Leveraging Technology to Manage Service Parts for Warranty Claims

Leveraging Technology to Manage Service Parts for Warranty Claims

Manufacturers
and warranty companies are under constant pressure to reduce warranty claims
costs while maintaining customer satisfaction and retention. Both must continually
seek opportunities to control costs, maintain service levels and ultimately
drive favorable Net Promoter Scores. One proven strategy that achieves all of
these goals is to integrate claims management systems with service parts vendors.
Robert Coolidge
President &CEO
With direct systems
connectivity, parts needed for a repair can be properly identified and readily
dispatched during the triage stage of the warranty claims process. In-home
service can also be accurately scheduled to coincide with part delivery to the
consumer or technician – streamlining the process and reducing turn time. All
parties involved have complete visibility to this critical component of the
repair process, and with significant benefits:
  • Manufacturers
    and warranty companies can rest assured the correct part(s) arrive, and pricing
    is transparent.
  • Service entities
    can track shipments and accurately schedule service calls.
  • Customer service
    is armed with on-demand data to field service inquiries.
  • Consumers
    clearly understand the status of their service incident.
  • Manufacturers
    and warranty companies retain customers and avoid costly buyouts.

There are
several simple but effective ways to build connectivity between disparate
systems. One such conduit is Simple Object Access Protocol – or SOAP – which
enables a program running in one kind of operating system to communicate
with a program in the same or other operating system by using the web’s
Hypertext Transfer Protocol (HTTP) and its Extensible Markup Language (XML) as
the mechanisms for information exchange. Sound complicated?  It did to me when Encompass first embarked on
this platform of connectivity, but we have since found this solution to be
quite simple and cost effective.

Encompass currently maintains SOAP connectivity with many
warranty companies (or their claims administrator) and manufacturers. In
addition to parts ordering capability, connectivity provides visibility to
real-time order status and shipment tracking, and enables users to easily
cancel orders or initiate returns. 
Developers can easily access our SOAP interface via www.encompassparts.com/soap.  Although SOAP is the most effective platform
available today, other formats can be effective as well, such as EDI or FTP.  We have yet to find a data format that can’t
be utilized to drive benefit to the repair process.
 
By far, reduced repair time is the most significant
advantage of this strategy. All manufacturers and warranty companies set
aggressive timelines for repairs to be completed, and rightfully so. If the
deadline is not met, they may have to compensate the customer in some way, and/or
potentially risk customer satisfaction.
The synchronization of in-home service with parts
delivery can shave valuable days off the repair process, providing a
win-win-win for all involved. In the age of social media, news travels at light
speed.  Connectivity to the parts portion
of the service experience provides an edge manufacturers and warranty companies
can leverage to ensure complete customer satisfaction of the service
experience, and help build lasting customer relationships.

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