Warranty claim processes
If items or assets get damaged, you can seek to repair or replace the items and assets. You can make warranty claims that are based on warrantable transactions or based on ad hoc requirements.
Generated warranty claims
- When you change work orders
- When you change purchase requisitions
- When you change purchase orders
- When you change requests for quotations
- When you change labor transactions
- When you change inventory issues
Warranty claims for assets that are under warranty are generated based on incident. For example, if your car breaks down twice, the first time because the steering pump failed and the second time because the alternator failed, these failures are recorded as separate incidents. Therefore, these incidents are two separate claims. A work order is created for each repair job and you are alerted that possible warranty situations exist. When you generate a warranty claim, a warranty claim is automatically created for each incident.
After you generate a warranty claim, it might have several claim lines. For example, two people are required to repair the alternator and each work an hour apiece. The repair job also requires three parts. After you generate the warranty claim for the alternator repair job, five claim lines are automatically created for the hour worked by both people and each part.
To generate warranty claims for items and assets that are based on warrantable transactions, go to the Warranty Claims (Tr) application, select the Generate Warranty Claims action, and specify the warranty claim details. The initial status of the warranty claim is determined by your organization's requirements.
Ad hoc warranty claims
You can create ad hoc warranty claims to save processing time and associated costs for low-cost items. For example, you have warranty coverage for air brake valves from your vendor. The air brake valve is a low-cost item. Rather than submit a warranty claim each time an air brake valve fails, you can wait until you accumulate several failed items. You can then create an ad hoc warranty claim for the entire batch of failed air brake valves.
If you have a number of items that must be replaced or repaired, you can seek reimbursement from the vendor, even if they are not covered under warranty. For example, if you have number of air brake valves that failed, you can create an ad hoc warranty claim to return the items to the vendor. Typically, a vendor might offer some reimbursement for a large volume of failed items.
You can also create ad hoc warranty claims for incidents that are not recorded in work order inventory transactions.
To create an ad hoc warranty claim, go to the Warranty Claims (Tr) application, click New Claim, and specify the warranty claim details.
Warranty claim completion
If you submitted a warranty claim to replace an item, from the Select Action menu, create a no-charge purchase order. When the no-charge item on the purchase order is received, the quantity recovered on the warranty claim is set to the total quantity of the receipts. If the quantity recovered is equal to or greater than the claimed quantity, the status of the warranty claim is set to closed. A return transaction is created that credits the asset on the claim for the inventory value of the item, and the item is returned to the storeroom that is specified on the warranty claim.
If you submitted a warranty claim for refund of items or for repair costs for an asset, from the Select Action menu, create a credit invoice. After you create the credit invoice, the status of the warranty claim is set to claim submitted. When the credit invoice is approved in the Invoices (Tr) application, the recovered amount on the claim record is set to the total amount on the credit invoice. If the amount recovered is equal to or greater than the claimed amount, the status of the warranty claim is set to closed.
