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Warranty policies are the set of rules that determine the application of warranties (an assurance from a supplier that the physical good will be repaired or replaced in case it malfunctions within a predetermined period after the purchase). The policies establish the physical goods covered by the warranty, the validity period and the instances in which the warranty can offer a free replacement. Once warranty policies are set up in the system, warranties are automatically issued for goods during the sale. The latest warranty policy set up in the system is the one applied.
Major features
- Automatically apply a warranty to goods sold to customers (not to rented goods)
- Automatically determine the warranty coverage of a good through service requests
- Transfer warranty coverage between exchanged items
- Bill replaced physical goods under warranty
- Move replaced malfunctioning items to specific warehouses
- Preview warranties through dashboards
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Multiple warranty policies can be set up. The most suitable (subject to conditions defined in the policy) is automatically applied when a good is sold or swapped.
A policy must have an 'Effective' life cycle state to be applied. The life cycle state of a policy can be toggled between 'Effective' and 'Not Effective' using a dedicated action.
Warranty policy fields
The table describes the sections of Warranty Policy Data Entry page and explains how the fields in the page are used.
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Duration: The coverage period, configured in days, weeks, months or years. Life Cycle State: 'Effective' or 'Not Effective'. A policy must be 'Effective' to be applied. Company Responsibilities: The obligations of the retailer regarding the coverage of the physical goods by the warranty policy (free text area). Customer Responsibilities: The obligations of the customer regarding the coverage of the physical goods by the warranty policy (free text area). | |||
| Validity | |||
The period during which the warranty policy is available defined by a 'Valid from Date' and 'Valid to Date'
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| Coverage for Physical Goods | |||
The physical goods that can be covered by the policy. Specific products, product types, product brands, or product families can be defined. Each policy must include at least one of the aforementioned categories. Only traceable physical goods can be specified. | |||
| Allowed Coverage Reasons | |||
Coverage Reason: Select one of the available reasons from the drop-down list. Replacement Under Coverage Policy: For each reason, select the policy to be used following the replacement. The available options are:
Provide Coverage: For each reason, enable to indicate that the item can be swapped free of charge. | |||
| Allowed Organisational Units | |||
Define the communities, groups or units to which the user that sells or swaps the physical good should belong to for the warranty policy to be applied on the physical good. | |||
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- Navigate to Foundation > Inventory Management > Manage Installed Item.
- Under the Warranty Policy Tab
- Warranty Policy: Name of applied policy
- Warranty Expiration Date
- Warehouse Issue Date: The day on which the good left the warehouse (used to calculate the expiration date, by adding the warranty policy 'duration' and the 'issue date').
- Warranty Policy: Name of applied policy
- Change History
- Warranty Policy: Displayed if the warranty policy was removed from a replaced item.
- Coverage Reason: Displayed if the warranty was removed from a replaced item.
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The system follows the Replacement Under Coverage Policy defined on the selected warranty coverage reason when replacing the item and uses it to determine which policy (if any) will be applied to the item. Replacement under Coverage Policy has three possible values:
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The diagram below displays how the warranty policy on an existing installed item (II) affects the warranty on the new item, during a replacement.
Identifying from which warehouse the item will be removed
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Warehouse transaction movements when the replacement physical good is provided free of charge
Warehouse transaction movements when the replacement physical good is not covered by a warranty
- Coverage reason does not include coverage (i.e. replacement is not free of charge)
- Warranty on existing item has expired
- No Warranty exists
Warranty Policies Analytics
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The component displays the jobs that were initiated within the last 12 months grouped by warranty coverage reasons, in a stacked bar chart. The results can be filtered by warranty coverage reason, job type, job status and physical good.
Jobs of all fulfillment 'Swap Subscription Installed Items' and 'Replace physical goods' fulfillment scopes are retrieved, provided the requested physical goods include a warranty coverage reason.
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Physical Goods Covered are goods sold with a warranty which is still valid, while Physical Goods Sold are goods which were sold or replaced based on the warranty policy specified in the report, and may still be under warranty.
Printouts
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A printout displays all the information associated with the warranty of an installed item. It is available through the installed items Data Entry page, in one of the following formats: HTML, XLS, CSV, RTF or PDF.
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Business Requirement Company ZX wants to provide a 24-month warranty on decoders sold to customers. If the decoder is reported as 'Faulty' within this period the company will replace the item for free and transfer the warranty to the new item. I.e., if a decoder is replaced on the 13th month following the purchase, the new decoder will be covered by the warranty for another 11 months. Solution
User Process Create a subscription and sell a decoder
When a customer with a faulty decoder calls to report a malfunction the user will: Raise a service request (for the subscription)
Create a 'Swap subscription installed item' job On adding the installed item on the job, the system will require a coverage reason.
On completing the job the system will:
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Business Requirement Company ZX wants to provide a 24-month warranty on decoders sold to customers. Faulty decoders should be replaced for free. If the customer caused the damage, the customer will be required to pay for the replacement. In either case, the new item will be issued a renewed 24-month warranty. If the customer caused the damage, then the ZX process is as follows:
Solution Configuration
User Process Create a new subscription through a job and sell a decoder
Customer requires broken decoder to be swapped with a new one When a customer requests a replacement and the agent identifies that the damage was caused by the customer the user will: Raise a service request (for the customer)
Create a 'Swap subscription installed item' job On adding the installed item on the job, the system will require a coverage reason.
On completing the job the system will:
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