1st of Month 5th of Month 10th of Month 20th of Month End of Month

PQE and Manager approve PQE Analyst removes

claim removal and submit to claims from SQD
PQE Analyst database

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SUPPLIER PORTAL
The link to the Nissan Supplier Portal is: https://www.supply.nissan-ix.com
PQE Warranty

Click LOGIN and enter a login ID and a password

Click REQUEST AN ACCOUNT, if not currently registered

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Warranty Liability Rate
Change Training
WLRC
PURPOSE
 To explain the Warranty Liability Rate Change (WLRC) process to ensure suppliers have thorough
knowledge of the process and the required steps for completing a request.

Process Definition

 Nissan’s WLRC process is executed in accordance with the Master Purchasing Agreement (MPA)
or Purchase Orders, where Nissan and suppliers have established an initial warranty sharing rate
for production parts (PR), service parts (SP), and parts with No Trouble Found (NTF).

 This process allows Nissan and suppliers to conduct an annual review of warranty incident parts
where new sharing rates are assigned based on joint part reviews and analysis results.

 In the event warranty spikes occur in the field, the process allows for addition warranty rate
reviews to be conducted.

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 WLRC Process Flow
Supplier PQE Warranty Analyst FQC

Monitor Warranty
Data

Notify PQE of Rate

Change Liability
Study
(First Point of Contact)

Setup Warranty Part

Create Warranty Process Warranty
Request and email
Part Request Part Request
to supplier

Investigate Recover Warranty

Warranty Parts Parts

Confirm Parts in
EDI Data

Create Part
Evaluation
Summary Sheet and
Part Detail
Investigation
Reports

Complete WLRC
Form & Attach Docs

Submit WLRC Analyst logs request

Documents to in tracker, submits
PQEWarranty@nissan package to PQE for
-usa.com Review

Assign WLRC #,
PQE Reviews WLRC
Run estimate for
Submits to Analyst
new Share Rate or
for processing
CS/CT Exclusions to
Past Claims

Obtain PQE Management

Signatures

Apply Adjustments
& Reimburse
Supplier
Monitor Warranty Notify Supplier of
Data Decision
Update WLRC
Tracker

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 WLRC Process Flow
Supplier PQE Warranty Analyst FQC

Monitor Warranty
Data

Notify PQE of Rate

Change Liability
Study
(First Point of Contact)

Setup Warranty Part

Create Warranty Process Warranty
Request and email
Part Request Part Request
to supplier

Investigate Recover Warranty

Warranty Parts Parts

Confirm Parts in
EDI Data

Create Part
Evaluation
Summary Sheet and
Part Detail
Investigation
Reports

Complete WLRC
Form & Attach Docs

Submit WLRC Analyst logs request

Documents to in tracker, submits
PQEWarranty@nissan package to PQE for
-usa.com Review

Assign WLRC #,
PQE Reviews WLRC
Run estimate for
Submits to Analyst
new Share Rate or
for processing
CS/CT Exclusions to
Past Claims

Obtain PQE Management

Signatures

Apply Adjustments
& Reimburse
Supplier
Monitor Warranty Notify Supplier of
Data Decision
Update WLRC
Tracker

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WARRANTY DATA SOURCES
Analyzing warranty data is the most important step!
1. EDI 142
• Provided Monthly
• Available to All Suppliers
• Contains ONLY Claims Assigned as
Some Supplier Responsibility
• Sent to secure mailbox specific to
Supplier Code
• Supplier picks up EDI, translates
into readable file, and distributes
• To Be Used To Determine Which
Parts to Include in Share Rate
Calculation
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2. Weekly Email
• Provided Weekly
• Contains ALL Claims on Supplier’s
Part Numbers
• Sent to Majority of Suppliers (Can
Be Requested)
• To Be Used For Complete Data
Analysis (Trends, Paretos, etc.)
3. EQUIP System
• Real Time Access
• Web Based
• Contains ALL Claims on Supplier’s
Part Numbers
• To Be Used For Complete Data
Analysis (Trends, Paretos, etc.)
• Currently Only Supplier Resident
Engineers have Access
 WLRC Process Flow
Supplier PQE Warranty Analyst FQC

Monitor Warranty
Data

Notify PQE of Rate

Change Liability
Study
(First Point of Contact)

Setup Warranty Part

Create Warranty Process Warranty
Request and email
Part Request Part Request
to supplier

Investigate Recover Warranty

Warranty Parts Parts

Confirm Parts in
EDI Data

Create Part
Evaluation
Summary Sheet and
Part Detail
Investigation
Reports

Complete WLRC
Form & Attach Docs

Submit WLRC Analyst logs request

Documents to in tracker, submits
PQEWarranty@nissan package to PQE for
-usa.com Review

Assign WLRC #,
PQE Reviews WLRC
Run estimate for
Submits to Analyst
new Share Rate or
for processing
CS/CT Exclusions to
Past Claims

Obtain PQE Management

Signatures

Apply Adjustments
& Reimburse
Supplier
Monitor Warranty Notify Supplier of
Data Decision
Update WLRC
Tracker

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FIRST POINT OF CONTACT
• When either party identifies a concern with the existing liability share rate, they must contact the other to formally
communicate intent to open negotiation of the rate
• This can be done through email, but must be retained by requestor, for evidence to prove the date of the notification
• FPOC must specify the PFP (first 5 digits of part number), as well as the affected vehicle model code(s)

Retroactive Effective Date

Reverse WLRC – Notification

from Nissan PQE

• PFP
• Model

* Email notification is must for First Point of Contact for all suppliers/Nissan PQE.

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SUPPLIER REQUEST FOR WARRANTY PARTS

 Supplier completes request form

 PQE enter request into the Nissan Part Return Database
 Waits for part to return from field

SUPPLIER REQUEST FOR WARRANTY PARTS

Supplier Code: SHIP TO NISSAN FQC (X)

Supplier Name:
Requested Date: Address to Ship Parts:
Requestor's Name:
Requestor's Email Address:

Requested Vehicle Vehicle Quantity of

Model CS /CT code
Part Number Part Name Model Name Production Production Parts Claim Period Nissan Comments
Line (optional)
(10 Digit) Start Date End Date Requested
1234567890 Part Name Example MAXIMA MAX 8/1/2018 12/31/2018 30 ALL CLAIMS

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PART EVALUATION PROCESS STEPS
PQE / Supplier Joint Part Review Requirements:
Tagged Warranty Incident parts

1. Analyze each part using the attached warranty tag to get more information about the failure mode and mechanism
Note – Vehicle duplication and/or Supplier NDS testing maybe required

2. Suppliers must match each part warranty tag up with their EDI data to validate actual claim was charged
VIN
Note – Parts not charged to the supplier are excluded from the review Srv Part #

3. Determine cause of failures, categorizing, and documenting each part on the Part Evaluation Sheet per the requirement. Cause of Failure is
Note – Categories include Supplier, NNA, Design, and Dealer/Customer Determined

4. Bucket parts by appropriate responsible Category and complete the Warranty Part Evaluation report
Warranty Part Evaluation Report
NISSAN WARRANTY PARTS EVALUATION REPORT
Doc # NNA-TDW-F002 Version 1.2
Supplier: Supplier Code:
Part No: Part Description:
Vehicle Model: Date:
Note: All Incident parts reviewed must have a Part Warranty Tag that matches the supplier's EDI142 data for it to be included in the part evaluation.

Responsibility
Model **Dealer/
Item No Receiver claim No VIN Last 8 RO # Dealer code Mileage Prod Date CS/CT Codes Results/Comments NNA-S/C/D Supplier Design
Code Customer
1.
2.
3.
4.

Dealer / NTF
5.

Supplier NNA
6.

Design
7.
8.
9.
10.

=
11.
12.

Customer
+ +
13.

+
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
0 0 0 0
Liability Rate %

Report to: Supplier Liability Rate percent (%)

Report to: PQE Supplier
Nissan North America, Inc. Nissan
983 Nissan Blvd.
Smyrna, TN 37167

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PART EVALUATION REPORT
Samples of warranty claim parts are recovered from dealers and analyzed to determine responsibility
• Part returns may be initiated by Nissan or Suppliers
• Sampling quantity needs to be statistically relevant to represent the “entire population” of warranty claims
• All samples available for the applicable production period must be considered (no cherry picking)
• To be included, all parts must be jointly reviewed by supplier and Nissan
Share rate calculated
Automatically based on
sample responsibility

Population = # Claims inside Production Range

requested on WLRC Form

Claim Details Analysis result Responsibility

Assessment

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PART EVALUATION REPORT
WARRANTY PARTS EVALUATION REPORT
Supplier Code: 1234567
Supplier Name: We Supply Parts
Part Description: Head Lamp
PQE Contact: Jane Smith 3MIS CLAIM REMOVAL MANAGEMENT APPROVAL DATE Liability Rate percent (%)
Date: 3/31/2022 Supplier 17%
Nissan 83%

Responsibility
1 3 2 0
Note: All Incident parts reviewed must have a Part Warranty Tag that matches the supplier's EDI142 data for it to be included in the part evaluation. Liability Rate % 17% 50% 33% 0%
Scorecard
Item Nissan Claim Model In Service CS/CT Claim Nissan Dealer/
PFP VIN Last 8 RO # Mileage Prod Date Repair Date NTF Results/Comments 3MIS Claim Supplier NNA
No Number Code Date Codes Removal Design Customer
• All parts must be in supplier’s EDI (Receiver Claim No must be filled out) Request
1 110087794 T32 12345 KC785435 0.5 0.5
2 110701802 R52 12345 LC578467 • NTF parts are 50/50 liability between supplier and Nissan per MPA or Purchase 0.5 0.5
3 110845307 L34 12345 KC105999 Orders 1
4
5
110904242 L34
112531711 T33
12345 KC212328
12345 MC691835
• For items binned to “Design”, please provide supporting evidence or get 1
1

6 112960203 T33 12345 MC723278 concurrence between Nissan and supplier design groups 1
7 • For share rate adjustment ALL returned parts must be logged
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9
• Returns must be from the date range requested on the cover sheet i.e., if you are
showing the adjustment for vehicles produced from Jan 2020 through July 2021,
returned parts must represent that full time frame

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WLRC FORM
Warranty Liability Rate Change Request WLRC
Date Submitted
Please submit completed request to PQEWarranty@nissan-usa.com Folder #
Request for:
Supplier Code: Requestor: Nissan CS/CT Codes Adjustment
Business Type: (PR) Production Both Supplier (Adjustment for only the CS/CT codes listed in the CS/CT code boxes )

(SP) Service Other ______ Share Rate Adjustment

Supplier Name: (Adjustment for new share rate for specified criteria)

Model(s) Name: Requestor's name:

Model(s) Code: (L34, etc.) Requestor's E-mail:
Part Name(s):
Director/VP Manager Engineer
Supplier
PFP Number(s): Signatures
(required):
Nissan Plant (s) This WLRC Form is entered into pursuant to Claims Compensation Procedure Article 6
(Liability Rate) of the Master Purchase Agreement between Nissan and Supplier,

• WLRC form available on Supplier Portal

Purchase Orders, or other existing Warranty Liability Share Rate practice between the
Do not fill in CS/CT codes when asking CS CODE(S) OR CT CODE(S)
parties. The Proposed Share Rate Adjustment set forth in this WLRC Form shall remain
for a share rate adjustment
in effect for claims involving vehicles produced ONLY during the Production Date Range
specified. For claims involving vehicles produced AFTER the Production End Date, the
Start Date End Date Supplier Nissan Share Warranty Liability Share Rates shall again revert to the Current Share Rates unless
Share Rate Adjustment

• Consolidates All High Level Information

MM/DD/YYYY MM/DD/YYYY Share Rate Rate otherwise agreed by the parties in writing.
Share Rate (Before WLRC Start)
WLRC Production Date Range Part Qty used in Calculation:
Requestor to complete

Share Rate (After WLRC End)

Submission section on One Form

Nissan D-Note # (if applicable):
Start End
MM/DD/YYYY MM/DD/YYYY Attached Documents
Retroactive Effective Date: Part Evaluation Summary Sheet

• Supplier Information
(Note: Unless otherwise agreed in writing, Purchase Orders, or per the Master Purchase Agreement in Part Investigation Detail Reports
place between Nissan and Supplier, if any, the financial refund/charge goes back to the first point of Supporting Docs (ex. Trends, Warranty Data, PowerPoint Explanation)
contact. Email notification of specific model and PFP investigation to PQE should be saved for Proof of Retroactive Effective Date (First Point of contact email)
documentation/support.)

• Models
Other (ex. D-Note, MPA, etc)

Main Fault Reasons:

• Part Numbers
Countermeasures:
• Coverage Periods
Re-occurrence Prevention Plan: • Proposed Share Rates
• Applicable D-Notes
• Quantity of Parts Used in Investigation
These estimates are subject to change with each monthly warranty run.

Estimate 1 Estimate 2 Final

Date of Estimate:

Total Claim Amount:

Old Recovery Amount:

• Root Cause
New Recovery Amount:

$0.00 $0.00 $0.00

• Countermeasure
• Warranty Claim / Cost Details
Retro Debit/(Credit) $:

Number of claims:

• Nissan Approval Signatures

Nissan only

Signature Date DOA $ Fiscal Year

Approval Section
Initiating PQE Signature & Date:

PQE's Manager Signature & Date under $25,000

PQE's Sr. Manager Signature & Date $25,000~ $100,000

Director Signature & Date $100,000~ $500,000

VP Signature & Date $500,000~ $1,000,000

SVP Signature & Date $1,000,000~ $2,000,000

MC-A Signature & Date over $2,000,000

ADDITIONAL SIGNATURES (as needed)

Title Signature Date Name (printed)

Analyst Comments:

Seq. # to

Processed: Date:

WLRC Form Revision 11 Rev. Date: 9/1/2023

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WLRC FORM
Supplier Responsible Section
Warranty Liability Rate Change Request WLRC
Date Submitted 2/25/2020
Please submit completed request to PQEWarranty@nissan-usa.com Folder #
Request for:
Supplier Code: 1234567, F01234567 Requestor: Nissan CS/CT Codes Adjustment
Business Type: (PR) Production Both Supplier (Adjustment for only the CS/CT codes listed in the CS/CT code boxes )

(SP) Service Other ______ Share Rate Adjustment

Supplier Name: We Supply Parts (Adjustment for new share rate for specified criteria)

Model(s) Name: Pathfinder Requestor's name: Thomas Anderson

Model(s) Code: (L34, etc.) R52 Requestor's E-mail: T.Anderson@wesupply.com
Part Name(s): Head Lamp
Director/VP Manager Engineer
Supplier
12345
PFP Number(s): Signatures Mary Desmond Mike Smith Thomas Anderson
(required):
Nissan Plant (s) Smyrna This WLRC Form is entered into pursuant to Claims Compensation Procedure Article 6
(Liability Rate) of the Master Purchase Agreement between Nissan and Supplier,
Purchase Orders, or other existing Warranty Liability Share Rate practice between the
Do not fill in CS/CT codes when asking CS CODE(S) OR CT CODE(S)
parties. The Proposed Share Rate Adjustment set forth in this WLRC Form shall remain
for a share rate adjustment
in effect for claims involving vehicles produced ONLY during the Production Date Range
specified. For claims involving vehicles produced AFTER the Production End Date, the
Start Date End Date Supplier Nissan Share Warranty Liability Share Rates shall again revert to the Current Share Rates unless
Share Rate Adjustment
MM/DD/YYYY MM/DD/YYYY Share Rate Rate otherwise agreed by the parties in writing.
Share Rate (Before WLRC Start) 1/13/2018 60.0% 40.0%
WLRC Production Date Range 1/14/2018 7/21/2019 25.0% 75.0% Part Qty used in Calculation: 54
Requestor to complete

Share Rate (After WLRC End) 7/22/2019 60.0% 40.0%

Nissan D-Note # (if applicable):
Start End
MM/DD/YYYY MM/DD/YYYY Attached Documents
Retroactive Effective Date: 10/10/2019 Part Evaluation Summary Sheet
(Note: Unless otherwise agreed in writing, Purchase Orders, or per the Master Purchase Agreement in Part Investigation Detail Reports
place between Nissan and Supplier, if any, the financial refund/charge goes back to the first point of Supporting Docs (ex. Trends, Warranty Data, PowerPoint Explanation)
contact. Email notification of specific model and PFP investigation to PQE should be saved for Proof of Retroactive Effective Date (First Point of contact email)
documentation/support.)
Other (ex. D-Note, MPA, etc)

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WLRC FORM
Supplier Responsible Section
Main Fault Reasons:
OTHER SUPPLIER (for Roof Rail):

1. Warranty parts reviewed at joint FQI-PQE/Supplier Parts Review meetings show the base of the Sunvisor Holder broken, always in a v-shape, or deep notches

cut into the base of the Sunvisor Holder as a result of a burr in the attachment hole of the mating roof rail sheet metal part. The burr cuts into the base of the

Sunvisor Holder and thus, reduces the Sunvisor Holder's part strength. The roof rail attachment hole also is malformed and its diameter measured out of spec.

See accompanying photos of the broken Sunvisor Holder incident parts.

2. NNA-FQI issued GCAR # NA-CAR-2015-01023 to the roof rail stamping supplier for Sunvisor Holder broken/sheared, citing the roof rail attachment hole had a

burr and was malformed and its diameter measured out of spec.

Countermeasures:

NA-CAR-2015-01023 permanent countermeasure adopted 3/31/2014 with VIN 5N1AT2MT5FC881762. Permanent countermeasures adopted by the roof rail

stamping supplier were:

1. Replaced button, punch, pins, and bushing.

2. Corrected worn tooling (eliminating stuck slugs).

3. Added PM frequency for key hole punches (25,000 strokes) and reduced remaining die PM frequency from 75,000 strokes to 50,000 strokes.

Re-occurrence Prevention Plan:

32
WLRC FORM
Nissan Responsible Section
These estimates are subject to change with each monthly warranty run.

Estimate 1 Estimate 2 Final

Date of Estimate:

Total Claim Amount:

Old Recovery Amount:

New Recovery Amount:

Retro Debit/(Credit) $: $0.00 $0.00 $0.00

Number of claims:
Nissan only

Signature Date DOA $ Fiscal Year

Initiating PQE Signature & Date:

PQE's Manager Signature & Date under $25,000

PQE's Sr. Manager Signature & Date $25,000~ $100,000

Director Signature & Date $100,000~ $500,000

VP Signature & Date $500,000~ $1,000,000

SVP Signature & Date $1,000,000~ $2,000,000

MC-A Signature & Date over $2,000,000

ADDITIONAL SIGNATURES (as needed)

Title Signature Date Name (printed)

Analyst Comments:

Seq. # to

Processed: Date:

33
WLRC FORM ADDITIONAL INFORMATION

Start Date End Date Supplier Nissan Share Share Rate (Before WLRC Start):
Share Rate Adjustment
MM/DD/YYYY MM/DD/YYYY Share Rate Rate • End Date = 1 day before WLRC Start Date
Share Rate (Before WLRC Start) 1/13/2018 60.0% 40.0% (auto-calculated)
• Supplier and Nissan Share Rate: Current Rate
WLRC Production Date Range 1/14/2018 7/21/2019 25.0% 75.0%
Share Rate (After WLRC Start):
Share Rate (After WLRC End) 7/22/2019 60.0% 40.0% • Start Date = 1 day after WLRC End Date (auto-
calculation)
• Supplier and Nissan Share Rate: Revert back
Start End
to Share Rate Before WLRC (auto-calculation)
MM/DD/YYYY MM/DD/YYYY
Retroactive Effective Date: 10/10/2019
(Note: Unless otherwise agreed in writing, Purchase Orders, or per the Master Purchase Agreement in Additional information regarding
place between Nissan and Supplier, if any, the financial refund/charge goes back to the first point of Retroactive Effective Date
contact. Email notification of specific model and PFP investigation to PQE should be saved for
documentation/support.)

This WLRC Form is entered into pursuant to Claims Compensation Procedure Article 6
Added verbiage regarding the Share
(Liability Rate) of the Master Purchase Agreement between Nissan and Supplier,
Rate as it pertains to the WLRC
Purchase Orders, or other existing Warranty Liability Share Rate practice between the
parties. The Proposed Share Rate Adjustment set forth in this WLRC Form shall remain
in effect for claims involving vehicles produced ONLY during the Production Date Range
specified. For claims involving vehicles produced AFTER the Production End Date, the
Warranty Liability Share Rates shall again revert to the Current Share Rates unless
otherwise agreed by the parties in writing.
34
WLRC FORM

Warranty Liability Rate Change If you are wanting to process

Please submit completed request to PQEWarranty
for both production and service
Supplier Code:
Business Type: (PR) Production
1234567, F01234567
Both
claims, select “Both” and enter
(SP) Service Other ______ both supplier codes. Note,
Supplier Name: We Supply Parts
Model(s) Name: Pathfinder service claims typically show a
Model(s) Code: (L34, etc.)
Part Name(s):
R52
Head Lamp
supplier code beginning with
“F”
12345
PFP Number(s):

Nissan Plant (s) Smyrna

ONLY SELECT ONE!!

e Request WLRC
Date Sub
CS/CT Code Adjustment: Use
ty@nissan-usa.com Folder #
when all processing returns
Request for:
Requestor: Nissan CS/CT Codes Adjustment with all the same code; must
Supplier (Adjustment for only the CS/CT codes listed in the CS/CT code boxes )
include ALL parts received with
Share Rate Adjustment
(Adjustment for new share rate for specified criteria) that code
Requestor's name:
Requestor's E-mail:
Thomas Anderson
T.Anderson@wesupply.com
Share Rate Adjustment: Use
for overall rate change, include
Director/VP Manager Engineer
Supplier ALL returns received for that
Signatures
(required):
Mary Desmond Mike Smith Thomas Anderson
PFP
35
WLRC FORM

Do not fill in CS/CT codes when CS CODE(S) OR CT CODE(S) If processing CS/CT code
asking for a share rate adjustment
adjustment, enter the
codes here. If processing
share rate adjustment,
leave these blank

Start Date End Date Supplier Nissan Share

Share Rate Adjustment
MM/DD/YYYY MM/DD/YYYY Share Rate Rate Share Rate (Before WLRC
Share Rate (Before WLRC Start) 1/13/2018 60.0% 40.0% Start): Current Rate
WLRC Production Date Range 1/14/2018 7/21/2019 25.0% 75.0%
WLRC Share Rate: Rate
Share Rate (After WLRC End) 7/22/2019 60.0% 40.0%
based on the Part
Evaluation Calculation
WLRC Production Date Range: First and Share Rate (After WLRC
last day of production date on Part Start): Revert back to
Evaluation sheet. Share Rate Before WLRC
Start

36
WLRC FORM

Start End
MM/DD/YYYY MM/DD/YYYY
Retroactive Effective Date: 10/10/2019

Retroactive Effective Date:

Financial change goes back to this date; this is the first point of contact to PQE requesting Model Code and PFP for analysis.
Supplier to retain and provide documentation of this contact to PQE when submitting WLRC package.
When WLRC is processed, it applies to claims AFTER the retro date, for vehicles built between the production date range.

37
WLRC FORM
Part Qty used in Calculation:
Nissan D-Note # (if applicable):
Items circled in red
are required with
every submission.
Other supporting
documents should be
included as needed.
38
Enter quantity of parts returned and
entered on the Part Evaluation form
54
If a D-note was released as a
countermeasure, enter D-note number
here
Attached Documents
Part Evaluation Summary Sheet
Part Investigation Detail Reports
Supporting Docs (ex. Trends, Warranty Data, PowerPoint Explanation)
Proof of Retroactive Effective Date (First Point of Contact email)
Other (ex. D-Note, MPA, etc)
 Supplier/PQE WLRC Request Check List
Supplier Code(s) & Name
Model(s) Name
Model(s) Code (Must match model code in EDI, not L42P, H61L, etc...)
PFP Number(s) - first five of Primary Failed Part number
Nissan Plant(s)
Business Type: Production /Service/Other
Check Share Rate Adjustment or CS/CT Exclusion (one or other, not both)
Current/Proposed Share Rates (if Share Rate Adjustment)
CS/CT Codes (if CS/CT exclusion)
Production Date Range (Must match the date range on the part evaluation form. If
there is a CM, that is the production end date)
Retroactive Effective Date - First Point of Contact Email to PQE
Requestor Info (Name and email)
Supplier Signatures: Director/VP, Manager, Engineer
Parts Used in Calculation
Nissan D-Note (if applicable)
Part Evaluation Summary (Models requested must be included in part review. If
requesting for service parts to be included on WLRC they must be included in part
review)
Part Investigation Detail Reports
Supporting Documents (Show Trend Chart with Lines for CM Date(s))
Main Fault Reason (Root Cause)
Countermeasure
Re-Occurrence Prevention Plan
39
40
WLRC SUBMISSION DOCUMENTATION

WLRC Requires the Following Documents:

 WLRC Form
 Part Investigation Detail Reports

 Part Evaluation Report

 Proof of Retroactive Effective Date (Proof of First Point of Contact)

 Supplier Supporting Documentation
- Test Reports, Analysis Charts, D-Notes

Supplier Submits WLRC Docs to PQEWarranty@nissan-usa.com, cc your PQE

 Analyst receives WLRC and forwards to appropriate PQE for review

 PQE Approves WLRC content
 Analyst Runs Estimate of the Warranty Claims at New Liability Rate

WLRC Form is Ready to Submit to Management

41
MANAGEMENT FINAL APPROVALS

Warranty Liability Rate Change requires the following signatures:

 PQE Engineer
 PQE Manager
 PQE Senior Manager WLRCs for
Approval
 Depending on the reimbursement amount, required
approvals include Director, VP, SVP and MC-A

After the warranty analyst receives approved documents, all changes are processed

 PQE will notify supplier that the changes have been processed
 Supplier will receive new share rate immediately or CS/CT
Exclusion and the reimbursement during the next monthly
transaction period

42
RETRO
Warranty Analyst will set up the
Supplier Code: 1234567, F01234567 Requestor: warranty system per the WLRC
Business Type: (PR) Production Both criteria. Claims that meet the criteria
(SP) Service Other ______ will receive the new share rate. Claims will
Supplier Name: We Supply Parts receive the new
Model(s) Name: Pathfinder Requ share rate
Model(s) Code: (L34, etc.) R52 Requ
CLAIMS
Part Name(s): Head Lamp

12345
PFP Number(s):

Nissan Plant (s) Smyrna

Do not fill in CS/CT codes when asking CS CODE(S) OR CT CODE(S)

for a share rate adjustment

Start Date End Date Supplier Nissan

Share Rate Adjustment
MM/DD/YYYY MM/DD/YYYY Liability Liability Rate
Share Rate (Before WLRC Start) 1/13/2018 60.0% 40.0% CLAIM CRITERIA MET:
WLRC Production Date Range 1/14/2018 7/21/2019 25.0% 75.0%
Supplier Codes: 1234567 or F01234567
Share Rate (After WLRC End) 7/22/2019 60.0% 40.0%

Model: R52
Start End
MM/DD/YYYY MM/DD/YYYY PFP: 12345
Retroactive Effective Date: 10/10/2019
Production Date Range: 1/14/2018 – 7/21/2019

Retroactive Effective Date: October 2019

43
NEW CLAIMS

After the WLRC has been processed, new

New Claims claims will enter the warranty system and
be verified during our month end process. If
the claim matches the criteria of the
approved WLRC, it will receive the new

New Claims
Share Rate or CS/CT Exemption.

Supplier Code: 1234567, F01234567 Requestor:

Business Type: (PR) Production Both
(SP) Service Other ______
Supplier Name: We Supply Parts
Model(s) Name: Pathfinder Requ
Model(s) Code: (L34, etc.) R52 Requ
Part Name(s): Head Lamp

12345
PFP Number(s):

Nissan Plant (s) Smyrna

WLRC CRITERIA MET? Do not fill in CS/CT codes when asking

for a share rate adjustment
CS CODE(S) OR CT CODE(S)

Start Date End Date Supplier Nissan

Share Rate Adjustment
MM/DD/YYYY MM/DD/YYYY Liability Liability Rate
Share Rate (Before WLRC Start) 1/13/2018 60.0% 40.0%
WLRC Production Date Range 1/14/2018 7/21/2019 25.0% 75.0%

YES: NO: Share Rate (After WLRC End) 7/22/2019 60.0% 40.0%

New Claim receives new New Claim receives current Start

MM/DD/YYYY
End
MM/DD/YYYY
Retroactive Effective Date: 10/10/2019
Share Rate or supplier Share Rate
exempt if WLRC is CS/CT
Exclusion

44
WLRC FINANCIAL IMPACT

FPOC FPOC August: Claims debited from this point going Warranty
forward that fall within the WLRC criteria (established System Updated,
via joint part evaluations) will be adjusted with the Retro Processed
new rates upon approval WLRC
Submission / Approval

July Aug Sept Oct Nov Dec Jan Feb March April May

PRODUCTION DATE RANGE Claims matching WLRC

(based on Parts Evaluation) criteria, from this point
forward are billed at
new liability rate or
excluded for CS/CT

45
WLRC SUBMISSION RULES

1. Liability rate changes are based on part evaluation not tech or customer
comments.
2. All WLRC Submissions must contain a WLRC form, Parts Detail
Investigation Report, Part Evaluation Report, Proof of first point of
contact to PQE, and Warranty trend charts. This is the minimum amount
of information required.
3. Production date range on WLRC form must match the production date
range on the Part Evaluation summary.
4. Production ranges with future dates are not accepted.
5. Parts included on the Part Evaluation summary must be matched to the
EDI 142 data. Parts not charged to the supplier are excluded from the
review.
6. Only 1 WLRC submission for the same Primary Failed Part (PFP) and
model is accepted per year.
7. If supplier needs to extend production range or update share rate for
WLRC already submitted, the WLRC cannot be submitted until the
following calendar year. Retro date is the same as the first submitted
WLRC.
8. There is no limit to how many WLRC(s) you can submit in a year, as long
as the PFP and model are different.
9. Liability rate exceptions do not carry over from major model to major
model.

46
FAQs
 Where do I get a copy of the WLRC and all other forms?
• Nissan Supplier Portal -> Parts Quality Engineering -> Warranty
 Who do I contact to receive Weekly Warranty Report?
• Send request with supplier code: NNAWeeklyWarranty@nissan-usa.com
 We did not receive a debit memo. Where can we get a copy?
• Send request to: InvoicePaymentHelpdesk@Nissan-usa.com
 I received my debit memo, where do I find the claim details?
• Verify internally with your IT/IS team to determine if the EDI 142 has been received and ensure distribution list is up to date.
• If the EDI 142 has not been received, submit a resend request to NNAISServiceDesk@Nissan-usa.com, be sure to include local
Supplier Code
 I have never seen my EDI 142 data, where do I find that? Or I want to re-direct my EDI to another person at my facility, how do I do that?
• Please work with your internal IT/IS department for EDI distribution questions or updates.
 Some of the claims in the EDI appear to be outside of the warranty period, why am I being charged for those?
• Please refer to the Warranty Coverage file located on the Supplier Portal in the PQE Warranty section. Using the criteria from the
EDI 142, such as model, distributor, and class codes to verify warranty period for the claim. Different models, global regions, and
claim types have different warranty periods.
• Example: Infiniti Canada: Basic warranty = 48 months/100,000km, Powertrain warranty = 72 months/110,000km
• If any fields are missing from your EDI 142 report, please work with your internal IT team to ensure the fields are included when the
file is translated.

*EDI 142 Implementation Guide provides details on each field

transmitted in the EDI 142. This info can be found Supplier Portal in the
PQE Warranty Section.

47
SUPPLIER PORTAL
The link to the Nissan Supplier Portal is: https://www.supply.nissan-ix.com

48
Thank you