Monthly Archives: July 2017


WarrantyMore specifically, warranty costs! Warranty costs everyone!  It costs the customer time, and it costs us direct and indirect money.  Direct money is the money we spend to cover the parts and labor associated with any warranty.  Indirect refers to the costs of a Tech NOT being able to work on anything else while he is handling a warranty, and indirect costs can be more harmful to a business than anyone would ever expect! Indirect costs are very seldom ever accounted for when a warranty occurs and they sometimes cost companies more money than the basic warranty ever did.  Look at what your Techs produce hourly on average; now double that because most facilities run a 50/50, or so, parts to labor split.  Got that number?  Now look at how many hours that Tech or Techs performing the warranty spent on that warranty, and do the math.  Now add that money to what the actual warranty costs in parts and labor and yo ... read more