Why is it so difficult to offer loaner managed programs by many OEMs?
Loaner management is program mostly offered by companies having below criteria:
– OEM owns limited service centers geographically where product has to be shipped for repair/replacement post web investigation
– Product devices are low/moderate complex and easy to ship
– Cost of shipment is too low compare to having field service operations in every territory
– Sales territories are often narrow whereas service territories are broader in nature
When it comes to operations there are challenges like: –
– Cost of forward & backward shipment line, installation of loaner equipment has to be driven by contract terms.
– Contracts are missing out on loan periods, warranty association, audit rights and customers’ responsibilities towards loaned equipment’s.
– Visibility of equipment’s location and operating hours
– Equipment’s delivery complexity in metros vs remote areas
– KPIs associated with loaner program are complex in nature
If your business resonates with above, schedule a meeting with our experts now!