At the Field Service USA conference in Palm Springs, California this year, digital transformation continued to dominate discussions. Marne Martin of IFS and our own Kris Oldland were both on the speaking roster so they caught up over a coffee to...
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Aug 05, 2019 • Features • Software & Apps • future of field service • Digital Transformation • IFS
At the Field Service USA conference in Palm Springs, California this year, digital transformation continued to dominate discussions. Marne Martin of IFS and our own Kris Oldland were both on the speaking roster so they caught up over a coffee to compare notes…
As someone who attends many field service conferences across the globe, there are some speakers within our industry whom I know will give a presentation that always gives me a spark of an idea for a new article or feature and as such, I always make a beeline for their sessions when my schedule allows.
One such speaker is Marne Martin, President of Service Management for IFS and CEO of Work Wave. Martin has an uncanny knack of talking about subjects that are right on the pulse of the audience. She always manages to address the concerns and present solutions that resonate with the room, but is also able to bring a light sense of levity and fun to her sessions as well – and she usually has at least one brilliantly memorable line that gets stuck in your mind for a long time.
This time around it was the fantastic throw away one liner: “You don’t want to bring a Volkswagen to a Formula 1 race.”
It was a pithy reminder that the stakes in field service have been raised in recent times. The competition is greater than ever as industry after industry adapts to the disruptive influences of innovative companies like Uber, Deliveroo and AirBnB who are not just revolutionising their sectors but those far beyond their remits by raising expectations of what seamless customer experience looks like in the age of the app.
Martin’s discussion weaved through both the digital transformation and also the cultural transformation that many field service organisations are going through, with the majority of those yet to do so now seeing such change looming on their horizons also. She touched on crucial issues being widely felt, such as talent shortages and how service organisations can get value from the technology that the pressure of increasing customer demand insists they implement.
However, the critical point she touched on was the importance of understanding and clearly defining service strategy. It is a point that I have made both in recent presentations of my own as well as in these pages. Without a properly defined service strategy, without knowing ‘who’ your organisation ‘wants’ to be, any such programs that seek to implement digital transformation will be at best ill formed and at worst an expensive failure that could really set a service organisation back.
I’ve expressed the opinion that digital transformation, has to be an ongoing process, not a one-off project. A journey, not a destination. As such, a clearly defined service strategy needs to be in place if you want to stay on the right path.
So when I sat down with Marne to grab a quick coffee away from the melee of what was a jam-packed conference, with hundreds of delegates and vendors buzzing around – this was the first area I wanted to touch base on and swap notes about.
“Think about how you empower the field, the mobile workflow enhancements, how you enable the technician to cross-sell, upsell, to close out tickets, all of these items that drive higher customer satisfaction. These are all fundamental to what makes service matter.
They all drive profitability for the service organisation, growth in revenue and customer satisfaction,” she mused as I outlined my thinking to her. “It is just that today we have more tools with which we’re able to achieve this and that allows us to achieve it at a faster more efficient pace - which is, of course, what customers want. I think it all fits together in a way that we, as a sector, are able to bring these fundamentals into the new digital era.
“It only becomes a problem when companies begin thinking about digitalisation as something disconnected from these fundamentals.” This line of thought echoes my thinking on the topic as well. However, there is an additional layer of complexity to the discussion that I have also been considering of late.
Perhaps the biggest of all shifts in the field service sector over the last decade has been the move firstly from cost centre to profit centre and now what many see as a natural extension of that into a world of servitization. In one sense, it feels as though the field service sector has never witnessed such a significant paradigm shift as we are seeing today as companies move away from the traditional break-fix approach to one of outcome-based services.
"Digital transformation, has to be an ongoing process, not a one-off project..."
In that sense, we’re going through a complete revolution across the sector. However, I’m also of a firm belief (and have spoken to many service directors around the world who agree) that the essential thing in terms of delivering service excellence is not to lose sight of the core tenets of what good service looks and feels like, and at the heart of that remains some long-established foundational positions around ensuring an ‘Outside-In’ perspective on the service business.
Making sure you understand the customer and how they want to interact with your organisation, and then making sure processes are designed around that understanding is not a particularly radical position, but rather a well established best-practice.
The result is a dichotomy in service strategy between embracing the new while holding on to the historical precedents that underpin service excellence. It is not an impossible equation to balance, but it is one that should be considered deeply when approaching the current mega-trend of digital transformation.
This balance between yesterday’s, today’s and tomorrow’s worlds was another area that Martin touched upon in her presentation where she used the phrase ‘Challenge the Present, Lead the Future’ and it was something I wanted to dig deeper into when we spoke. “By challenge the present I mean that field service organisations need to assess where their basics are weak, flawed or broken, and to assess how these can be improved to drive a future in which they are not,” she explained.
“If you look at all the key technology trends that are out there, we’re bringing every single one into service. Of course, some are coming faster than others as you would expect, but they all have applicability in service. However, on the other hand, the building blocks of what great service is, whom you deliver service to, and what you deliver service with remain the same.
“It’s the interplay of the fundamentals of service, the brand, the asset, the technician, and so on and how we drive the efficiencies and delivery of these forwards, with these new technology trends, into a new paradigm.
“To get to servitization or outcome based service, you still need to understand maintenance and break-fix and up times and asset performance. It’s not as if our understanding of all these core things goes away; it just has to be heightened and put together into an outcomes-based proposition. But rather than just deciding what is going to be our approach to reducing technician travel time or what is going to be our overtime strategy, companies are now looking at everything holistically to be able to asses the outcome they are delivering to the customer, how they are pricing that outcome and what is the margin on that outcome.”
Again I agree with Martin’s take on things here. The phrase that comes to mind is evolution, not revolution. I feel this is an apt mantra for many service organisations to adopt in these times of rapid technological and societal change. While talk of impending industry revolution may grab headlines, the truth is effective change is always iterative – and that very much holds true for field service organisations today.
Whether your organisation is on a journey to digitalisation or to servitization, remember it remains a journey, not a destination. Please drive carefully.
As someone who attends many field service conferences across the globe, there are some speakers within our industry whom I know will give a presentation that always gives me a spark of an idea for a new article or feature and as such, I always make a beeline for their sessions when my schedule allows.
One such speaker is Marne Martin, President of Service Management for IFS and CEO of Work Wave. Martin has an uncanny knack of talking about subjects that are right on the pulse of the audience. She always manages to address the concerns and present solutions that resonate with the room, but is also able to bring a light sense of levity and fun to her sessions as well – and she usually has at least one brilliantly memorable line that gets stuck in your mind for a long time.
This time around it was the fantastic throw away one liner: “You don’t want to bring a Volkswagen to a Formula 1 race.”
It was a pithy reminder that the stakes in field service have been raised in recent times. The competition is greater than ever as industry after industry adapts to the disruptive influences of innovative companies like Uber, Deliveroo and AirBnB who are not just revolutionising their sectors but those far beyond their remits by raising expectations of what seamless customer experience looks like in the age of the app.
Martin’s discussion weaved through both the digital transformation and also the cultural transformation that many field service organisations are going through, with the majority of those yet to do so now seeing such change looming on their horizons also. She touched on crucial issues being widely felt, such as talent shortages and how service organisations can get value from the technology that the pressure of increasing customer demand insists they implement.
However, the critical point she touched on was the importance of understanding and clearly defining service strategy. It is a point that I have made both in recent presentations of my own as well as in these pages. Without a properly defined service strategy, without knowing ‘who’ your organisation ‘wants’ to be, any such programs that seek to implement digital transformation will be at best ill formed and at worst an expensive failure that could really set a service organisation back.
I’ve expressed the opinion that digital transformation, has to be an ongoing process, not a one-off project. A journey, not a destination. As such, a clearly defined service strategy needs to be in place if you want to stay on the right path.
So when I sat down with Marne to grab a quick coffee away from the melee of what was a jam-packed conference, with hundreds of delegates and vendors buzzing around – this was the first area I wanted to touch base on and swap notes about.
“Think about how you empower the field, the mobile workflow enhancements, how you enable the technician to cross-sell, upsell, to close out tickets, all of these items that drive higher customer satisfaction. These are all fundamental to what makes service matter.
They all drive profitability for the service organisation, growth in revenue and customer satisfaction,” she mused as I outlined my thinking to her. “It is just that today we have more tools with which we’re able to achieve this and that allows us to achieve it at a faster more efficient pace - which is, of course, what customers want. I think it all fits together in a way that we, as a sector, are able to bring these fundamentals into the new digital era.
“It only becomes a problem when companies begin thinking about digitalisation as something disconnected from these fundamentals.” This line of thought echoes my thinking on the topic as well. However, there is an additional layer of complexity to the discussion that I have also been considering of late.
Perhaps the biggest of all shifts in the field service sector over the last decade has been the move firstly from cost centre to profit centre and now what many see as a natural extension of that into a world of servitization. In one sense, it feels as though the field service sector has never witnessed such a significant paradigm shift as we are seeing today as companies move away from the traditional break-fix approach to one of outcome-based services.
"Digital transformation, has to be an ongoing process, not a one-off project..."
In that sense, we’re going through a complete revolution across the sector. However, I’m also of a firm belief (and have spoken to many service directors around the world who agree) that the essential thing in terms of delivering service excellence is not to lose sight of the core tenets of what good service looks and feels like, and at the heart of that remains some long-established foundational positions around ensuring an ‘Outside-In’ perspective on the service business.
Making sure you understand the customer and how they want to interact with your organisation, and then making sure processes are designed around that understanding is not a particularly radical position, but rather a well established best-practice.
The result is a dichotomy in service strategy between embracing the new while holding on to the historical precedents that underpin service excellence. It is not an impossible equation to balance, but it is one that should be considered deeply when approaching the current mega-trend of digital transformation.
This balance between yesterday’s, today’s and tomorrow’s worlds was another area that Martin touched upon in her presentation where she used the phrase ‘Challenge the Present, Lead the Future’ and it was something I wanted to dig deeper into when we spoke. “By challenge the present I mean that field service organisations need to assess where their basics are weak, flawed or broken, and to assess how these can be improved to drive a future in which they are not,” she explained.
“If you look at all the key technology trends that are out there, we’re bringing every single one into service. Of course, some are coming faster than others as you would expect, but they all have applicability in service. However, on the other hand, the building blocks of what great service is, whom you deliver service to, and what you deliver service with remain the same.
“It’s the interplay of the fundamentals of service, the brand, the asset, the technician, and so on and how we drive the efficiencies and delivery of these forwards, with these new technology trends, into a new paradigm.
“To get to servitization or outcome based service, you still need to understand maintenance and break-fix and up times and asset performance. It’s not as if our understanding of all these core things goes away; it just has to be heightened and put together into an outcomes-based proposition. But rather than just deciding what is going to be our approach to reducing technician travel time or what is going to be our overtime strategy, companies are now looking at everything holistically to be able to asses the outcome they are delivering to the customer, how they are pricing that outcome and what is the margin on that outcome.”
Again I agree with Martin’s take on things here. The phrase that comes to mind is evolution, not revolution. I feel this is an apt mantra for many service organisations to adopt in these times of rapid technological and societal change. While talk of impending industry revolution may grab headlines, the truth is effective change is always iterative – and that very much holds true for field service organisations today.
Whether your organisation is on a journey to digitalisation or to servitization, remember it remains a journey, not a destination. Please drive carefully.
Jul 30, 2019 • Features • Management • Customer Expectations • Customer Experience • customer satisfaction • Customer Service • Mark Brewer • mobile workforce management • Digital Transformation • Experience Economy • field service • field service management • IFS • Service Management
In his previous article for Field Service News, Mark Brewer, Global Industry Director, Service Management, IFS introduced the concept of the experience economy, now he outlines why digital transformation is the key to driving it forwards...
In his previous article for Field Service News, Mark Brewer, Global Industry Director, Service Management, IFS introduced the concept of the experience economy, now he outlines why digital transformation is the key to driving it forwards...
Here's a scary statistic. The average person clicks, taps or swipes a mobile device 2,617 times a day. It shows just how much time we now spend interacting with the online world. Banking, booking holidays, shopping, socialising and so on, we increasingly live our lives through a screen. And with every interaction, we expect a particular level of service in return.
With digital technologies continuing to advance rapidly, along with consumers' understanding of the possibilities they enable, people demand an immediate and seamless experience whenever and however they make contact. These expectations, which are already prevalent in the home, have now evolved in the workplace. This has major implications for the planning and delivery of service, and specifically how companies look to drive customer loyalty (and ultimately retention) via a superior experience.
Automation and Artificial Intelligence (AI) have a significant role to play here. AI isn't strictly new of course. But what is new is the way it influences today's experience economy by affecting outcomes, driving engagement and in many cases scaling the human.
Superior engagement
A comprehensive customer contact strategy is essential for any service organisation. Traditionally, this has focused on voice or email; now it includes an entire omnichannel capability with multiple media touchpoints. As you'd expect, this evolution is being driven by younger age groups. 26 per cent of millennials use social media and 29 per cent use texts and messaging apps to reach out for service, while three-quarters of all people over 44 years of age prefer using more traditional means such as emails or phone calls.
For example, if you want to book an appointment for someone to come and service your boiler, you can organise it without having to speak to anyone, online. A chatbot replaces the 'real' person. This is more convenient for you, more cost-effective and efficient for the organisation you're talking to - but it also raises your expectations.
This means responses must be faster, and there's no room for error. There's no time for long calls with operators or the patience to be passed from department to department. And gratification must be swift and successful, however you interact - whether via a web portal, email, virtual assistant, or even an instant messaging service like WhatsApp.
74 per cent of companies offer some form of self-service for customers - and the majority have implemented it specifically to improve customer experienceThis has implications for businesses looking to maintain positive customer relationships. An operation which has traditionally focused on contact centres, predominantly powered by phones (i.e. voice), must now deploy a comprehensive, omnichannel communications suite capable of serving a wide range of contact media, anytime and anywhere.
This can be problematic. Many companies can't afford to extend their contact centre facilities to multiple locations, or cater specifically to every market they're working in.
However, help is at hand with virtual contact centres which can make efficient use of distributed and varied workforces, automatically matching agents with requests and customers. This also drives a more responsive, agile, and scalable workforce where agents can engage in multiple simultaneous conversations using multiple chat sessions and providing consistently high service levels.
The B2C world already does this pretty well. 74 per cent of companies offer some form of self-service for customers - and the majority have implemented it specifically to improve customer experience. B2B organisations need to follow suit. The rewards are big for those who do it well. Companies with effective omnichannel communications enjoy 28 positive customer experiences for every one negative experience, while companies without this experience just two positive experiences for every one negative*.
It's a no-brainer. Doing omnichannel well can create up to 14 times more positive customer experiences. Crucially, this also influences customer loyalty. To look at it another way, your business will potentially only lose one in 29 customers, as opposed to one in three!
Powering the experience
The driver here is digital transformation, enabling new levels of service provision. Customer interactions differ based on age, demographics and preferences. Digital supports them all. It's no longer just your customer services department talking to these customers, it's your equipment, IoT sensors, AI, chatbots and more: predicting behaviour, recommending actions, solving issues, intuitively. The more it does this, the smarter it gets.
This technology is transformational and can bring huge benefits to your business. However, you need the right infrastructure in place to manage it.
So, what next?
To see examples of how IFS has helped customers drive digital transformation in their operations, and understand how omnichannel customer engagement can improve your customer’s experience, visit ifsworld.com.
*Forrester: The role of emotion in customer experience
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Apr 10, 2019 • Features • Management • Customer Service • Future of FIeld Service • WBR • Digital Transformation • Field Service Events
Hot on the heels of its launch last year, Field Service Connect 2019 focuses on the UK field service industry and its challenges, bringing fresh insights and differing perspectives to this often under-appreciated sector.
Hot on the heels of its launch last year, Field Service Connect 2019 focuses on the UK field service industry and its challenges, bringing fresh insights and differing perspectives to this often under-appreciated sector.
Set against a backdrop of rolling Welsh countryside, this invitation only summit will see senior field service executives debate, discuss and divulge their successes and challenges in 2019.
Customer Service and Mindset
There can be no doubt that the traditional interpretation of Field Service is changing: a fundamental shift is being made to focus on service and its incorporation and development into existing, more product-centric, business models. Where once it was enough to rely on a stellar product, now competition is fierce and margins are being squeezed this is no longer the case. Where excellent service is being provided and taken for granted in everyday life, it makes sense that this is now being expected, if not demanded, within business transactions.
A new age is dawning and customers are continuing to ask how a product and company ‘adds value’. Engineers in the field have access to, and interactions with, potentially hundreds of contacts within a specific customer base. So it’s no surprise that those customers will come to associate a product’s ‘worth’ based on the dealings they have had with these field service representatives. As the American poet Maya Angelou is attributed to have said: “I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel”.
By 2020 customer experience is slated to overtake price and product as a key brand differentiator.
Women in Field Service and Brand
With this shift to customer centricity there must also be a shift in perception. Traditionally seen as male dominated, a career in field service has not attracted women. However, with service coming to the fore this situation is starting to change and the skills that women offer are becoming more vital than ever. The ‘soft skills’ required for customer service roles are often attributed to women, but it’s not a question of gender, the focus must be on what skills can be brought to the table as a whole and how these can be used to improve a company’s field service offering.
In order to ensure that quality talent is acquired and retained Field Service must also diversify so that the next generation of bright minds can see themselves working in this sector. If a certain demographic is only ever highlighted and portrayed then it is no wonder that it is presumed that this is all there is. As you would market a brand, the same must be done throughout Field Service. Why would you choose this career? What is there to offer? What is the long term career outlook?
In order to keep up with rising expectations it will require a massive change in mindset, starting at board level and moving downwards, to truly transform a company ethos. For some this will mean a transformation in culture that has formed over decades but must now be changed rapidly if they are not to be left behind by the competition. This will be easier said than done; as change is happening so fast it’s fundamentally hard to move quickly enough! However, as the old adage goes, ‘just because something is difficult, it doesn’t mean it isn’t worth doing’.
Digital Transformation
Alongside the cultural shift needed to meet customer expectations, Field Service is also being driven by digital. Gartner defines digitalisation as ‘the use of digital technologies to change a business model and provide new revenue and value-producing opportunities; it is the process of moving to a digital business.’ ‘Digitalisation’ and ‘digital transformation’ have become such buzz words in recent years that some have lost sight of not only what it means but what they are actually trying to do.
Digitalisation is a tool by which to achieve an end goal, not the goal itself. Gartner predicts that by 2020 10% of emergency field service work will be both triaged and scheduled by artificial intelligence. With AI assisting with everything from scheduling to predictive maintenance to using past data to make future plans.
The human element within Field Service is still very much relied on and future technologies and solutions will be there to support these interactions - to make life easier and more efficient, not to replace humans altogether.
People still want to do business with people and until the customer becomes more Terminator than terrestrial this will probably always be the case.
You can find out more more information about Field Service Connect UK 2019, including how to register here.
Set against a backdrop of rolling Welsh countryside, this invitation only summit will see senior field service executives debate, discuss and divulge their successes and challenges in 2019.
Customer Service and Mindset
There can be no doubt that the traditional interpretation of Field Service is changing: a fundamental shift is being made to focus on service and its incorporation and development into existing, more product-centric, business models. Where once it was enough to rely on a stellar product, now competition is fierce and margins are being squeezed this is no longer the case. Where excellent service is being provided and taken for granted in everyday life, it makes sense that this is now being expected, if not demanded, within business transactions.
A new age is dawning and customers are continuing to ask how a product and company ‘adds value’. Engineers in the field have access to, and interactions with, potentially hundreds of contacts within a specific customer base. So it’s no surprise that those customers will come to associate a product’s ‘worth’ based on the dealings they have had with these field service representatives. As the American poet Maya Angelou is attributed to have said: “I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel”.
By 2020 customer experience is slated to overtake price and product as a key brand differentiator.
Women in Field Service and Brand
With this shift to customer centricity there must also be a shift in perception. Traditionally seen as male dominated, a career in field service has not attracted women. However, with service coming to the fore this situation is starting to change and the skills that women offer are becoming more vital than ever. The ‘soft skills’ required for customer service roles are often attributed to women, but it’s not a question of gender, the focus must be on what skills can be brought to the table as a whole and how these can be used to improve a company’s field service offering.
"Traditionally seen as male dominated, a career in field service has not attracted women..."
In order to ensure that quality talent is acquired and retained Field Service must also diversify so that the next generation of bright minds can see themselves working in this sector. If a certain demographic is only ever highlighted and portrayed then it is no wonder that it is presumed that this is all there is. As you would market a brand, the same must be done throughout Field Service. Why would you choose this career? What is there to offer? What is the long term career outlook?
In order to keep up with rising expectations it will require a massive change in mindset, starting at board level and moving downwards, to truly transform a company ethos. For some this will mean a transformation in culture that has formed over decades but must now be changed rapidly if they are not to be left behind by the competition. This will be easier said than done; as change is happening so fast it’s fundamentally hard to move quickly enough! However, as the old adage goes, ‘just because something is difficult, it doesn’t mean it isn’t worth doing’.
Digital Transformation
Alongside the cultural shift needed to meet customer expectations, Field Service is also being driven by digital. Gartner defines digitalisation as ‘the use of digital technologies to change a business model and provide new revenue and value-producing opportunities; it is the process of moving to a digital business.’ ‘Digitalisation’ and ‘digital transformation’ have become such buzz words in recent years that some have lost sight of not only what it means but what they are actually trying to do.
Digitalisation is a tool by which to achieve an end goal, not the goal itself. Gartner predicts that by 2020 10% of emergency field service work will be both triaged and scheduled by artificial intelligence. With AI assisting with everything from scheduling to predictive maintenance to using past data to make future plans.
The human element within Field Service is still very much relied on and future technologies and solutions will be there to support these interactions - to make life easier and more efficient, not to replace humans altogether.
People still want to do business with people and until the customer becomes more Terminator than terrestrial this will probably always be the case.
You can find out more more information about Field Service Connect UK 2019, including how to register here.
Apr 09, 2019 • Features • Management • Augmented Reality • Customer Experience • panel • Digital Transformation • digitization • ScopeAR • servicemax • Software • Customer Focus • Data Management
A panel debate on the best digital tools for achieving top-end service, strayed from shortlisting technologies and focused more on the end-user impact. Field Service News’ Deputy Editor Mark Glover attended the session – part of Field Service...
A panel debate on the best digital tools for achieving top-end service, strayed from shortlisting technologies and focused more on the end-user impact. Field Service News’ Deputy Editor Mark Glover attended the session – part of Field Service Europe 2018 – and saw discussion range from strategy to data, but always swinging back to the customer.
Among the many highlights from Field Service Europe, held in Amsterdam before Christmas, was a debate attempting to shortlist digital tools that can contribute to a world-class service process.
Panellists included Miguel Angel Hernanz, VP Head of Global Service Delivery Transformation at Phillips Healthcare; Karen Mehal, VP Field Service Lightning at Salesforce and David Nedohin, President at Scope Augmented Reality.
Chairing the debate, Field Service News’ Editor-in-Chief Kris Oldland began by defining world-class service and more specifically what it means to customers used to high-end service delivery from the likes of Uber and Amazon. “Service is no longer how we compete with our direct competitors,” he told delegates. “We’re now constantly at competition with the best service experiences customers have ever had. We’re now moving into a world where customer satisfaction is perhaps no longer the right phrase anymore.
"It has to be about customer experience and understanding what the experience is to the customer and working back from there. Only then can we really start thinking about what world class service is,” he posed.
Oldland put it to the panel that technology and digitisation in service should be perceived as “one continuous eco-system that compliments and feeds off one-another" rather than separate tools. Hernanz, who recently oversaw a large B2B and B2C contact center service transformation at Phillips Healthcare, was keen to set the focus on strategy and away from the tools. “The different tools are enablers," he said. You should first of all take a look at your strategy and secondly re-define your processes end-to-end, then use the different solutions or tools that are available in the market to make it happen.”
He continued: “The problem with digitisation and the variety of tools in the market is that you get overloaded with information; you find opportunities all over the place and you want it all and you want it now and that is a big mistake. “You should start doing a proof of concept. You try it, you learn, you correct and you scale up; if it is scalable. Or you dismiss it and you try something else” he urged.
Servicecloud’s Karen Mehal agreed: “If you don’t understand what your objective is, how do you know you’re getting there? she asked, going on to question the use of the term digitisation. “We digitised field service technicians with laptops 20 years ago, did we not? We gave them a laptop. That was digitisation."
It's a good point. The industry can be guilty of getting swept up in buzzwords without fully understanding what they mean, and more importantly how they can impact on customer service. “What’s the objective?” Mehal continued, “Is it around your customer? Is digitisation serving your customer? If it isn’t, it really should be. Or are you just taking your ERP and digitising it?
If the customer service is the end goal, then digital tools should be used to empower that process. Putting this theory to David Nedohin, the co-founder and president of an Augmented Reality company, Oldland asked how such a new and innovative technology such as Augmented Reality can cut through the excitement and intrigue to become a genuine ROI. “It’s about identifying what the problems are but to also make sure there are measurements to it,” Nehan explained. “For example, if you are currently sending out your field service team to help support your customer on a certain percentage of problems, what is that costing you right now? And if you could implement a technology that could help reduce a certain percentage of those, then what is the actual cost savings?
“If they don’t have those numbers, we work with them to find out what those numbers are so there’s a business case that can be presented to management,” he says, before adding: “It’s a strategy they need to put together to understand exactly why they’re solving that problem. You have to start with the problem, you have to start with the use-case.”
Concurring, Oldland suggested that technology should underpin a wider business plan of evolution. “Digitisation is not a one-off process,” he said. “In a sense, we’re talking about a continuous improvement journey, it’s just that the tools behind that evolve too.”
“I see a lot of people get lost in that,” offered Mehan, who by her own admission is customer-facing, “They get lost in the shiny object, such as Augmented Reality. But if your strategy is around customer support, better customer service, wouldn’t it be better to use digitisation to look at someone’s asset now and fix it now, rather than scheduling someone to go out there and fix it?
“Our world is no longer traditional. We’re not in a traditional world, we’re not in a traditional software world, we’re not in a traditional field service world. We should not be bound by EAPs or by software. We should by bound by what serves out the customer,” she argued. “My questions are: are you doing that with your digitisation. Are you really taking care of the customer when you’re doing your strategy?” She said.
Philips’ Hernanz admitted working in large organisations ,where many different stakeholders have many ideas can be difficult. However, all these opinions come second to that of the most important stakeholder: the customer. “You need to put the customer at the centre and listen to them,” he said. “This is very important. You must find out what they need and then start building solutions which are suitable for today, but also for the future because the whole process is also an evolution.”
"We're not in a traditional software world, we're not in a traditional field service world..." (Mehal)
One digital tool that has made a significant impression on this process is data and, in particular, big data. Filtering the most useful information remains the challenge, given the reams of information that smart assets churn out. “There’s no point in having data if it’s not providing the right insight,” Oldland said to the panel, all of whom agreed and acknowledged all the customer cares about is fixing what needs fixing.
Referencing a client who made industrial cooking equipment for fast food restaurants including Burger King and Macdonald’s, Mehner told the audience that when their client's equipment – such as a bun toaster – produced a fault the restaurant would call out a contract worker ill-equipped to isolate and solve the issue. “This piece of equipment,” Nedohin explained, “now has 20 or 30 tickets associated with it because the technician doesn’t know how to diagnose the problem, let alone fix it. The message is clear: we need to find a better way of fixing the assets.”
The restaurant now uses remote support tools to directly contact the manufacturer, who can identify the model, the fault, diagnose the problem and send the right technician with the correct parts and asset knowledge “There is data with this such as preventative maintenance,” Nedohin said. “But the customer doesn’t care, all they care about is getting the equipment working. That data is important to somebody and that somebody is in the manufacturer's office. “The person at the end just needs to know what to do,” he concluded, summing up a key take away from the debate.
Enlightened delegates left the session without a list of digital tools but an idea of what to do before you choose them. Data collection, Augmented reality can all complement a process, but without a strategy that also encompasses your customer’s needs, those tools may as well be blunt.
Aug 24, 2018 • News • Future of FIeld Service • IDC • mobile workforce management • Digital Transformation • field service • field service management • gartner • IFS • IoT • Service Management • Rick Veague
Companies are budgeting for digital transformation with funded projects in analytics, mobile, IoT and other technologies
Companies are budgeting for digital transformation with funded projects in analytics, mobile, IoT and other technologies
IFS, the global enterprise applications company, has released a primary research study of 200 North American manufacturing executives which reveals more than half of respondents expect their budgets for digital transformation to increase in the next two years.
The IFS study also reveals that substantial investments have already been made in digital transformation initiatives, leading to a 26 per cent increase since a 2015 study in companies saying their enterprise software did a very good or good job preparing them for digital transformation. Based on the results from the study, IFS believes digital transformation will continue to accelerate in the coming years since only 5 percent of respondents expected their budgets to decrease.
IFS’s results are corroborated by analyst research indicating a groundswell of investment in digital transformation. According to a study by IDC, global digital transformation spending will reach $1.7 trillion by 2019, increasing 42 percent over 2017. ”According to the 2018 Gartner Digital Business Survey*, 59 percent of midsize enterprises (MSEs) intend to pursue their digital ambitions by both optimizing and transforming their business for the digital era.”
“Today, a lot more companies feel they are prepared for digital transformation than they felt a year ago,” IFS CTO, North America, Rick Veague said. “It is not likely that 20 percent of the market replaced their enterprise systems. It takes longer than that to identify a project, select technology and implement. Some may have already had projects in place and seen them come to fruition. But a good percentage are now, a year later, more aware of the possibilities. There are simple wins to be had by leveraging more accessible technologies like mobility and, increasingly, IoT. Now that enterprise software vendors have planned their offerings around these technologies, the pace of change can pick up quickly. Those who cannot change at the pace of their competitors will be left behind.”
The study also sheds light on the type of digital transformation projects respondents have budgeted for. Analytics and mobility projects were the most frequently funded among respondent companies.
Download the study: Digital Transformation Budget Trends in Industrial Companies
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Jan 31, 2018 • Features • customer expectation • Future of FIeld Service • Mark Brewer • Digital Transformation • IFS • Servitization
Mark Brewer, Global Industry Director for Service Management, IFS explores how service organisations can leverage digital transformation to improve customer service and exceed expectations...
Mark Brewer, Global Industry Director for Service Management, IFS explores how service organisations can leverage digital transformation to improve customer service and exceed expectations...
Servitization. Uberization. Driverless cars. Drones. Digital transformation appears to be both a blessing and curse to the field service industry. The downside to digital revolution? Customer expectation rises as new technology makes a consumer’s life easier. But fundamentally, a service organisation strives to deliver the right products and services at the right time. The upside? Digital transformation can enable this endeavour.
CIO defines digital transformation as “the application of digital capabilities to processes, products, and assets to improve efficiency, enhance customer value, manage risk, and uncover new monetisation opportunities.” New technologies help field service organisations achieve their goals by enabling them to acquire and process the right data, deliver services and products more accurately and efficiently and provide an unrivalled customer experience.
According to a research study by The Raconteur, even in digitally rich 2017, 28% of field service operations (FSOs) are failing to attain at least 80% service level agreement (SLA) compliance, with 66% of these organisations also citing concern or serious concern over their current cost model. The challenge becomes this: how do organisations leverage digital transformation to exceed customer expectation and achieve long-term sustainability?
Customer-Driven Digital Transformation
The customer is the focal point of any field service operation. Traditional statistics state that by the year 2020 customer experience will overtake price and product as the key brand differentiator (Walker) and by 2018, more than 50% of organisations will redirect their investments to customer experience innovations (Gartner). Making the customer the centre of your organisation’s digital transformation ensures that all changes will directly support your central goal of putting the customer first.
Technology can transform the customer experience in a multitude of ways including:
More accurate demand forecasting
Predicted demand, provided by the Internet of Things (IoT) and big data technology, allows an organisation to collect real-time data and utilise advanced forecasting algorithms to predict the optimal window for predictive maintenance or service visits, rather than relying on historical information or regression modelling.
Faster service times
IoT technology that is seamlessly integrated with intelligent field service management (FSM) software dispatches field service engineers automatically and predictively when an asset requires service, improving the customer experience and saving costs on time spent on wasted visits.
Seamless workflows
Real-time operational intelligence gives managers insight into all aspects of their service operations while end-to-end FSM automates the entire service supply chain. This eliminates paper processes and reduces the time from initiation to invoice, transforming service delivery from reactive to proactive. These technologies allow organisations to reduce operating costs and focus more on the overall customer experience.
At The Collision Point
So, your customer is one of the future; digitally savvy and increasingly demanding because of it. Digital transformation exasperates and solves this challenge at the same time. How can you use this to your advantage? Focus on growth and innovation.
According to new research, 47% of FSOs reported that growth opportunities in new markets were a driving factor for digital transformation, while 33% of organisations cited evolving customer needs and preferences as a top driving factor (Raconteur).
Facilitate Growth
Your organisation needs to grow internally and externally. Digital transformation can facilitate this by allowing you to offer new service models, appeal to new customer bases and enter new markets. But in order for this to be effective, you need to ensure that you have the right organisational and governance model to facilitate growth and embrace change. Internal buy-in and change management are imperative to leveraging digital transformation to ensure growth.
Leverage Innovation
Innovation gives your organisation an incredible competitive edge by providing services or products that are entirely different from the competition. Digital transformation doesn’t just fix current problems with logistics, customer service, delivery and more, it also presents alternative ways of doing business to better serve the customer.
Service organisations surveyed in Raconteur’s research were overwhelmingly convinced in the importance of investing in big data, analytics and IoT. These technologies are already working to help leverage innovations in service delivery, closing the loop between the customer and operations.
Now What?
Embracing digital technology requires a deep understanding of your organisational needs and your customers’ expectations.
Clear direction, internal buy-in and change management processes will help ensure your technological investments reap the most ROI and provide the best improvements for your organisation. Moreover, working with third-party vendors that understand your business and imperatives is key to success.
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Nov 22, 2017 • Features • Future of FIeld Service • White Paper • White Papers & eBooks • Digital Transformation • IFS • Internet of Things • IoT
Resource Type: White Paper Published by: IFS Title: The IFS Digital Change Survey
Resource Type: White Paper
Published by: IFS
Title: The IFS Digital Change Survey
Want to know more? Access to this resource is available to Field Service News subscribers only - but if you are a Field Service Professional you may qualify for a complimentary industry practitioner subscription!
If you are a field service professional you can apply for a complimentary industry practitioner subscription and we will send you a copy of this white paper along instantly.
(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain english version is available from our main subscriptions page here)
Synopsis:
When a car leaves a factory, this no longer signifies the end of the relationship between manufacturer and vehicle. The car goes into the next stage of its lifecycle, where it must be maintained and serviced. Businesses are realising that this servicing offers a significant revenue stream. For example, automotive manufacturer margins on new vehicle sales range from eight to 14 per cent, whereas servicing a brake disc carries around a 65 per cent margin.
As businesses become service-oriented, digital transformation gives them the tools to change.
By enabling visibility of an asset using the Internet of Things (IoT), the provider can better understand its use in the real world and feed that back into its research and development (R&D) process. Any issues from the manufacturing process that affect usage and failure rates of equipment can be managed via the IoT feedback loop. Data analysis using business intelligence or big data and analytical tools can derive value from that data.
Historically, companies have seen service as a cost centre and a necessary evil. Now, Digital Transformation is enabling more organisations to realise the potential that service has as a profit centre. Yet there is considerable variation in maturity across the sector globally. This exclusive white paper by IFS offers key insights into their research of Digital Transformation and how it is being implemented.
Overview:
Service: Leading the Way
Across many industries, manufacturing and products have become commoditised; service is now the differentiator. The winners in the service sector are those able to stand apart through their ability to support a product across its lifecycle, or support a client whose services they manage.
When set against other sectors, service organisations are leading the field in innovation and transformation
The top five factors behind digital transformation reflect this potential, with four of the five being sales, innovation and customer relationship-driven. Chief among these is ‘growth opportunities in new markets’. In reality, these growth opportunities are not new but have been expanding for some 20+ years. What is changing is recognition of these opportunities. Many organisations have been slow to recognise service as being a key driver to their overall business success.
A New Hope:
The service industry is reaching a critical point with its ageing workforce. An enormous level of knowledge, possessed by the veterans and gurus of the industry, is walking out of the door as these workers reach retirement, or are no longer effectively supported by the business. This can have more of an impact in service than anywhere else, as the level and quality of service on offer can be directly impacted by the individual that performs the service.
In developing and recruiting talent, DT has a significant role to play. Intelligent knowledge management systems can enable a six-month recruit to perform those maintenance or repair services that would have previously been the [quote float="right"]Where firms operate a service within a service, such as an elevator in a hotel, it is in the interest of both the hotel operator and the elevator service organisation to create the optimum customer experience, because they share the same end consumer
domain of a 10+ year veteran. Technologies such as augmented reality (in the form of Google Glass or Microsoft HoloLens), can be usedto virtually project onto the physical equipment an animated disassembly procedure for swapping out a part onto the physical equipment.
The greatest talent gaps reported by service providers are in the areas of business intelligence (BI) and cybersecurity, with the former particularly keenly felt in North America.
Big data/analytics and BI are crucial in supporting a quantifiable business, and unlike many other industries, service is very easy to measure. Metrics such as first-time fix rate, mean time to repair, mean time between services, and service level agreements are commonplace. It is crucial when marketing a service that the provider is able to cite a percentage level of service and agree that level with customers in their SLA.
Joining Forces:
The need for collaboration is higher in the services sector than in any other, based on the IFS cross-industry research. At a sector-wide level, the delta between desired levels of collaboration and actual levels of collaboration is 2.7 points on a ten-point scale, meaning there is a desire to increase levels of collaboration by 49 per cent.
Where firms operate a service within a service, such as an elevator in a hotel, it is in the interest of both the hotel operator and the elevator service organisation to create the optimum customer experience, because they share the same end consumer
The demand for close collaboration is not surprising – firms such as Dell have a fully outsourced service provision for their field technicians, which means a considerable source of potential revenue is in the hands of trusted third parties.
Where firms operate a service within a service, such as an elevator in a hotel, it is in the interest of both the hotel operator and the elevator service organisation to create the optimum customer experience, because they share the same end consumer, who is jointly judging the product and judging the service.
Given the delta, many firms are clearly still not optimised in their digital transformation and will need to achieve a stronger bond between their partners and their internal teams to realise the full value of servitization.
Want to know more? Access to this resource is available to Field Service News subscribers only - but if you are a Field Service Professional you may qualify for a complimentary industry practitioner subscription!
If you are a field service professional you can apply for a complimentary industry practitioner subscription and we will send you a copy of this white paper along instantly.
(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain english version is available from our main subscriptions page here)
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Oct 26, 2017 • News • Avaya • Future of FIeld Service • Klaus Hüftle • Bosch • Digital Transformation
Bosch Group, a leading global supplier of technology and services, have announced the expansion of its partnership with Avaya to help support Bosch’s digital transformation strategy across its global operations.
Bosch Group, a leading global supplier of technology and services, have announced the expansion of its partnership with Avaya to help support Bosch’s digital transformation strategy across its global operations.
Avaya Private Cloud Services (APCS) has signed a $60 million agreement with Bosch to provide a range of business communications solutions to 160,000 Bosch associates worldwide.
The five-year deal builds on Avaya’s existing relationship with Bosch and is part of the group’s wider “Next Generation Workplace” project, designed to further support a globally connected and agile workforce. The "Next Generation Workplace" is a long-term project for Bosch that aims to make efficient mobile working even easier for associates. Through the Avaya APCS solution provided, Bosch can reduce total cost of ownership (TCO) for the provision of voice services by as much as 20%.
Avaya will provide a range of private cloud-based voice, contact centre and collaboration services, helping Bosch’s central IT department to roll out standardised solutions to all Bosch group companies worldwide. Avaya’s infrastructure integration solution will also provide enterprise-class assured voice services to Bosch users where they are interfacing through the Skype for Business desktop client.
As a leading Internet of Things (IoT) company, Bosch offers solutions for smart homes, smart cities, connected mobility, and connected manufacturing, delivering innovations for a connected life.
“We have made a major commitment to drive agility by investing in our IT infrastructure. Accordingly, we need trusted partners that can help us deliver on our vision of the “Next Generation Workplace” and deliver the required levels of quality and service to our associates. Avaya’s proven ability to deliver to demanding deadlines, deep knowledge of our business needs and the technical expertise to execute flawlessly makes them a natural choice to be one of those trusted partners. They are helping us to create a global standard solution that will be made available to Bosch’s 440+ subsidiaries and regional companies.” Klaus Hüftle, Senior VP, Bosch GmbH
“This new agreement reflects the confidence and trust that Bosch has built up in Avaya, our capability to deliver on this scale of project, and our ability to create innovative solutions that go beyond our own product space. We are strengthening our relationship with a world-leading technology company, and playing our part in helping Bosch to achieve its digital transformation objectives and empower its workforce. Avaya is proud of the endorsement in us that this agreement reflects and we look forward to working more closely with them over the coming years.” Nidal Abou-Ltaif, President, Avaya International.
The contract with Avaya will also enable Bosch to deliver future innovation, through the introduction of Avaya Breeze applications and Avaya Oceana customer experience solutions.
Avaya Private Cloud Services (APCS) enable companies to create simple, dynamic environments that allow them to roll out new applications and services faster, support new devices, improve application uptime, and gain significantly reduced total cost of ownership (TCO) and better return on investment (ROI).
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Jul 27, 2017 • Features • Future of FIeld Service • resources • white papers • White Papers & eBooks • Digital Transformation • Enterprise Service Management
Resource Type: White Paper Published by: IFS Title: Digital Transformation and enterprise service management - what's next?
Resource Type: White Paper
Published by: IFS
Title: Digital Transformation and enterprise service management - what's next?
Want to know more? This white paper is available to Field Service News subscribers but if you are a Field Service Professional you may qualify for a complimentary industry practitioner subscription! Click here to apply for a subscription now and we’ll send you this white paper to your inbox now instantly as a welcome gift!
Synopsis:
Digital transformation is the predominant trend impacting today’s global business. Broadly speaking, digital transformation speaks to the changes produced by the application of digital technology to society at large—just walk down a street or go into a coffee shop and look at the eyes focused on the ubiquitous smartphone.
But for business, digital transformation goes beyond the tactical application of technology—something that has been happening in enterprises for years—to the strategic incorporation of digital technology as the very basis for competition. It is transforming business models by speeding innovation and making ongoing practical gains in operational efficiencies, product design, development and delivery, and customer relationships. It’s changing the way companies think about coming to market.
In this age of digital transformation, the old methods of service simply don’t apply anymore. World-class organisations must now anticipate service needs before they manifest as problems by taking a proactive approach to service delivery. To be sure, the technologies driving the digital transformation are both ratcheting up the pressure on service while providing new opportunities. Those companies looking to what’s next as service continues to evolve will benefit greatly as the digital transformation continues.
Overview
The white paper focusses on three core elements of digital transformation in a field service context:
Impact of Digital Transformation on Field Service
For service providers, the digital transformation will mean increasing competitive pressure in terms of time to response. At IFS, we believe there will be a rapid escalation in response time competition across the service provider industry. Response times are shortening because of customer expectations, technology capabilities, and competitive pressure .
Because of the disruptive nature of technologies such as IoT, the change will not be incremental. I
f your current response time is a week, it’s not enough to reduce it to six days. It will have to be a more dramatic reduction, and those that move first will have an advantage. Expectations are changing from days to hours or minutes, and those that are left behind will lose business.
Supporting the Digital Transformation in Service
A company pursuing digital transformation must have tools that allow executives and managers to review and orchestrate processes that align with their business strategy to ensure process execution delivers that strategy.
A company pursuing digital transformation must have tools that allow executives and managers to review and orchestrate processes that align with their business strategy
This can happen by assessing real-time business performance in the context of how it affects key business processes and goals, giving managers real-time operational intelligence and actionable controls to solve issues before they become problems. The solution is about strategy acceleration and execution.
What's next?
A recent report on the state of digital transformation had some interesting results: 88 percent of companies surveyed said they were undergoing digital transformation efforts, but only a quarter had an understanding of what it is.
The challenge creating this gap, according to Forbes, was not investment in technology but rather the realignment of business models to reflect the transformation being sought. This underscores the point made by IDC: digital transformation is not just a technology trend, but rather a core business approach at the center of enterprise strategies across all industry segments and markets.
Want to know more? This white paper is available to Field Service News subscribers but if you are a Field Service Professional you may qualify for a complimentary industry practitioner subscription! Click here to apply for a subscription now and we’ll send you this white paper to your inbox now instantly as a welcome gift!
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Jul 19, 2017 • News • analytics • Artificial intelligence • Future of FIeld Service • Krista Brown • Digital Transformation • Dimension Data
New research which examined how organisations are evolving from a traditional office environment to a digital workplace reveals that gaining competitive advantage and improving business process are among the top goals of their digital...
New research which examined how organisations are evolving from a traditional office environment to a digital workplace reveals that gaining competitive advantage and improving business process are among the top goals of their digital transformation strategy.
This is according to 40% of 800 organisations in 15 countries on five continents that were interviewed for Dimension Data’s Digital Workplace Report: Transforming Your Business which was published this week.
Another insight in the Report is that digital transformation is not just about adopting the technologies of the past: 62% of research participants expect to have technology such as virtual advisors in their organisations within the next two years. In addition, 58% expect to start actively investing in technology that powers virtual advisors in the next two years.
Today, the digital workplace is no longer just made up of managers and those managed; co-workers collaborating with one another to complete projects; and employees interacting with customers and partners. It’s increasingly populated by ‘virtual employees’ who do not exist in a physical sense, but nonetheless play an important role in the organisation.
Organisations have grown their use of analytics to understand how these technologies impact their business performance: 64% use analytics to improve their customer services, and 58% use analytics to benchmark their workplace technologies - Krista Brown, Dimension Data
“It’s no longer enough to simply implement these technologies,” says Krista Brown, Dimension Data’s Group End-user Computing SVP. “Organisations have grown their use of analytics to understand how these technologies impact their business performance: 64% use analytics to improve their customer services, and 58% use analytics to benchmark their workplace technologies.”
Meanwhile, around 30% of organisations said they’re far along in their digital transformation initiatives and are already reaping the benefits, while others are still in the early stages of developing a plan.
Brown says one reason that could be holding companies back from implementing a digital workplace is their corporate culture. Often, technology and corporate culture inhibit – rather than encourage – workstyle change. However, the number one barrier to successful adoption of new workstyles was IT issues, and research participants cited organisational issues as another.
“The complexity of the existing IT infrastructure can present a major hurdle to implementing new collaboration and productivity tools to support flexible workstyles. Successful transformation implementations are achieved when IT works closely with line-of-business heads,” says Brown and adds that these transformations are supporting new ways of doing business or supporting clients.
IT leaders were asked to rank which technologies were most important to their digital workplace strategies.
Robert Allman, Group Senior Vice President, Customer Experience and Collaboration believes that mobility is pivotal to a digital workplace. “Business leaders and CIOs are switched on to the importance of mobility in the digital workplace, with an even mix of companies supporting company-provided and employee-owned devices in the work environment.”
Enterprises are also turning to new workplace technologies to drive increased customer service, with 45% of respondents saying they’ve improved customer satisfaction as a result of their use of digital workplace technology.
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