How Digitization Of Warranty Claim Processing Can Benefit Automotive OEMs?
In automotive OEMs the traditional process of managing warranty claims keeps them high every-time with administrative diversion, work issues and high loss percentage and their brand value is always on stake. With traditional policies, comes the lack of strategy, unmanaged
documents, low market value and loss of business productivity. All such things can be changed instantly with the implementation of digital technology. OEMs can integrate digital warranty claim management software to streamline all the process.
In traditional process of claim validation, the claim processor can’t catch all the facts and there are high chances that they pass the without warranty claims due to some mistakes and such mistakes result in huge loss to the organization. Also, it’s too hard to manage such huge number of claims manually and then prepare their record on paper. As discussed earlier also, OEMs can leverage automated warranty management software to manage the tasks with online portal. The system will help OEMs to automate the claim validation process from the point a part leaves the warehouse and till it come back to them for replacement.
The Traditional Complexity
Manually, automotive OEMs and dealers follow pen and paper method to register a claim request. Customer comes to dealers with defected part and dealer representative process the claim to OEMs after formal checks. Now, claim data reach to OEM through post and they verify the details on their end. Now, they may accept or reject the claim and report of the same is sent back to dealer through post. It’s a very long process and resource wastage is also there. Apart from this, there are several points that can’t be addressed through manual method.
Payment Issue
For every task to be completed in an organization, a procedure is followed. And, in the same way OEM has defined time for payment processing of warranty claim. If the claim is accepted on OEM end, they need to pay the amount to dealer as reimbursement. But this amount doesn’t reaches to dealers on time and huge amount go uncollected every year. All this functioning can be stopped by integrating warranty claim management system. It will also improve the relationship between OEM and dealer.
Increase In Revenue
As discussed above also, a huge portion of revenue is wasted every year due to manual processing. But integrating the digital setup for warranty management will save huge amount. There will be no errors in the process, claim validation will be genuine and amount will be transferred with full transparency from OEM to dealers. And, they will get notification instantly after each processing.
Digital Documentation
To validate claims and process amount to the account of dealer, OEMs need proper documentation and these documents are kept safe. But to manage such huge level of paper based is not easy. Also, proper documentation can be used later for data extraction and that data can be used in proper decision making. So, the best idea is to integrated automated warranty claim management software and keep data centralize.
Due to unstructured data and paper based documentation, revenue leakage is normal in warranty management process. In warranty management process, there are various processes like – claim filing, claim processing, claim validation, administrative management, claim approval and refund processing. As an OEM you already know, how difficult it is to manage such tasks at grand level. So, the only way is integrating warranty claim management system
It will help OEMs save millions of dollars every year, making it the highest revenue generating software in the market. Additionally, warranty solution will help OEMs in identifying the root cause of part failure and automate the parts return process also, through RMA.
Considering the revenue at stake, multifaceted nature, unbending nature risk, and its affectability to such a large number of individual procedures warranty claims preparing might be the probably framework to fail at OEMs level. Implementing warranty claim management to deal with your claim preparing will eliminate issues discussed above and will give you direction as to a significant number of the rest of the contributors. Let Intellinet be given opportunity to control your hazard and set up a solid framework that will handle the most difficult circumstances.
You must have got an idea about the warranty management system and how it works, if you still have any query about the software, feel free to connect with team Intellinet at www.intellinetsystem.com
In traditional process of claim validation, the claim processor can’t catch all the facts and there are high chances that they pass the without warranty claims due to some mistakes and such mistakes result in huge loss to the organization. Also, it’s too hard to manage such huge number of claims manually and then prepare their record on paper. As discussed earlier also, OEMs can leverage automated warranty management software to manage the tasks with online portal. The system will help OEMs to automate the claim validation process from the point a part leaves the warehouse and till it come back to them for replacement.
The Traditional Complexity
Manually, automotive OEMs and dealers follow pen and paper method to register a claim request. Customer comes to dealers with defected part and dealer representative process the claim to OEMs after formal checks. Now, claim data reach to OEM through post and they verify the details on their end. Now, they may accept or reject the claim and report of the same is sent back to dealer through post. It’s a very long process and resource wastage is also there. Apart from this, there are several points that can’t be addressed through manual method.
Payment Issue
For every task to be completed in an organization, a procedure is followed. And, in the same way OEM has defined time for payment processing of warranty claim. If the claim is accepted on OEM end, they need to pay the amount to dealer as reimbursement. But this amount doesn’t reaches to dealers on time and huge amount go uncollected every year. All this functioning can be stopped by integrating warranty claim management system. It will also improve the relationship between OEM and dealer.
Increase In Revenue
As discussed above also, a huge portion of revenue is wasted every year due to manual processing. But integrating the digital setup for warranty management will save huge amount. There will be no errors in the process, claim validation will be genuine and amount will be transferred with full transparency from OEM to dealers. And, they will get notification instantly after each processing.
Digital Documentation
To validate claims and process amount to the account of dealer, OEMs need proper documentation and these documents are kept safe. But to manage such huge level of paper based is not easy. Also, proper documentation can be used later for data extraction and that data can be used in proper decision making. So, the best idea is to integrated automated warranty claim management software and keep data centralize.
Due to unstructured data and paper based documentation, revenue leakage is normal in warranty management process. In warranty management process, there are various processes like – claim filing, claim processing, claim validation, administrative management, claim approval and refund processing. As an OEM you already know, how difficult it is to manage such tasks at grand level. So, the only way is integrating warranty claim management system
It will help OEMs save millions of dollars every year, making it the highest revenue generating software in the market. Additionally, warranty solution will help OEMs in identifying the root cause of part failure and automate the parts return process also, through RMA.
Considering the revenue at stake, multifaceted nature, unbending nature risk, and its affectability to such a large number of individual procedures warranty claims preparing might be the probably framework to fail at OEMs level. Implementing warranty claim management to deal with your claim preparing will eliminate issues discussed above and will give you direction as to a significant number of the rest of the contributors. Let Intellinet be given opportunity to control your hazard and set up a solid framework that will handle the most difficult circumstances.
You must have got an idea about the warranty management system and how it works, if you still have any query about the software, feel free to connect with team Intellinet at www.intellinetsystem.com
Comments
Post a Comment