RealWarranty

SUPPLIER WARRANTY RECOVERY

Supplier Warranty Recovery Co-innovated with SAP

Solution: Integrated solution with SAP that auto-generates debit notes with batch # /part # supply evidence between Manufacturer & Tier 1, Tier 1 & Tier 2… up to Tier n Supplier based on approved Warranty Claim and Supplier Terms using Blockchain Distributed ledgers & Smart Contracts.

Value Proposition:8 to 10% additional Supplier warranty recovery by Manufacturer / Tier 1 Supplier from their counterparts.

Real Warranty is an aftermarket Supplier warranty recovery product co-innovated with SAP which is will generate debit notes API request based on claim received by OEM; between OEM & Tier 1, Tier 1 & Tier 2 and so on based on origin of Material, usage in BOM, warranty contract conditions between various parties.

As per Warranty Week estimates; It is said that today the Supplier warranty recovery in Automotive Industry is around 10 to 17% whereas the fair share of Supplier warranty recovery could be as high as 37%”

Ref: Warranty Week

As per Warranty Week estimates, the Supplier recovery for Consumer Electronics is around 20% whereas the ideal Supplier recovery could be as high as 30%

Ref: Warranty Week

Challenges

  • Higher Claim volumes and lower claim value discourages the OEMs / Tier 1 Suppliers from their counterparts due to higher recovery costs.
  • Complex Recovery Process due to claim multipliers between OEM / Tier1 Suppliers and their counterparts.
  • Ability to trace a part / material and the identification of the supplier is a Complex process.
  • Claim litigation incidents between OEMs / Tier 1 Suppliers and their counterparts leading to significant of time and resources in warranty recovery.
  • Disparate Systems with no information exchange between OEM / Tier 1 Suppliers and their counterparts

Blockchain powered RealWarranty Solution

  • Real Warranty is an aftermarket Supplier warranty recovery product co-innovated with SAP which will generate debit notes API request based on claim received by OEM ; between OEM & Tier 1, Tier 1 & Tier 2 and so on based on origin of Material, usage in BOM, warranty contract conditions between various parties.
  • Solution seamlessly complements the existing SAP / Other ERP systems w.r.t Purchase, Sales, Receiving, Shipping, Inspection, Warranty & Manufacturing transactions.
  • Warranty agreement can be modeled as Business Rules in Smart contracts on Blockchain
  • Functionality will be provided to Tier 2/3/4 suppliers network who are using legacy / non ERP systems for establishing end-to-end traceability

Business Benefits

  • 8 to 10% Increased warranty recovery from the OEMs / Tier 1 Suppliers from their counterparts (Estimated)
  • Solution benefits both OEM / Large Tier Supplier to recover warranty from their counterparts
  • Increase the trust among entities due to Blockchain technology which brings in immutability, encryption and trust among the participants in the ecosystem and no single entity controls the system.
  • Reduction in claim litigation incidents OE / Tier 1 and their counterparts.
  • Increase the trust among entities due to Blockchain technology which brings in immutability, encryption and trust among the participants in the ecosystem and no single entity controls the system.