Head of Service, Warranty and Audit
Our client tasked us with bringing efficiencies to the warranty claims process, reducing headcount, providing a solution to manage peaks and troughs of demand and to add value to their Quality Improvement Strategy. They were looking to improve the quality of the service provided whilst reducing costs by outsourcing the function completely.
The client was receiving some 880,000 warranty claims annually but the reality was that only 25% of this total were being processed based on specific criteria. This in part was due to inaccurate and illegitimate warranty claims. Furthermore, due to an inflexible working environment, time usage was inefficient and therefore administration costs were high. In fact, productivity of individuals had declined by 30%.
The direct result meant that programme administration costs were high. With inefficient use of time, employees had a lot of downtime and in turn, head count was high.
As a solution, Impetus Automotive structured a management team to ensure a smooth contract transition and allow for new process to be implemented to drive costs down. The three key areas for focus were:
The outsourcing of the warranty claims processing is a great example of our Business Process Outsourcing capabilities, developing strategy, implementing the process and managing the final operation.
To date, we’ve delivered on the client’s three key objectives they set out to achieve:
By improving efficiencies, we’ve allowed for a 14% reduction in the core team’s headcount.
By developing operational practices, we created greater flexibility within the work force, enabling team members to be reassigned to other targeted activities during quieter processing periods.
To add value to the warranty improvement strategy, we are: