GAF Materials Corporation
How GAF implemented Tavant’s AI-driven Warranty to slash turnaround times, unify stakeholders, and elevate customer experience.
GAF and Tavant Partner to launch a Next-Generation Guarantee Management Solution
SANTA CLARA, Calif. SANTA CLARA, Calif., – Tavant, Silicon Valley’s leading digital products and solutions company, today announced that it has successfully implemented an end-to-end guarantee management solution for GAF, a Standard Industries company and the largest roofing and waterproofing manufacturer in North America. This joint initiative enhanced GAF’s guarantee registration-through-issuance processes in order to drive significant improvements in GAF’s external and internal guarantee management experiences. “GAF is committed to ensuring that our commercial roofing customers receive the highest quality service,” said David Merson, Sr. Director Contractor & Technical Services, GAF. “The new solution, powered by Tavant Warranty, truly unites GAF’s commercial stakeholders under one roof to provide a seamless customer experience, which is critical to continue delivering our best-in-class service and becoming a leader in the commercial roofing industry.” GAF had outgrown its legacy guarantee system and needed something more robust that could handle not only today’s volume but also expected growth in the coming years. GAF performed a comprehensive overhaul of its guarantee process on a global scale, selecting Tavant for its excellent balance of proven open-box and configurable solutions. By utilizing Tavant Warranty, GAF significantly reduced the duration of the guarantee issuance time frame and enhanced the overall customer experience. The next-gen warranty management solution, powered by artificial intelligence and machine learning capabilities, Tavant Warranty enables closed-loop warranty management. Tavant’s fully integrated, user-friendly, flexible, and scalable warranty management system allows manufacturers to handle claims and guarantee issuance accurately and consistently while dramatically reducing processing time. It helps manufacturers simplify their warranty process by giving them a unified solution for managing the claim and guarantee issuance lifecycles in an agile environment. “We are delighted at the successful launch of GAF’s new solution,” said Sridhar Garla, Tavant Warranty’s Head of Product Engineering. “We are enabling GAF business users to discover new and valuable business insights with Tavant Warranty. The solution will help them increase process efficiency by reducing manual effort in guarantee issuance processing, resulting in shorter turnaround times and increased productivity. Our goal is to give our customers a dynamic, 360-degree view of warranty management operations, allowing them to improve service quality and operational efficiency.” Find Tavant Technologies on LinkedIn and Twitter. About GAF GAF, a Standard Industries company, is the leading roofing and waterproofing manufacturer in North America. For more than 135 years, GAF has been trusted to protect what matters most for families, communities and business owners with its innovative solutions and focus on customer service. GAF’s leadership extends to its commitment to making a positive impact on its communities, industry, and planet. Learn more at www.GAF.com.
Tavant and Bayer Enter into an Innovative AgriTech Partnership to Transform Sustainable Farming Practices
SANTA CLARA, Calif. SANTA CLARA, Calif., – Tavant, Silicon Valley’s leading digital products and solutions company, today announced a strategic partnership with Bayer, a global leader in agriculture solutions, to introduce innovative AgriTech solutions that will empower organizations to drive innovation and growers to optimize crop yields, reduce expenses, and minimize their environmental footprint. The partnership comes at a crucial time when growers face mounting pressure to increase productivity while confronting many challenges beyond their control, such as unpredictable weather events and unstable commodity markets. By leveraging the latest technologies, such as Artificial Intelligence (AI), Machine Learning (ML), Internet of Things (IoT) analytics, Bayer’s ready-to-use data models, and Tavant’s technical and specialized expertise in the Agri industry, this partnership aims to empower the organizations to drive innovation and manage the farming challenges. With a focus on enhancing transparency and promoting sustainability throughout the food supply chain, this collaboration is set to transform the agricultural industry. “Innovation in digital agriculture is critical for achieving sustainable farming practices and ensuring adequate food supply. Data is often fragmented and challenging to access throughout the supply chain and developing digital solutions from scratch can be costly, but we are arriving at a very exciting moment in modern agriculture,” said Ines Kapphan, VP of Data & Cloud Solutions, Climate and Digital Farming, Bayer’s Crop Science Division. “Our work with Tavant provides innovators with readymade capabilities, so they can join Bayer and many other impactful companies in solving some of the world’s biggest challenges in agriculture.” “Tavant is a strong proponent of innovation and digitalization in achieving sustainable yields and disrupting the farm to fork value chain. Over the past two decades, Tavant has invested significantly in developing sustainable and efficient farming practices. As a strategic system integrator for Bayer, Tavant is committed to helping growers achieve more with less and providing them with the tools and knowledge necessary to grow crops sustainably while enhancing their profitability,” said Vikas Khosla, Chief Revenue Officer, Hitech, Tavant. “By developing pioneering solutions for transforming the way food is produced, distributed, and consumed, Tavant is poised to drive the agriculture industry forward and provide growers with the tools they need to succeed in a rapidly evolving market,” continued Khosla. Find Tavant Technologies on LinkedIn and Twitter.
Connected Service Life-Cycle Management – A data-driven approach to service operations
The immense potential of aftermarket services for the manufacturing industry is a no-brainer. As per industry standards. Aftermarket services comprise 25-30% of the revenues, with a profitability of up to 55% Service parts management is around 15-20% of the revenue, with profitability of up to 50% Service contracts are high margin businesses with a potential to earn anywhere between 30 to 50% According to a recent Deloitte study, the role of aftermarket services in driving customer lifetime value (CLTV) and sustainable profits has become more profound post-COVID-19. With supply chains being disrupted, the service level expectations of customers, especially for complex products, manufacturing, construction machinery, and transport vehicles, have risen manifold. Customers are willing to pay a premium for uninterrupted services and longer-term contracts that can predict support or replacement proactively before their equipment becomes inoperative. It is a new win-win for both OEMs and customers. Deciphering the aftermarket SLM ecosystem of a manufacturer The case for aftermarket services sounds promising, but does it manifest? Does the transition to SLM translate into tangible business gains? What do OEMs need to realize the true potential of their aftermarket services? Currently, a manufacturer’s aftermarket SLM tech stack can have one or many of these components, independent of each other. Service Parts Management: Covers the spectrum of aftermarket parts sales, from direct customer sales, dealer sales, and service centers to custom programs. Warranty Management: End-to-end management of product warranty processes involving product registration, claims processing, contract management, service plans, returns control, and warranty analytics. Field Service Management (FSM): Provide resources to support products in operation at the customer’s point of use. Capabilities span asset management, mobile workforce management, customer portals, service request management, and contract management to ensure the right resources are delivered at the right time. Service Knowledge Management: Manage, collect, and report on every aspect of customer interactions, including online portals, call center operations, training programs, and product health monitoring. Service Network Management: Plan, manage, and expand service operations through organic capabilities to transform service strategies across MRO operations, component repair & exchange, product modifications, and service delivery. Technical Information Management: Technical information storage about design, bill of materials (BOM), reliability data, parts information, configuration data, maintenance data, and production data to lay the foundation for the life-cycle and performance management of a product. On a standalone basis, these systems are certainly helping manufacturers transform their processes. Still, this siloed approach is incapable of value creation as it tends to ignore the complementarities and interdependencies across the ecosystem – OEMs, suppliers, dealers, customers, and service centres. Not only that, but the multiple system approach also leads to a growth slump, as it cripples OEMs’ ability to see complete and accurate data and deploy that data to build a seamless experience for their customers and gain a competitive advantage. As modern enterprises focus heavily on keeping track of their customers’ needs and aim for proactive service delivery to meet their satisfaction levels and drive customer lifetime value over the life-cycle, the need to implement connected SLM has become more pronounced than ever. From SLM to connected SLM – A case for manufacturing Using AI and analytics to create a 360-degree view of the service life-cycle processes for manufacturers, their channel partners, and customers Let’s look at an industrial equipment manufacturer that faced challenges across its service supply chain. The manufacturer wanted to eliminate inefficiencies and ensure maximum service parts availability across its global operations. This required evolution from a location-based inventory model to a centralized inventory management model, which could predict parts requirement, intelligently analyze parts availability, and automatically allocate resources per customer demand. The journey began with designing, building, and implementing SLM solutions to serve use-cases built around industry-specific challenges. The next step was integrating SLM with existing ERP and SAP systems and using analytics and AI to leverage real-time orders and feed them to SLM systems to ensure optimal inventories. This helped the manufacturer drive inventory turnover by 18-20%, increase parts availability by 3-5%, and save inventory costs by millions. Manufacturers must explore the integration of artificial intelligence (AI), the internet of things (IoT), and analytics tools across processes. IoT devices, or connected devices, help automate data collection from operational equipment to gauge product performance and uptime and diagnose problems. AI and analytics deliver capabilities to derive insights across system uptimes, inventory, service needs, and other functional areas. Unlocking the value of the Convergent SLM Strategy A connected SLM strategy can help build end-to-end interconnected systems that drive optimization across all manufacturing operations. A transition from a pure-play SLM strategy to a connected SLM one enables manufacturers to collect data from field assets, warranty systems, parts management systems, and FSM. This data can be utilized to implement service updates, manage complex technical information, and drive a seamless service experience for end customers. Some other benefits include: Streamlined workflows: Connected SLM solutions can enable organizations to streamline workflows with smart connected products, reduce downtimes, reduce service response times, enhance first-time fix rates, optimize price and parts availability, and reduce costs. Building new service models: Connected SLM solutions can also deliver insights into how products are performing at the customer’s point of use, which can be leveraged to build new service models. Personalizing communication: The connected SLM solutions enhance communication channels by ensuring detailed information is available and curated as per stakeholder needs to perform reactive and proactive service activities. Implementing a feedback loop across the digital thread enables manufacturers to leverage data that serves as input to increase product serviceability and reliability. Manufacturers must explore new revenue streams from real-time engagements with end customers. Smart devices and connected SLM systems will provide capabilities for manufacturers to deliver value-added services, reduce service and parts costs, and adopt a data-driven approach to decision-making.
IDC MarketScape Recognizes Tavant as a Leader Again in the Assessment for Warranty and Service Contract Management Applications
SANTA CLARA, CA. January 25, 2022 SANTA CLARA, CA. January 25, 2022 – Tavant, Silicon Valley’s leading digital products and solutions company, today announced that it has been named a “Leader” in the IDC MarketScape: Worldwide Manufacturing Warranty and Service Contract Management Applications 2022 Vendor Assessment. Tavant is positioned in the Leader category based on the assessment of its capabilities and strategies that enable manufacturers to perform optimally. “Manufacturers and service organizations should consider Tavant when they are looking for an end-to-end warranty offering with advanced capabilities in AI and IoT,” said Aly Pinder, Program Director at IDC. “Tavant supports its clients with personalized, configurable offerings and AI-based capabilities to digitally transform their warranty and service operations.” Tavant has also been named as a Major Player in the IDC MarketScape: Worldwide Manufacturing Service Parts Management Applications 2021-2022 Vendor Assessment. The company supports the aftersales market through its Tavant Warranty and Tavant Manufacturing Analytics Platform (TMAP) products. It offers a smart platform to disrupt and transform the warranty and service processes with an approach that is continuously adapting to an analytics-first decision-making engine. This approach empowers customers to make smarter decisions while relying on SMEs to concentrate on more complex and significant value-driven problem statements. We believe Tavant’s key differentiators are: Modular Product Design: Provides a flexible framework for customers to easily map their existing processes and simplify the roadmap to quickly digitize their entire warranty operations Analytics-first and Continuous Learning Approach: Empowers users with real-time business insights and advanced level next-best-actions IoT-Enabled and Scalable Product: Provides an end-to-end warranty and service contract solution with advanced capabilities in AI and IoT Larger Ecosystem Value-Add: Tavant’s focus on sustainability and complete service life-cycle management delivers a connected experience for customers in complex industries with complex networks “Tavant’s recognition as a leader for the second time is a reflection of our obsession with innovation and customer success,” said Roshan Pinto, Head of Manufacturing at Tavant. “The key driver behind the innovation and evolution of our products and services is our focus on our customers’ business needs and the fast-changing world of technology. Using AI and advanced analytics, we reduce guesswork, create predictability, provide insightful information, and ultimately help organizations collect and comprehend data in more structured and meaningful ways,” Pinto substantiated. Access the IDC MarketScape for Manufacturing Warranty and Service Contract Management Applications Vendor Assessment 2021-2022 excerpt here. To learn more about Tavant and its products and services, visit: tavant.com/warranty, tavant.com/tmap. About IDC MarketScape IDC MarketScape vendor assessment model is designed to provide an overview of the competitive fitness of ICT (information and communications technology) suppliers in a given market. The research methodology utilizes a rigorous scoring methodology based on both qualitative and quantitative criteria that results in a single graphical illustration of each vendor’s position within a given market. IDC MarketScape provides a clear framework in which the product and service offerings, capabilities and strategies, and current and future market success factors of IT and telecommunications vendors can be meaningfully compared. The framework also provides technology buyers with a 360-degree assessment of the strengths and weaknesses of current and prospective vendors. IDC MarketScape: Worldwide Manufacturing Warranty and Service Contract Management Applications 2019–2020 Vendor Assessment, Aly Pinder, IDC# US44408619, December 2019 (ii) IDC MarketScape: Worldwide Manufacturing Warranty and Service Contract Management Applications 2022 Vendor Assessment, Aly Pinder, IDC # US46743021, January 2022 (iii) IDC MarketScape: Worldwide Manufacturing Service Parts Management Applications 2021-2022 Vendor Assessment, Aly Pinder, IDC # US46742821, December 2021 Find Tavant on LinkedIn and Twitter.
Top Blogs and Webinars from 2021-Connected Service and Warranty
As we close the year 2021 (and what an incredible year it was), here is a list of our most popular blogs and webinars from this year – the ones our customers showed the most love to, and that answered the most pressing questions. Enjoy! Blogs 1) From Cost Center to a Competitive Advantage: Warranty Management in Manufacturing Today Once considered a cost center, warranty management is taking the front seat in creating seamless aftermarket service experience. 2) Electric Vehicles and their Impact on Automotive Warranty Management The transition to smarter electric vehicles and the potential phasing out of combustion engines is likely to be a game-changer for many. 3) Futuristic Tech: Turning the Wheels of Manufacturing Learn about the advancements in the manufacturing industry with Drones, AR/VR, IoT, and much more for better processes, performance, and protection. 4) Data Analytics: A Catalyst for Change in Service Life-cycle Management Today AI and analytics is critical in addressing service life-cycle challenges, increasing transparency, and creating a rich aftermarket experience. 5) Making Warranty Management Profitable for Manufacturers Traditionally manufacturers offered warranties to buyers to assure them of the quality and longevity of products or services. The industry has progressed a long way. Webinars 6) Connected Service Life-cycle – The Flywheel Effect Opening session at WCM Experience by ‘Women in Manufacturing’ from Tavant, on how smart and simple changes in after-service processes like customer support, service request, service planning, service execution and field service, spare parts management, warranty management, and recalls can create exponential value and set the flywheel to spin faster. 7) Panel Discussion: Service Analytics – Make that Data Work for You! Smart learning models are getting more accurate and changing the way service analytics is driving decision-making. This session explores the decisions that impact machine uptime, service parts pricing, equipment failure, and maintenance demands. 8) Panel Discussion: Service and Sustainability – Reduce, Recycle, Reuse! Timely Service data and insights can impact the bottom line in three ways – fiscal, societal, and environmental. In this session, the speakers from varied Manufacturing backgrounds discuss how service data can benefit sustainability. 9) Connected Warranty and Service in Automotive Industry A discussion on the Automotive warranty trends, the impact of innovative technologies and connected data, and how the Automotive industry is redefining service through connected and optimized service platforms. 10) The Learning machine: Transforming Customer Experience Using Data, Warranty, and Service Contracts Opening keynote by Bob Roberts, Customer solutions leader, Trane Technologies at WCM Conference. Service excellence in a manufacturing and aftermarket industry dictates decisions be made using near-real-time information. To provide a rich and seamless experience to their customers, manufacturers need to improve data visibility, the backbone for delivering cutting-edge services.
Tavant Announces Go-Live of TRACS, a Truck Registration and Claim System for Mitsubishi Logisnext Americas
SANTA CLARA, CA (December 16, 2021) – Tavant, Silicon Valley’s leading digital products and solutions company, today announced the rollout of TRACS, a truck registration and claim system purpose-built for Mitsubishi Logisnext Americas. The rollout of TRACS will provide a single platform that enables warranty and claims management across business units while also providing the company with a unified view across their operations. “An overarching, long-term goal for Mitsubishi Logisnext Americas is to create a stronger, more efficient business, and this means implementing the infrastructure that will bring them closer to being a unified operation,” said Bryon Vandergriff, Senior Manager, Product Services at Mitsubishi Logisnext Americas. “We adopted this vision and set out to create a 360-degree unified view for efficient claims management. Our strategic partnership with Tavant aligns with this vision, and as a result, TRACS was developed to provide a unified view while also implementing configurable business rules to avoid duplicate/fraud claims and reducing the maintenance of the application.” The web-based application’s primary purpose is to provide warranty management services, including capabilities that allow Mitsubishi Logisnext Americas employees, dealers, and partners to add and manage warranty policies on individual products. For smaller companies with a low number of machines, warranty management is a somewhat manageable task. For large companies with thousands of machines, however, managing hundreds — if not thousands — of competing warranties requires a prohibitive amount of administration. As such, TRACS is set to significantly impact the way Mitsubishi Logisnext Americas processes and manages their warranties and claims. In addition to providing the infrastructure for warranty management, the TRACS application provides access to organizational information, including warranty management in one central place; higher visibility into the claims management process; improved collaboration between Mitsubishi Logisnext Americas, their dealers, and their suppliers; a streamlined, more efficient service experience; improved claim cycles, and improved overall productivity. The application integrates seamlessly with the Mitsubishi Logisnext Americas Learning Management System to ensure all repairs are performed by qualified and certified technicians, ensuring the highest customer experience. “The development and rollout of TRACS not only provides Mitsubishi Logisnext Americas with a comprehensive tool for warranty and claims management but also helps bring Tavant one step closer to our aim of disrupting and transforming the warranty and service life-cycle,” said Roshan Pinto, Head of Manufacturing, Tavant. “TRACS is a strong example of our dedication to creating predictability, providing and improving access to insightful information, streamlining decision making, and facilitating cross-functional collaboration and trust across all stakeholders within the aftersales ecosystem.” For more information on warranty management and other aftermarket service solutions offered by Tavant, or to contact the team to discuss your needs, please visit: tavant.com/warranty. About Mitsubishi Logisnext Americas Mitsubishi Logisnext Americas Inc. and its group companies have helped customers Move The World Forward for more than 100 years. A technology-driven manufacturer, Mitsubishi Logisnext Americas offers scalable solutions from material handling to automation and extensive fleet support. Headquartered in Houston, Texas, its complete portfolio of advanced solutions spans across five leading brands – Mitsubishi forklift trucks, Cat® lift trucks, Rocla AGV Solutions, UniCarriers® Forklifts and Jungheinrich® warehouse and automation products. All products are backed by an extensive dealer network offering industry-leading customer service and product support.
From Cost Center To A Competitive Advantage: Warranty Management In Manufacturing Today
We have all experienced that moment… staring at a dysfunctional product and wondering what the repairs will cost us. And more importantly… is the product still under warranty? As a customer, it seems like a solid and straightforward customer service process, yet the warranty management process is viewed as a manually intensive administrative task that’s not exactly the most productive or efficient. Warranty management is a critical set of processes and activities within service life-cycle management. While manufacturers may have viewed the warranty management process to be a drain on resources and revenue, technology has changed the game. Technology: The pill to warranty management headaches In an increasingly competitive world, manufacturers are beginning to recognize the opportunity technology offers. Not only in terms of minimizing costs but also in enhancing customer experience through optimization of the warranty management process. By optimizing warranty processes, manufacturers can reap financial and operational benefits and positively impact their entire service life-cycle: increased asset reliability, better production, and improved supplier relationship management. Studies show that the market for warranty management systems is valued at $2.87 billion in 2019 and is expected to reach $6.24 billion over the next five years, growing at a CAGR of 13.8%. Let’s look at some of the issues that warranty management solutions can resolve: Problem: Multiple Stakeholders The warranty process runs across multiple partners, which can be both internal and external, to the manufacturer. It’s easy to lose sight of metrics within this network of dealers, partners, and OEMs. As a result, product performance, usage, and ultimately, the customer experience gets affected. Technology Solution: Warranty Management Systems Software solutions can radically improve connectivity across the service life-cycle. Warranty management solutions can help reduce claims processing by 70%, by bringing all stakeholders together into a seamless system. Warranty Management Systems can positively impact collaboration with suppliers, channel partners, and customers by enabling manufacturers to focus on functionality that provides visibility into a product’s warranty life-cycle. Problem: Information Siloes The lack of transparency has many manufacturers struggling to gain visibility into their customer or product usage. This is especially true in industries where products are sold through dealers, retailers, distributors, resellers such as automotive or other equipment and machinery. With so many stakeholders involved, it is apparent that information is disconnected, leading to inefficiencies, delays in new product introduction, and ultimately dissatisfied customers.> Technology Solution: IoTs and Closed Loop Collaboration The ability for warranty operations and other service processes to leverage connected product data hinges on the number of connected assets. While the data is available, legacy systems often prevent visibility across relevant teams. By connecting smart devices and sensors and the data generated by machine networks, manufacturers can access a new level of insight needed to intelligently update the warranty claims processes. Problem: Time-Consuming and Fraudulent Claims One of the reasons warranty management is considered to be a costly affair is due to the amount of time and resources needed to investigate warranty claims. Time to process a warranty claim often requires customers to wait without their functioning product leading to increased frustration. Where the processing is still manual, errors and fraud can further derail the warranty management process. Technology Solution: AI & Machine Learning AI-driven real-time analysis of warranty claims helps understand behavior based on environment and recommend efficient product usage. This technology can help improve performance, reduce failure rates, and enhance productivity. Additionally, as more data is fed into the system through IoTs, machine-learning can enable automated warranty processes to make recommendations at a much faster pace than ever before. Problem: Duplication of Efforts Redundancies in data can cause a lot of problems in warranty management processes. It is estimated that more time and money is spent that more time is spent on administrative tasks such as updated customer information than on resolving the problem. This duplication of data inadequacy can often result in errors and more siloes within the service life-cycle process. Technology Solution: Automation Automated warranty claims systems can enhance process efficiency by reducing or eliminating manual efforts in claim submissions such as parts return and payments, turnaround time, and increasing productivity. Data accuracy will also be improved human error can be circumvented, reducing errors and redundancies. The future indicates that with the increasing use of smart devices, wearables, and smart home units, adopting a warranty management solution will likely enable an unparallel customer experience. Technology partners that offer warranty and service contract management expertise, which leverage AI and ML, will provide a distinguished advantage to the manufacturers. And manufacturers that quickly move towards a system to take advantage of these capabilities can secure their business competitiveness through increased customer satisfaction and enhanced product quality. SOURCES: https://www.mordorintelligence.com/industry-reports/warranty-management-system-market
Electric Vehicles and their Impact on Automotive Warranty Management
The falling costs of the lithium-ion battery pack, coupled with the rising concern of climate change, in addition to policy incentives, rising incomes, and technological advancements have pushed the adoption and sales of electric vehicles (EV) this last decade. The Growth of the EV Segment Bloomberg NEF’s Electric Vehicle Outlook study forecasts that EVs will hit 10% of global passenger vehicle sales by 2025, growing to nearly 28% in 2030 and 58% in 2040. In the US alone, the number of brands offering EV options will grow from 16 now to at least 40 in 2025, with electric vehicles offering consumers a wide range of segments and price points. In addition to climatic awareness, governments are also driving change. US President Biden began his term with an order to electrify the federal fleet of about 650,000 vehicles, investing in over 550,000 public charging points, and taking initiatives to bolster the domestic supply chain for critical technologies and raw materials. The Impact of EVs on the Automotive Industry All of this indicates that the next decade will see a major shakeup in the automotive industry. One example is an estimation by Ford, which believes that the simplification in the assembly of EVs could lead to a 50% reduction in capital investments and a 30% reduction in labor hours, as opposed to internal combustion engine (ICE) manufacturing. Similarly, as the number of electric vehicle consumers grows, other aspects of the automotive industry including automotive design, supply chains and production processes will undergo a transformation as well. As vehicles become more computer-dependent and less combustion engine related, learning gaps are expanding for technicians and even drivers, as they learn to handle what is essentially a new operational vehicle. EV Trends and Future of Warranty Management The automotive industry is already bracing for a shake-up when it comes to repair and parts management. With the surge in Electric Vehicles across the world, we can expect the OEMs to face an increase in the volume of technical warranty requests from their dealers. And because every vehicle is different, there will be a significant shift in how to handle these claims initially. The service and maintenance of an electric vehicle are likely to be highly different from a typical combustion engine, to which the industry has so far been geared. Not only do EVs have fewer mechanical parts, but some components also (such as plugs and sockets, inverters and powerpack coolers), aren’t part of the existing automotive warranty service. How Connected EVs Change the Repair Game There are also several different types of EVs, such as hybrid and connected vehicles, which could further add more complexity to the issue of long-term service and maintenance. IoT devices are also enabling vehicles to stay connected and detect vehicle failures even before they physically reach the service center. That means connected EVs will offer vehicle owners the ability to self-service and distinguish between actual car failure and driver solvable issues. This will impact automotive servicing to a greater extent as manufacturers may need to include ability to educate the driver if vehicles are brought in with no actual failure. There are also likely to be more auto repairs in the field, as the parts get smaller and more computer-like. This could have a significant cost and operational impact on manufacturer warranties as mechanics (with computerized knowledge) travel to the customer rather than the other way around. Smarter Cars, Smarter Warranty Management To manage this transition, OEMs will need to become smarter about their warranty management processes. By using technology to examine warranty claims, OEMs can bring increased efficiency and transparency into a complex process. This will, in turn, enable OEMs to offer superior customer-centric service. The next generation warranty management software solution leverages artificial intelligence and machine learning capabilities in order to identify and understand patterns in warranty claims. Additionally, software solutions such as end-to-end warranty lifecycle management can help OEMs reduce costs in warranty management, increase supplier recovery, and improve aftermarket sales support. Warranty management solutions can also be used to handle increased volumes in claims processing easily. Through machine learning and image recognition, the system can be trained to recognize parts and models automatically, or even detect fraud claims, saving manufacturers a tremendous amount of time and money. Shifting Gears to Stay Ahead The transition to smarter electric vehicles and the potential phasing out of combustion engines is likely to be a game-changer for many. Automotive manufacturers and suppliers are making key investment and technology decisions about the next generation of vehicle and components manufacturing, already. Forward-thinking OEMs will need to tackle their challenges by using technology solutions to enable transparent cooperation with partners to offer sourcing, supply, and maintenance benefits and future proof their business. SOURCES: The future of cars is electric – but how soon is this future? The Auto Industry and EVs: Where We Are and What’s Coming Next, After Years of Crying Wolf? Plugging Into The Future: The Electric Vehicle Market Outlook
Making Warranty Management Profitable for Manufacturers
Traditionally, manufacturers offered warranties to buyers to assure buyers of the quality and longevity of products or services. The manufacturer (or the seller) would typically cover the repair or replacement of the products within a period of time. The industry has progressed a long way from there. With the increasing complexity of production and the supply chain, warranties today include everything from product coverage to customer support and logistics. But today, with distribution and supply chains spanning continents, how do manufacturers stay on top of their warranty information and claims management? What is Warranty Management? IDC Manufacturing Insights defines warranty management as the stages of the warranty process, including registration, claim capture, claims validation, early failure detection, recalls, parts returns, adjudication, extended warranty service, supplier recovery, and reserve optimization. Professional claims management for manufacturers often comprises the paperwork for warranties, checking validity in case of fraudulent claims, and ensuring fast, efficient and cost-effective processing while fulfilling warranty claims. Managing warranties often includes the stakeholders (and their roles) in ensuring customer satisfaction with a product or service. If you are looking for a Warranty Management system that can help you reduce backlog, and minimize claims processing time and paperwork, check out Tavant’s solutions. The Impact of Digitization on Warranty Management With increased digitization, more manufacturers are turning to technology solutions to optimize the warranty management process. While manufacturers have traditionally viewed warranty management as a necessary evil, studies now prove that the right technology can help manage warranty information and claims processes more effectively, which can positively impact revenue. What is Warranty Management Software? Warranty Management software allows manufacturers to optimize their warranty management process by helping them create, monitor, process, and track warranties. Warranty management software enables users to stay on top of claims, coverage, and customer requests across the entire service life-cycle. Today’s warranty software products are also AI-enabled, allowing manufacturers to use machine learning capabilities to automate time-consuming functions. This helps improve the warranty process and ensures a superior level of customer service while delivering profitability. Benefits of a Warranty Management Software In general, warranty management software helps ensure uniform standards in warranty processes while providing increased transparency and communication between manufacturers, suppliers manufacturers. Let’s look at some of the additional specific benefits: Reduce warranty costs Technology can help manufacturers streamline processes in a way that can save time and shorten the service life-cycle, and as a result, reduce costs. APCQ (American Productivity & Quality Center) found that the more digitally mature an organization’s supply chain, the lower the warranty costs. Costs are found to drop from 3.5 % of sales when decisions are made based on analyzing past actions. Improve aftermarket excellence Reduced errors, faster resolutions, and accuracy in troubleshooting are the benefits of a warranty software solution, which improves customer satisfaction and builds a reputation for aftermarket excellence. Gain real-time intelligence Due to the digitization of many aspects of the manufacturing process, proper warranty management can offer manufacturers the ability to view in almost real-time the service experience and product usage across the entire service life-cycle. As data starts getting captured by more connected devices such as IoTs and automated warranty systems, manufacturers can analyze and avail near real-time insights into product performance and service status. Reduce fraudulent activity AI-based systems are using image recognition to identify fraudulent claims in a faster and more cost-efficient way. Machine learning algorithms are trained using thousands of images and can detect real issues against digitally manipulated images or past claims. Improve processes Warranty management software offers a closed-loop approach that can help optimize the claims procedure. By reducing operational discrepancies, warranty management can help manufacturers improve the process incrementally. Increase visibility between teams Often, teams across the service life-cycle don’t have visibility into warranty information, products, assets, and customer information. Access to service data can help all stakeholders have clear communication and visibility, improving collaboration. Optimize revenue Warranty management systems can help reduce losses incurred due to logistic delays or fraudulent claims. Time spent analyzing claims can also be minimized, saving resources and enhancing productivity, which can make warranty management a more cost-effective process. Tavant offers manufacturers an AI-driven, next-generation warranty management solution, which has helped organizations reduce warranty costs, increase supplier recovery, and improve aftermarket excellence. Talk to us for more information. SOURCES: https://tavant.com/products/warranty-management/ https://www.sdcexec.com/sourcing-procurement/article/21196030/apqc-metric-of-the-month-reducing-warranty-costs-as-a-percentage-of-sales https://www.idc.com/