Warranty management: It´s time to get proactive

Explore the challenges of warranty management and learn how to cut costs and drive customer satisfaction

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Contents
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The big warranty challenge

Warranty works better with analytics

How to win with warranty

How manufacturers have transformed
their warranty challenges with SAS

Why choose SAS?

What analysts say about SAS

The big warranty challenge
Discussing the business issues and major impacts
shaping today’s warranty landscape

In the experience economy, your customers hold the power and their expectations are growing by the day.

Today, consumers increasingly demand three things: convenience, speed and reliability, a trifecta that has grown to define the modern age.

Customers want to find desired products easily, receive them quickly and depend on them daily, and they won’t hesitate to voice their dissatisfaction should interruptions arise during this consumption process.

In the modern era, proactive planning and rapid resolutions are the only viable approaches to inevitable warranty issues, as with each passing day, a decline in both brand and product perception is sustained.

For manufacturers who already spend 2% of total sales to cater to warranty obligations, these negative impacts can be catastrophic – particularly when product complexity is increasing and possible points of failure grow.

To reduce warranty spend, limit customer dissatisfaction and maintain brand reputation, you must reduce the time taken to detect issues, identify root causes and resolve faults – and the pressure is mounting.

So, what can you do?

Advanced analytics hold the key to transforming the art and science of warranty management.

Let’s take a look at what this could mean for your business.

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2%
The cost to cover
warranty obligations
as a percentage of
total sales

Warranty works better with analytics
Summarizing the value and practical application of data analysis on warranty

Analytics applied to warranty is the No. 1 differentiator between best in class and laggard service organizations1.

The last decade has seen rapid advances in connectivity, mobility, analytics and data processing, creating what some call the fourth industrial revolution or Industry 4.0.

A hallmark of Industry 4.0 is advanced analytics, which when applied to your warranty management processes can deliver impressive results, strengthen your manufacturing processes and bring them forward into a powerful digital age.

Practical
results

  • Increase automation
  • Improve recall precision
  • Reduce costs

Financical
results

  • Faster problem resolution
  • Recover more warranty costs
  • Increase extended warranty profit

Enterprise
results

  • Enhanced synergy across products and factories
  • Improved performance

Corporate
results

  • Improved customer experience
  • Enhanced brand equity
  • Increased market share

1. Aberdeen Group. Year. Article title. Findable: online << insert link online.

Warranty works better with analytics

Summarizing the value and practical application of analytical analysis on warranty

With the help of advanced analytics, manufacturers today can digitize operations, transform efficiency and supercharge profitability. The diagram below demonstrates where advanced analytics can save manufacturers time and money, alongside real-world data of the sorts of improvements that can be achieved.

How the Application of Advanced Analytics Delivers Value Across the Product Lifecycle and Detection Timeline

Analytics can minimize the impact of aftersales defects and increase efficiencies across the detect-prioritize-define process by:

  • Identifying issues early
  • Accelerating problem-solving
  • Minimizing recall size
  • Improving customer satisfaction
  • Reducing bad claims
  • Increasing service contract profit

How to win with warranty

Transform your processes with analytics to deliver superior financial and brand outcomes According

Manufacturers will win the war on warranty costs with proven advanced analytics.

Advanced analytics, with the help of artificial intelligence (AI) and machine learning (ML), can help quality engineers detect emerging issues sooner, find root causes faster, reduce problem resolution cycle times and ultimately lower warranty costs.

This is all made possible when creating a holistic view of quality and generating a robust feedback loop to connect asset performance analytics, quality product analytics and field quality analytics in one system.

The result?

Improved quality performance results

Detect product field quality issues and resolve matters detected faster by analyzing warranty claims data with production, sales and telematic data.

Better customer satisfaction

Meet the ever-growing demands of customers by shortening issue resolution times and reducing service incident rates.

Increased brand equity

Release more high-quality products into the marketplace by detecting and correcting production faults. Grow trust and brand performance.

2. Citation goes here IDC. Year. Article title. Findable: online << insert link online.

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According to IDC,
the biggest differentiators are:

  • Analytics systems
  • Fraud detection tools
  • Early warning systems
  • Advanced analytics2

How manufacturers have transformed
their warranty challenges with SAS

 

Showcasing the real-world value customers gain with SAS

 

SAS offers the world’s most advanced analytics. We unite AI and machine learning, proactive real-time modelling and a team of experts in data science to help predict the next warranty issue. We combine field performance data with key customer, product, manufacturing and geographic information to create a comprehensive view of quality. Our AI predictive modelling allows you to make smarter decisions, predict issues before they happen and proactively escalate areas of improvement before they cause irreparable damage to your brand reputation.

But don’t just take our word for it.

HONDA

The business issue
      The solution      
       The results        

HONDA
American Honda Motor Company Inc.

The business issue:

  • Lengthy warranty claim analysis and scrutinization
  • Manual noncompliance identification
  • Inaccurate forecasting for parts and usage

KIA

The business issue
      The solution       
       The results        

See what SAS can do for you
Interested to find out whether SAS can help you achieve similar results? Take us for a test-spin today. Try a demo ››

Why choose SAS?

Why the manufacturing industry has relied on SAS for 40+ years

The convenience, speed and reliability trinity prevalent in today’s experience economy has increased the strain on manufacturer’s warranty management processes.

As a result, companies find themselves tasked with searching for solutions to help them become proactive rather than reactive, cutting the cost of warranties and driving customer satisfaction.

The way to win with warranty is to embrace Industry 4.0 and leverage advanced analytics to minimize the impact of aftersales defects, identifying issues quickly to address them before they escalate and irreparably damage brand reputation and profitability.

As the world leader in advanced analytics and AI, SAS is the analytics provider your organization needs to take its warranty management process and systems to the next level. Our full spectrum of market-leading advanced analytics solutions can integrate and operate on data from any source – from IoT to Cloud – in real-time. Our solutions are purpose built to deal with high-volume, variable sensor data sets, enabling you to extract value and insights from disparate systems quickly to keep up with the pace of change.

  • Lower warranty costs
  • Enhance product optimisation ROI
  • Increase customer satisfaction
  • Improve brand equity
  • Identify potential warranty issues before they spread
  • Benefit from 40+ years of trusted manufacturing experience

What analysts say about SAS:

  • "When complex analytics drives decisions, SAS Intelligent Decisioning builds on SAS’ legacy and excels at bringing the full breadth and depth of SAS’ storied analytics into decision logic."
    The Forrester Wave™: Digital Decisioning Platforms, Q4 2020, Forrester Research, Inc., December 8, 2020.

  • "SAS’ dedication to analytical decision-making gives it a competitive edge for decision arbitration, which is the heart and soul of RTIM. It continues to bolster its RTIM capabilities for business users, like journey analytics visualization and digital experience orchestration." The Forrester Wave™: Real-Time Interaction Management, Q4 2020, Forrester Research, Inc., October 20, 2020.

    Ready to reduce warranty
    costs and improve profitability?

    Embrace proactivity and learn about the difference SAS can make to your warranty management, now.

         Visit SAS     

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