3.3. Functionality for Future phasesThe following items

3.3. Functionality for Future phasesThe following items are out of scope:• Any integration with SAP BOBJ and BW systems. We will however provide guidance for using Mass Data Maintenance tool to extract CSV files.• Predictive Analytics• Any changes related to SAP JAM – Collaboration tool requiring additional licensing• Knowledge Management System integration• Partner Channel Management (PCM)• Integration of install base Registered Products, Assets Maintenance & Equipment records 4. Main Business ScenariosDuring the workshops, the team identified, discussed and documented 9 different Claims and Warranties processes, which will all be in scope for the Aftermarket Cloud for Service project:• Warranty claims• Quality claims• Over shipments with return• Over shipments where customer keeps the products• Short shipments• Price discrepancies• Client’s stock cleanings• Caliper returns• General claims and inquiriesThe proposed processes, detailed steps, and the corresponding scenario flow diagrams are incorporated in this section. 4.1. Warranty claimsWarranty claims are submitted by customers when a part fails that has been installed on the vehicle. a. The Warranty claim is entered in the self-service portal by the customer (distributor/Sold-to party). The online form is a specific warranty form and must include pictures of the product(s) and a copy of the company invoice. If other costs are claimed the invoice related to the repair and any additional cost (e.g. towing, change new tires…etc.) should also be included. (Decision on self-service portal pending)b. Upon submission of the form, a ticket is created in CRM. c. CRM will check if the customer confirmed that he has the part available for return to company if requested. d. In case the customer doesn’t have the part available the CRM system automatically informs the customer that the claim is rejected because he doesn’t have the part available.e. In case the customer has the part available, the CRM system will check if the customer has an SLA Warranty Agreement with a pre-defined maximum value.f. If the customer has an SLA Warranty Agreement and submits a claim, the CRM system will check if due to the claim the total annual value of the warranty claims exceeds the maximum value set in the SLA Warranty Agreement. g. In case that due to the claim the total annual value is exceeded, the claim will be treated as if the customer doesn’t have an SLA Warranty Agreement.h. In case the claim does not exceed the maximum value, the CRM system automatically informs the customer that the claim is rejected because the claim is covered by the SLA Warranty Agreement. The CRM system offers the customer the option to request a claim investigation by the TSTW Manager (=TSTW) to address the problem of recurring claims and claims with a potential safety risk.i. If the customer does not have an SLA Warranty Agreement and submits a claim, the CRM system will check if the customer selected the option “part return only”.j. In case the customer requests only to return the part, the ticket is assigned to Customer Service (=CS).k. CS will check the request (is it a company part based on the pictures and a copy of the company invoice) and will fill out the Claim Validation Survey in the ticket.l. In case the part is not company, CS will reject the claim in the Claim Validation Survey in the ticket. The CRM system informs the customers that the claims is rejected because the part is not company.m. In case the part is company, CS will accept the claim and will open a RRG number. CS will update the Claim Validation Survey in the ticket with the RRG Number that the customer has to use to return the part. The CRM system warns the DC Quality staff that there is an RRG created.n. Upon receipt of the goods, the DC quality Staff updates the ticket. o. In case the claim has been accepted, the CRM system will inform CS to proceed with v.p. In case the claim has been rejected, the CRM system will inform CS to inform the customer about the rejection.q. If the claim contains other costs besides the part and the repair invoice is not already attached, the TSTW requests this invoice from the customer and attaches it to the ticket.r. If an onsite visit is required, the TSTW or the Warranty Manager (or both) will visit the garage and inspect the vehicle. He will document his findings in the Vehicle Inspection Survey in CRM. s. If an onsite visit is not required, the TSTW requests the customer to return the part to his company Distribution Center or in agreement with the EMEA Warranty Manager, to the warranty dept. in Kontich B5.t. Based on the information in the ticket, the TSTW decides if he has enough information and the ability to accept or reject the claim. If he does not, he will assign the ticket to the Warranty Manager who then analyzes the claim and the part, fills out his findings in his section of the Claim Validation Survey, and decides to accept or reject the claim, and finally reassigns the ticket back to the TSTW.u. The TSTW informs the customer via the CRM system of the decision and provides a technical explanation to support the decision (in case the claim is rejected). (via a pre-defined form)v. If the warranty claim has been accepted, an approval workflow will start in order to allow releasing the billing block from the Credit Memo. Based on an approval matrix the approvers will get an email with the ticket summary attached. They will reject or approve directly from the email, without logging into CRM.w. When the last person has approved, CS will get an email notification to create the ERP Credit Memo YCMR directly from CRM.x. Customer Service creates the billing document from the Credit Memo request in ERP. (no billing block)y. Customer Service sends the PDF credit note to the customer from CRM and closes the ticket.Global Alignment for Warranty ProcessesNA: During the global alignment workshops the following differences between EMEA and NA were found:– Definition of warranty claims. In NA there is a gray area between what EMEA calls warranty claims and quality claims: Example “Destroyed in field” claims – In NA large customers tell us how they will submit their claims, so adoption of a Self Service Portal will be very difficult in NA. In EMEA most customers already use FM supplied forms and adoption may be easier– NA is trying to move away from having customers submit warranty claims by giving customers discount agreements. EMEA however is trying to move away from the SLA discount or at least get the customer to notify them, so they get a better insight on ‘failed’ parts– Credit memo type in NA is ZCMR and in EMEA YCMR– Return order type is ZRE vs. YRE. ZRE has no billing blockThe following conclusions came out of the NA workshops:– NA Claims DB process and EMEA Warranty process are very similar and are both a good fit to be replaced with the Cloud for Service solution.– NABS should be retired before C4C goes live. Integrating with 2 ERP systems would bring a very complex implementationAPAC:  No objections or concerns have been formulated during or after the calls– Customer Service organization is localized; no central management or consolidated processes at the region level.– APAC does not have any formal CRM systems for warranty claims processes.– Singapore indicated there are no returns for warranty claims, unless NA or EMEA specifically requests it.– Other APAC countries have not indicated any major differences with the EMEA To-Be process.– Since no CRM solution is yet scheduled for implementation in APAC, the Customer Service organizations in this region will have the opportunity to pick from functionalities discussed already in detail for the other regions.  4.2. Quality claimsQuality claims are submitted by customers when they detect a quality issue with the shipped product. (i.e. wrong parts in the box or rusted parts in the box) a. The claim is entered either in the self-service portal or sent directly to a generic email address. The email should have an attachment specifying the products and contain pictures of the products.b. Upon submission of the form, a ticket gets created in CRM and an auto reply notification is sent to the customer containing the ticket number.c. Quality tickets are directly assigned to the Quality team.d. The Quality operator will interpret the claim and make a first decision.e. If supplier liability is determined a SCAR is created in SupplyNet. (out of scope)f. If the claim is rejected, the Quality team informs customer service, who informs the customer using a standard CRM Email template.g. If the claim is approved and the value is under 25 Euro an approval workflow will start in order to allow releasing the billing block from the Credit Memo. Based on an approval matrix the approvers will get an email with the ticket summary attached. They will reject or approve directly from the email, without logging into CRM.h. Customer service creates a credit memo request YCMR, and after the billing document has been created, an email template is used to reply to the customer with the Credit Note in attachment.i. If the claim is approved, a 2 step approval process is activated.• System: check if product is not obsolete or superseded (Material status in ERP)• Materials manager will receive an email request to approve the return. He will approve or reject each material inside the ticket from CRM.j. Customer service receives a notification that the return has been approved. They will send an email to the customer, including the RRG number (CRM ticket number) and a list of all part numbers with their status attached. k. The customer sends the approved parts to the Warehousel. The Warehouse receives the parts and sets the received status in CRM inside the ticket.m. Automatically an YRE order and delivery is created by CRM in SAP ERP, which will be used to receive the return in the warehouse. n. The Quality operator checks the parts and updates the delivery according to the received goods. o. After that the Quality operator will also update the CRM ticket with reason codes and reassigns back to Customer service.p. After the update, an approval workflow will start in order to allow releasing the billing block from the Credit Memo. Based on an approval matrix the approvers will get an email with the ticket summary attached. They will reject or approve directly from the email, without logging into CRM.q. After the last approval, Customer service gets a notification to create the Credit Memo (from YRE) in CRM (or a free of charge order). r. After this, Customer Service creates the billing document in SAP ERP and informs the customer about the closure of the ticket (using the email template from CRM) with the Credit Note in attachment.Global Alignment for Quality Claims processesNA: During the global alignment workshops the following differences between EMEA and NA were found:– Definition of quality claims. In NA Quality claims are typically used with recalls – In NA the part is typically not returned and credited as Customer satisfaction, in EMEA – In NA large customers tell us how they will submit their claims, so adoption of a Self Service Portal will be very difficult in NA. In EMEA most customers already use FM supplied forms and adoption may be easier– For EMEA Deliveries are created by CS, in NA by CS in Warehouse. – NA already has a dispute mgt. system in ECC – Credit memo type in NA is ZCMR and in EMEA YCMR– Return order type is ZRE vs. YRE. ZRE has no billing blockThe following conclusions came out of the NA workshops:– Although there are some differences between the NA and EMEA Quality process, they are very similar and are both a good fit to be replaced with the Cloud for Service solution.– Further evaluation needs to happen to see if the ECC Dispute system should be replaced  APAC:  No objections or concerns have been formulated during or after the calls– Customer Service organization is localized; no central management or consolidated processes at the region level.– APAC does not have any formal CRM systems for quality claims processes.– Singapore indicated there are no returns for quality claims, unless NA or EMEA specifically requests it.– Other APAC countries have not indicated any major differences with the EMEA To-Be process.– Since no CRM solution is yet scheduled for implementation in APAC, the Customer Service organizations in this region will have the opportunity to pick from functionalities discussed already in detail for the other regions.  ?4.3. Client’s stock cleaningBased on an agreement, customers can return goods that they no longer need. This usually occurs at the end of the year and the transport is paid for by the customer. a. The stock cleaning request is either entered in an online form, or sent directly to a generic email address with an attached file specifying the products and the quantities to be returnedb. Upon submission of the form, a ticket gets created in CRM and assigned to Customer service.c. The customer gets an auto reply notification with the ticket number from CRM• The ticket goes through an approval• System: check for obsolete or superseded materialsd. CS Manager: Check if the return is allowed according to the SLA in placee. If none of the products are valid for return, Customer service informs the customer with an attachment including the reason codes for each material and closes the ticket. f. If some or all of the products are valid and customer service manager approved, Customer service sends the RRG number (CRM ticket number) with the status of all the parts to the customer to ask to return the parts. They also update the ticket status to ‘awaiting return’.g. The customer sends the approved parts to the appropriate Warehouse.h. The Warehouse receives the parts and sets the ticket status to ‘received’ in CRM i. Automatically an YRE order and a delivery are created by CRM, which will be used to receive the parts in the warehouse; a handling fee will be added to the Return (YRE) order to cover for the shipping costs. (Maintained at customer level)j. Warehouse updates the reason codes (i.e. Damaged) for each received material in the CRM ticket.k. Customer service creates the Credit Memo (from return delivery) in SAP ERP and creates the billing document in ERP.l. Customer service answers to the customer using a CRM email template. The Credit Note and an overview summary of the rejected parts (incl. reason code) is attached to the email.m. After receiving this confirmation, the customer has two options: • Arrange for pick-up of the rejected parts• If the customer decides not to pick up the rejected products, CS agent informs the warehouse to destroy the products. (Standard internal email; no specific template needed) If the customer does not answer after 30 days; Customer service will change the status at item level to ‘ok to scrap’.  The ticket will be reassigned to the Warehouse. The warehouse will update the item status of the material to scrapped once it has been disposed.Global Alignment for Client’s Stock Cleaning processesNA: During the global alignment workshops the following differences between EMEA and NA were found:– In NA there is often a long time between the RGA and the actual returns, leading to different returns than approved.  Customer gets the credit anyway. In EMEA there is a 60-day expiration date for RRGs– Differences between terms for cleanings (i.e. 5% of previous year’s sales) – In NA large customers tell us how they will submit their claims, so adoption of a Self Service Portal will be very difficult in NA. In EMEA most customers already use FM supplied forms and adoption may be easier– For EMEA Deliveries are created by CS, in NA by CS in Warehouse– Credit memo type in NA is ZCMR and in EMEA YCMR– Return order type is ZRE vs. YREThe following conclusions came out of the NA workshops:– The processes are very similar for EMEA and NA– C4C appears to be a good fitAPAC:  No objections or concerns have been formulated during or after the calls– Customer Service organization is localized; no central management or consolidated processes at the region level.– APAC does not have any formal CRM systems for stock cleaning processes.– Singapore indicated they currently do not have this process.– Other APAC countries have not indicated any major differences with the EMEA To-Be process.– Since no CRM solution is yet scheduled for implementation in APAC, the Customer Service organizations in this region will have the opportunity to pick from functionalities discussed already in detail for the other regions.   4.4. Over shipments with returnOver shipment claims are submitted after a customer receives more products than ordered. For this scenario the customer wants to ship back the products and get credited if they were billed for it. a. The claim is entered either in the self-service portal or sent directly to a generic email address. The email should have an attachment specifying the delivery number, quantities and products to be returned.  b. Upon submission of the form, a ticket gets created in CRM and assigned to Customer service.c. The customer gets an auto reply notification with the ticket number from CRMd. The system checks for obsolete or superseded materials and if none of the parts are valid to be returned by the customer, he is notified by email that the claim has been rejected and not to return the parts (including a file including with the reason codes by material). e. If some of the parts are valid and if the value is less than 25 euro (or equivalent in GBP and ZAR), Customer Service informs the customer not to return the parts.f. On a weekly basis, the Warehouse extracts the over/under shipment claims from CRM and manually checks the stock in the warehouse (approx. 250 lines a week). g. After they have checked the stock and written down their findings, the Warehouse will update the quantities and item status in the ticket in CRM. h. The ticket gets reassigned back to Customer service and the status of all the parts is sent to the customer with the RRG number (CRM ticket number) requesting to return the parts. This updates the ticket to the status: ‘awaiting return’.i. The customer sends the approved parts to the appropriate Warehouse.j. The Warehouse receives the parts and sets the ‘received’ status in CRM.k. Automatically a YRE order and delivery is created by CRM, which will be used to receive the parts in SAP:• Order reason:  R16 Over shipment• Only accepted materials (not superseded, not broken, not obsolete)• PO number is the RRG number (CRM ticket number)• On header conditions, the condition YH09 is not added (transport is paid by the company)l. Warehouse updates the return delivery in SAP and sets the reason code for each received material in the CRM ticket.m. If the over shipped products were already billed, Customer service creates the Credit note (YRE) to the customer in SAP ERP. n. Customer service will create the billing document in SAP ERP.o. Customer service informs the customer via email (with the Credit Note and an overview summary of the rejected parts, with reason code) in attachment.p. If the product has not been billed (product was sent by mistake) and the claim value is over 25 Euro, Customer service updates the item category in the YRE document to YRNN to mark that the product has a value of 0 (no credit memo is issued).q. Customer Service informs the customer using a template email, with the billing document in attachment (PDF).Global Alignment for Over shipments with Return processesNA: During the global alignment workshops the following differences between EMEA and NA were found:– NA already has a dispute mgt. system in ECC to process them.  – NA large customers tell us how they will submit their claims or they just deduct it from the invoices. In EMEA most customers use FM supplied forms.– Adoption of Self Service Portal will be very difficult in NA.– For EMEA Deliveries are created by CS, in NA by CS in Warehouse.– Credit/Debit memo type in NA is ZCMR/ZDMR and in EMEA YCMR/YDMR.– Return order type is ZRE vs. YRE. ZRE has no billing block.– If an over shipment was not billed in NA, they bill the customer and later credit them to close out the error. In EMEA they change the item category so the system is adjusted without inconveniencing the customer. The following conclusions came out of the NA workshops:– The processes are very similar for EMEA and NA.– Good fit, but further evaluation needs to happen to see if the ECC Dispute system should be replaced.  APAC:  No objections or concerns have been formulated during or after the calls