The Case for Video Telematics in Support of Field Service Management / Fleet Management (Executive Summary)

[The following is the Executive Summary excerpted from SFG℠‘s Analysts Take paper on the topic of “The Case for Video Telematics in Support of Field Service Management / Fleet Management“, prepared for Lytx, a leading provider of video telematics, analytics, safety and productivity solutions for commercial and public sector fleets.

The full report will be released at the annual Lytx Users Conference, February 23 – 26, 2020 in San Diego, CA. Watch the Lytx Website immediately following the conference for a link to access a complimentary download of the paper. Until then, the Executive Summary should provide you with a taste of what’s yet to come!]

Video telematics is the new frontier for field services, and it is gaining significant traction among businesses looking to this new technology to gain an edge in their intensely competitive fields. Video telematics took the trucking and transportation business by storm this past decade, and now it is coming to field services. That’s because customers in both trucking and field services are seeing significant ROI from improvements in such metrics as routing efficiency, fuel consumption, service assurance, claims reductions, etc.  As a result, more and more field service operations are looking into video telematics as their latest go-to tool for boosting their core KPIs in process improvements, productivity, customer service, and ROI / financial return.

To put things in perspective, there is currently a “perfect storm”  occurring in the global services community that reflects a growing market demand  – and need – for video as part of a Field Service / Fleet Management Telematics solution. The main components of this “storm” may be summarized as:

  • Rapid growth for the Field Service Management (FSM), Fleet Management and Telematics segments;
  • Increases in the value-add realized through the implementation and use of video-based telematics; and
  • The FSM segment’s focus on increased technician productivity, utilization and process efficiencies.

Further, due to what appears to be an ongoing global technician shortage, it becomes even more critical for Field Services Organizations (FSOs) to gain as much productivity as possible from each of the technicians in their current mobile workforce in order to prevent any potential lapses in service delivery performance.

However, there is much more to Field Service Management, Fleet Management and Telematics than simply monitoring incidents, collecting data, and reporting the relevant findings back to services management. In fact, there are great differences in both the means by which the data are collected and the ways in which the collected data may be used – with one of the main differentiating factors being the added value brought to the table via the incorporation of video into the standard Field Service / Fleet Management solution.

While driver safety and liability protection are still acknowledged as highly important factors, field service managers must primarily focus on other key issues, such as technician productivity, utilization and the overall efficiencies of the systems they use to run their respective field service operations. These principal factors are clearly borne out in Strategies For Growth℠’s (SFG℠’s) annual Field Service Management (FSM) Benchmark Tracking Surveys, as follows.

The results of the 2019 FSM tracking survey update identify that the principal factors influencing the field services market today may be categorized as:

  • First, process-focused (i.e., the need to improve workforce utilization and service process efficiencies);
  • Second, customer-focused (i.e., meeting customer demand for quicker response time and improved asset availability); and
  • Third, financials-focused (i.e., internal mandate to drive increased service profitability and revenues).

This represents a shift away from a customer focus (i.e., in previous years’ surveys), to one that hones in specifically on process improvement, which can then be used as a catalyst for creating a foundation from which services organizations can build stronger end-to-end engagement relationships with their customers. Accordingly, the results of the survey clearly reaffirm the relationships between and among these three groupings by linking internal process improvements directly to improved customer support, ultimately leading to reduced costs, increased revenues, more satisfied customers, and a healthier profit margin.

Supporting the Customer Journey by Providing Seamless Service & Support

Just think about it! 10 to 20 years ago, if a consumer’s refrigerator, oven, dishwasher, washer or dryer stopped working, they called their product seller (e.g., Sears, or a local appliance dealer, etc.), requested service on the unit, and were told they would have to wait a week or more for a service technician to come to the home to assess the problem. Then, once the technician arrived onsite, he would advise the consumer that they would need to order a part, and reschedule the call once the part comes in. This whole episode would typically take a few weeks or more before the unit was back up and running again.

However, the introduction and proliferation of smart products has completely transformed the traditional services industry. What customers used to tolerate in terms of getting their home appliances or consumer electronics repaired just doesn’t cut it anymore. For consumers, it’s now an entirely different “journey”!

“The servicing of smart products is transforming the Customer Journey.”

Fast forward to today and, for these same types of consumer products and appliances – many of which are now smart – the entire services cycle can conceivably be collapsed from as long as a few weeks, to just a few hours. The advent of smart appliances now allows the services provider to diagnose the problem remotely, determine the appropriate fix, and execute that fix – remotely, if possible – sometimes before the consumer even knows there had been a problem.

When parts are needed, this activity can now easily be performed online directly by the services provider or, in some cases, by the consumer itself. If an onsite service call is still required, the overall cycle time from when the problem was first reported, until the service technician arrives onsite, could also be shortened significantly – again, from weeks, to days.

However, in today’s world, the customer (i.e., typically, the consumer) no longer needs to do all the talking (i.e., making the initial service call, explaining what they think the problem is, scheduling an onsite service call, etc.). It is quickly turning into a world where the appliances or devices now make the call themselves – remotely through sensor-based telematics, powered by the Internet of Things (IoT), and communicated over the Web.

Samir Gulati, Chief Marketing and Product Officer at ServicePower, agrees by saying that, “Past generations were more high-touch when it came to customer service. They wanted to pick up the phone and speak to someone. Today, the consumer wants the technology right at their fingertips, and they are taking that into consideration as they start purchasing homes, appliances and consumer electronics.” He goes on to say, “Consumers want to deal with companies that are technology savvy and offer self-service portals and efficient and fast customer service experiences.”

But this scenario only works if the services provider is, itself, empowered through the right mix of Field Service Management (FSM) tools, functionalities, resources and capabilities!

“They may be different verticals – But they still share the same Customer Journey!”

Some industry segments, such as Heating, Ventilation and Air Conditioning (HVAC), or Security Systems, have long been in the domain of B2B services organisations; however, the advent of smart systems and devices, powered by the IoT, has created entirely new markets for many services organisations who now find themselves also catering directly to consumers.

As a result, there are both great commonalities – and great differences – between and among each of these individual vertical market segments. In addition, each segment has its own “personality”; key industry players; market size, patterns and growth trends; customer needs and requirements; and competitive landscape.

This is where your services organisation comes in – to serve as the customer’s “tour guide” through the entire Customer Journey – and that means that the FSM solution chosen, must have the tools and functionalities required to make that Journey as seamless as possible – regardless of vertical market segment.

“Services Management has become much more complicated – Is your FSM Solution up to the job?“

As products become inherently smarter, so must the services organisations themselves in order to provide the levels of service and support that their customers demand. However, not only are customers becoming more knowledgeable about what levels of support are potentially available to them, but their expectations for seamless service and support throughout the entire Customer Journey are becoming more demanding as well.

As such, supporting the Customer Journey today involves much more than simply providing maintenance and repair services for the products that consumers buy. It also requires a comprehensive approach to providing them with seamless support throughout every facet of the product lifecycle following the sale – from product registration and warranty support; to onsite, remote and/or self-service support; to preventive maintenance – all the way through product upgrades and add-ons, and end-of-life product replacement and disposal.

According to Gulati, “Choosing the right technology and keeping the customer at the center of it is key. You want it to be not only easy to use, but a tool that helps keep the focus on great outcomes. By implementing a solution that makes the technician’s job smoother, you automatically improve the customer journey because you will have better status tracking, communications directly between the tech and customer, and more first-time fixes. A good FSM tool will not only make an organisation more efficient, but also delight the customer, which is always the end goal.”

Therefore, it is critical to be able to choose the right FSM solution moving forward by making certain that it is powered by the most current technologies, functionalities and technical support capabilities (e.g., the IoT; Artificial Intelligence, or AI; and other emerging high-tech tools and resources).

The historical service and support delivery experience has now transitioned itself into a full-on Customer Journey – one that is predicated on the establishment of a true partnership between the services provider and its customers, evoking feelings that reflect “we’re all in this together – and that we’re equal parties with shared goals”. Delighting the customer is no longer an option.

For the services providers, delivering a seamless Customer Journey is also not an option anymore – it is an imperative. With Business-to-Consumer (B2C) industry giants like Amazon, and Google already attaining close access to their customers, services organisations must also place the customer squarely in the center of their market focus – and be able to use the power and the capabilities of the IoT to deliver exactly what they need, when they need it, and without hesitation.

By leveraging the most effective FSM, Contractor Management and Warranty Management tools into their service delivery model, services organisations can ultimately realize great improvements in key areas including reduced costs, increased revenues, happier customers – as well as an improved bottom line. To be successful at doing this, however, it will be your responsibility to serve as their “tour guide” throughout the entire Customer Journey!

Download Our Complimentary Webcast on “The Case for Remote Expertise”, Hosted by Help Lightning, and Featuring Bill Pollock

[On Thursday, January 30th, from 1:00 pm – 2:00 pm EST, we presented a complimentary Webcast on the topic of “The Case for Remote Expertise“. The Webcast was hosted by Help Lightning, the leading Augmented Reality provider of Virtual Interactive Presence, and featured me, Bill Pollock, as the guest speaker.

If you missed the Webcast, no need to worry! Simply click on the following link to access a complimentary copy of the archived Webcast, along with a copy of our companion Analysts Take white paper: http://tiny.cc/sfg-webcast.]

Webcast Overview:

The findings from Strategies For Growth‘s 2020 Remote Expertise Benchmark Survey clearly identify the following as the primary reasons influencing a services organization’s drive to incorporate Remote Expertise capabilities into their field service operations:

  • 65%  To improve upon current levels of Customer Satisfaction
  • 64%  Ability to meet (or exceed) our customers’ services expectations
  • 62%  To diagnose problems faster, and with greater accuracy

As a result of an ongoing technology explosion, increased competition and reduced margins, meeting the desired goals of customer satisfaction and services profitability remains a major challenge for many organizations. What is your organization doing to run its field service operations more effectively – and cost-effectively?

By viewing the webcast, you can learn:

  • What the leading global Services Organizations are doing with respect to embracing – and incorporating – new technologies into their services operations
  • What the real benefits are associated with moving to a Remote Expertise service delivery model
  • What obstacles and potential pratfalls you might experience along the way
  • How to emulate the strategic and tactical actions presently being taken and/or planned by the leading Services Organizations

In the meantime, for more information on this topic, or on any other aspects of Field Service Management (FSM) or Service Lifecycle Management (SLM), please be sure to visit our Blogsite at www.PollockOnService.com for trending thoughts and commentary on the global services market.

Again, to access both the complimentary Webcast and companion Analysts Take white paper, simply please go to: http://tiny.cc/sfg-webcast.

IFS Adds Astea to Its World: Established Best-of-Breed FSM Solution Provider Joins IFS’s Long List of Key Global Field Service Acquisitions

[The following Blog entry is an excerpt from SFG℠‘s Analysts Take on the impact of IFS’s acquisition of Astea on the FSM competitive landscape. You may either read ahead, or simply “click” on the link provided below to download a complimentary copy of the entire report. Please note, however, that since this is still a developing story, follow our Blog for updated information as it becomes available. Happy reading!

To access the complimentary Analyst Take paper, please click here: @@@ IFS-Astea Analysts Take Paper (Final Draft – 19-10-16).]

On October 8, 2019, IFS, the Sweden-based global enterprise applications company, announced that it had signed a definitive agreement to purchase global software company, Astea International (USOTC: ATEA). According to the joint press release published that day, “The transaction will enable the combined company to serve more customers in more markets, through a broader network of the best talent and partners in the industry”.

The primary rationale for IFS leading up to the acquisition was “to strengthen [the company’s] global leadership in [the] Field Service Management business.” It also believed that the “Combined company will have strengthened leadership position in Field Service Management (FSM) by integrating two of the most established and well recognized players in the market.”

SFG℠’s “Take” on the Impact of the Acquisition – Why Astea? Why Now?

  • Astea has been on the list of potential acquires for as long as many of the market analysts can remember. It is not a surprise that it has finally been acquired – the real surprise is that it took so long.
  • [Plus, 10 more reasons!

[Read the full SFG℠ Analysts Take paper for all the current details!]

Lessons Learned from WBR’s 2019 Field Service Amelia Island Conference – Advancing Service Together through Innovation, Cross-Industry Best Practices & Transformation

[WBR’s annual Field Service Amelia Island conference is one of the premier Field Services event of the year – and this year was, once again, no exception! More than 350 field service professionals attended the conference from August 18 – 21, 2019.

The following is a brief excerpt from SFG℠‘s “Lessons Learned …Analysts Take report, written and distributed under the auspices of WBR. Our suggestion? Don’t read the following excerpt – go to the bottom of the page and download a complementary copy of the full report, and read up on what the key players in the field services community had to say with respect to “Advancing Service Together!“]

Since 2003, WBR has been bringing together the world’s leading services organizations to “benchmark, establish best practices, embrace new technologies and build a strong network to enhance its attendees’ services businesses and field operations.” Each successive conference over the past 16 years has provided participants with “future-facing content and a mix of interactive session formats that ensure [they can] learn and network most effectively.” As such, these annual (and mid-year) Field Service events are designed to set up its attendees “for maximum profitability and competitiveness in [their] service business.”

And this year’s Amelia Island event did not disappoint, as the nearly 400 onsite attendees would most likely attest!

“At Field Service Amelia Island I learned that Field Service professionals love to learn new ways to improve service delivery since that is often the first (and only) personal contact a customer has with their brand. They are especially eager to explore what technology can do to optimize their field service fleets to get them to job sites efficiently and safely.”

– Carol Roden, Senior Product Marketing Manager, Lytx

The main theme for WBR’s 2019 Field Service Palm Springs conference was billed as “Advancing Service Together”, similar to the Palm Springs event held earlier in the year – and the succession of speakers, presenters, moderators, panel participants and practitioners all supported that theme throughout the conference by sharing examples (i.e., mostly success stories) about how it takes a strong commitment to teamwork to have any chance of meeting, let alone exceeding, management goals for improving employee and customer satisfaction – while at the same time, driving increased services revenue streams and making a profit by doing so.

“After attending the Field Service Conference on Amelia Island, the importance of disruptive service, and understanding that what got our businesses to their current level of success will not take them to the next level of success is evident. In an XAAS world, those organizations that embrace these transformations with technology and culture will win!”

– Mary Flake, General Manager – Coastal Southeast Service, Comfort Systems USA

The ”Lessons Learned” at the conference were many, and we have attempted to summarize the main sessions (and lessons learned) in the text that follows. Please note that not all of the sessions are highlighted and summarized in this document; however, there are many others that are available through WBR directly. Also, if you missed the chance to have one of your “lesson learned” quotes included in this paper, … well, there’s always next year in Palm Springs or, again, at Amelia Island!

Each of the three Main Days of the conference had a particular focus, beginning with Day One setting its sights on “Technology and Process Innovation for Efficiency”; Day Two focusing on “Disruptive Service & Customer Value; and Day Three focusing on “Leadership & Service Revenue Generation.”

Overall, WBR’s 2019 Field Service Amelia Island conference gave every attendee the opportunity to learn, question, network, buy/sell and interact with vendors, practitioners, editors, writers, industry experts, consultants, research analysts, peers and competitors and every other important person or company in the field services business.

The temperature was not as hot as in Palm Springs, earlier in the year – but the topics covered at the conference were still “red hot”. One of the key learnings from this year’s event is that “the main benefit of this conference is that it represents a middle ground between what we all learned last year, and what we will expect to learn next year.” As such, this year’s conference represented another key milestone in the Journey that we, as an industry, are taking along with our customers.

At the risk of repeating myself from the “Lessons Learned …” Analyst Take paper distributed following this year’s Palm Springs conference, I believe the following quote still stands true:

“As Bob Dylan once wrote and sang, ‘The times, they are a’changin’.    He must have been singing about the field services industry!”

– Bill Pollock, President & Principal Consulting Analyst
Strategies For Growth℠

Here’s looking forward to seeing you all at Palm Springs and Amelia Island again next year!

[To download a complementary copy of the full “Lessons Learned …” report, simply click here: @@@ 2019 Field Service Amelia Island Analysts Take Report (Final Draft – 19-09-17).]

Salesforce Goes All In on ClickSoftware

Click’s Scheduling Optimization Module was Just a Teaser! Now, Salesforce has Gone All In, and Click’s Found a Home!

On August 7, 2019, after months of speculation – and negotiations – Salesforce, the global leader in Customer Relationship Management (CRM), announced that it had signed a definitive agreement to acquire ClickSoftware, an acknowledged leader in Field Service Management (FSM) solutions.

Finally, the perennially open question of “What’s going on with ClickSoftware; Will it stay private? Will it be acquired by SAP? Will it go public again?” will officially end! This has been somewhat off-putting for many of the company’s potential customers in the past. However, as of the close of the deal, we will all know exactly what’s happened to ClickSoftware!

Read our Analysts Take paper on the acquisition of ClickSoftware by Salesforce, and see how the industry is reacting with respect to its potential impact on the FSM solution competitive landscape: Salesforce Acquisition of ClickSoftware (19-08-13).

[BTW – Have you already taken SFG℠‘s 2019 Servitization Journey Benchmark Survey? If yes, then, thank you! If no, please accept our invitation to take the survey by clicking on the following Weblink: https://www.surveymonkey.com/r/SFGServ19. Thanks!]

Global Field Service Management (FSM) Trends for 2019/2020 – and Beyond!

The results of Strategies For GrowthSM‘s (SFGSM) 2019 Field Service Management (FSM) Tracking Survey reveal a healthy – and expanding – global services market that appears to have clearly rebounded from the economic downturns and upheavals experienced over the previous 10 years or so (i.e., since the 2008 economic bust). In fact, the global FSM market is now poised to make significant strides forward in terms of growth, technology adoption and the integration of those technologies into existing (and improved) services operating plans and processes.

However, there are still many obstacles along the way, and those Field Services Organizations (FSOs) that are not prepared to adapt to the “new” way of running a services operation will be ill-prepared to compete on a head-to-head basis with those that are. For example, the top future challenges cited by survey respondents as likely having the greatest impact on their ability to acquire and/or integrate new technologies into their existing field service operations may be summarized as follows:

  • 43%  Return-on-Investment (ROI) on the acquisition of new technology
  • 34%  Identifying all of the required functionality for the organization
  • 30%  Cost of new technology
  • 28%  Potential disruption from new technology implementation and burn-in
  • 27%  Obtaining management “buy-in” for new technology acquisition

Other challenges, such as selecting the most effective FSM solution (19%) and integrating new technologies into existing FSM solution platforms (16%) are also cited as rounding out the top challenges facing the global FSO base.

The good news is that there are also significant and distinct opportunities, or benefits, that can be realized by FSOs, regardless of type, size or coverage, through the acquisition and integration of these new technologies. For many FSOs, these may include:

  • 39%  Ability to run a more efficient field service operation by eliminating silos, etc.
  • 37%  Improving customer satisfaction
  • 36%  Ability to provide customers with an end-to-end engagement relationship
  • 27%  Establishing (or strengthening) a competitive advantage
  • 27%  Improving field technician utilization and productivity
  • 25%  Reducing Total Cost of Operations (TCO)

But these opportunities and benefits do not automatically produce themselves – there needs to be a formal plan for attaining these goals, and many of the leading FSOs already seem to know how to go about making it happen.

The 2019 survey results also reveal that more than two-thirds (71%) of global FSOs currently run their services operations as profit centers, rather than as cost centers. This percent represents an increase from roughly 66% only three years earlier, but more than 10 percentage points above roughly a decade ago. In fact, the percent increases to 74% for those FSOs attaining 90% or greater customer satisfaction, and up to 81% for Best Practices FSOs that also achieve 30% or greater services profitability.

As we move through the uncharted waters of 2019, 2020 and beyond, the future state of the global Field Service Management (FSM) market will depend largely on which strategic actions FSOs plan to take in the ensuing 12 months or so. Since these actions will be directly linked to the multitude of drivers that are most likely to influence decision making within the global services community, this would be an excellent place to start!

The 2019 survey results reveal that the top drivers cited as being most influential on the future success of FSOs may be categorized into three main areas:

  1. Need to improve service workforce utilization, productivity and process efficiencies
  2. Meeting (or exceeding) customer demand for quicker response and improved asset availability
  3. Internal mandate to drive increased service profitability and revenues

However, once the key market drivers are firmly identified, FSOs need to create – and implement – the most effective strategic planning actions to address them head-on. As identified in SFGSM‘s 2019 survey, the most commonly implemented strategic actions, currently, are:

  • 47%  Develop and/or improve KPIs used to measure field service performance
  • 43%  Invest in mobile tools to support field technicians
  • 38%  Automate existing manual field service processes and activities
  • 34%  Integrate new technologies into existing field service operations

The question then arises: What can your FSO realize from aggressively addressing each of these challenges and opportunities head-on, recognizing the key market drivers, and taking the strategic (and tactical) actions to take the organization to the next level?

The answer is simple! The average FSO is currently attaining 37% services profitability and 84% customer satisfaction (although 26% are not even attaining 20% profitability, and 20% are not attaining 80% satisfaction). Therefore, while the opportunity is there, not all FSOs have their operations in order to aspire to the next levels of Best Practices.

So, … if your organization is not currently attaining desired levels of profitability and satisfaction – or even worse, finds itself among those not even attaining lower levels of performance – now would be the perfect time to consider acquiring a Field Service Management (FSM) (or a Connected Field Service, or CFS) solution that can help it to attain these loftier levels, without losing any more ground to the industry leaders who have already taken the appropriate actions.

[BTW – Have you already taken SFG℠‘s 2019 Servitization Journey Benchmark Survey? If yes, then, thank you! If no, please accept our invitation to take the survey by clicking on the following Weblink: https://www.surveymonkey.com/r/SFGServ19. Thanks!]