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January 22, 2019 | 5 Mins Read

Making Marketing Work for Field Service Companies

January 22, 2019 | 5 Mins Read

Making Marketing Work for Field Service Companies

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By Tom Paquin

In my everyday life, I am regularly inundated with advertisements from various service organizations. Chimney sweeps, roofers, lawn care companies, and various other enterprises are perpetually trying to sell my wife and me on their services. These typically come as a series of mailers, and each time I receive one, I remove it from my mailbox, carefully rip off my address information, and throw it in the recycling bin.

I will need all of the services advertised to me at some point, probably over the course of the next year. Where will I go when I need to find one? I will go to the same place that I go to when I need to find a reliable toilet brush: The internet. I will search for whatever I’m looking for, read a handful of reviews, and decide who to call.

Why are so many service companies participating in what seems like a game of marketing Battleship, blindly lobbing collateral at everyone with a mailbox and praying that something is a hit? The answer is obvious, of course: They want money. Recently, WorkWave conducted a survey of Pest Control companies, and their top two initiatives for next year, by a substantial margin, were finding new customers, and finding upsell opportunities with current customers. Certainly, in the information age, there are more effective ways to do this.

Moving Marketing Money Around More Effectively

The inclination to send a direct mailer, to advertise in the back of the local newspaper, and though a variety of other low-fi methods can often be traced back to the fact that, well, that’s the way that it’s always been done. It’s been successful in the past, so why not today? The reason why there are diminishing returns for these activities is that your customers are not the same as they were in the past. Customers are much more likely to scrutinize their options than they were even five years ago, with significantly more information and resources available to them to make a decision.

Customers also expect to be marketed to differently than in the past, in a way that corresponds to the way that they’re marketed to for any consumer product. Above all else, customers expect to be understood. There are two dimensions to this understanding: Understanding of them, the customer, and understanding of the external problem that they’re trying to solve. So—what’s the first step to building out a new marketing strategy for these customers?

Inhaling and Exhaling

Marketing is like breathing—You need to inhale, bringing in organic leads through inbound marketing efforts, and you need to exhale, by contacting people via outbound marketing efforts. Service organizations should focus on a slightly asymmetrical combination of those two methods of communication.

About a decade ago, the prevailing wisdom was that an “All-inbound” approach was the future. This means that all potential leads would organically visit your site based largely on content that’s posted there, from which marketers could build a plan to convert those inbound leads into revenue. After years of testing across all industries, the long-term efficacy of that strategy began to be called into question. While inbound marketing did, indeed “warm up” leads, it was the more direct outbound approach that converted leads into revenue.

Inbound may seem challenging for regional service organizations specifically because your base of leads from inbound content may be on the other side of the planet, but there are a variety of low-impact SEO utilities to ensure your content is bubbling to the top for the right potential customers. By building a bench of “How-to” articles or videos on simple self-service topics, with a simple call-to-action to contact your organization for additional questions, you’re already approaching marketing from a more tactical position than an endless flow of print advertisements. You’re getting people, like me, who are inquiring about different topics related to service, onto your website, reading and validating your expertise, and making it easy to book an appointment. Would you prefer your customer land on Yelp, or on your website? Pairing a regularly indexed and updated blog with self-service utilities through your Field Service Management will make this fairly turnkey, as long as you take the time to be smart about the content that you’re posting.

Much of this can be done in-house, written by practitioners and actionalized through a variety of software and agency resources to maximize effectiveness of inbound leads. You may balk at the initial sticker price, but upfront investment will put your business on a growth trajectory that will quickly begin to automate itself, and has a provable ROI.

Let’s talk about exhaling—outbound marketing—which is far more complicated, but is arguably more important. As we’ve established previously, it’s imperative that you avoid simply blanketing the total addressable market with ads (You might as well be mailing them each ten dollars in cash). How, then, do you put your business in front of customers’ eyes? More sophisticated Field Service Management systems allow organizations to build client and prospect lists and subdivide them by current equipment, capabilities, and potential needs. This system is the engine of outbound marketing excellence for Field Service professionals. It allows you to understand your customers implicitly.

A capable FSM platform will compile a complete service history, and indicate any regular service that’s being neglected by the client. Using this information, you can contact them via e-mail or mailer, saying, for instance, “Jon, it’s been 12 months since your last service checkup.” This proactive approach will help mitigate any system failures, thus endearing the customer to you. It’ll also remind them that you—and you alone—are their service provider. This is an imperative to retaining customers and increasing upsell opportunities.

Converting prospects through outbound marketing is a slightly different story, and often can work in tandem with those inbound activities. Perhaps you’ve logged activity from a potential customer on your website. You can follow up with the appropriate marketing materials outlining the scope of your services. Alternatively, you can collect lists of recent homeowners, or competitors’ clients, and build campaigns to strategically convert those customers when you know that they’re ready to evaluate a new system. All of these will warm up your leads enough that you’ll begin to see higher conversion rates.

Between agency, marketing, and FSM software systems, all of the tools that you’ll need to deliver transformative marketing experiences to your service firm are available to you. The last piece is, of course, your unique business. You alone know how to best represent your organization. With the right tools, and your own knowledge, you’ll set yourself up to maximize service marketing success.

January 16, 2019 | 4 Mins Read

5 Best Practices for Building (or Rebuilding) a Functional Field Service Tech Stack

January 16, 2019 | 4 Mins Read

5 Best Practices for Building (or Rebuilding) a Functional Field Service Tech Stack

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By Tom Paquin

Pop quiz:
How did you develop your current Field Service Management technology stack?
a. We built our solution from the ground-up
b. We bought and customized a single solution
c. We bought a single solution and didn’t change anything
d. We have a hodgepodge of systems, utilities, and practices
e. We have an Excel spreadsheet
f. We have a bunch of paperwork

There are some clearly wrong answers to this question, but today, most service organizations that would be seen as effective exist somewhere on the spectrum of the other options on this list. That’s not to say that anyone should be satisfied with what they have today, but they should at least be conscious of what they have today as well as if their solution is—consciously or unconsciously—sliding into another category.
My experience has been that through unfocused decision-making, workforce turnover, and good old-fashioned entropy, most service organizations’ solutions eventually drift into the slump of becoming a hodgepodge of systems. This is only natural; strategies change, downtime is the enemy, and it’s easier to put a technology band aid onto a problem than to think about maximizing connectivity from system to system.
Back in the days when field service was nothing but a cost center, it was fine to have a tangle of wires that was called a service tech stack. Who cares that your routing is handled ad-hoc, your service history is managed by a list in Excel, and inventory is managed by a system unrelated to field operations, as long as the job is done? Well, field service professionals have discovered that one important group does care—your customers—and it’s completely changed the approach to the service tech stack for the better.
Aberdeen’s research has shown that the #1 pressure that top-performing companies face in the service space is streamlining operations. That old tech stack—the dozens of tangled wires—is standing in the way of realizing that. Today’s processes are leaving money on the table, both in terms of inefficiencies and lost revenue. Organizations therefore have an obligation to their customers and their stakeholders to reevaluate their service stacks. This can be both daunting and disruptive, so here are some things to keep in mind:

#1: You have to understand your service stack
This may seem obvious, but in my experience, you’d be surprised how few organizations—big and small—have a good understanding of their technology stack. In fact, when polled, only about 1/3 of service organizations indicated that they have a clear, well-defined technology vision for their service practice. If you cut that by top performers, however, the number of organizations with a plan in place doubles. Service technology used to be a bolt-on addition to an ERP or CRM system. Nowadays, it needs to be treated like its own ecosystem, even if and when it communicates with those other systems.

#2: Don’t be afraid to go nuclear
I know it’s scary, and will be disruptive, but what is the cost of doing nothing? Or worse—stacking more and more systems onto an uncalibrated set of technologies? Adding more and more on top of what you already have is only going to cause more trouble when the next new technology comes around. With that in mind, if you feel as though your field service technology is not where it should be, it might be best to onboard and ramp up and entirely new solution. That will require stakeholder buy-in, which is not always an easy task. With that in mind…

#3: Your builders should be your practitioners
Your field and dispatch techs, call center operators, and customer support teams might not know the scope of technologies available on and industry-level, or might not have a big picture of the overall technology vision, but their input is essential to the success of your business. I’ve spoken to too many service organizations who invest wholesale in a new technology solution with no input from their teams, only to watch the teams resort to old practices, sometimes on pen and paper, because the new systems either lack essential functionality, or they haven’t been calibrated appropriately for the job.

#4: Your field service management platform—not your CRM—Needs to be your Grand Central Station
This goes back to the fact that you’re creating a tech stack for your service practice, with all of the nuances that go into that, rather than your business as a while. Service is only going to get more complicated as time goes on. We’ve really only crested the IoT wave, and when it comes in full force, you’ll want a sophisticated service system ready to tackle the many opportunities that come along with that. A CRM-centric approach dramatically limits the scope of functionality needed to be ready for the future. Sure, you can upload a picture of your client, but can you quickly and capably get a part to a technician for them? That’s not to say that serving the customer should be secondary, it’s to say that service excellence will produce an outcome that serves the customer much more tangibly.

#5: Avoid customization where you can
This may seem counterintuitive. Shouldn’t you customize an off-the-shelf solution to fit the unique needs of your business? The answer isn’t as clear-cut as it would seem. With increased emphasis on cloud, and again—being forward-thinking, you don’t want to overtly customize your solutions. You want them to be able to easily integrate with one another, both on the service side, as well as outside of service. APIs are designed to do most of the heavy-lifting these days. The solution that you purchase should work right out of the box. Also—less customization means more support from the vendor. Another important consideration.

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January 14, 2019 | 4 Mins Read

What Is The Fate Of Your Mature Business Line?

January 14, 2019 | 4 Mins Read

What Is The Fate Of Your Mature Business Line?

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By Bill Pollock

After a while, even the most innovative product/service lines may begin to lose some of their luster and appeal, ultimately being perceived by the marketplace more as a commodity-like offering, rather than as a unique or differentiated product or service. Classic examples range anywhere from cameras, to computers, to consulting services. What was initially offered to the market as an innovative product or service, without any direct competition, can soon become just another product or service alternative among scores of increasingly competitive offerings.

It is for this reason that it is critical to understand where your organization's service offerings stand in the perceptions of the marketplace at any given point in time. In many cases, it will be the new, innovative, "start-up" companies that are doing the bulk of the research and market testing prior to launching their new products and services, and not the companies that are still selling their older, more mature commodity-like and end-of-life offerings.

However, there may still be a great deal of life left in the more mature business lines that comprise a significant portion of your company's product or service portfolio. Even better, these lines generally tend to be "proven" with respect to market acceptance, and may only need a gentle marketing push every once and awhile to stimulate additional market interest and sales. Even NASA uses a "mid-course correction" every now and then to ensure that its space vehicles get to their targeted destinations.

A further complication may also arise from the fact that many businesses that provide both products and services to the market often find that when sales or market share take a downturn, they are unable to determine whether the decline is more related to problems with their products, problems with their services and support, or a combination of the two. However, more often than not, it is generally a combination of the two. While this is typically a fairly easy matter to resolve, it is one that can often lead to a costly and ineffectual failure if not approached properly.

Conducting A Proper Product/Service Evaluation

Whenever a situation like this takes place, the organization should examine a number of critical areas through the execution of a carefully orchestrated research program, focusing on issues such as:

  • An assessment of the changing, evolving or emerging customer/market needs, requirements, preferences, perceptions and expectations associated with its mature product/service offerings;
  • The identification of specific new or value-added product features, characteristics and attributes (e.g., functionality, quality, reliability, modularity, packaging, etc.) that could redefine the mature products; and the corresponding features, characteristics and attributes that could similarly redefine the levels of service required to support these products from the customer's perspective (i.e., professional services, Internet self-support, etc.); and
  • Suggested, or recommended, improvements to the existing products and support services required to address these changing and evolving needs.

The results of a program of this nature would be extremely useful to the organization's sales and marketing management in terms of their ultimate ability to:

  • Modify and enhance the historical product and service offerings to address the changing levels of market demand and requirements;
  • Project the likelihood of customers switching to new, redefined or replacement, products and services in the near- and long-term future;
  • Develop a plan for migrating to new products and service offerings to reflect the evolving needs and requirements of the market;
  • Identify and cultivate expanded and/or redefined target markets based on the identified patterns of "core" vs. "value-added" product/service preferences and user perceptions;
  • Strengthen the overall product/service awareness and image in the marketplace through a program of heavily promoted refinements, enhancements and/or modifications based on the study findings; and
  • Monitor the ongoing positioning of the product/service offering in the marketplace in order to determine when it may no longer be profitable to support it.

More specifically, the primary objectives of the organization should be to first, identify the changing customer needs, requirements, preferences, perceptions and expectations that can be used to assess and fine tune the overall strategic and market position of the company's historical product and service lines; and second, to ensure that the company can continue to effectively market these mature products and services, with a compelling promotional spin, and to the appropriate market segments.

There are many ways in which a business can determine exactly how much "kick" its historical product or service offerings still have in them – or, conversely, whether it is time to "kick" them out of the company's portfolio altogether, and replace them with newer, more innovative and competitive products and services.

While your present business lines are probably the key factors that have helped your company to grow to its current size and market position, they may have become "dusty” over the years, and now may be in need of either a good "dusting off" or, possibly, retirement.

Assessing where your business lines stand today in terms of market perceptions, image and their ability to meet your customers' changing and evolving needs, will allow you to determine just how much change you need to make to compete more effectively in the future.

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January 11, 2019 | 3 Mins Read

Reverse Lifecycle Management: The Next Frontier in Aftermarket Service

January 11, 2019 | 3 Mins Read

Reverse Lifecycle Management: The Next Frontier in Aftermarket Service

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By Micheal Blumberg

Enterprise software solutions are widespread, but not until recently have integrated, multi-function, end-to-end systems been available for global deployments in the Reverse Logistics industry. Many companies involved in Reverse Logistics management including the return of spare parts and/or distressed products have had to deal with a myriad of fragmented, disjointed, and disparate systems to collect, store, and manage key data related to Reverse Lifecycle processes and functions. In short, many firms miss opportunities or incur higher costs due to the lack of efficiency and service productivity in their reverse supply chains.

As the Aftermarket Service Industry continues to seek an enterprise solution to these challenges, the concept of a Reverse Lifecycle Management (RLM) system has emerged. The ideal RLM enables end-to-end integration of business functions and processes related to the Reverse Logistics Lifecycle (e.g., returns management, repair, warranty entitlement, warehouse management) as well as interfaces to other back-end systems such as CRM, supply chain planning systems and financial systems. In essence, a true definition of RLM is that it provides for real time visibility, tracking and control of labor, material, and data throughout the Reverse Lifecycle pipeline, from RMA issuance to end of life disposal and all activities in between.  In turn, these features ensure better utilization of assets and resources which are necessary for optimizing both financial and operational performance.

By implementing a state-of-the-art RLM solution, end-user organizations can realize a number of benefits, including, but not limited to:

  • Cost reduction through better utilization and planning of assets and resources.
  • Protected revenue and income recognized when companies better understand how much revenue and income associated with Aftermarket Services at risk.
  • Liability protection as many companies in diverse industries are susceptible and exposed to legal and regulatory action due to environmental and governmental regulations.
  • Resource optimization by reducing inventory, transportation assets and employee allocation.
  • Productivity and efficiency gains by eliminating poor processes that take too much time resulting in wasted money.
  • Improved customer satisfaction through the implementation of self-monitoring reverse Lifecycle processes and systems.
  • Refined business practices such as issuing proper credit for returns, fast turnaround on sending products back to customers, balanced books, and issuing replacements.

These improvements in operational performance can be monetized directly in the form of cost savings, productivity gains, revenue gains, and improved cash flow. For example, cost reduction can be achieved through the avoidance of financial penalties associated with SLA non-compliance and increase income can be achieved through higher yield rates associated with depot repair.

There has been a growing recognition that Reverse Logistics Supply Chain and related Lifecycle represents a new frontier within many companies and industries for generating increased profits and revenue growth. Even among those companies who view Reverse Lifecycle Management as a cost center, there is acknowledgement that opportunities exist to reduce costs, improve productivity, and enhance the overall customer experience. Of course, deploying a Reverse Lifecycle Management system is absolutely necessary for manager Reverse Lifecycle operations as a profit center.  Whether your company operates Reverse Logistics operations as a cost center or profit center, it is apparent that Reverse Lifecycle operations must be managed strategically.

In summary, Reverse Lifecycle Management systems provide the ideal platform for overcoming critical systemic challenges facing many organizations, while producing a number of measurable benefits that have direct impact on bottom line profitability and customer satisfaction. Given the huge potential for cost savings, risk protection, and revenue gains, companies should seriously consider building a business case and ROI justification for investment in a Reverse Lifecycle Management solution.

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January 9, 2019 | 5 Mins Read

Is Field Service The Retail Game Changer?

January 9, 2019 | 5 Mins Read

Is Field Service The Retail Game Changer?

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By Tom Paquin

It might surprise you that one of the most interesting statistics my research at Aberdeen uncovered last year wasn’t about the number of AR headsets in use, or how IoT is having a broader impact on predictive service. It was simply the list of top industries researching field service management.

The top surging industry — manufacturing — was no surprise, as new service technologies often find their home in manufacturing first. Number two on the list, though, would generally not be on the radar of most field service writers at all: Retail. Why are retail professionals researching field service?

The Changing Definition of Retail

For those of us excited about the servitization of all industries and if you think of it contextually, it’s not that much of surprise that retail professionals would be researching technologies in business areas outside of traditional retail practices. Alarmists and prognosticators have been calling for the death of retail for some time now, and whether we’re heading for a retail apocalypse or not, the truth is that retail, like all industries, will need to lean on its strengths to find new means of differentiation. As Amazon entrenches itself as the world’s Big Box store, transactional sales continue to erode from the brick-and-mortar bottom line. Traditional retail has something that online stores will never have, though, and that’s face-to-face interactions. This is where service comes in.

In most industries associated with field service, that service act is the most significant human-to-human interaction between a consumer and the brand that it represents. In retail, though, the act of the purchase has remained that main point. However, as purchases are now increasingly automated by online, mobile, and self-checkout, retailers are exploring the potential of reallocating that human capital to service. By turning a retail staff from register jockeys into consultants, technicians, and advisors, retail takes its strongest asset — its people —and unleashes their potential.

Field Service Takes Different Shapes

Obviously, this change in thinking will not always manifest itself as field service specifically, but I’d argue that for nearly all businesses, a greater emphasis on service would be a net benefit. The leader of this charge for the last fifteen years has been Apple, and Apple’s tech support and training teams never step outside of the store, because, as Angela Ahrendts, Apple’s head of retail operations said in Forbes, "Our whole concept was: How does the store become more like a town square?” For Apple, the store itself, and the service inside, is a product: a curated service experience that is best served within its four walls.

Best Buy, on the other hand, has seen a great bit of unexpected success by wholeheartedly embracing field service. For years, Best Buy’s Geek Squad has been a capable technical support utility both inside and outside the store. But in recent years, it’s dramatically expanded to include installation services, home consulting, and training sessions for owners of new technologies. Best Buy’s recent acquisition of GreatCall, an in-home medical alert company for seniors, shows that it is looking not just to grow its field service offerings, but expand what those services can do for people. The results of this shift in priorities have already proven to be a success for Best Buy, taking one of the last big brick-and-mortar tech companies from the verge of bankruptcy into an example of what the future of retail could be.

Service on its Own is Not Enough

Deciding to “do service” is a great first step, but if you stop there, you’re destined for failure. Just ask Sears, whose home services have existed for years. For customers, the interface is actually fairly intuitive. Where things get somewhat murky is when it comes to what the actual service product is. Between manufacturer and store warranties, there are dozens of potential permutations for how a service product is categorized. Sears also lacks the ability to access and store a list of products you own, their serial numbers, warranty status, as well as any IoT connectivity. Sears’ lack of innovation in this space, as well as many others, is leading to its potential bankruptcy. With that in mind, if you’re considering service for your retail offering, here are two recommendations:

  1. Create a distinct service product to be sold like anything else. Give it a SKU.
  2. Create a serviceable asset database.

There are many, many other considerations (especially around workforce management), but these initial guideposts are critical to starting your organization out on the right path.

Tech Sets The Stage, but What Comes Next?

Most of the existing examples listed here have been among companies selling complex tech products, but that should not be the limit to retail’s service footprint. If field service right in every instance? Absolutely not. I think we’d all be a bit alarmed if a Victoria’s Secret technician rang your doorbell for a 3PM hosiery service appointment. But Victoria’s Secret actually does have a robust in-store service offering that works great for them. Think of what would have happened if Border’s, or Circuit City, or Blockbuster had developed service systems in-store for consultation and unique services. These companies failed because they tried to compete against the superior capabilities of competitors, rather than improving, and utilizing their unique set of strengths.

For retail-centric field service beyond tech, I see a lot of potential in areas like home improvement. There’s a significant opportunity for productization and servitization here. Imagine a service product for new, inexperienced homeowners that offered a set of how-to videos and a handful of complimentary service visits. Imagine not just the goodwill and loyalty, but the upsell opportunities that would follow. Retailers need only use their imaginations to see how field service could be applied to a wide variety of applications. Imagine makeup stores competing with independents by offering an at-home makeup service product for big days like weddings, or nights where you want to look your best, but don’t want to wear your evening gown to the local strip mall.

Retail has been disrupted for some time by online channels and the ease of ways to buy the same products. For those retailers left standing, it’s one thing to survive —it’s another to set the standard for what the next disruption will be. Retail is ripe for field service to be that disruptor and as both a service professional and a consumer, I can’t wait to see what that disruption looks like.

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January 2, 2019 | 4 Mins Read

The Value And Vexes Of Augmented Reality: Fresenius Kabi’s Experience

January 2, 2019 | 4 Mins Read

The Value And Vexes Of Augmented Reality: Fresenius Kabi’s Experience

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By Sarah Nicastro, Creator, Future of Field Service

Many of the field service organizations I’m speaking with are making traction with Augmented Reality (AR). They’ve progressed from considering the value of AR to actually incorporating it into their businesses. Fresenius Kabi is one such company. Fresenius Kabi is a global health care company that specializes in lifesaving medicines and technologies for infusion, transfusion, and clinical nutrition.

There’s a three-pronged value proposition of AR that appeals to field service organizations: it can assist in the training and onboarding of new technicians, it can enable sophisticated remote support to aid in optimal first-time fix, and it can be used by customers either in a self-service model or for troubleshooting purposes. For Fresenius Kabi, the initial appeal of the technology was how it could aid in training – but, since deploying, the company has added aspects of use for remote support and most recently customer use.

Fresenius Kabi rolled out its initial incarnation of AR in 2018. The field management team and field service engineers worked together to evaluate the various solutions on the market. After several trials, the company chose Help Lightning. Help Lightning provides an app for any iOS or Android device that allows users to start helping and sharing ideas instantly. Once a Help Lightning session is started using the app, the live video streams and telestration are combined to change the way a person can give or receive help.

John Ashcroft, the North America Field Service and Support Senior Director, Technical Services, at Fresenius Kabi USA has worked closely on the company’s AR project. According to Ashcroft, what Fresenius Kabi has found is that AR holds great potential in field service, but it isn’t without its challenges. “In each scenario we’re using AR, we have aspects that are proving immensely successful and others that are proving more challenging,” he says.

Internal Applications Of AR

Operationally, internal use of AR is poised to save field service organizations money both in training and support. From a training perspective, companies can get new technicians into the field faster if they are supported by and easily connected to experienced back-office support (often a more experienced technician can remain in the back office and support multiple new technicians at once). As far as support, the ability for a technician to actually show a remote support expert what’s happening in the field improves fix rates and helps to avoid subsequent truck rolls.

Based on Fresenius Kabi’s experience, AR works well for the training of new technicians and to assist in support scenarios once those technicians are on board – however, the incumbent technicians are not as interested in learning or using the new tool. “AR has proven very effective for us in the training and onboarding of new talent, and in support situations where it is used,” says Ashcroft. “However, our more experienced technicians realize less value from the tool because of the knowledge they have already acquired.

Fresenius Kabi expects to have a number of  its field staff retirement in the next ten years. As this happens, AR can play an instrumental role in enabling the company to effectively and more quickly onboard new technicians. “We’ve added three new technicians in the last month or so, and as we bring new talent in AR is a great way to get them up to speed and feeling confident in the field,” says Ashcroft.

Customer-Facing AR Use

The value position of AR multiplies when it can be used in a customer-facing capacity. Fresenius Kabi is using the Help Lightning solution for its hotline team, which handles troubleshooting over the phone. “We have a very experienced group of individuals that man our 24/7 support line,” explains Ashcroft. “With AR, we can log customers in to Help Lightning to get a real-time look at what they’re seeing — it’s almost like we’re physically there. This cuts down on phone time and gives the customer the confidence of knowing we fully understand what they’re going through.” While customer-facing use of the solution is still in the early stages, customers have already shown excitement about and appreciation for this new approach to service. “Customers have this tangible of something we are doing in order to better serve them,” says Ashcroft.

In an effort to continue to build interest in customer use of the AR solution, Fresenius Kabi has created marketing materials to use with its customer base that are focused on conveying the company’s desire to support customers in new ways. These materials discuss how use of AR can enable quicker resolution of issues, reduced cost of support, and explain how simple the solution is to use.

The challenges for Fresenius Kabi around customer-facing AR use are in gaining interest and confidence in the use of the technology, as well as the fact that the company’s products don’t evolve rapidly – they are typically in the field for around 15 years. So this bleeds back into the issue of incumbent customers feeling comfortable with “business as usual,” in the same way experienced technicians are. Nonetheless, Ashcroft feels that the value of AR does outweigh some of the complexities – particularly moving forward. “We’ve seen definite benefit in using AR thus far,” he says. “Looking ahead, the business case will expand as we bring new technicians and new customers on board. Over time, the technology will become more deeply embedded into our processes.”

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December 7, 2018 | 2 Mins Read

Welcome To The Future of Field Service

December 7, 2018 | 2 Mins Read

Welcome To The Future of Field Service

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By Sarah Nicastro, Creator, Future of Field Service

As I approach 11 years in this industry, I can’t help but reflect back on not only my personal journey but all of the ways in which the industry has progressed. What strikes me is the realization that we’ve finally arrived in the future of field service! My early days were filled with writing articles on real-time knowledge transfer, the use of field mobility, and integration of GPS data. A few years later it was IoT’s early coverage (then referred to as M2M). The concepts and technologies we’ve been discussing for a very long time have set the stage for service organizations to truly embrace and capitalize on the future of field service by transforming service delivery, reinventing the customer experience, and creating a more strategic, profitable service organization.

Where the industry is at is exciting, and where it is headed is even more so. The foundation service organizations have laid with optimized processes and strong automation provides limitless opportunity for true innovation and transformation.

We’ve also arrived in The Future of Field Service – as in, the site you are reading right now! This site is a resource created in partnership with IFS and WorkWave to provide a platform for true thought leadership, knowledge sharing among service peers, and industry collaboration. I am honored to be at the helm and am committed to delivering quality content on the topics that matter most to you.

What can you expect from Future of Field Service? We’ll strive to feature the voice of the industry, both in the form of success stories and topical interviews. I will provide analysis of the challenges, trends, and opportunities I feel are relevant to the service community. We’ll feature insight from other industry thought leaders, including analysts, consultants, and guest experts. While you might see the occasional product-related piece of content here, that will generally be kept to the corporate sites – this will be more focused on high-level industry trends and themes.

While the name of the site has “Future” in it, it is important to note that the insight you’ll find here won’t all be forward-looking. We feel it is important to help service organizations both master the present and prepare for the future – so you’ll also fine content here that provides more tactical advice for conquering some of today’s most common challenges.

I welcome each of you to this new resource – thank you for joining me on this journey into the future! For this to be a valuable forum for the service community the way we intend it to be, I need your engagement and insight. Please reach out to me with any thoughts you have on topics you’d like to see covered, formats of content you prefer, and of course if you have a story of your own I can help you tell! You can reach me at sarah@futureoffieldservice.com.

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December 7, 2018 | 6 Mins Read

Gosiger's Three-Pronged Service Transformation

December 7, 2018 | 6 Mins Read

Gosiger's Three-Pronged Service Transformation

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By Sarah Nicastro, Creator, Future of Field Service

Gosiger’s business transformation included investment in a field service management system that, through efficiency gains, gives the company the capacity to take on an additional $2.6 million in service work each year.

Gosiger, a 90-year-old family-owned and operated machine tool distributor and manufacturing solutions provider headquartered in Dayton, OH, delivers machine tool solutions — including high-performance machines, engineering, service, support, and parts — in 13 states. The company employs 185 service technicians who install and repair the machine equipment.

Within the past couple of years, Gosiger has taken on the effort of modernizing its service operations – and continues to do so. Like most service organizations, the company has historically operated a traditional break-fix service model. In 2014, Gosiger recognized the need to make some changes. To help flush out the opportunity that existed to transform its business, the company decided to work with Jolt Consulting Group. “We know our service organization is very competent compared to the competitors in our industry. But our industry, as a whole, lags others in terms of providing world-class customer service. When we decided to embark on this journey, we felt that working with a consultant that had clients outside of the machine tool industry would broaden our perspective,” says Roger O’Connor, VP of product support at Gosiger.

Three Major Areas of Business Improvement

As Gosiger began to map out its transformation objectives, three primary areas came into play: the need to migrate its business from strictly break-fix work to more contractual service work (predictive service/ preventative maintenance), the need to develop KPIs to better track the performance of the service business and to enable the measurement of improvements, and the desire to determine the best ways to leverage technology to modernize and automate the service operation. Over the period of a year, Gosiger and Jolt Consulting Group worked together on developing service contracts, creating KPIs, and writing a technology road map.

“From a service contracts perspective, we’re looking to increase the share of preventative maintenance/predictive service visits,” says O’Connor. This shift not only enables Gosiger to better service its customers by reducing failures and downtime, but it also makes service work easier to manage and schedule because it is planned in advance. “This transition remains a work in progress. The vast majority of our service work, over 90 percent, is done on a break-fix basis and it is taking time for customers to embrace the idea of service contract for their machine tool. We continue to work on the value proposition for our customer to make progress in this migration.”

The development of KPIs was necessary so that Gosiger could set a benchmark of service from which to measure improvement. “We had KPIs before this project, we just had dozens of them and we’d focus on different ones depending on the ‘topic of the day.’ With Jolt, we streamlined and committed ourselves to getting to no more than five KPIs,” says O’Connor.

Thirdly, Gosiger knew it needed to invest in more modern technologies to manage its service operation. The company used a variety of manual systems and worked with Jolt to create a technology road map to not only determine exactly which areas of its service operation could benefit from modernization but also the right order in which to tackle these projects.

The Importance of a Technology Road Map

Major areas to address from a technology perspective coming out of its work with Jolt were Gosiger’s need for an improved scheduling system, the capability to manage the company’s new service contracts, the ability to integrate GPS data, and a better mobile solution. “Our ERP does a great job of managing our warehouse and parts business,” says O’Connor, “but its service module just didn’t work for a company of our size. It was Excel-based and we had issues with files getting lost, a major lack of visibility into the work being conducted in the field, and our laptops weren’t working well. Our techs wanted a way to be able to view and complete work orders from their cell phones,” says O’Connor.

Gosiger worked with Jolt to set the criteria for a new field service management solution. “Our service managers and schedulers were keeping whiteboards, because they didn’t like the tool that was available to them,” says O’Connor. A more user-friendly scheduling solution was imperative, as was gaining a way within the solution to capture data from incoming service calls that didn’t result in an immediate job. Gosiger wanted a solution that had an efficient method of creating and sending work orders, as well as a mobile interface that would enable technicians to use smartphones like they were asking to.

Gosiger evaluated four field service management providers before selecting IFS Field Service Management (FSM). “Our evaluation included not only the capabilities of the solution weighted against the cost, but also the financial stability of the software provider,” says O’Connor. “IFSM FSM was the leader in our evaluation. The solution provided the optimized scheduling and mobile capabilities we needed, and integrated with our ERP solution.”

Gosiger phased deployment of IFS FSM and started with dual processing so that employees could learn the new system without the risk of errors. “We wanted to run both until we were certain there wouldn’t be any major hiccups,” says O’Connor. “We did so for about a month before we were comfortable switching over completely.”

Gosiger has three different divisions based on product lines, and each had been operating on its own for scheduling and dispatch. The company started the IFS FSM rollout with the division it felt would require the least customization and integration in an effort to get up and running and further evaluate the new solution. This was considered phase one of the deployment. During phase two, the remaining divisions were brought onto IFS FSM. “This required some integration, because each division had its own complexities,” explains O’Connor. “We started with the biggest division first, to get as many techs up and running on the system as quickly as we could, and then tackled the integration of the other two groups.”

For training, Gosiger worked with Jolt to create a training team with a dedicated project manager. “The training team included representatives from each function — someone from the parts group, the call center, the field team, etc. The representative for each function that was part of the training group was responsible for creating the documentation for that function. So the scheduling team member created the training documentation for the scheduling role, and so on,” explains O’Connor. Some on-site training was done, but the bulk of the training was able to be conducted via WebEx.

Promoting Technology Acceptance and Adoption

No one expects technology deployment to be entirely seamless, and this held true for Gosiger. “Eighty percent of it went extremely well, but the other 20 percent required some handholding,” says O’Connor. He points out that many of the employees were tech savvy and picked up the use of the new solution right away, with no problems. But that can’t be expected of everyone; some others needed far more help. “We tried to have a lead or champion in every office,” O’Connor explains. “We picked leads we knew were very good with the solution, and asked them to help their colleagues locally, just by working in the system with them.”

With IFS FSM in place, the call center and scheduling roles have evolved. IFS FSM enables call center staff to far more easily input incoming calls, so data is more complete. The scheduling tool is more advanced and has a strong UI, so schedulers no longer opt for white boards over the technology.

In the field, Gosiger’s technicians are able to use IFS FSM on their smartphones. “The use of smartphones in and of itself is more efficient, because there’s no time spent firing up the laptop and connecting to Wi-Fi at each location,” notes O’Connor. With the streamlined communication IFS FSM enables, Gosiger’s technicians can operate more efficiently. This added efficiency in turn allows Gosiger the capacity to handle more work. “Through the additional work our technicians can handle in part by using IFS FSM, we are able accommodate a service revenue increase of $2.6 million from 2017 to 2018,” says O’Connor.

Looking forward, Gosiger has plans to continue the modernization of its field operations by moving to the new version of IFS FSM, layering on new technologies such as AR (augmented reality), and furthering its progress toward contract-based service.

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December 7, 2018 | 6 Mins Read

Practical Advice For Turning Customer Experience Talk Into Action

December 7, 2018 | 6 Mins Read

Practical Advice For Turning Customer Experience Talk Into Action

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By Sarah Nicastro, Creator, Future of Field Service

According to a report released by Field Technologies in November, improving customer experience was reported the #1 strategic initiative for 76 percent of service organizations surveyed. While some of these field service organizations are really embracing CX and implementing a true strategy, others I’ve encountered know that CX is something they should be focusing on, so they claim to have a “CX focus” without much actual strategy or action behind it.

Schindler Elevator Corporation is a great example of a company that is genuinely embracing CX in an actionable way. In fact, in August of 2018, the company brought on board Stacy Sherman as the Director of Customer Experience. Throughout Sherman’s 20-plus year career as a CX and digital marketing professional, she has gained expertise in developing and launching revenue-producing marketing campaigns, CX programs, and Voice of Customer (VOC) initiatives. Before her role at Schindler, Sherman worked at Verizon Wireless, AT&T and well-known Consumer Product (CPG) companies where she led a variety of CX initiatives, including persona development, journey mapping, concept validation, prototype and usertesting. She's also co-developed a new CX scoring platform to aggregate and prioritize customer feedback across journey touchpoints for post-launch improvements. In her spare time, Sherman co-authors a CX blog – www.doingcxright.com – that translates her experience into valuable perspective for those looking to get a better grasp on CX strategy and tactics.

Nicastro: In your words, why is it essential for service organizations to invest in CX?

Sherman: My answer is simple. Customer Excellence is NOT a fad. It is no longer a “nice to do” but rather a “have to do.” CX has become a company's competitive advantage, as brands cannot acquire and retain customers strictly on price alone. To really “walk the CX talk,” leaders need to allocate budget for hiring CX-skilled professionals and invest in the best tools and platforms to measure customer satisfaction and take action from insights obtained. If, for example, the level of effort is difficult (i.e. getting and setting up) or they can’t accomplish a goal (i.e. receiving help), people are likely to switch to another brand and even worse, tell others leading to potentially more substantial impacts. I can go on and on about this topic!

Nicastro: For a company that is in the beginning stages of a true customer-centric approach, what advice do you have for how to incorporate CX into the company culture?

Sherman: Creating a customer-centric culture does NOT occur overnight. It takes a lot of time and employee commitment. There are many ways to achieve a “customer-first” organization. My top two recommendations are to get an Executive champion (or several) in your company as it speeds up the process. Secondly, train people at all levels of the organization, especially front-line employees, on CX. In a prior job, I spearheaded a CX Training program for my team to get certified by a prestigious university. It helped everyone understand the importance of CX, learn best practices, implement CX in their roles, speak the same language and much more. I believe it was a contributing factor to achieving our department goals. If you would like to know more about the program and my personal experience, you can read the article >HERE.

Nicastro: You talk on your blog about VOC. What is VOC, why is it important, and how do companies go about getting it?

Sherman: Ah, great question as not too long ago, nobody knew what this acronym was. Now VOC is part of common-day language in the business world. VOC stands for “Voice of Customer.” Getting customer feedback is an essential part of conducting business. I’ve seen too many companies develop new products and features without asking customers directly what they want upfront, and then wonder why they do not achieve sales goals. It's the same for online websites, apps, and other customer digital experiences. Designing without VOC input and user testing often results in customer frustration and dissatisfaction, which leads me back to the first question and why investing in CX methodologies is essential. There are many ways to capture VOC feedback. Sources include but are not limited to: 1-1 interviews, focus groups, online chat, call center recordings, social media, ratings and reviews, surveys, and more. Which one to leverage depends on different factors, and there are best practices to each source. The key to CX success is aggregating all the quantitative and qualitative insights, centralizing the information, identifying key priorities and taking action (close the loop) to drive improvements.

Nicastro: How are VOC and Customer Journey Mapping different? What is the value of Customer Journey Mapping?

Sherman: There’s a lot to say about this question. First of all, a customer journey map is a simple concept: it is a diagram that shows the steps customer(s) go through when interacting with a company. The need for journey maps becomes more critical as the number of touchpoints increase and get more complex. There are many ways to create journey maps. Though they may look visually different from one organization to another, there are consistent elements regardless of design:

Personas. Journey maps need to be created for specific customer segments. Maps account for how target audiences think and feel, their expectations, perceptions and more.

Touchpoints. Journey maps identify a series of steps that customers go through as they proceed through lifecycle stages and channels.

Data. It is compiled from a variety of sources internally (i.e. website analytics) and externally (i.e. surveys). The quantitative and qualitative insights help bring the customer to life.

There are many benefits of Journey Mapping:

  1. It enables teams to understand their customers and create desired experiences in support of launches (products, services, websites, etc).
  2. It allows information to be organized in one place with the ability to identify actionable improvement opportunities.
  3. It helps cross-teams prioritize decisions together and focus resources on fixing customer pain points.
  4. It serves as a communication tool to keep everyone on the “same page.” Maps may also be useful for employee training.
  5. It helps leaders identify operational inefficiencies to ensure employees are spending time on activities that add customer value.

As for Voice of Customer, VOC serves as an input when creating a Journey Map. It’s a component of a CX practice and a significant part. We offer a free template to help journey mapping efforts >HERE.

Nicastro: How does a company measure CX as well as track the improvement/payoff of its CX investments?

Sherman: There are many metrics to gauge customer perceptions and expectations, and how well a company delivers on these. The most well-known measurement source is Net Promoter Score (NPS). In simplest terms, it is a single question asked of customers: “How Likely Would You Recommend (insert company name) To Your Friend or Business Colleague?” The answer indicates how customers view a brand and is based on a mathematical approach. There’s an informative short video that explains the history of NPS, the NPS equation and the meaning behind the score, >HERE. NPS is not the only key performance indicator. Measuring Customer Satisfaction (C-Sat), Level of Effort, Sentiments, and others are equally important because they are DRIVERS of NPS. There is no exact science to calculating ROI when it comes to CX, but you could make projections about the RISK of losing a customer when not “DoingCXRight!”

 Nicastro: What are the biggest mistakes you see companies make related to CX?

Sherman: There are many examples of Doing CX Wrong but to name a few:

-Asking people for feedback and not doing anything with what they shared. If "closing the loop" is not part of your strategy, then do not waste a customer's valuable time.

-Focusing on just one or few customer touch points rather than their whole journey. If someone is satisfied with their buying experience but has a challenge with installation and understanding their bill, chances are the customer may cancel their service and switch to a competitor.

-Relying on employee feedback aka “Voice of Employee” (VOE) in place of “Voice of Customer” (VOC). Decisions need to be made based on an “Outside In” approach, not the reverse. I’ve witnessed many teams design Journey Maps without ever validating them with actual customers. That can turn into a costly mistake!

Nicastro: How do you see CX evolving over the next year?

Sherman: I believe that emerging technology including Internet of Things (IoT) and Artificial Intelligence (AI) is bringing CX to the next level allowing customer experiences to be more personalized.

I also believe that more universities will be including CX as part of the business curriculum, as Customer Excellence is becoming a career path with expertise in demand.

All opinions expressed are Stacy’s alone and do not reflect the views of or imply the endorsement of employers or other organizations.

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December 7, 2018 | 5 Mins Read

Konica Minolta Healthcare’s Practical Approach To Driving Value From IoT and AI

December 7, 2018 | 5 Mins Read

Konica Minolta Healthcare’s Practical Approach To Driving Value From IoT and AI

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By Sarah Nicastro, Creator, Future of Field Service

According to IDC’s Top 10 2019 Predictions for Digital Transformation, at least 55% of organizations will be digitally determined, transforming markets and re-imagining the future through new business models and digitally enabled products and services, by 2020. Konica Minolta Healthcare Americas, Inc. is one company that is leading the way.

Konica Minolta Healthcare Americas, Inc., headquartered in Wayne, NJ, is focused on imaging technologies including digital radiography, ultrasound, healthcare IT, and service solutions. In the Americas, Konica Minolta Healthcare employs 50 direct service technicians and 250 dealer-based technicians. Kevin Chlopecki is the VP of Service and Operations for Konica Minolta Healthcare Americas. Chlopecki’s passion for digital transformation is impressive, and the company’s journey is one that offers valuable lessons for others along their way.

Define Your Vision

Chlopecki’s mission to evolve Konica’s service delivery model from reactive to prescriptive has set the stage for many changes the company has made over the past couple years and will continue to drive further evolution in the years to come. Not only does Chlopecki desire to make Konica’s service operations more effective and efficient, but he has a genuine interest in making the lives of Konica customers easier as well as improving the care those customers provide to their patients.

Moreover, looking for ways to differentiate on service is important to Konica as a relatively small player in its industry. “We are providing tools and services to our customers that enable them to improve productivity and maximize return on their capital equipment investments. We realize that optimizing our service delivery and leveraging powerful data analytics gives us a real opportunity to ‘beat the big guys,’” says Chlopecki. If you aren’t on a level playing field with your competition from a resource and budget perspective, looking for opportunities to leverage technology and streamline processes to win at the service experience level is a brilliant approach.

Having a clear vision for what you want to do and why is important, according to Chlopecki, because you will inevitably be challenged along the way. “Digital transformation doesn’t happen overnight – it is an ongoing process,” says Chlopecki. “As such, you’ll go through a cadence of change where your strategy, methods, and choices will be challenged again and again. You have to have a strong vision, and hold tight to that.”

Lay The Proper Foundation For Digital Transformation

Chlopecki has had an “end state” in mind for Konica for quite a while but recognized long ago that you can’t rush the process. This is an area where many companies could benefit from taking notes, because all too often you get an end goal in mind and start rushing to get there. The rush results in overlooked ground work that needs done, oversight of cultural shift and change management, and often short-sighted technology selection. Taking your time and laying the proper foundation for your desired end state is crucial to success.

For Konica, this meant that Chlopecki and the company had to start with some simpler building blocks of modern mobile devices and proper service management. These elements were fundamental in being able to build upon with the use of IoT, and most recently AI. “To be able to be intentional about how you leverage data, you first have to effectively collect it,” says Chlopecki. “Our first step was to ensure we had strong systems in place for field automation, as well as strong adoption, and from there we could begin to build on the next phase of our vision.”

Konica equipped its field technicians with iPads, deployed a service management solution, and then began to take advantage of IoT data. In leveraging the IoT, Konica began to realize the potential of layering on AI to further derive value from its data. However, with limited resources, it wasn’t realistic for the company to employ a team of data scientists to realize the value of AI. Instead, Chlopecki worked to find another way.

Find Ways To Simplify Complex Technology

Small to medium size business are fortunate to have a wide range of tools at their disposal today that are incredibly sophisticated but relatively inexpensive. In order to capitalize on the potential it saw with AI, Konica has coupled its connected devices and data derived from them with a business intelligence platform provided by Domo.

“Not only can we use IoT as a way to provide greater value in our service contracts, but we also use it internally to examine failure points, failure rates, and so on,” says Chlopecki. “By layering on AI, we have been able to go back through our data and triangulate to see and anticipate problems we can fix. For instance, in examining hard drive failures, we were able to use historical data to predict – and avoid – upcoming failures. We’re taking our connected devices, failures reported over an aggregate of time, and cross-correlating to learn and then apply to all current inbound events.”

This insight is useful to Konica in many ways. First, to improve service operations – including the ability to perform remote repairs. Two, to feed data back into product development. And third, to better serve its customers – both in the form of using data as a value add on service contracts, as well as to be able to provide customers custom data that they may be willing to pay for.

“Not only are we able to provide data our customers find incredibly valuable, but we are working to do so in a way that is different and unique,” says Chlopecki. “We have released an app that displays this data in a customized, easy-to-consume way so that a technologist can see information in a way that will resonate with them instead of having to pour through charts and graphs. Again, we’re always coming at this from the perspective of how we can make the lives of our customers easier.”

Chlopecki noted during our chat that while there’s incredible potential with AI, many companies just “don’t know what to do with it yet.” Based on his experience at Konica bringing this project to life, his advice is as follows:

  • Define a clear vision. “Our vision is for service to be our primary differentiator, so every decision we make is measured against how it helps us achieve that goal,” he says.
  • Start with your service data. “You have to start with your internal systems and ensure you have optimized, automated service processes and a good flow of data from the field to the back office,” he says.
  • Incorporate IoT. “Once your service management is solid, work on connecting to the field using IoT. It is best to start small with a pilot group so that you can test, learn, and refine before broadening,” he says.
  • Enlist AI help. “Look for partners to help you develop your AI vision. There are affordable options – you don’t have to employ a team of data scientists. AI is more attainable than people think,” he says.

Passion Leads To Perseverance

In summary, Chlopecki cautions that you prepare for a bumpy ride – and when challenges arise, hold tight to your vision. Having a true passion for what you’re doing is what will enable you to be as persistent as you need to persevere until your vision comes to life. “You’ll have thousands of opportunities to give up,” says Chlopecki.

Passion for what you’re doing is what will see you through.

Kevin Chlopecki

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