The focus of today’s competitive organizations should be to convert challenges into market differentiators. It is now widely accepted that product warranties are a reflection of their product qualities. However, the term warranty is used effortlessly, not so much as its process of reviewing, processing, and tracking the warranty process is.
The entire process calls for attention to minute details, which are not possible with excel spreadsheets or local, on-premise software.
Warranty is indeed a cost centre for cost accountants aiming to perform activity-based costing. However, with a proper supply-chain strategy mix, they same could very well be converted to a profit centre.
The main idea is to manage product quality for low warranty claims and lubricating the total warranty process in itself. Advanced warranty software today has superb analytics, which can capture the product parameters in question and tally them with benchmark parameters. It helps to understand the reason behind the deviation.
With the versatile nature of the software, the reason for deviation may be fed as a policy update in the system, so that the same problem does not occur again. Smartly laid data-capture points in the supply chain will lead to efficient retrieval of operational snapshots and clearly show the loop holes in the system.
Forward-looking organizations are interested in technology which can automatically process claims and take required corrective actions to detect and prevent fraudulent claims. They are in pursuit of integrating warranty management solutions with their supply-chain systems to harness the power of live, authentic data.
Warranty administration tools are known for business-critical incentives in terms of effective management of contracts, hassle-free claims processing, and better customer delight. In the process, the business can gain maximum market penetration.
It has been seen that organizations adopting and running a formal warranty management program have better market outreach in terms of customer experience. Quick and legitimate claim processing is something that people like to talk about in social circles.
Every product, which comes back as a warranty claim, is a reflection of a failed manufacturing process, with which great cost is associated.
If the proper reason behind a failure can be arrested at source, then it can be prevented from recurring. Good warranty management software aims at capturing deviation at a very nascent stage and provides early warning for supply chain operators.
To reap maximum benefit from warranty management software, it is imperative to integrate with the multi-dimensional supply chain landscape like marketing, production, cost control, etc. This will prevent fraudulent claims, which are a menace in today’s big organizations. Warranty Management Solution software can be linked to departmental KPIs (key performance indicators). That will help in improving product maturity.
A good predictive analysis module is vital. It points out emerging crises, which can be prevented, and thus prevent revenue loss in terms of a failed product. Any kind of strategy mix is possible, if organizations are laden with appropriate data.
Advanced analytics incorporated in warranty software clearly show the past and future patters of product failures, so that appropriate actions can be taken. It is better to stay engaged in all stages of the product lifecycle, which would be beneficial in practicing best manufacturing processes. A better process, in terms of manufacturing, storing, and transportation will lead to fewer field returns, in other words, fewer warranty claims.