SAP Warranty Management


What Is Warranty Management?

When a customer purchases a product, the manufacturer often guarantees product performance and quality with a warranty for a specific time period. Should the product fail during that time period and meet the warranty criteria, the manufacturer will refund, repair, or replace the product. Warranty management is the process of tracking customer and product data and processing warranty claims.

What Is Warranty Management?

When a customer purchases a product, the manufacturer often guarantees product performance and quality with a warranty for a specific time period. Should the product fail during that time period and meet the warranty criteria, the manufacturer will refund, repair, or replace the product. Warranty management is the process of tracking customer and product data and processing warranty claims.

SAP Warranty Management Solution

SAP has its own Warranty Management solution within SAP Automotive. According to SAP, “SAP Warranty Management is the SAP solution for processing claims and managing corresponding master data. The solution covers the complete supply chain, linking customer (reimbursement) and vendor (recovery) processes. SAP Warranty Management handles the financial aspects of claims and integrates related processes (e.g., return parts logistics or quality improvements.)”

An efficient warranty management process and system can lead to several benefits:

  • Innovations in product development. Warranty claims highlight quality issues that can lead to improvements in product development.
  • Enhanced customer experience. A hassle-free warranty claims process helps retain customers while also providing opportunity to upsell and cross-sell other products and services.
  • Accurate master data across business units. Because warranty touchpoints can cross several business units, a unified warranty system ensures customer, product, and warranty data are uniform and accessible across the enterprise.

Key Considerations for SAPinsiders

  • Boost Manufacturing Agility and Flexibility with SAP HANA. Watch this webinar panel discussion to understand why it has become clear to manufacturers that digital transformation can help maintain business continuity and increase agility when introducing new products, address supply chain constraints, and meet fluctuating demand. Learn how SAP HANA can support the goals of operational agility and optimization, supply chain management, and pricing and warranty planning. Guest panelists include Sebastien Boria (Computing Architect, Airbus), Dr. Tom Bradicich (VP, HPE), and David Austin (Senior Engineer, Intel).
  • Intelligent Supply Chain Management with SAP Cloud Platform. In this article, learn how to optimize your supply chain process through a scenario identifying inconsistent data readings at run time and forecast failures. By utilizing SAP Cloud Platform, Intelligent Equipment Inc. (a compression manufacturer referred to in the scenario) is able to keep its business running smoothly and avoid downtime. As part of the scenario, warranty management plays a role in resolving customer issues.

55 results

  1. Improve

    Published: 01/June/2006

    Reading time: 15 mins

    Integrating home-grown warranty applications with your SAP system is a challenge. Your R/3 and ECC systems provide warranty functionality that, although not well known, is already well integrated with other SAP modules. Key Concept A warranty is a written guarantee or an agreement provided by a seller (a vendor, supplier, or manufacturer in SAP terminology)...…

  2. Integrate Your Extended Warranty Program with FI/CO

    Published: 15/April/2004

    Reading time: 86 mins

    Once the SAP Customer Service (CS) component is fully integrated with your FI/CO modules, it can track many business processes such as standard warranty. However, it may not be able to effectively account for all of your business processes. The author, who recently created an extended warranty workaround to adapt a company’s system to provide...…

  3. Speed Your Month-End Close with Automated Reserve Setup, Utilization Tracking, and Over/Underrun Calculation

    Published: 25/March/2010

    Reading time: 14 mins

    Use results analysis to automatically calculate reserves for installation and warranty based on the costs planned for the relevant work breakdown structure elements. Key Concept Results analysis (RA) is a standard function in the cost object controlling module or SAP ERP Central Component. RA is used for many different objects, including internal orders, work breakdown...…

  4. Drive Service Revenue Through Service Contract

    Published: 15/January/2009

    Reading time: 17 mins

    Service contract management in SAP CRM 2007 can address the needs of many diverse service contract scenarios. The various applications of service contract management are useful for driving revenue in an increasingly service-oriented business environment. Find out what the key business drivers are for service contract management and learn about the different components that comprise...…

  5. Unlocking warranty recoveries

    Published: 12/May/2024

    Reading time: 1 min

    Explore how effective warranty management can reduce maintenance costs and enhance operational efficiency in asset-intensive sectors.

  6. Best Practices for Planning Your mySAP CRM Data Archiving Project

    Published: 15/December/2005

    Reading time: 17 mins

    Archiving dormant data can improve CRM system performance, which is especially critical in today’s mobile CRM deployments. It also can substantially reduce database costs and keep you in compliance with document-retention policies and industry and government regulations. Learn the steps you need to take when planning a CRM archiving project. Key Concept The same archiving...…

  7. Track Service Contract Prepayments in a Hidden Project System Option

    Published: 15/September/2005

    Reading time: 8 mins

    A common problem with service contracts is how to account for them correctly in financial statements, taking into account existing customer prepayments and revenue in excess. A customizing setting, hidden in the account determination of the Project System (PS), allows you to generate additional G/L entries to move customer prepayments into the receivables section of...…

  8. Quality Management Order Functionality Helps You Manage Quality Defect Costs More Efficiently

    Published: 30/August/2010

    Reading time: 14 mins

    Discover how using Quality Management order functionality in SAP ERP Central Component effectively helps you record, track, and manage the costs resulting from quality defects. Key Concept Discover how using Quality Management order functionality in SAP ERP Central Component effectively helps you record, track, and manage the costs resulting from quality defects. Traditionally, organizations use...…

  9. The Changing Tax Landscape: Can Your Technology Handle It?

    Published: 01/November/2018

    Reading time: 30 mins

    An exclusive Q&A with Central Finance Bootcamp speaker David Dixon.

  10. SAP CRM 2005 or SAP CRM 2007: Which is Best For You?

    Published: 15/November/2007

    Reading time: 13 mins

    If you are considering upgrading from earlier versions of mySAP CRM, you have two options — the current SAP CRM 2005 and the upcoming SAP CRM 2007. See how key areas in SAP CRM 2007 differ from SAP CRM 2005. Key Concept SAP CRM 2005, introduced in October 2005, includes improved marketing, sales, and E-Commerce...…