How to Make Your Field Service Management (FSM) Solution Rock!

[With a Little Help from My Friends in the Rock & Roll Hall of Fame]

[Reprinted from Field Service News. Enjoy!]

Whenever one of your service customers hollers “Help”, you not only need to respond quickly, you also need to Get It Right the First Time – because you certainly won’t want to waste the time and expense of having one of your field technicians Truckin’ to the customer site unnecessarily – and you also won’t want to have to Do It Again later! If you’re not careful, it will all be Wasted Time!

By the way, this is why many of the leading services organisations are incorporating Augmented Reality (AR) into their Field Service Management (FSM) solutions – because Every Picture Tells a Story, don’t it? With all of this “new” technology being integrated into FSM solutions supporting the global field services community, The Times They Are a Changin’, for sure!

For a majority of users, the decision as to which type and brand of equipment to acquire is based more on the quality of service that will be provided after the purchase, rather than on the acquisition of the piece of equipment itself. Plus, it’s not only based on Money, Money, Money –  it’s more often than not based on things including Promises, Honesty and A Matter of Trust!

However, once selected, after the services provider asks the user to “Take a Chance on Me”, it will need to, first, make sure that its new customer has a Peaceful Easy Feeling, and that it hasn’t spent a whole lot of Money for Nothing (or you could end up in Dire Straights)!

Further, whether the customer’s equipment is located in Allentown, or Katmandu, the services provider must be sure that there Ain’t No Mountain High Enough to keep it away from delivering the services that have been promised. If you cannot cover all of the geographic areas where your customers’ (and prospects’) equipment is located, you may end up with an unhappy customer in Massachusetts, requiring your field techs to work weekends on Tulsa Time, finding a suitable contractor in Sweet Home Alabama, being stuck in Lodi (again), authorizing a costly flight to Kokomo, Going to California yourself – or even worse – having to deal with a Panic in Detroit! One way or the other, you’ll never want to hear one of your Colorado customers tell you to “Get Out of Denver”!

Communications is also a critical component of any services relationship – and the last thing you will ever need to experience with your customers is a Communications Breakdown! Customers will want you to be their “Nights in White Satin”, consistently being able to provide them with what they want, “Any Way You Want It”, so they will always feel Glad All Over.

Customers hate it when they call their services provider and get No Reply! There’s a Fine Line between being only casually responsive and treating your customers with a full measure of Respect – and you don’t want to cross that line the wrong way, otherwise your customer will feel like “(I Can’t Get No) Satisfaction” and end up in Misery!

If you get your communications right with your customers, you’ll find that The Winner Takes It All (i.e., your services organization); but if you Try Too Hard, you might end up just Livin’ on a Prayer, waiting for another opportunity to make it up to them – and they may simply tell you, “Not a Second Time”! It’s also important to remember that even if your customers have already asked you 65 or 66 questions, you will still need to be prepared to answer Questions 67 and 68!

So, … if you consistently deliver the expected – and desired – levels of service to your customers, and your field technicians remain Cool, Calm and Collected with respect to managing their customer relationships, then you may be in it for The Long Run! If so, then Long May You Run (that is, in circles around your competitors)!

However, for every services organization that actually “gets it”, there are probably a dozen or so more that don’t! That’s why it is so important to make sure you properly train – and arm – your field techs (i.e., with mobile tools and accompany technology, etc.) with everything they need All Down the Line, so they can satisfy their customers consistently, and go home every day after their last call feeling Free as a Bird and ready to Rock and Roll All Nite!

Advertisements

Best Practices FSOs Operate Differently to Maintain Their Best-in-Class Status

What Makes Best Practices FSOs Different from All Others? And How Do You Get There in the First Place?

[A Weblink for downloading the archived Webinar plus the companion Analysts Take paper is provided at the end of this Blog.]

Each year, Strategies For Growth (SFG) conducts a series of Benchmark Surveys among its outreach community of more than 29,000 global services professionals. Total responses for the 2017 Field Service Management Benchmark Survey were 419, of which 43, or just over 10%, are classified as Best Practices Field Service Organizations (FSOs) (i.e., those attaining 90% or higher customer satisfaction ratings, and 30% or greater services profitability).

Overall, survey respondents identify the following as the top factors, or challenges, that are currently driving their ability to optimize field service performance:

  • 53% Need to improve workforce utilization and productivity
  • 42% Customer demand for quicker response time
  • 42% Need to improve service process efficiencies

Based on the special Best Practices data cut from SFG’s 2017 Field Service Management Benchmark Survey, the key takeaways are:

  • Best Practices FSOs are driven to improve workforce utilization, productivity and efficiencies; meet customer demand for quicker response and improved asset availability, and increase service revenues
  • Nearly half of Best Practices FSOs are adding, expanding and/or refining the metrics, or KPIs, they use to measure service performance
  • Over the next 12 months, more than three-quarters (81%) of Best Practices FSOs will have invested in mobile tools to support their field technicians, and 61% will have integrated new technologies into existing field service operations
  • Field technicians are increasingly being provided with enhanced access to real-time data and information to support them in the field, as are customers through Web-enabled self-help capabilities (i.e., to order parts or initiate service calls, track the status of open calls, etc.)
  • All FSOs face myriad challenges; however, Best Practices FSOs are better equipped to deal with them

[To learn more about this topic, we invite you to download our September 12, 2018 Webinar on the same topic, hosted by global FSM Solution provider, Astea International (www.astea.com). To download an archived copy of the full Webinar, plus the companion Analysts Take paper, simply click on the following Weblink: Webinar Registration]

Using Service Lifecycle Management (SLM) to Support Your Customers While You’re Servicing Their Equipment

Every day you deal with a multitude of customers who vary by type, size, installed base, usage, personality and everything else that ultimately differentiates one customer from another. However, one thing always remains constant – their business systems and equipment are critically Important to their day-to-day business operations. Despite this common thread that runs through virtually all of the customers you support, it is still important to recognize that each customer account will likely be different in terms of:

  • The various types, brands, models and numbers of units they have installed at their respective sites;
  • The ages of the individual units that are covered under their various Service Level Agreements (SLAs), or supported viaa Time & Materials (T&M) basis;
  • The usage patterns of the equipment at their individual locations (i.e., continuous intermittent use; single vs.multiple shifts; simple vs.complex multifunctional peripheral applications; and so on);
  • The volume, capacity or throughput they regularly execute; and
  • Many other unique and/or specific differentiators.

For some of your customers, their equipment is an integral component of what they do on a day-to-day basis. Customers in all industry segments, whether it be legal, financial, medical, real estate, government, or other highly-demanding markets, will tell you that their systems and equipment are essential to their business operations, and that when their equipment is down, their production is severely affected. For some, even a small piece of connected equipment may be the only means they have for providing their customers with a receipt, order confirmation, or other important transaction-generated documents. In fact, for many in the latter category, their reliance on the equipment you support may be even more critical to them (at least on a relative basis).

Regardless of the specific industry market segment or type of customer, there will always be a basic level of reliance on the business systems and equipment they have installed at their facility. In addition, you will find that your customers will also be relying heavily on your organization to ensure that their equipment is always up and running as required – and as expected. As such, it is important to recognize that in the customer’s mind, if the equipment is not working optimally – regardless of the technology that may have been built into it – it is worthless.

Since there is just so much that the customer is either inclined or permitted to do in order to get the equipment back in working order following a failure, in most cases, your field technicians will be the sole entities that they can count on to make that happen (that is, aside from remote monitoring and diagnostics, etc.). Accordingly, they will need to approach the servicing and support of the equipment with a great deal of professionalism and responsibility. Customers usually do not care whether the cause of an equipment problem is due to a hardware or software failure; a paper jam; or whether it was the unit’s fault, their fault, or nobody’s fault in particular. All they know is that when they needed to use the equipment, it simply did not work.

This is typically where the organization’s field technicians come into the picture. In many cases, they represent the only “real” physical manifestation of the service and support that keeps their equipment up and running – or at the very least, they may represent their first line of service and support defense. Your customers may rely heavily on the equipment itself to support their day-to-day business operations; but they rely even more on your organization and your field technicians to ensure that the equipment can continually do what it is supposed to do.

This is a unique area where most services organizations – and their dealers and distributors – can use some help! The good news is that there is a Service Lifecycle Management (SLM) software solution available for users in every industry, size and geographic coverage segment. The implementation of anSLM solution can provide a comprehensive set of integrated business solutions that empower strategic initiatives while driving tactical execution.

Companies that install, repair, and maintain business systems and equipment can increase their competitive advantage, grow top-line revenue, and bolster bottom-line profitability through the use of an effective SLM solution. Among the basic features and benefits of SLM functionality for a typical Field Services Organization (FSO) may best be summarized as follows:

  • Comprehensive Contract and Service Level Management
  • Service and Sales Integration
  • Increased Help Desk/Contact Center Effectiveness
  • Field Service Efficiencies

Comprehensive Contract and Service Level Management

Through SLM, customer contracts and Service Level Agreements (SLAs) can be structured in ways that best fit the business, as well as the businesses of their respective customers. Key items such as maintenance and repair service; preventative (or predictive) maintenance; remote monitoring, diagnostics and repair; and draw-down contracts can all be easily established and managed. As such, the organization’s services management can be assured that all of the obligations of its customers’ SLAs are well-planned for – and met – and that all of its mission-critical commitments to the customer are being honored.

In this way, services revenues are maximized, and there is little risk of experiencing lost revenues. Company representatives can quickly and easily verify both the customer and vendor entitlements, thereby eliminating any costs that might otherwise be associated with providing customers with parts, consumables or services they are not entitled to under the terms and conditions of any existing warranties or contracts. This also ensures that any and all dealer claims will be quickly processed.

Service and Sales Integration

The Service and Sales Integration functionality of an SLM software suite can be relied on to enable the manufacturer’s and dealer organizations’ field service technicians and contact center personnel to more thoroughly service the company’s accounts, while also driving increased revenue in the process. By placing intuitive, easy-to-use sales tools into the hands of the appropriate service employees, the number of new opportunities to up-sell and cross-sell equipment, parts and consumables to existing customers will increase multifold.

The organization’s service technicians are out in the field every day talking to, and interfacing with, its customers; why not also provide them with the tools and resources they can use to close – or at least open –additional sales opportunities within this virtually captive customer base!

Increased Help Desk/Contact Center Effectiveness

SLM can also allow the organization to increase its call handling efficiencies, especially in the areas of first-call resolution and call avoidance rates. This will ultimately result in the lowering of internal service costs, and commensurate improvements in existing levels of customer satisfaction and retention. In many ways, business systems and equipment services have been somewhat commoditized over the years, and the only way that one services organization (or its dealers) can establishment a competitive advantage over another is to differentiate (i.e., improve) the way in which they support the customer base after the initial sale.

The best way to do this is to provide superior levels of help desk and call center support empowered by a robust SLM capability. By arming your call center personnel with accurate and up-to-date customer and installed equipment base information – be it entitlement, configuration, or marketing campaign data – the organization will be able to greatly increase its ability to sell, cross-sell, and upsell its entire portfolio of products, services, parts and consumables.

Field Service Efficiencies

Leveraging the field service automation tools inherent in the SLM software allows the organization to optimize its field force capacity utilization, resulting in significant operational efficiencies as field technicians quickly become empowered to increase revenue generation and recovery. By streamlining and managing the invoice process, billing cycles will be lowered, as will other key areas, such as Day Sales Outstanding (DSO), etc.

These improvements will almost immediately go directly to the bottom line as you will be able to manage your cash flow and receivables much more effectively. Similarly, by streamlining and managing your service inventories (such as trunk stock) more effectively, you will also be able to realize significant inventory cost reductions.

What many OEMs and dealer organizations seek is an end-to-end, enterprise-wide SLM solution that addresses the complete equipment/service lifecycle, from lead generation and sales quotation, to service and billing, through asset retirement. They are looking for a solution that both integrates and optimizes the critical business processes that all services organizations have to face with respect to providing their customers with the levels of service and support they require.

Services organizations that provide their customers with any combination of products, parts, services and consumables must be able to not only fix the customers’ equipment, but to fix the customer as well; however, the ability to do so may vary greatly from one organization to another. However, the most successful organizations will ultimately be the ones that have the right mix of management, personnel, tools, resources and solutions (i.e., Service Lifecycle Management), all working together to provide their customers with the levels of service and support they require – and expect!

Best-in-Class, Best Practices, or Benchmarking? Which Way Should You Go?

“Best-in-class” customer service and support is what all services organizations strive to achieve. However, many experts suggest that attaining “best-in-class” status in all aspects of customer service is – well – impossible! Even the very best customer service-focused organizations typically have one – or more – areas where they are not able to provide “best-in-class” customer support. However, whether a “best-in-class” organization really does – or can – exist, one thing remains absolutely clear: your organization must do everything it can to be perceived by its customers as being as close to “best-in-class” as possible.

In order to effectively move toward attaining “best-in-class” status, services organizations need to rely heavily on the formulation, development, and implementation of what is commonly referred to as “best practices” to support their customer service operations. The United States Government, General Accounting Office (GAO), defines “best practices” as “the processes, practices, or systems identified in public and private organizations that perform exceptionally well and are widely recognized as improving an organization’s performance and efficiency in specific areas”. The agency goes on to say that, “successfully identifying and applying best practices can reduce business expenses and improve organizational efficiency.”

However, in order to actually know whether your organization is currently performing at – or near – a “best-in-class” level, it will first need to “benchmark” exactly where it stands with respect to the customer service performance of other organizations – both in and outside of its field. This, of course, is commonly known as “benchmarking”. The American Productivity & Quality Center (APQC) defines “benchmarking” as “the process of improving performance by continuously identifying, understanding, and adapting outstanding practices and processes found inside and outside the organization.”

We like to define “best-in-class” primarily as “customer service performance that successfully addresses the gap between the organization’s performance and the customers’ needs and requirements, and taking the necessary steps to close that performance gap.” While this may not take you all the way to a “best-in-class” level compared against all industries and all other services vendors, it will at least take you to where you are providing the highest levels of customer service and support you possibly can.

The GAO suggests the following guidelines as to what “best-in-class” is all about, based on the results of the benchmarking research it has conducted in the private sector:

1.  Make it easy for your customers to voice their concerns, and your customers will make it easy for you to improve.

Nobody likes to receive constructive criticism or have someone complain about their customer service performance to a supervisor. However, you should accept every customer-voiced concern or complaint as just another one of your “marching orders” to improve – or fine-tune – your organization’s customer service and support skills.

2.  Listen to the voice of the customer.

Customer service leaders demonstrate their commitment to resolving customer concerns by listening directly to the voice of the customer. By investing your time in communications with your customers, the payoff will be an easier path to get the job done – regardless of whether it is a service call, responding to a customer request or inquiry, or anything else that the customer feels is important.

3.  Respond to customer concerns quickly and courteously with common sense, and you will improve customer loyalty.

Customers tend to “reward” vendors who can quickly – and repeatedly – resolve their problems by remaining loyal customers. Quick problem resolution can add greatly to the foundation that you are trying to build in support of customer loyalty – and repeated quick problem resolution will all but certainly “close the deal”.

4.  Resolve problems on the initial contact – build customer confidence, and save money.

A customer callback that requires two or more company personnel to follow-up will typically cost much more than a call that was handled right the first time. Resolving a customer problem on the initial contact can also significantly build the level of confidence your customer has in your organization’s ability to get the job done. And once you earn this level of trust, it will be difficult to lose it.

5.  Technology utilization is critical in problem resolution.

Your company probably already uses a number of technology-based tools to support its field engineers’ ability to quickly resolve customer problems – but they need to use them! These tools should be used – as a matter of course –as support in providing customers with quick and effective solutions.

6.  Continue to train your employees in customer service and support.

Regardless of what customer service training you may have provided to your employees in the past, chances are they already need more training in order to remain effective. There are always new technologies and tools being developed to support their ability to provide “best-in-class” customer support.

7.  Focus on getting the job done; not just dealing with the symptoms.

If routine equipment and/or customer problems are effectively being resolved initially at the front-line, company management can focus more on improving the core processes, policies, and guidelines that drive customer service performance and customer satisfaction throughout the organization. “Best-in-class” companies use formal processes to, first, identify the problems and; then, to empower their employees to resolve them as quickly as possible.

The main lessons to be learned from approaching customer service from a “best-in-class” perspective are as follows:

  • Satisfying the customer must be your top priority.
  • View customer concerns and criticisms as opportunities for improvement – not just as problems.
  • Make it easier for customers to voice their concerns; this will make it easier for your service engineers to resolve their problems.
  • Effective customer service and support relies heavily on two-way communications
  • Well-managed customer service and support processes make everybody’s job easier – and customers more satisfied.

All of the tools you need to become a “best-in-class” provider are already in your hands; but, you have to make them available to all of your employees – along with the empowerment to use them!

Service Lifecycle Management: The Catalyst for Integrating All of the Organization’s Services Operations

The concept of Service Lifecycle Management, or SLM, has been around for some time now; however, the tools and technologies used to actually make it work within the organization are still emerging and evolving. Not only that, but as they continue to evolve, they also build upon themselves to provide users with more power and flexibility to manage their services operations than ever before.

The upside of this growth in empowerment is that if your organization has already implemented SLM, then it is already on the fast track toward being able to effectively manage its total base of capital equipment, mission-critical assets, and human capital. The downside, however, is that if you have not already embraced the concept, you may be wasting precious time.

We define SLM as “a solution that supports the complete service lifecycle, from lead generation and project quotation, to service and billing, through asset retirement”. We further define SLM to encompass the integration and optimization of critical business processes including the contact center, field service, depot repair, logistics, professional services, and sales and marketing. We believe a comprehensive SLM suite also extends into portal, business intelligence, data analytics, dynamic scheduling, and mobile solutions; and must be applicable to services providers supporting customers in all vertical segments, and in all geographies.

While we have witnessed a great deal of growth in the acceptance of SLM over the past several years, many services organizations still find comfort in relying on their existing solutions essentially on an à la cartebasis. That is, they may have a Field Service Management (FSM) solution already in place, along with Customer Relationship Management (CRM), Services Parts Management (SPM), Supply Chain Management (SCM), Warranty Management (WM), Asset Management (AM) and others. The problem is, however, if these individual solutions and applications do not interact with one another, the organization will not be benefiting from the full value of their collective – once integrated – impact.

In an age where FSM, CRM, SPM, SCM, WM, AM and all of the other acronym-based solutions simply cannot cut it in and of themselves, only SLM addresses each of the factors that are important to services organizations for whom downtime is not an option, and resource utilization directly impacts financial performance. This is what SLM is designed to do, and an SLM solution is what the most progressive types of services organizations are now using to differentiate themselves from the also-rans.

The servicesmarket is constantly looking for proven solutions, based on practical business operations functionality, and powered by the latest technologies, to maximize their respective bottom lines. As such, the primary drivers behind the growing acceptance of SLM are also fairly universal – and quite compelling – as business managers across-the-board are essentially looking for the same things. Things like the ability to:

  • Streamline and automate their business processes;
  • Compress the contract-to-cash cycle;
  • Identify incremental sales opportunities and improve revenue recovery;
  • Collapse non-value-added workflows;
  • Enhance resource utilization and reduce downtime;
  • Coordinate the efforts of their sales, marketing and service organizations;
  • Improve compliance with Service Level Agreements (SLAs), contracts and warranties; and
  • Synchronize every customer touch point for increased customer satisfaction and retention.

While other disciplines like CRM, SCM, WM AM, et al, may only address one, two or more of these drivers, only SLM addresses them all – and this is critical, as no organizations in today’s business economy either have the time, resources or money that would allow them to build an effective service delivery model, piece- by-piece, on a non-interrelated basis, and hope to have it function as an all-encompassing solution. Only SLM affords them this opportunity.

Service Lifecycle Management is a fluid, or dynamic, discipline. It is also an agile tool that can evolve with the trends in the market, the needs of the user, the integration of new technologies, and the evolving goals and objectives of the customer. Choosing the right SLM solution to get started is critical; but so is the need to choose the right vendor, as well as the appropriate technologies to make it all work. It is not just another acronym – like CRM – to simply be tossed around interchangeably with customer service or satisfaction, asset or supply chain management, or any of the other “acronym” solutions and applications.

SLM is virtually a living, breathing entity that helps poorly run businesses run better, marginal businesses run more profitably, and well-run businesses excel in their markets as acknowledged leaders in customer satisfaction and profitability. The concept itself is sound, the technology is readily available, the need is irrefutable, and all you need to move forward is the recognition that there is an SLM solution out there that meets your organization’s specific – and often, unique – needs. By choosing the right solution, fully supported by the right vendor, and empowered by technology, your organization will certainly have a better chance of thriving in an increasingly complex and customer-focused business environment.

The Importance of Truly Knowing Your Customers

The field technician’s role in supporting its customers may be extremely varied, and no one job description is likely to be able to describe or define everything he or she does – either from the customer’s perspective, or from the organization’s. In some cases, a field technician is called on to be nothing more than the repair person – they arrive on-site, fix the equipment, and leave without causing any undue disruption; however, in other cases, they may serve as anything from a consultant (i.e., being asked to provide advice on how to most efficiently use the equipment), to a trainer (i.e., being asked to teach the customer how to operate some of the equipment’s more advanced features), to a sales person (i.e., being asked to suggest what new types of equipment should be acquired to replace the existing model), etc.

If the question is “Which one of these roles is the field technician supposed to play when interacting with its customers?”, the answer is – simply stated – “All of them!” The customer will, at one time or another, expect their field technicians to serve in all of these roles, as they will typically be the only representative of your company that physically visits or speaks to the customer once the original equipment sale has been made (save for an occasional sales call made as the equipment nears the expiration date of the warranty or service agreement, etc.).

Basically, field technicians need to serve in whatever role their customers expect them to serve as they will be their only “true” connection to the company that provides them with their operating systems and equipment service and support. The irony is that, if all they do is repair the customer’s equipment whenever it fails, they will typically be perceived as “not doing their job”. However, by also becoming their customers’ systems and equipment consultant, advisor, and (pre-)sales person – if only on a casual, or as-needed basis – they will certainly place themselves in a stronger position to become the most important individual to the customer with respect to any and all of its systems and equipment service and support needs.

It doesn’t take customers a very long time to get to know who their field technicians really are. In fact, with just a few on-site service calls under their belt, they probably will get to know them very well in terms of how well they communicate with customers; how quickly they react to what they would define as “emergency” or “urgent” situations; how quickly they tend to arrive on-site; and how much attention they pay to the details once they get there.

Can your organization say the same for each of its customers? If the answer is “no”, you may find yourself in a situation where your customers are “managing” their relationships with you better than you are with respect to managing them. If this is the case, you may ultimately find yourself at a relative disadvantage in dealing with your customers in the future – especially if they believe that you don’t really know who they are (i.e., what makes them “tick”; what “ticks” them off; etc.).

So, what do you really need to know about your customers? It once again comes down to having a basic understanding of their specific and unique needs, requirements, preferences, and expectations for the types of service and support you provide, and the way they react when their equipment goes down. And, how can you best get to know your customers on this basis? By listening, observing, and thinking before you speak!

However, while understanding the customer’s need for basic systems and equipment service and support is relatively simple, understanding their need for “value-added” service and support may be a bit more complicated, as their interpretations of exactly what “value-added” means may be “all over the place”.

From the customer’s perspective, “value-added” may mean anything from performing additional maintenance service on peripherals hanging off of the equipment; to servicing additional equipment while the service technician is already on-site; to installing new software; to installing another piece of equipment they had recently purchased from your company that you were not even aware they had; to walking them through an unrelated problem that they might be facing; to anything else in-between.

While these may all represent realistic “needs” from the customer’s perspective, it will ultimately be up to company policy (and the service technician’s daily schedule) to determine what really represents acceptable “value-added” service and support while the service technician is already at the customer site – and what will require an additional, or separate (and, sometimes, billable), work order.

Some examples of the various types of value-added service and support that both the service technician and its customers may agree on while the tech is already on-site may include:

  • Answering questions or inquiries about other installed equipment that they presently have covered under a service agreement with the company;
  • Double-checking the integrity of the connectivity and/or interfaces that the equipment that was just repaired has with other units in the user’s network;
  • Ensuring that everything that was just worked on is operating properly, doing what it is supposed to do, and interfacing properly with other systems and equipment; and
  • Assessing whether there are any other potential problems or possible “flags” that both the service technician and the customer should be aware of before closing up the equipment and leaving the customer site.

Other types of value-added service and support that may be requested include showing the customer how to operate the equipment more efficiently after they have told you what they were doing that ultimately caused the machine to jam, crash, or otherwise stop working in the first place.

While it is not necessarily the service technician’s role to provide on-site, on-the-job training to its customers, it is still within the realm of his or her responsibility to ensure that they are operating the equipment properly, and performing their own equipment maintenance and management (as permitted) in an appropriate manner (i.e., neither neglecting nor abusing the equipment during the normal course of operation).

The bottom line is that you really do need to know your customers, because they probably already have you (and your service technicians) figured out!

Stepping Up to a “World Class” Service Delivery Model

Many businesses that have historically striven to provide their customers with merely “satisfactory” levels of customer service and support have now begun to move closer to a “world class” service delivery model in order to provide their customers with “total support” beyond merely product acquisition. Today’s customers are looking well beyond the product, and are focusing just as much on other pre- and post-sales support offerings such as implementation and installation; equipment training, field and technical support, Web-enabled self-help; remote diagnostic and predictive support capabilities; professional services, including consulting and application training; services management outsourcing; and a whole variety of other value-added services. More importantly, many are still wondering when their primary suppliers will truly be able to provide them with the levels of “world class” service delivery they now require!

In fact, we believe that now represents a critical time for virtually every business to update, or refine, its strategic plan for moving closer to a “world class” service delivery model. This plan may encompass many components, including:

  • Reassessing the company’s existing customer service and support mission, goals and objectives, capabilities, resources, and infrastructure;
  • Identifying and prioritizing the existing and emerging customer/market demands, needs, requirements, expectations, and preferences for customer service and technical support, across all classifications of the company’s market base; and
  • Developing specific recommendations for action with respect to the engineering/reengineering of the existing services organization and processes in an effort to arm the company with a more competitive – and effective – “world class” service and support portfolio.

In more specific terms, the overall goals and objectives of such a planning effort, simply stated, should be to:

  • Examine, analyze, and assess the company’s service and support mission with respect to its desired ability to ultimately provide customers with a full range of service and support offerings that will position the company as a “world class” product and services provider;
  • Identify, from management’s perspective, what the most important elements of a “world class” service operation would be expected to comprise, and within what framework it would envision such an operation to be created and managed;
  • Determine, from the customers’ perspectives, where the company should direct its primary attention with respect to creating a more customer-focused service and support organization and service delivery infrastructure;
  • Define how the desired service delivery organization should be structured in terms of human resources, roles, responsibilities, and functions; organizational components and structural hierarchy; internal vs.outside components (i.e., in-house vs. outsource); strategic partnering and channel alliances; management and staff training; and other key related areas;
  • Recommend how the optimal service operation should be structured in terms of defining and establishing the appropriate service operations, processes, and procedures; logistics and resource management controls; operating targets and guidelines; management control and performance monitoring parameters; and other key related areas; and
  • Provide specific recommendations for the establishment of a more “flexible” services organization and operational infrastructure that addresses all key elements consistent with the delivery of “world class” service and support to the company’s present and projected marketplace.

The specific areas where the services and support strategic marketing plan should focus include:

  • Identification of customer needs and requirements for “World Class” service – including recommended goals, targets, and desired service parameters based both on input/feedback gathered from existing and potential customers, as well as from an assessment/evaluation of other state-of-the-art service organizations/operations in the general marketplace.
  • Composition of the recommended customer service and support portfolio – including the development and packaging of a “tiered” customer service and support portfolio matched directly against the specific needs and requirements of both existing and prospective customers.
  • Service operation structure and processes – including recommended service and support operations supporting the overall service portfolio, focusing on customer service, call handling, help desk, technical support, on-site support, order entry, call logging, administrative, and other processes (to be determined).
  • Determination of key performance indicators – including identification and recommendations for the selection of the most appropriate industry metrics, and guidelines for measuring and tracking service performance over time.
  • Definition of service organization, functions, and responsibilities – including recommendations for the general structure, roles, and responsibilities of the service organization and infrastructure; inter- and intra-departmental roles and responsibilities; organization functions and activities; updated job descriptions; in-house vs.outsourcing decisions; channel management; etc.
  • Selection of operational tools – including recommendations for the most effective use of information and communications technology (ICT) tools, services management and CRM software, and other segment-specific support tools, etc.
  • Formalization of the implementation plan – In-house: including system selection, investment plan, organization development, training, etc.; and outsourcing: including strategic partner selection criteria, performance measurement/management requirements; and general timeframe and rollout plan.

Providing customers with “world class” customer service and support is generally not achievable without a well thought out and orchestrated “world class” planning effort. Good products don’t sell themselves anymore than they service and support themselves. All of these functions must first be developed and implemented as part of an overall business plan. However, we believe that the most successful – and profitable – businesses are those that have managed to effectively deal with both sides of the issue – that is, they know how to sell, and they are prepared to service and support the “total” needs and requirements of their constituent market base. And, by doing it on a “world class” basis, they can benefit from one of the most effective competitive differentiators.

If your organization still operates primarily as a manufacturing- or product-focused business, if service is managed basically as a cost center, or if it is still using the same service delivery model it has used for as long as you can remember, it may be totally missing the boat! Regardless of what product lines your organization has historically manufactured, sold, or distributed, one thing remains certain – your customers want “world class” service and support, and the only way you will be able to provide them with what they want is to plan for it; implement an effective service delivery strategy; acquire all of the necessary tools,  and get all of its resources and processes in place – and, then, roll it out and reap the benefits!