For 1990-2009 cars

# Warranty Administration - Required Operating Procedures

Subject: | Warranty Administration - Required Operating Procedures

Models: | 2008 and Prior Passenger Cars and Trucks

| 2008 and Prior HUMMER H2, H3

Attention: | GM of Canada dealers are not authorized to utilize this service bulletin. GM of Canada dealers should reference the General Motors of Canada Limited Service Policies and Procedures Manual.

This bulletin is being revised to emphasize and update guidelines for Warranty Administrators, Technicians and Service Management in the area of warranty administration. It can be used as a quick reference tool for finding answers to commonly asked warranty policy and procedure questions. Please discard Corporate Bulletin Number 04-00-89-015 (Section 00 - General Information).

The following 18 points are taken in part from the GM Service Policies and Procedure Manual (P & P) and WINS Claims Processing Manual (CPM).

#### 1. ACCURATE AND COMPLETE REPAIR ORDER INFORMATION

All customer and vehicle information must be completed accurately at the time of repair order write-up and must include the following information:

• | Repair order date including month, day and year (MM/DD/YYYY)

| VIN (one vehicle per repair order including corporate part return claims)

• | Odometer reading taken from the vehicle (do not record tenths)

• | Delivery or in-service date (as applicable)

• | Owner/lessee (or operator) name and address, home and business phone number, and service advisor

• | The use of pre-write-up sheets does not meet General Motors policies regarding proper repair order write-up (except for totally electronic systems that do not generate a document at the time of write-up). If pre-write-up sheets are used, they must be completely filled out with owner and vehicle information.

Reference: GM P&P Article 1.6.2.b and CPM Section II.C.1.A.- K

#### 2. ACCURATE AND COMPLETE CUSTOMER CONDITION DESCRIPTIONS

A clear and concise repair order write-up is a requirement. All customer conditions must be documented completely with as much information available concerning when, where and how often the condition occurs.

• | The R.O. must contain a description of each customer condition. The use of Corporate Bulletin Number 01-00-89-010E (Information on Use of Customer Concern Verification Sheets, Comeback Prevention and Repeat Repair Log ) will help provide complete and accurate information.

• | The service advisor is responsible for confirming with the customer that the condition is captured completely on the R.O. (Vaguely written repair order descriptions such as "repair oil leak", "engine stalls" or "check brakes" are NOT acceptable.)

• | Repair diagnosis time is published in the Labor Time Guide with appropriate labor operations. Customers must not be charged for diagnosis time related to warranty repairs.

• | GMVIS (General Motors Vehicle Inquiry System) must be referenced to ensure that there are no Required Field Actions on the vehicle. If information exists in the Required Field Action section, it should be discussed with the customer and added to the repair order.

Examples of properly worded Condition, Cause and Correction statements are listed below. Refer to Item 6 - Accurate and Complete Cause and Correction.

Reference: GM P&P Articles 1.5.5 and WINS Claims Processing Manual Section II.C.2.A and Corporate Bulletin Number 01-00-89-010E.

#### 3. CLEAR UNDERSTANDING OF CHARGES

There must be a clear understanding of responsibility for charges at the time the repair order is being written and while the customer is present.

• | Any changes regarding who is responsible for the charges require service management authorization before the work is performed.

• | The shop copy of the repair order must show the service management authorization and the reason for the change.

• | If charges that were initially believed to be covered under warranty will now be given to the customer, they must be contacted for authorization prior to the work being performed.

• | GMVIS (General Motors Vehicle Inquiry System) must be referenced to ensure the warranty is still valid on the vehicle and that no Warranty Blocks or Branded Title Information is present.

• | The GMVIS Applicable Warranties section should also be referenced to verify the different types of coverage that may exist on the vehicle. Emission coverage are different in some states and vehicles originally sold with a different coverage are entitled to the appropriate length of coverage.

• | Aftermarket equipment must be noted, if applicable, and an explanation should be given to the customer that GM's policy is that damage caused by aftermarket equipment is not covered under the terms of the New Vehicle Limited Warranty.

Reference: GM Policies & Procedures Articles 1.6.2.f & o, and WINS Claims Processing Manual Section II.C.2.A

#### 4. CUSTOMER’S SIGNATURE REQUIRED

Each customer pay and warranty repair order is to be signed by the customer authorizing the dealer to perform the requested service.

• | If the dealer is unable to obtain a customer signature, service management must state the reason and sign the repair order.

• | Any alternative customer condition/signature document such as an early-bird envelope must be retained.

• | Customer is to be provided with a copy of the initial write-up document.

• | For vehicles in dealer inventory, all repairs must be authorized and signed by service management prior to the work being performed.

Reference: GM Policies & Procedures Articles 1.6.2.f & o, and WINS Claims Processing Manual Section II.C.1.H

#### 5. SEPARATION OF THE R.O. COPIES

Dealers not utilizing electronic repair order routing must remove the shop copy or work order from all other copies and route it to the technician.

Reference: GM Policies & Procedures Articles 1.6.1a., 1.6.2g.)

#### 6. ACCURATE AND COMPLETE CAUSE AND CORRECTION

• | Each technician is responsible to record an accurate description of what was found as the cause of the customer’s condition and what was done to correct the condition.

• | The technician must document all on-board diagnostic codes (DTCs), test equipment readings, appropriate specifications, adjustments, circuit numbers, descriptive locations and indicators are to be recorded on the repair order. Coded descriptions are not acceptable. Technician documentation should include all relevant observations and is not limited to the items listed above.

• | The complete cause of the failure and a detailed correction as stated by the technician on the technician copy must be transferred to all other copies of the repair order/invoice by the Warranty Administrator or appropriate service management personnel.

• | The appropriate labor operation should be assigned after the entire Condition, Cause and Correction have been documented on all copies of the repair order.

Poor Example | Good Example
--- | ---
Condition: | Heater doesn't work | Condition: | Heater intermittently blows cold air when changing HVAC modes from heater to defrost
Cause: | Actuator shorted | Cause: | HVAC temperature blend actuator circuit open between heater and defrost mode.
Correction: | Replace actuator | Correction: | Replaced HVAC temperature blend actuator
Poor Example | Good Example
Condition: | Vehicle pulls | Condition: | Vehicle pulls to the right while driving and front tires wearing irregularly
Cause: | Alignment out of spec | Cause: | Camber incorrectly set at 0.89° on RF wheel. Toe incorrectly set at 0.10. Both are outside of specification with no obvious signs of impact.
Correction: | Realign front end | Correction: | Toe out 0.10, set to 0.04. Camber at 0.89 set to -0.6. Set caster to 3.2, see alignment printout
Poor Example | Good Example
Condition: | Vibration when stopping | Condition: | Customer states brake vibration
Cause: | Rotors out of round | Cause: | Measured rotor runout and found .018" left and .025" right
Correction: | Turned rotors and replaced pads | Correction: | Turned rotors and installed correction plates. Replaced pads with updated parts. Final runout at .001" on left and .000" on right.

Reference: GM Policies & Procedures Article 1.6.2.j, WINS Claims Processing Manual Section II.C.2.C & H

#### 7. APPROVED AND RECORDED OLH (OTHER LABOR HOURS)

In unusual instances where Other Labor Hours is required, the technician must obtain the written approval of service management before the work is performed. Each labor operation that contains OLH requires separate on/off time recording on the repair order.

Reference: GM Policies & Procedures Article 1.6.2.l, m & o, WINS Claims Processing Manual Section II.C.2.F,G, and IV.C.2.J

#### 8. APPROVAL REQUIRED FOR ADDITIONAL WORK

Any repair work added to the repair order after the initial write-up must be entered and identified on the repair order using the terminology "added operation" along with the time and date. It must be verified and approved with a signature from service management, date, time, and explanation on the repair order prior to the work being performed.

Reference: GM Policies & Procedures Article 1.6.2.n & o

#### 9. PROPER DOCUMENTATION AND RETENTION OF WARRANTY PARTS

All parts used in the completion of warranty repairs are to be recorded on the repair order.

• | Part numbers must be cross-referenced (line coded) on the repair order to the specific repair in which they apply.

• | All warranty parts removed must be returned to the parts department for tagging, retention, and return/disposition as required by the GM P&P in effect on the date of the repair order.

• | All replaced parts with visible defects must have the defective area clearly marked.

• | Dealer is to retain for inspection all warranty parts for a minimum of fifteen (15) days from the complete credit date or until scrapped by a GM representative, whichever occurs first. Parts that have a "core" value are not required to be held for this period. These parts must be returned when they are paid and not requested by the Warranty Parts Center.

Reference: GM Policies & Procedures Article 1.6.2.i., 1.7.3, 1.7.4 and WINS Claims Processing Manual Section II.C.2.L

#### 10. ACCURATE LABOR OPERATION NUMBERS AND TIMES

Service management is responsible to ensure that the proper labor operation and labor time is recorded on the repair order. It is critically important that the correct labor operation is used along with the complaint code, failure code and the failed part number.

• | Technicians are not allowed to assign labor operations and times from the Labor Time Guide.

• | Each customer complaint must have only one repair labor operation assigned, unless otherwise directed by a GM Service Bulletin. The labor operation must describe the repair for the failed component. Collateral damage repairs should be charged against this labor operation with OLH and excessive parts submitted against this one labor operation. (Any excessive parts or labor needed to complete the repair properly should be authorized by service management.)

• | The part number of the failed component must be the number listed in the failed part number column of the warranty submission. The exact number of parts used on the line should be entered in the Part Count field.

• | If additional labor in excess of the published allowance is required to complete a warranty repair, service management approval must be obtained prior to work being performed.

• | Overlapping repairs are not eligible for the complete time published in the Labor Time Guide and should reflect the amount of time used to complete the repair. (A customer condition of driver's side power window and power door lock inoperative would result in an overlap to remove the door panel. The labor time on the second operation should be reduced for the door panel labor and submitted appropriately.)

• | All warranty repair orders are to include the proper labor operation number, complaint code, failure code and published GM labor time for each repair case.

• | If a repair of the same item is needed again as a result of improper inspection, diagnosis or workmanship, the repair is not eligible for additional warranty claim payment.

Reference: GM Policies & Procedures Articles 1.5.6, 1.5.12, 1.6.21, WINS Claims Processing Manual II.C.2.I+J, IV.C.2.C, E, G, H, I, J and Appendix B

#### 11. ACCURATE SUBLET CHARGES AND RECEIPTS

The following policies apply for repairs sublet by Dealer to repair shops:

• | Sublet repairs will be reimbursed at Dealer’s actual cost less any discounts or allowances that apply to the sublet invoice or made available to the dealer on non-warranty repairs. Repairs are not to exceed the Dealer’s parts and/or Labor Time Guide allowance for the same repair. See GM P&P Article 1.2.4.e. for reimbursement details when non-GM parts are used.

• | Dealers are not to solicit charges from sublet shops higher than those customarily charged by the shop.

• | Dealer supplied parts used in the performance of sublet warranty repairs are eligible for the appropriate handling allowance.

• | Sublet repairs must not be shown on a warranty claim as a dealer performed repair.

• | Sublet invoices are to contain customer name, VIN, date of repair or repair order number and a complete description or repairs performed.

Reference: GM Policies & Procedures Articles 1.5.8, 1.5.10.a, 1.6.2.s, and WINS CPM Section II.C.2.M & N and IV.C.2.M

#### 12. SHOP SUPPLIES AND WASTE DISPOSAL FEES

Shop supplies, materials and waste disposal fees incurred in conjunction with the performance of warranty repairs are considered to be part of the Dealer's overall fixed operations expense and are included in the establishment of an approved warranty labor rate. Examples of such supplies and fees which are not to be claimed for warranty reimbursement include, but are not limited to the following:

• | Protective covers used for vehicle interior or exterior

• | General purpose solvents, cleaning fluids, shop towels, supplies and adhesives

• | Hazardous material disposal fees

• | Material or shared assessment charges.

Reference: GM Policies & Procedures Article 1.2.2.n

#### 13. FINAL CLOSE-OUT OF REPAIR ORDERS

Only the author of technician comments may alter or change comments on repair orders.

• | Any changes made to the final repair order are to be made using established accounting procedures to account for all adjustments.

• | After the repair order close-out, a customer should be given a copy showing all repair information including which were customer paid and which were warranty repairs.

Reference: GM Policies & Procedures Article 1.6.2.j+t

#### 14. SERVICE MANAGEMENT APPROVALS AND AUTHORIZATIONS

Service management approval in the form of a signature, date and explanation, is the method of documenting the involvement and consent of dealership service management prior to the work being performed.

Each Dealer must designate one person for each technician’s shift within service management who is responsible and held accountable for all approvals and claim authorizations. Typically, this would be the service manager or director. Service technicians, claims administrators, other support or hourly personnel are not to be empowered for these types of management approvals.

The following conditions require service management approval before work is performed on the vehicle:

• | Claims that include adjustments outside of the New Vehicle Limited Warranty must be noted and approved by Service Management on the repair order.

• | All Goodwill decisions outside the terms of the warranty period

• | All Goodwill decisions made within the warranty period made for customer satisfaction reasons

• | All claim type "B" repairs

• | All warranty repairs to new and used vehicles in dealer’s inventory

• | Claim authorizations for any other labor hours

• | Customer conditions not duplicated labor operation numbers

• | Customer reimbursements

• | Customer signature not available

• | Replacements of any components in pairs

• | Wheel alignment , balance, tire/wheel replacement operations greater than 7500 miles

• | Windshield replacements

• | Work added onto the repair order after initial write-up

Your dealership’s approval / authorization profile may vary dependent upon the level of empowerment provided. Questions regarding empowerment level should be direct to your Area Service Manager.

Reference: GM Policies & Procedures Article 1.6.2.o, WINS Claims Processing Manual Section II.C.2.F & G , IV.C.2.O & P, and Section V

#### 15. COURTESY TRANSPORTATION PROGRAM ADMINISTRATION

The coverage period for the courtesy transportation program supplements the Bumper to Bumper Warranty, Diesel Warranty, Emission Warranty or Powertrain Warranty as appropriate. It may also be authorized by service management in conjunction with Goodwill decisions where appropriate.

• | Ineligible vehicles are those that are registered in daily or long term rental service, dealer owned, or in dealer demo service.

• | Same day services including shuttle, fuel or public transportation, are reimbursable up to $5 ($10 for round trip shuttle).

• | Courtesy transportation options should be offered when:

- | Vehicle is unsafe to operate and must be kept overnight.

- | Multiple warranty conditions collectively requiring more than one day to complete repairs.

- | Inability to complete the repair due to delayed availability of parts.

• | Courtesy transportation options must not be offered if:

| -- The vehicle cannot be scheduled into the service department but is still operative and safe to drive. (The option can not be offered as a scheduling tool for the dealership.)

• | GM is not responsible for state and local taxes although they may apply in your area.

• | Vehicle rental periods are to be based on actual time the vehicle is utilized and not rounded to the next full day.

• | If rental vehicle is offered, dealer must record the rented vehicle VIN in the comments section of the warranty claim.

Reference: GM Policies & Procedures Article 1.4.134, 1.6.2.e

#### 16. PARTS EXPEDITING PROGRAM ADMINISTRATION

If the replacement part is not in dealer stock, dealer should make every attempt to obtain the part locally.

• | Dealer should use the dealer trade portion of the parts expediting program. If the part is not locally available, dealer should use the parts expediting program to obtain the part through GMSPO.

• | Dealership employees should ensure the part is ordered appropriately for arrival on the next day. In some cases the part may need to be ordered CSO-3 or CSO-5 to ensure next day delivery.

• | If the part is on national back order, a SPAC case should be initiated immediately.

• | Dealers are required to input the part number, without the part cost, on all Z5000 and Z5001 claims.

Reference: GM Policies & Procedures Article 1.5.18, 1.6.2 p, and Warranty Administration Bulletin Number 99-00-89-021E.

#### 17. USE OF CUSTOMER CONDITION NOT DUPLICATED LABOR OPERATIONS

Labor operations for Customer Condition not Duplicated (#9991 through #9995) may only be used when a customer’s original condition is not duplicated and when inspection reveals that no corrective action is indicated during diagnosis. A labor operation of #9991 through #9995 may not be assigned to a line added by the technician.

• | Vehicles in dealer inventory, new or used, are not eligible.

• | Service management must review and approve the use of all "Customer Condition Not Duplicated" labor operations.

• | These labor operations must not be used in conjunction with a repair labor operation of the same group (i.e J9991 with J1840) on the same repair order.

Reference: GM Policies & Procedures Article 1.5.6, 1.6.2.m, o & q, and Warranty Administration Bulletin Number 06-00-89-026 (Warranty Admin - Customer Condition Not Duplicated/Verified Labor Operations)

#### 18. DOCUMENT AND RECORDS RETENTION

All documents and records must be retained as required by the current GM Service Policies and Procedures Manual.

• | The dealer must maintain one complete and accurate history file to account for all vehicle service events.

• | The vehicle history file is to be retained in sequence by the model year and last six positions of the VIN (if it is a paper document) or accessible by VIN (if fully electronic and scanned storage). A system is fully electronic if no document is generated at the time of write-up.

• | From GM Policies & Procedures Article 1.6.3.a - A physical paper vehicle history file must also contain any supporting documentation or forms associated with a service event or particular repair order such as copies of sublet invoices, diagnostic worksheets, Technical Assistance Information Form, warranty parts expediting records and invoices, a soft copy of each repair order completely priced out for all parts and labor, warranty claim submission/reject/resubmission documents, WPC return request, alignment printouts. ACR200 printouts and disclosure form from Article 3.3.1 of the GM Policies & Procedures if applicable.

Reference: GM Policies & Procedures Article 1.6.2.f & t, 1.6.3, 3.3.1

Any questions regarding this information should be directed to your Area Service Manager.