A

Authorized Service Provider (ASP):  A service organization authorized to perform warranty or other services on behalf of the manufacturer or a third-party administrator (TPA).

C

Campaigns:  Product recalls or repair campaigns.  Campaigns are authorized by a manufacturer and are performed at no charge to the owner.  Manufacturers may perform campaigns regardless of time or usage.

Cause/Failure code:  Technician's description of the cause of product failure

Claim: A request for payment for services or repairs received based on coverage provided by warranty, extended warranty, service contract, product recall or maintenance contract.

Consumable Part:  These parts are generally not serviced within the general product warranty or service offering, and are typically replaced at the customer's expense.

Core:  A reusable part or subassembly that can be remanufactured and sold as a replacement part.

D

Deductible: The amount the product owner pays per repair visit for covered repairs; the remainder of the repair cost is paid by the warranty or service plan.

E

Exchange - Advance:  The process by which an operational replacement unit is sent to the customer prior to the original defective product being returned.

Exchange - Normal:  The process by which an operational replacement unit is sent to the customer after the original defective product has been returned.

F

Failure-to-Fix Cycles (also referred to as Detection-to-correction):  A calculated statistic that measures the time it takes to fix a problem.  Refers to the time lapse between the original failure and a successful corrective action. 

Fault Codes - No Fault Found/No Trouble Found:  The product is reported as defective, but upon diagnosis or attempted repair, is found to be operating within the manufacturer's specifications.  The manufacturer is not obliged to provide any further support for the reported fault.

Fault Codes - Customer Damage/User Induced Fault:  Service calls resulting from operating error, accident, negligence or misuse of the product by the customer including operation in a manner contrary to the manufacturers operating instructions.

Fleet: A grouping of products that are sold, warranted, serviced, and maintained as one entity.  Commonly used in the transportation industry.

I

In-Service Date:  The date the product was purchased by the original owner or the date the product was placed in use for rental, demonstration or other purposes.

In-Warranty: A product that is within the manufacturer's warranty coverage.

L

Loan Unit:  A unit provided to the customer while their unit is being repaired.

O

Original Equipment Manufacturer (OEM): The product's producer.  Uusally responsible for the manufacturer's warranty claim processing and payment.

Out-of-Warranty: A product whose time and usage exceeds the manufacturer's warranty term.

P

Plan Term:  The time and usage during which a warranty policy or contract is in effect.

Proof of Purchase:  Proof of Purchase can be a dated sales or delivery receipt, showing the date of purchase of the product and identifies the product.  Often used to determine if a product is still under warranty.

R

Repair - Carry-In:  The repair is done at a service location; the product is carried in by the customer.

Repair - Depot:  A designated repair location where the product is shipped to be fixed by qualified personnel.

Repair - On-Site: A qualified technician repairs the product at the customer's location.

Replacement Unit:  Exchanging the defective product with an equivalent replacement.

Return Material Authorization (RMA):  An official request by the manufacturer for the return of specific parts.  The RMA is usually sent to the servicer or the customer and contains shipping instructions and labels.

Return on Investment (ROI): The amount of money gained or lost on an investment.  Often used to help determine if an investment in a product is worthwhile. 

S

Service/Repair Order: Used by service facilities to document the repair work that is performed on a product.

Service LifeCycle Management(SLM):  The management of all the activities involved in servicing a customer from the time a product is shipped from the manufacturer until the end of life of that product. 

Standard Maintenance: Normal, routine maintenance recommended by the manufacturer to keep the product in optimum condition.

Service Dispatch: The process of communicating a customer's need for service to an appropriate service provider.

Supplier Recovery: Process by which manufacturers or warranty providers recover warranty costs for a product or components from the supplier based on the supplier's warranty terms and conditions.

T

Third Party Administrator (TPA):  The administration of warranty claims on behalf of the manufacturer by a separate entity.  This is a common practice in healthcare and consumer products.

V

Voided Warranty:  when the manufacturer voids warranty and stop payment on any claim(s) due to unauthorized tampering or modifications, or product is considered damaged, wrecked or stolen.

W

Warranty:  A guarantee given to the purchaser by a company stating that a product is reliable and free from known defects and that the seller will, without charge, repair or replace defective parts within a given time or usage limit and under certain conditions.

Warranty Lifecycle Management(WLM):  The management of standard manufacturer's warranty on products from the time of registration until the product is out of warranty.  This includes both standard and extended warranties.

Warranty Period: The time and usage for which the manufacturer's warranty is in effect.

Warranty Reserve: Funds reserved by the manufacturer or warranty plan administrator to pay the expected claims.

Warranty Transfer:  Transfer of warranty from one party to another when product is sold or title is transferred to a different party.  

Warranty - Extended Warranty:  Offered by the manufacturer and other agencies to wrap around, extend, or enhance original manufacturer warranty. An extended warranty policy will pay for the product's covered repairs after the manufacturer's warranty has expired.  Extended warranties may be for the entire product or for specific components.

Warranty - Goodwill:  Manufacturers may allow their service providers or field service representatives to make goodwill adjustments when a product is out of warranty. Customers may be asked to share some portion of repair costs.

Warranty - Labor Only:  The labor will be provided free of charge during the warranty period and the customer will be charged for any parts and other costs required to complete the repair.

Warranty - Manufacturer's Warranty:  The promise from product's manufacturer to repair the product for a specified period of time and usage.

Warranty - Parts and Labor:  The labor and replacement parts will be supplied free of charge during the warranty period.

Warranty - Parts Only:  Replacement parts will be supplied free of charge during the warranty period and the customer will be charged for any labor costs required to complete the repair.

Warranty - Parts replacement warranty: Manufacturers provide warranty on replacement parts used in a repair for specific time period or usage.  This may cover both parts replaced under warranty or paid for by the customer.