Warranty Claims Management Saves US$ 25 Million For Electrical Equipment Manufacturer

Sep 23, 2016

Business Challenge

Improving the warranty management process. A leading electrical equipment manufacturer wanted to improve the warranty management process and reduce costs.

Situation: High warranty claims cost and cumbersome warranty processing process.

The electrical equipment manufacturer had a diversified portfolio of electrical, power, automation and control equipment, with a large number of repairers. The error rate in the invoices sent for warranty claims processing was very high, resulting in delayed validation, payments and high costs, while providing little clarity on the process followed by various product groups. The client wanted to improve the warranty claims management and accuracy in the transactions with its many repairers for diverse products, to reduce warranty costs.

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Solution Offered

Single warranty management platform for clear visibility and management.

We integrated all the claims and warranty data on a single platform, to provide clear visibility and streamline warranty management. We used statistical modeling, warranty transaction processing to reduce errors, and estimate the time and effort spent in warranty management. We further used predictive analytics to identify and eliminate fraudulent warranty claims.

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Reduced annual warranty costs by US$ 25 million.

The electrical equipment manufacturer streamlined the warranty management process, which reduced total annual warranty costs by US$ 25 million and reduced the total cost of ownership for warranty applications. The client also had greater visibility into the causes of failure and which helped them in improving product quality.

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