Knowing What and How to Cross-Sell and Upsell

Every business has a portfolio of products and services that it markets, promotes, and sells to customers. In fact, most businesses make their product and service portfolio information available through a variety of means, including published product literature and general marketing collateral, service guides, company catalogs or brochures, and various other types of printed matter. In addition, most of the product and service information is also typically accessible viathe Internet through company and/or dealer Websites, trade association or other industry clearinghouse Websites, online commercial buyers guides and/or directories, and others.

However, even your own company’s brochures or Website may not be 100% complete – or completely up-to-date – with respect to the information it provides on its portfolio of products and services. In fact, in a competitive marketplace where new products and services are being introduced on a virtual daily basis, it is more than likely that some product and service information may be missing – and most likely, these will be the newest additions to the overall portfolio. Further, what the company may make available to the general marketplace, may not yet have landed on the desks – or the desktops – of your customers.

You can probably assume that most of your customers do not keep running tallies of the various advances that are being made to the products and services that have been using for some time. Nor do they typically keep brochures or copies of new product and service information in a readily-accessible file folder. Outside of your more sophisticated and organized accounts who monitor such things as the ongoing cost of utilization of their systems and equipment, or expected product life spans and/or life cycles, and build all of this information into their annual planning processes, it is a safe bet that most customers will not begin collecting information on new products or services until their older products stop working, or the existing service level agreements are no longer doing their jobs.

For this reason, your company will be depending largely on its field technicians to make sure that you are always current, up-to-date, and well-informed on the various types of products and services it offers. In fact, if they are doing their jobs properly, they should have a more current, comprehensive, and accurate “read” on the company’s products and services than any other single document, brochure, web site, or other piece of marketing collateral.

After all, the technicians are the ones who are out in the field every day dealing with dozens of customers and all types of equipment – small, large, new, old, and everything in-between. They have probably already attended all of the most relevant training classes, or have seen a demo, for all of the new types of equipment well before the market base has even learned of their existence. They have probably even installed some of the newer products for which your company may not yet have released a formal brochure or product spec through its typical customer, dealer and/or media channels.

As a result, who better than your field technicians to know what products are available, why they may be better in some business applications than some of the company’s historical products, and which of their accounts may benefit from adding some of these new products to their own installed base of equipment? The answer is, of course, nobody else does – certainly, nobody else who deals directly with the company’s customer base on a day-to-day basis.

The bad news is that they may never actually gain access to all of the company’s new product and service information on an automatic basis. There are just too many products and services to keep track of – both new and old, and too many individual sources of information that keep passing across their tablets, through texts, or via e-mail.

The good news, however, is that it should be relatively easy for them to keep their own tabs on what new products and services are becoming available, and immediately see opportunities for where it may be beneficial to make some suggestions to some of their accounts with respect to replacing older equipment, upgrading to higher-volume machines, or generally stepping up to a more efficient business system.

They should also already have a good understanding of what the specific needs and requirements of their customers are with respect to their existing products and services; and by keeping current with the new products and services that are continually being made available, they will find themselves in an excellent position to assist their customers in matching these new products and services to their evolving needs – or basically upselling them to a more efficient operating scenario.

When you think about it, upselling should be a lot easier than making the original sale. The rationale behind this is that in order to make an initial sale you’ve got to take non-customers, and convert them into customers by selling them something for the first time. However, in order to upsell, all you have to do is sell an existing customer an additional one of your company’s products or services. What makes this easier is that once a customer has already been “sold” on your company’s reputation, qualifications and capabilities, it does not have to be “re-sold” on the company before it makes a second, or third – or twentieth – purchase.

By the nature of the word itself, “upselling” is different than “cross-selling”. When you “cross-sell” a customer, you are typically selling them a companion piece of equipment or service to what they already have. For example, if one of your customers already has an extended warranty contract on one piece of installed equipment, but not on another, you may find it relatively easy to “cross-sell” them an extended warranty on the second unit as well. Or, if a customer is already receiving preventive maintenance support on two of their three units, you may be able to sell them a PM contract for their entire installed base. Basically, in these cases, “cross-selling” simply means selling the customer “more of the same”, or more variety for the same base of equipment.

However, upselling is more vertically-focused than cross-selling. By that, we mean that upselling goes beyond simply selling your customers “more of the same”, typically involving the sale of upgraded, enhanced, and/or upscaled products and services. For example, if a customer currently has three older units installed, but you believe that they can actually handle more throughput, at less expense, by upgrading to two of your company’s newer units, this could conceivably lead to an upselling opportunity. In addition, if one of your customers is repeatedly calling for service on a time and materials basis, this may represent a good opportunity to upsell them to an extended warranty service agreement instead.

The best way to decide whether a customer sales opportunity would be better represented as a “cross-sell” or upsell situation is to first determine what the specific customer needs are. In situations where a customer’s business systems and services needs are fairly static, and the existing equipment appears to be meeting most of their requirements on a regular basis, you may still be able to “cross-sell” them additional units, or certain add-on coverages to an existing service level agreement (i.e., more frequent PMs, remote diagnostics, extended hours of coverage, etc.) as a means for making them somewhat more productive in the way they utilize their equipment (and the company’s services).

However, for customers whose businesses are continually growing or expanding, whose needs are becoming much more demanding (i.e., using new technical applications, increasing throughput quotas or expanding the number of daily shifts, etc.), or who are continually outgrowing their existing installed base, perhaps these represent situations where upgrading to an entirely new suite of business systems, or moving to a much more all-inclusive extended warranty agreement, would be a more logical solution.

Sometimes a cross-sell solution is all that is required to keep the customer operating at full efficiency; however, in some cases, it will only be an upsell solution that takes the customer to where it needs to be in order to utilize its equipment at maximum, or optimal, efficiency. The better you understand your customer, the better prepared you will be to determine whether a cross-sell or upsell solution is required.

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The Global Warranty Services Community Is Reflecting a Return to Growth – and Profitability!

[The following Blogpost is an edited version of the article originally published in the May 3, 2018 issue of Warranty Week (i.e., accessible at: http://www.warrantyweek.com/archive/ww20180503.html.) For more information on the “The State of Warranty Management in 2018 – and Beyond”, we invite you to register for our upcoming Webcast on Thursday, May 24, 2018. To register, simply click on the following Weblink: http://app.demand.ptc.com/e/es.aspx?s=2826&e=2100908&elqTrackId=c346145430f045a9a4a8ab0ad69df3d1&src=View_Online&elq=ec4b7ad031c5442e85dca16a47774a24&elqaid=29101&elqat=1.]

After conducting its fourth annual Warranty Chain Management Benchmark Survey, Strategies For Growth℠ president and principal consulting analyst, Bill Pollock, has put together a results package consisting of an Analysts Take paper and companion Webcast on the subject of “The Global Warranty Services Community Is Reflecting a Return to Growth – and Profitability”. The Webcast will be hosted by PTC iWarranty on May 24, 2018. PTC will also be making the companion Analysts Take paper available via download at the same time.

According to, Pollock, “The 2018 survey results reveal that nearly three-quarters (71%) of respondents believe effective warranty chain management to be at least ‘very important’ to the overall financial performance of the business, with just under a quarter (22%) believing it to be ‘extremely important.’ The results further reveal that this sense of importance continues to increase substantially, year-over-year, as one-quarter (25%) believe effective warranty chain management to be ‘more important than one year ago,’ compared to only 3% believing it to be ‘less important’ – a ratio of roughly 8:1 citing ‘more important’ over ‘less important’. As such, we know the segment is based on a sound foundation moving forward.”

Managing Extended Warranty Programs

Presently, 85% of respondent organizations manage at least some portions of their extended warranty programs in-house, including 78% that do so entirely. As such, it becomes incumbent to ensure that they have the most effective tools and resources available to maximize the impact that sales of extended warranties can bring to the bottom line. Metrics such as warranty accrual and warranty renewal rates become critical in their respective efforts to maximize projected revenue streams and build a stronger customer account portfolio over time.

The survey results also reveal that, presently, more than a third (36%) of respondent organizations expect their annual warranty budgets to increase over the next 12 months – with 20% expecting increases in excess of 10%! During the same period, only 17% expect decreases, with most (i.e., 14%) being of less than 10%. All told, the ratio of organizations expecting increases in their annual budgets is more than twice that of those expecting declines. 

Warranty Management Organizations Are First and Foremost, Customer-Focused

The respondents to the survey have also once again clearly identified the specific drivers that are pushing them to aspire to the attainment of higher levels of performance. In fact, they have provided responses that solidify that there are three main “clusters” of factors that drive their respective businesses: Customer-focused, Product Quality-focused and Revenue/Profit-focused – and in that order.

For example, among the Customer-focused drivers, post-sale customer satisfaction issues (58% – up from only 42% in 2017!), the desire to improve customer retention (42%) and customer demand for improved warranty services (35%) remain as the top three drivers with respect to optimizing overall service performance. No other drivers are cited by more than just over one-quarter (28%) of respondents.

The next “cluster” of drivers is Product Quality-focused, and is represented solely by dealing with inferior/deficient product quality at 28%. The third “cluster”, Revenue/Profit-focused, is comprised of two closely-related drivers: internal mandate to drive increased service revenues (26%) and internal mandate to improve service profitability (25%). As such, the warranty chain management community has made it clear that it is squarely focused on, first, satisfying – and retaining – its customers; second, dedicated to improving product quality-related issues; and third, mandated to drive increased warranty revenues – and profitability – through improved warranty management services – again, in that specific order.

These results signify a continuation of the relative “normalcy” that has characterized the Warranty Chain Management segment over the past several years – that is, a return to focusing on customers, rather than spending most of their time and resources wrestling with cost reductions and other financial issues. Obviously, while financial considerations are still critically important, the industry focus has shifted back, as it always does, squarely on the customer’s needs, requirements, preferences and expectations.

The Benefits Realized by Improving Warranty Management Activities Are Many

The number one benefit realized by warranty management organizations through the improvement of their respective activities is improved customer satisfaction (62%). No other single factor is cited by more than 38% of respondent organizations. The next greatest benefits cited by respondents include: reduced service and warranty costs (38%), enhanced product and service performance (35%), improved warranty operational efficiencies (33%) and improved customer retention (33%).

Based on the survey results, Pollock suggests that, “the top benefits realized by improving warranty management activities closely align with the key drivers that influence services organizations; namely, that they need to continue to place their principal focus squarely on the customer, with the end goal being to improve customer satisfaction and retention.”

Complacency with Their Current Warranty Management Solution

However, building upon the survey findings from previous years, a majority of warranty management solution users are notas duly impressed with the vendors that are currently providing these solutions. For example, Pollock claims that “only 40% of respondents are presently ‘satisfied’ with the services and solutions provided by their primary warranty management solution vendors – including a stunningly low 2%, or only one-out-of-50, who are ‘extremely satisfied’. These percentages reflect a further downtick from just one year earlier.”

Pollock believes that there are probably a number of reasons for why users are not particularly happy with their current WCM solution vendors: “In talking to a number of warranty chain managers over the past several months as part of our benchmarking program,” Pollock claims, “many have said they are unhappy with their current provider because their needs for this year and beyond are simply no longer being met by their existing warranty management solutions that may have been implemented a number of years earlier. Basically, their needs have raised the bar regarding what they now expect out of their solutions; but, in many cases, their vendors have not raised their own bars in terms of performance delivery.”

Madhu Kunam, director of software development at PTC for the iWarranty product, concurs with Pollock, but adds that, “Even with an implemented warranty management system, the “still manual” processes may make the overall system inefficient or unproductive.” He goes on to say, “Other reasons may include that the features and functions of the existing vendor-supplied solution do not work as advertised, due to a poorly implemented system, or one that has been constantly plagued with bugs.

“It may also be that the vendor-supplied solution simply doesn’t deliver the expected value, or that the vendor is either unable or unwilling to help with consulting or professional services support – or is not able to provide other types of customer-specific support. Then again, it might all just be about cost – although a solution structured for small and medium businesses and sold on a subscription pricing basis can certainly mitigate any problems in this area!”

However, these are only some of the potential problems that he believes PTC’s iWarranty solution can help its customers avoid. For example, Kunam explains that, “PTC’s warranty management approach defines, manages and analyzes all of the organization’s warranty processes from initial product registration through to the end of the standard or extended warranty period. This unique approach to warranty analytics and service lifecycle management focuses on a product-centric data model that allows users to manage warranty information and capture service history in the context of the product itself, thereby allowing this important data to provide feedback to the enterprise for continuous product and service improvement.

“In this way, no matter how high the customer raises the bar, or how customer-specific the solution needs to be, PTC stands ready to support its customers in all facets of their warranty operations. PTC believes that this is one of the key areas that can make a difference between a satisfied customer, and a dissatisfied one.”

On May 24, 2018, PTC will be hosting a complimentary hour-long webinar featuring the executive-level results of this survey, to be presented by Bill Pollock. It will also be making available the companion Analysts Take paper that provides further insights relating to the findings. To register for the Webcast, or to obtain a copy of the companion Analysts Take paper, simply click here: http://app.demand.ptc.com/e/es.aspx?s=2826&e=2100908&elqTrackId=c346145430f045a9a4a8ab0ad69df3d1&src=View_Online&elq=ec4b7ad031c5442e85dca16a47774a24&elqaid=29101&elqat=1.

The Future of Field Service Management (FSM) – What Lies Ahead for an Industry that Is Constantly Evolving and Reinventing Itself

[The following is a first page excerpt from SFG℠‘s Analysts Take paper on “The Future of Field Service Management (FSM)” originally published this past July, 2017. Following the conclusion of our current, updated, survey research on the topics of Field Service, Service Parts Management and Warranty Management, we will be updating this document later in Q2, 2018. In the meantime, to download the entire original document, simply click on the Weblink provided at the bottom of this page.]

The global Field Service Management (FSM) segment has re-invented itself several times over the years, from break/fix, to network services, to software support and such. However, the introduction of the Internet of Things, or IoT, is going to have a much greater and profound impact on the global services community than anything else that has preceded it! In fact, it already is!

For years, services managers have been talking about ways in which to reduce the number of “truck rolls” in order to save money, and repair the customer’s equipment remotely – first, by phone, or assisted self-help; and, now, via remote diagnostics and predictive diagnostics.

Truck rolls are not necessarily a thing of the past; however, they have greatly diminished in frequency as a result of the integration of the predictive diagnostics, remote diagnostics and the IoT into Field Service Management (FSM) systems.

“Improvements in business analytics have also assisted field service managers in their ability to manage their entire business operations – and not just the field service aspects of the business.”

Improvements in business analytics have also assisted field service managers in their ability to manage their entire business operations – and not just the field service aspects of the business. There are more analytical tools available now than ever before, and most managers are actively engaging their dashboards, so they can intelligently manage their field service operations.

Through the use of Augmented Reality (AR) apps, now actively being combined with Virtual Reality (VR) to form a more complex and robust “Mixed Reality” (MR) capability, we are likely to see even more advances in the types of technologies that will ultimately reduce the cost of performing service – for both on-site and remote repairs – over time. Artificial Intelligence (AI) and Machine Learning (ML) immediately come to mind.

Also, with technology visionaries like Elon Musk, who started out with his Tesla automobile business, branching into solar panels and, of course, SpaceX, we are likely to see more and more technological advances coming down the pike. For example, Musk’s new venture, Neuralink, has set its goals on attaining the ability to “merge” the power of the human brain with the power of the IoT, in order to upload and download “human thoughts” onto chips, and vice versa.

Imagine the impact that new ventures like this will have on all aspects of business, not just in field services, if successful! All of a sudden, veteran field services technicians will become just as important as the influx of computer-savvy millennials with respect to their experiential value to the Field Service Organization (FSO). The process goes on and on, and field service management will continue to evolve over time, as a result.

[To download the entire Analysts Take paper on “The Future of Field Service Management (FSM)”, simply click on the following Weblink: The Future of FSM (Draft-17-06-29-01).]

Key Takeaways from SFG℠’s 2017 Warranty Chain Management (WCM) Benchmark Survey

[Strategies For Growth℠ (SFG℠) is currently in the process of conducting its 2018 Warranty Chain Management Benchmark Survey Update. The survey will remain “live” until the end of the first week of February; and the topline results will be presented – for the first time – at the 2018 Warranty Chain Management (WCM) Conference to be held, March 6 – 8, 2018, in San Diego, California.

Please feel free to read the key takeaways from our 2017 WCM Benchmark Survey, below. In the meantime, we invite you to take our 2018 WCM Benchmark Survey Update by clicking on the following link: https://www.surveymonkey.com/r/2018_SFG-WCM]

The key takeaways from SFG℠’s 2017 Warranty Chain Management (WCM) Benchmark Survey are:

  • Roughly half (49%) of the warranty management community has either implemented a new, or upgraded their existing, warranty management solutions in the past three years or less
  • More than three-quarters (77%) of current warranty management processes are at least partially automated; however one-in-six (15%) are still entirely manual
  • Organizations with “new” warranty management implementations have realized significantly greater performance improvements than all other categories of respondents with respect to warranty claims processing time and supplier/vendor recovery (as a percent of total warranty expense)
  • Warranty management organizations are being driven, first, by Customer-focused factors; second, by Product Quality-focused factors; and third, by Cost/Revenue-focused factors
  • The most significant challenges currently faced by warranty services managers are identifying the root causes of product failures, followed by product quality issues and claims processing time and accuracy
  • Currently, as well as in the next 12 months, warranty services managers are focusing primarily on developing and/or improving their KPIs and warranty analytics programs, fostering a closer working collaboration between product design and service, and instituting/enforcing process workflow improvements for supplier cost recovery
  • The top uses of data/information collected from warranty-related events are basically to improve processes (i.e., field service, depot repair, parts returns, etc.), and effect changes (i.e., product design, manufacturing, etc.)
  • Customer satisfaction and warranty management-related costs are the top two categories of KPIs used by warranty services management organizations, followed by warranty costs, per product
  • The 2017 warranty management survey results reflect slight to modest declines in year-over-year performance, except for those organizations that have implemented a “new” (to them) warranty management solution in the last three years or less
  • While the overall survey results seemingly portray a fairly high level of warranty management performance across all respondent segments, there are many – in fact, too many – individual organizations that are not performing anywhere near as well (i.e., 25% to almost 50% of survey respondent organizations)

Historically, the primary factors cited as driving the warranty management community to improve its operational efficiencies and overall performance have essentially been customer-driven; that is, with a focus primarily on meeting – and exceeding – customer expectations for returns processing, claims processing time, replacement units and the like. However, the economic bust of the past decade changed the way warranty management organizations think by also placing increased emphasis on warranty costs and related issues. Still, the number one factor, overall, is to meet their obligations with respect to keeping their customers satisfied.

The bottom line for 2017 and beyond is that organizations that have implemented new (or at least upgraded) warranty management solutions are experiencing significantly better performance ratings for key metrics including warranty claims processing time, cost recovery from suppliers/vendors and, ultimately, both customer satisfaction and their respective financial KPIs.

There is no mistake – if your organization finds itself behind the curve with respect to (1) the automation of its existing warranty management processes (or lack thereof); (2) its ability to meet (if not exceed) its customers’ demands or requirements; (3) its ability to recover costs from its suppliers/vendors; or (4) dealing with the costs associated with running its warranty management operations; this gap will likely only get larger over time – unless it considers implementing a new warranty management solution. The 2017 survey results clearly show the impact that doing so will have on the organization – and its bottom line.

The leading warranty management organizations (i.e., those that have already attained, or are poised to attain best practices status) are doing so mainly by taking steps to:

  • Automate their existing manual or partially automated processes
  • Develop and/or improve the KPIs they use to measure their performance over time
  • Foster closer working collaboration between product design and service
  • Institute/enforce process workflow improvements for supplier recovery
  • Streamline overall operations
  • Streamline parts return processes to improve overall efficiency
  • Restructure for improved warranty management oversight and accountability
  • Purchase and/or upgrade to an fully automated warranty chain management solution

The survey results clearly show that the gains made in performance improvement among those organizations that have implemented a “new” warranty management solution in the past three years or less have been substantial, essentially making the case that the most effective means for driving performance improvements is via the automation and integration of all key warranty management functions, facilitated through the implementation of a state-of-the-art, warranty management solution.

[Don’t forget to take our 2018 Survey! https://www.surveymonkey.com/r/2018_SFG-WCM]

UK/Europe vs. U.S./Global State of Field Service Management (FSM) Survey Findings Infographic

The attached Infographic presents and compares the key survey findings from Strategies For Growth℠s 2017 Field Service Management (FSM) Benchmark Survey for the UK/Europe vs. the U.S./Global FSM markets.

The U.S./Global survey findings were presented on November 8, 2017 in a Webcast hosted by CSDP, the leading service relationship management software developer that commences every client engagement with consulting. Bill Pollock, President & Principal Consulting Analyst at Strategies For Growth℠, was the featured presenter.

See below to find out how you can view the archived Webcast in its entirety, and obtain a complimentary copy of the companion Analysts Take paper.

The Infographic provides a synopsis of how the UK/Europe FSM market differs from the U.S./Global FSM by comparing key survey findings in an easy-to-follow graphical format. By viewing the Infographic, learn how the UK/Europe FSM market compares to all others for each of the key survey findings. Then, register for the 6 December, 2017 Webcast to drill down for more detailed information!

[Download the Infographic at: UK-Europe vs US Infographic (November, 2017).]

[To register for the 6 December, 2017 Webcast on the topic of “UK/Europe Field Service Organisations Are Closing the Global Service Delivery Gap!“, please click on the following Weblink: http://bit.ly/2zt4eu0.]

The State of Field Service Management (FSM) in 2017 – and Beyond!

[This Blog post contains a sampling of the content and information that will be presented in our upcoming Webcast, Wednesday, November 8, 2017 from 1:00 pm to 2:00 pm EST. To register for the Webcast and receive a complimentary copy of the full Analysts Take white paper, please go to: http://bit.ly/CSDPWebinarNov8.]

As we near the end of calendar year 2017, many Field Service managers have begun to wrestle with the question, “What lies ahead for us in the next 12 months and beyond? Of course, there is no quick and easy answer – and everything can change in a heartbeat due to unforeseen internal and/or external factors.

As such, it becomes increasingly important for Field Service Organizations (FSOs) to understand the specific impact that the next 12 months (and beyond) will have on the quality and performance of their field service operations. In fact, the future state of Field Service Management (FSM) will depend largely on what strategic actions FSOs plan to take in the next 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 a good place to start.

The results of Strategies For GrowthSM‘s (SFGSM) 2017 Field Service Management Benchmark Survey reveal that the top drivers cited as influencing FSOs today may be categorized into three main areas:

  1. Customer demand and/or preferences
  2. Need to improve service workforce utilization, productivity and efficiencies
  3. Internal mandate to drive increased service revenues

When asked to cite the top three drivers currently influencing their ability to effectively manage field services operations, 56% of respondents cite customer demand for quicker response time, and nearly one-third (32%) cite customer demand for improved asset availability.

However, the need to improve workforce utilization and productivity is also cited by a majority (51%) of respondents as a top driver, followed by the need to improve service process efficiencies (39%). An internal mandate to drive increased service revenues is then cited by 31% of respondents as one of their top three drivers.

Once the key market drivers are clearly identified, FSOs need to create – and implement – the most effective strategic planning actions to address them head-on. As revealed in the SFGSM survey, the most commonly implemented strategic actions, currently, are:

  • 48% Develop and/or improve KPIs used to measure field service performance
  • 40% Invest in mobile tools to support field technicians
  • 36% Automate existing manual field service processes and activities
  • 31% Integrate new technologies into existing field service operations
  • 30% Provide additional training to field service technicians and dispatchers
  • 26% Improve planning and forecasting with respect to field operations
  • 25% Increase customer involvement in Web-based service process
  • 24% Provide enterprise-wide access to important field-collected data

These data strongly suggest that there is a pattern of synergy among the top four cited strategic actions that builds a foundation for all of the other actions that will ultimately be taken by the organization; that is, that nearly half of the FSOs comprising the global services community already recognize the need to build and/or improve their KPI measurement program – this is essential! This is the first step!

Based on the SFG survey data, Jerry Edinger, President, CEO and Chairman of CSDP Corporation, a leading Service Relationship Management software developer, explains, “This is why we start every one of our client engagements with consulting. We ensure that your business processes are designed correctly before automating them. Software alone cannot improve KPIs. We design the exact Field Service Management solution based on the needs and requirements of the organization.  We detail how a solution automates the entire service delivery and customer service processes into a fully integrated field service management system and maps it into the overall enterprise workflow. Once the consultative effort is completed, we then have a detailed roadmap of how to build the most effective solution to meet the organization’s field service goals and objectives.”

However, along with the development and/or improvement of a KPI program, nearly as many organizations also recognize the need to invest in state-of-the-art mobile tools to support their technicians in the field, while concurrently, automating their existing manual field service processes and activities to provide an enterprise-wide foundation for collecting data and information, and disseminating this process to field technicians (and, in many cases, to their customers) on an as-needed basis. Further, about one-third of FSOs recognize the need to integrate new technologies into existing field service operations to make it all come together.

This synergy is built on, first, ensuring that there is an effective KPI measurement program in place, and using that program to establish a benchmark, or baseline, for measuring the organization’s current field service performance. Second, there needs to be a comprehensive internal effort to bring the technical aspects of services operations into the current (and future) timeframe – this can be done mainly by investing in an effective package of mobile tools to support the field force.

Finally, it will be the integration of these new technologies (e.g., mobility applications, the IoT, wearables, 3D printing, Augmented Reality (AR), Artificial Intelligence (AI), Machine Learning (ML), etc.) into the overall mix of resources and tools deployed by FSOs that will empower the field force do their jobs more productively and efficiently. The desired results, of course, would be the improvement of service delivery performance and the resultant improvements in the levels of customer satisfaction (and retention).

The data make it clear that there is no mistake – that is, if your services organization already finds itself behind the curve with respect to:

  1. The automation of its existing field service management processes (or lack thereof);
  2. Its ability to meet (if not exceed) its customers’ demands or requirements;
  3. Its ability to support its field technicians and customers with real-time data and information; or
  4. Dealing with escalating costs associated with running its services operations; this gap will likely only get larger over time – unless it considers implementing a new, more state-of-the-art, field service management solution;

SFG’s 2017 FSM survey results clearly show the impact that doing so will have on the organization – as well as on its customers and its bottom line.

[For more information on this topic; to register for the companion Webcast hosted by CSDP on Wednesday, November 8, 2017; or to download a copy of SFG’s companion Analysts Take report, please visit the registration Webpage at: http://bit.ly/CSDPWebinarNov8.

Lessons Learned from WBR’s 2017 Field Service Fall Conference

FSM Is Taking a More Innovative and Progressive Approach to Meeting Evolving User Expectations

Introduction to Field Service Fall: Innovation. Progression. That’s Field Service!

There were a great many lessons to be learned about field service and customer support so far in 2017 due to a number of factors, including responses to multiple natural disasters (i.e., hurricanes, floods  and earthquakes); evolving patterns of customer needs, requirements and expectations (i.e., as a result of the introduction and proliferation of new technologies); a changing competitive landscape (e.g., the consolidation and/or acquisition of many of the “traditional” Field Service Management (FSM) solution providers, as well as the influx of many new start-ups); and so on.

That’s what’s makes the WBR 2017 Field Service Fall conference at Amelia Island, Florida, so important – especially as it immediately followed the destruction caused by Hurricane Irma only a couple of weeks earlier. Innovation and progress were certainly at the forefront of those services organizations proximate to Amelia Island (and Texas only a couple of weeks earlier) that were tasked to deal with the devastation that was brought forth.

General Conference Theme

First, as conference host, Sara Mueller, WBR’s Event Producer for the conference, stated in her opening remarks, that after speaking to a number of Field Service executives leading up to the event, most suggested that they were interested in learning more about what their peers were doing (or thinking of doing) with respect to dealing with major challenges and establishing priorities for moving forward.

To that end, Sara summarized the “Big Picture” that her executive interviews painted as consisting of the following four components:

  • Business Model Transformation – moving towards selling outcomes rather than selling a product;
  • Having the Right Field Force in Place – with the right information and tools at their fingertips;
  • Leveraging Digitalization and Connected Products – for better efficiency and service; and
  • Achieving Customer Satisfaction – and growth!

The main premise behind all of this “learning”, Sara said, could be summarized in a single quote from Benjamin Franklin: “Tell me and I forget, teach me and I may remember, involve me and I learn.” The next three days certainly bore out Franklin’s thoughts – all with clear examples and background provided.

However, there is always additional, or incremental, “learning” that can be attained by participating in events such as WBR’s Field Service Fall. The following is our “take” on the primary lessons learned over the course of the three day event.

Advancing Service Together

Before delving into specific topics relating to lessons learned from the conference, first, we believe it would be helpful to. Take a more broadly-defined look at what constitutes the basis of field service and customer support.

In his keynote presentation, Martin Knook, CEO at Gomocha, defined the components of “Advancing Service Together” as being based on the the responses to a series of questions, including:

  • What can I do for you today?
  • What can I do better this time?
  • What solution do you need tomorrow?
  • Do you have any pain points that you can share?
  • Are you happy with my product/service?
  • What else do you expect?

While admittedly, this list of questions is not complete, it at least establishes a base, or basis, for both the solution provider and the customer to begin the process of working together to a common end. “It’s not rocket science!”, Knook exclaimed. But it does begin the process of information exchange.

Knook also cited W. Edwards Deming, who said that, “Without data, you are just another person with an opinion.” However, data alone does not do the entire job – the data must, first be accurate and relevant, but it must then be converted into usable information and, ultimately actionable knowledge.

The challenges, according to Knook, are:

  • Servitization
  • Technology Capabilities
  • Existing Business Processes, Products and Services
  • Innovative Learning Organization

One of the greatest challenges is predicated on the fact that “only 18% of the companies interviewed have clear performance metrics in place.” This is also supported by Strategies For Growth’s (SFG’s) most recent survey data tree along that a similar percent do not currently even have a formal Key Performance Indicator (KPI) program in place.

However, these alarmingly low percentages may be somewhat offset by the fact that up to 62% of the organizations surveyed in SFG’s 2017 Field Service Benchmark Survey are currently establishing or enhancing their existing KPI programs to include more metrics measured, more sharing of data/information and the better application of those measurements into strengthening their ability to measure and improve existing levels of performance.

Denise Rundle, GM and Partner at Microsoft, took the discussion a bit further by discussing “Turning Customers into Raving Fans.” In her keynote presentation, she cited a quote from Microsoft CEO, Satya Nadella, who stated the company’s mission statement as, “Achieving our mission requires us to evolve our culture and it all starts with a growth mindset – a passion to learn and bring our best every day to make a bigger difference in the world.”

It’s all there: culture, passion to learn, bring our best, make a difference via the execution of our “growth mindset”. And, not the other way around!

  1. In order to execute on its mission, Microsoft has identified three breakthrough experiences that it believes will take it to the next level:
  2. Artificial Intelligence – the technology that will make the virtual agent more human and helps agents be more effective,
  3. Collaborative Delivery Model – based on the simple routing to groups of experts who solve cases collaboratively, and before and after sentiment to understand how  customers feel.
  4. Achieve More Conversations – through the application of machine learning, predictive analytics and targeting, and campaigns.

Rundle also spoke of the things that Microsoft has already begun implementing in these areas including: (1) extending conversations with customers by 30 seconds in order to “add real value to customers; (2) eliminate “painful routing” and “frustrating bounces” by channeling customer calls directly to “groups of collaborative product specialists” (i.e., rather than to a worldwide assortment of engineers, etc.): and (3) provide customers with an “end-to-end” user experience to create new opportunities to customers (as well as cross-sell and upsell opportunities to Microsoft).

Greatest Lessons Learned

Perhaps the greatest lessons learned from WBR’s 2017 Field Service Fall conference were focused in the following areas:

  • Digital Transformation
  • Connected Services / The Internet of Things (IoT)
  • Augmented Reality (AI) / Artificial Intelligence (AI) / Machine Learning (ML)
  • Outcome-Based Services
  • Dealing with a Changing Workforce / Leveraging a Contingent Workforce

[To download a complete copy of SFG℠‘s “Lessons Learned from WBR’s Field Service Fall ConferenceAnalysts Take report, please click on the following Weblink: @@@ 2017 Field Service Fall Analysts Take Report (17-10-16-01).]