Warranty Fraud Management: Reducing Fraud and Other Excess Costs in Warranty and Service Operations - Hardcover

by Matti Kurvinen (Author), Ilkka Töyrylä (Author), D. N. Prabhakar Murthy (Author)

Cut warranty costs by reducing fraud with transparent processes and balanced control

Warranty Fraud Management provides a clear, practical framework for reducing fraudulent warranty claims and other excess costs in warranty and service operations. Packed with actionable guidelines and detailed information, this book lays out a system of efficient warranty management that can reduce costs without upsetting the customer relationship. You'll dig into the whole spectrum of warranty fraud, from simple sloppy procedures to systematic organized crime, and get to know the fraudulent parties, the victims, as well as the objectives and methods of the fraudulent activities in different scenarios. You'll learn how to implement controls to detect and reduce fraudulent claims and decrease the overall warranty costs. The impact of fraudulent claims is plainly spelled out alongside detailed descriptions of typical symptoms and process gaps present in diverse companies. A comprehensive, multi-modal framework for robust warranty management is presented as a template for revamping your own company's strategy.

Fraudulent warranty claims occupy an estimated 3-15 percent of the average company's warranty costs, which generally average between 1-4 percent of sales. Many companies are unaware of the issue or struggle to take action against the claims for fear of upsetting business partners, or because they lack tangible evidence. This book details a robust warranty control framework that institutes transparency and control over the whole warranty chain--supporting the process far beyond just fraud reduction.

• Understand the different actors (customers, sales channels, service agents, warranty providers, etc.) and different forms of warranty fraud
• Uncover issues in your company's warranty processes
• Learn methods to detect and prevent fraudulent activities
• Implement a robust system of warranty cost control

Warranty fraud is a major cost-control issue for most companies, but the sensitive nature of the topic leaves most reluctant to share their experiences and divulge their strategies. Warranty Fraud Management brings warranty fraud out into the open, and provides a clear, actionable framework for cost-savings through fraud reduction.

Front Jacket

Fraudulent warranty claims bite into anywhere from three to fifteen percent of a typical company's warranty costs--which translates into one to four percent of sales. Whether a company is unaware of the issue, struggles to take action for fear of upsetting business partners, or simply can't obtain enough tangible evidence, Warranty Fraud Management provides the complete solution in a robust warranty control framework that goes far beyond ordinary fraud reduction.

The dynamic authorial team brings global perspective to the topic in an engaging mix of theory and real-world practice that enables you to implement transparency and take control of the entire warranty chain. Inside, you dig into the whole spectrum of warranty fraud, from unintentional, sloppy procedures to systematic organized crime. Through candid examples from actual cases, you see firsthand how matters play out for the fraudulent parties and the victims, as well as how the objectives and methods of fraudulent activities manifest in different scenarios. Experiential guidance remains sensitive to creating too rigid controls that are costly and may affect customer satisfaction, and instead presents ways to remain flexible to the evolving faces of fraud. Always with an eye to practical methods for fraud detection and avoidance, this valuable guide gives you everything you need to:

• Identify the topology of the most common fraud scenarios and the motivations behind each one
• Master a versatile and easy-to-use toolkit for tackling the known and unknown scenarios
• Understand the essential building blocks for structured warranty fraud management
• Take action on planning and following through on an initiative to reduce warranty fraud

There's no doubt that addressing fraud is tough to do because it requires questioning current business relationships, some of which are well established and personal. There is no silver bullet for every situation, but Warranty Fraud Management gives you the awareness, interpersonal strategies, and tools for taking back control of your warranty services.

Back Jacket

WARRANTY FRAUD MANAGEMENT

Fraudulent warranty claims bite into anywhere from three to fifteen percent of a typical company's warranty costs--which translates into one to four percent of sales. Whether a company is unaware of the issue, struggles to take action for fear of upsetting business partners, or simply can't obtain enough tangible evidence, Warranty Fraud Management provides the complete solution in a robust warranty control framework that goes far beyond ordinary fraud reduction.

The dynamic authorial team brings global perspective to the topic in an engaging mix of theory and real-world practice that enables you to implement transparency and take control of the entire warranty chain. Inside, you dig into the whole spectrum of warranty fraud, from unintentional, sloppy procedures to systematic organized crime. Through candid examples from actual cases, you see firsthand how matters play out for the fraudulent parties and the victims, as well as how the objectives and methods of fraudulent activities manifest in different scenarios. Experiential guidance remains sensitive to creating too rigid controls that are costly and may affect customer satisfaction, and instead presents ways to remain flexible to the evolving faces of fraud. Always with an eye to practical methods for fraud detection and avoidance, this valuable guide gives you everything you need to:

• Identify the topology of the most common fraud scenarios and the motivations behind each one
• Master a versatile and easy-to-use toolkit for tackling the known and unknown scenarios
• Understand the essential building blocks for structured warranty fraud management
• Take action on planning and following through on an initiative to reduce warranty fraud

There's no doubt that addressing fraud is tough to do because it requires questioning current business relationships, some of which are well established and personal. There is no silver bullet for every situation, but Warranty Fraud Management gives you the awareness, interpersonal strategies, and tools for taking back control of your warranty services.

Author Biography

Matti Kurvinen is an independent consultant focusing on service strategy and operations in general and warranty management in particular. After twenty-three years and various leadership and content expert positions in an international top-tier management consultancy, he started his own consulting practice in 2014.

Ilkka Töyrylä, Dr.Sc., is a management consultant with over twenty years of both industry and consulting experience. His key areas of expertise include service operations and warranty management. His doctoral thesis on traceability studied different opportunities for utilization of item level product and serial number data, warranty management being one of the application areas.

D.N. Prabhakar Murthy is professor emeritus at the University of Queensland in Brisbane, Australia, where he lectured on various topics in engineering and technology management for over 30 years. He has researched many different topics in reliability, maintenance, and warranty, resulting in many books and technical papers.