Warranties

Warranty and warranty templates

A warranty is a guarantee that a component is repaired free of charge or at reduced costs if the component does not work according to the agreed specifications, within the specified period.

A warranty can be created in the Warranty Templates (tsctm0120m000) session. You can also define the warranty terms in this session.

In the Warranty Templates (tsctm0120m000) details session, you can define the following:

• Terms effectivity
• Warranty type
• Currency
• Template validity
• Warranty Duration Type
• Warranty Start Date Determined by

You can link the warranty to:

• A service item in the Items - Service (tsmdm2100m000) session.
• A serialized item in the Serialized Items (tscfg2100m000) session.
• A default item data in the Item Service Defaults (tsmdm2105m000) session.

Serialized item warranty

A warranty becomes active when it is linked to a serialized item and the delivery date or operational date of the serialized item is specified.

The warranty data is defaulted to the Serialized Item Warranty (tscfg2650m000) session, when a warranty template is linked to a serialized item in the Serialized Items (tscfg2100m000) session. The warranty data and the terms are defaulted from the Warranty Templates (tsctm0120m000) session based on the warranty template linked to the serialized item.

If the Use Warranty Events check box is selected in the General Service Parameters (tsmdm0100m000) and the Service Offices (tsmdm1100m100) sessions, warranty log is generated in the Warranty Log (tscfg2151m000) session. When the warranty is triggered by the events, the events linked to the warranty template are defaulted in the Warranty Events (tscfg2152m000) session.

The duration of the warranty coverage is determined based on the value selected in the Warranty Duration Type and the Warranty Start Determined By fields:

Warranty Duration Type	Warranty Start Date Determined By	Impact
Fixed Duration	Delivery/ Installation	The Warranty Start Date is set to the Delivery Time/ Installation Time specified for the serialized item in the Serialized Items (tscfg2100m000) session. The Warranty Start Date specified for the warranty is defaulted as the Effective Date for the coverage terms linked to the warranty. The Expiry Date of the coverage terms is calculated as: Warranty Start Date+ Number of Periods (specified in the Valid For field in the Warranty Coverage Terms (tsctm1120m500) session) If the Delivery Time/ Installation Time specified for the serialized item is modified, the Warranty Start Date is updated with the modified value and the Expiry Date of the coverage terms is recalculated. The Terms Expire On field is set to the End Date of the longest coverage term. This value is updated when the coverage terms date is modified manually to a date later than the warranty End Date. Log data is not maintained for the Fixed Duration Warranty Type.
Fixed End Date: The end date of the warranty is fixed.	Delivery/ Installation	The Fixed End Date of the warranty is calculated based on the Delivery Time/ Installation Time specified for the serialized item in the Serialized Items (tscfg2100m000) session: Installation Time/ Delivery Time+ No. of periods (specified in the Number of Periods field in the Warranty Templates (tsctm0120m000) session) The Effective Date of the coverage terms linked to the Warranty is set to the Delivery Time/ Installation Time specified for the serialized item in the Serialized Items (tscfg2100m000) session. The Expiry Date of the coverage terms is calculated as: Warranty Start Date+ Number of Periods (specified in the Valid For field in the Warranty Coverage Terms (tsctm1120m500). Note: The Expiry Date of the coverage term cannot exceed the Fixed End Date of the warranty. Log data is maintained for the Fixed End Date Warranty Type.
	Defined Events	The Fixed End Date of the warranty is set based on the start event defined for the Event Set linked to the warranty. The Warranty Start Date is set to the date when the event is executed. The Fixed End Date is calculated as: Warranty Start Date+ Number of Periods (specified in the Number of Periods field in the Warranty Templates (tsctm0120m000) session). The Warranty Start Date set for the warranty is defaulted as the Effective Date for the coverage terms linked to the warranty. The Expiry Date of the coverage terms is calculated as: Warranty Start Date+ Number of Periods (specified in the Valid For field in the Warranty Coverage Terms (tsctm1120m500) session). Note: The coverage terms date can be modified manually. However, the Expiry Date of the coverage term cannot be later than the Fixed End Date of the warranty. Log data is maintained for the Fixed End Date Warranty Type.
Flexible Duration	Defined Events	The Warranty Start Date of the warranty is set based on the start event defined for the Event Set linked to the warranty. When the start event is executed, the Warranty Start Date is set to the date when the event is executed. The Warranty Start Date set for the warranty is defaulted as the Effective Date for the coverage terms linked to the warranty. The Expiry Date of the coverage terms is calculated as: Warranty Start Date+ Number of Periods (specified in the Valid For field in the Warranty Coverage Terms (tsctm1120m500) session). If the dates specified for the coverage terms is updated, the Terms Expire On date is also updated.
Combined Duration	Defined Events	A Pre-installation and Post-installation period is specified for the warranty. The warranty is applicable only if a predefined start event, that indicates the item’s installation, is executed within the specified pre-installation period. A warranty is not applicable if the installation is done after the pre-installation period. The Warranty Start Date is set to the date when the start event is executed, only when the start date is within the defined pre-installation period. The Warranty End Date is determined based on the value set in the Combined Duration Type field: Additive: If the item is installed within the pre-installation period, the warranty is applicable for the complete post-installation period, from the time the item is installed. The Warranty Start Date set for the warranty is defaulted as the Effective Date for the coverage terms linked to the warranty. The Expiry Date of the coverage terms is calculated as: Warranty Start Date+ Number of Periods (specified in the Valid For field in the Warranty Coverage Terms (tsctm1120m500) session). Subtractive: If the item is installed within the pre-installation period, the warranty is applicable for the entire (or remaining part of the) post-installation period, from the time the item is installed. The Warranty Start Date set for the warranty is defaulted as the Effective Date for the coverage terms linked to the warranty. The Expiry Date of the coverage terms is calculated as: Warranty Start Date+ Number of Periods (specified in the Valid For field in the Warranty Coverage Terms (tsctm1120m500) session). If the calculated Expiry Date of the coverage terms is later than the ‘pre-installation period end date’, this date is considered as the coverage term end date. The ‘pre-installation end date’ is calculated as: The (first) Transaction Date from the Warranty Log (tscfg2151m000) session + the pre-installation period defined in the Serialized Item Warranty (tscfg2650m000) session, converted to days. Example, if the Pre-installation period is 5 years and the Post-installation period is 1 year, and the pre-installation period is started and the serialized item is installed after 4.5 years: For a combined warranty with type Additive, 1 year warranty is given For a combined warranty with type Subtractive, 0.5 year warranty is given.

You can define coverage terms for the warranty by selecting the Coverage Terms option from the Coverage Terms menu. In the Warranty Coverage Terms (tsctm1120m500) session, you can define:

• Coverage type
• Term type
• Cost-covering method
• Term phasing data
• Cost and sales amounts (for serialized items only)

If you link a warranty to a (top) serialized item, the above-mentioned terms also apply to the (top) serialized item and the serialized items in the physical breakdown. The warranty terms of the (top) serialized item can be customized.

To customize a serialized item's warranty terms

1. In the Serialized Items (tscfg2100m000) session, select the appropriate serialized item line.
2. On the Coverage tab, click the button next to the Template field to access the Warranty Coverage Terms (tsctm1120m500) session. You can add, change, or delete warranty terms in this session.

Start/Stop serialized item warranty by event

When an event that starts or stops a warranty is executed, an action is logged in the Warranty Log (tscfg2151m000) session with the Kind of Change field set to Timer Log.

The warranty timer can be started by only one event, for the first time. For example, when the item is sold or shipped (issued). When this start event is executed, the Warranty Start Date is updated with the Latest Start Date from the Warranty Log (tscfg2151m000) session.

The events can stop (pause) and start warranty at any given point of time. These actions are logged in the Warranty Log (tscfg2151m000) session. The overall warranty period can be extended for the total duration for which the warranty is stopped.

The warranty events can be started/stopped automatically or manually.

Extending the serialized item warranty period

The Warranty Log (tscfg2151m000) session is used to track the period for which the warranty for a serialized item is stopped (paused). The warranty duration is extended with this period, after the item repair process is completed. The warranty duration can be extended only when the Warranty Duration Type is set to Flexible Duration or Combined Duration in the Warranty Templates (tsctm0120m000) session.

The duration of the warranty is extended for the number of days between the first logged warranty stop event and the last logged warranty start event.

The Warranty End Date Updated On is updated accordingly in the Serialized Item Warranty (tscfg2650m000) session.

For a warranty, if the Update Warranty End Date automatically check box is selected in the Serialized Item Warranty (tscfg2650m000) session, the Expiry Date of the linked warranty coverage terms is extended with the number of days for which the warranty is stopped. The Terms Expire On date is updated accordingly.

If the Update Warranty End Date automatically check box is cleared, you can use the Extend Warranty option in the Serialized Item Warranty (tscfg2650m000) session, to extend the warranty.

If the Warranty Duration Type is set to Combined Duration, the Pre-Installation and the Post-Installation periods must be defined. The extension of the warranty duration is applicable only for the Post-Installation period. This is the period in which the warranty coverage is active.

Determine warranty coverage

When the event that starts the warranty is executed, the Warranty Start Date for the warranty is defaulted with the date when the event executed. LN checks if there are open service objects such as calls, service order and maintenance sales orders, linked to serialized item for which the warranty is applicable. If existing, you can select to update the start date for the coverage terms linked to the open service objects. The warranty coverage for the linked estimated and the actual cost lines is recalculated.

If a warranty is terminated for a serialized item, the warranty for the service object is applicable only when the coverage time defined for the service object is before the termination date of the warranty.

Terminate Warranty

You can use the Terminate Serialized Item Warranty (tscfg2250m000) session to terminate a warranty that is linked to a serialized item and is active. The Terminate Warranty option in the Serialized Item Warranty (tscfg2650m000) session can be used to access this session. You must specify the Reason Code and the Termination Date. Before terminating the warranty, LN checks if a service object (open orders, calls and so on) exists for the serialized item, with the Warranty Type set to Serialized Item Warranty, that is yet to be processed. If the Simulate check box is selected in the Terminate Serialized Item Warranty (tscfg2250m000) session, these service objects are printed. If the Simulate check box is cleared:

• The Warranty Type field is set to No Warranty
• The warranty for the service object is deleted
• The warranty amount for the related cost lines is recalculated.

After the warranty is terminated, LN updates the values in the Terminated By, Termination Reason and the Termination Text fields and selects the Terminated check box in the Serialized Item Warranty (tscfg2650m000) session.