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Digital Transformation is currently one of the key trends amongst field service organisations in all industry verticals, but it is a revolution that has been building for a long, long time writes Laurent Othacéhé, CEO, Cognito iQ. 

Field service is undergoing what is in my opinion the biggest change the industry has seen in the last 25 years.

All of our customers, across a range of industries, want to talk to us about Digital Transformation, and how they can use digital technology to fundamentally transform the way they interact with their customers, and not just about the operational ‘nuts and bolts’ of delivering a service to them.

Some customers are only at the beginning, taking small steps towards transformation by, for example, moving away from traditional software ownership models towards cloud-based products and services, such as MS Office 365. Others are further along, with strategies that embrace technologies such as IoT, big data and AI.

But regardless of their progress, at the heart of all of these conversations is the recognition that Digital Transformation will bring them closer to the goal of providing exceptional field service.

The Art Of Field Service Ops
I often think that the role of a Field Service Manager is a complex mix of art and science, with a bit of magic thrown in for good luck.

Decision making needs to adjust constantly to changes in conditions – a sudden unseasonable cold snap, for example, or a contract with a new customer. Just as service delivery metrics point to success, something changes, and there is a whole new dynamic.

Without knowing what combination of factors triggered the change, it’s hard to know how best to respond.
Get the reaction to an emerging threat wrong – too great or too small a response – and the complex balance of the operational ‘ecosystem’ can be thrown out.

Recovering that balance and restoring the conditions required for ‘flawless’ field service can prove costly and time consuming.

Data doesn’t drive decisions
Most organisations capture a range of sources and types of data - workload planning, resource availability, schedule efficiency, service outcomes, customer satisfaction levels, asset profitability – and many are integrating new types, such as that offered by IoT.

However, this data is rarely delivered in the right form to support decision making, meaning that managers spend too much time aligning and manipulating data from disparate sources. Even then, many are frustrated to find that the root cause of issues is still unclear and the likely outcome of any decision is still uncertain.

AI, machine learning and predictive analytics
This is where the latest technologies, such as AI, machine learning and predictive analytics come in.

Valuable insights into the performance of an operation often lie at the intersections of these various datasets; these technologies can enable decision support applications to identify underlying patterns of performance in the Field Service operation, including long and short term trends, that were simply too complex for traditional applications to uncover. This is increasingly true as much larger data sets such as IoT have come online in recent years.

"Field service is undergoing what is in my opinion the biggest change the industry has seen in the last 25 years..."

This deep understanding of performance, combined with the power to highlight exceptions in real-time, enables the operations team to see the correct course of action to address each challenge as it arises. And beyond simple advice, these technologies make it possible for applications to automate ‘learned’ responses to common patterns of exceptions that occur.

The next generation of decision support
This next generation of applications will be used strategically to analyse, for example, which factors within a field service operation make engineers productive, and which inhibit productivity. Some of these factors will be within the control of the engineer, in which case performance can be addressed with initiatives such as better training or incentives.

Others will relate to company processes, in which case the applications will suggest tactical improvements, the impact of which can also be measured. Others still will be external factors which can’t be changed, but can be allowed for in planning and scheduling.

Such applications will be programmed with a knowledge base, but will be learning all the time, as the outcome of each decision is fed back into the performance data, effectively automating the process of continuous incremental improvement. This will take some of the challenge of blending art and science out of the hands of the Field Service Manager, leaving them free to concentrate on other activities.

Not just software suppliers
It is clear that this massive change in the industry requires those of us who supply and partner with field service companies to change too. We can’t just be technology suppliers.

We have to embrace our customers’ goals and work with them to add value; to weave their transformation strategies into the fabric of our products and services and to bring to the table our own blend of art, science and, yes, a little magic too.

Laurent Othacéhé is CEO at Cognito iQ.

Brexit fatigue’ may be sweeping across the European continent but for those of us involved in critical supply chains, now is not the time to put our heads in the sand. The network nature of international supply chains means we may all be reliant on the least-prepared organisation, as ByBox’s Simon Fahie, explains. 


There’s no escaping the fact that field service can be a lonely industry. Ask the engineer battling torrential rain to repair a wind turbine. Or the manager greeted with blank stares at dinner parties when asked to explain his job. With mobile engineering teams working in often remote locations, and a high number of lone workers, it can feel like there are limited opportunities for collaboration within field service.

But with Brexit around the corner, now is the time when field service operators must work together – not just to avoid problems, but also to get ahead. While the UK political climate remains highly uncertain, ByBox has shared practical tips with customers to help prepare for the ‘worst case scenario’ - No Deal.

A ‘Hard Brexit’ could mean that businesses which currently move parts freely within the EU, including the UK, will find themselves becoming importers and exporters between the UK and the EU.

An obvious statement perhaps, but several of the companies we have been working with will find it a shock to implement not only the existing rules, but also additional new procedures to manage No Deal.

And herein lies the real rub - under new customs rules, if one company fails to comply, it could cause delays to the stock of all businesses within the same consignment.  The smartest businesses recognise that ‘one issue affects all’ within Field Service; and that by and large they do not compete supply chain against supply chain.

 

"Advanced businesses view Brexit as an opportunity to take stock and think about how they can add value..."

By preparing for new import and export rules now they’re protecting not only their own businesses, but the resilience of the whole field service sector. Advanced businesses also view Brexit as an opportunity to take stock and think about how they can add value after Brexit and get ahead in a new trading environment.

The most common themes are:

Use of technology
An increasing number of  firms are looking to digitise processes around distribution, engineer productivity and inventory. With ever-more stringent SLAs and cost pressures, there just isn’t room for inefficiencies or delays in responding to disruptions

Increased forward stocking
In some industries where the potential consequences of delays are not acceptable, EG medical technology, we’ve seen an increase in firms using micro Forward Stock Locations (FSLs) – placing critical items in App-Lockers at the service sites where they’re needed, to protect first-time fix rates

Third party specialists
Many companies are turning to third parties to manage complexities around cross border transport and distribution. For example, our strategic partners such as Bespoke Distribution Aviation (BDA) – already have established transport channels, a customs clearance approach and brokers.

Two years on, it’s easy to experience ‘Brexit fatigue’ – but the burden can be significantly reduced if field service companies realise they’re not alone, and help each other through it.

Simon Fahie is Managing Director at ByBox.

We live in a world of instant results. Seamless, efficient and accessible service has become the new norm and unless yourorganisation adopts dynamic scheduling you may just fall behind the increasing expectations of the modern consumer argues Field Service Insights’ Michael Blumberg...

The ability of Field Service Organizations (FSOs) to deliver  an optimal customer experience depends in a large part to their ability to effectively schedule their Field Service Engineers (FSEs).Scheduling of Field Service Engineers if a critical success factor in optimizing customer experience. Ultimately, this requires FSO to make the highest and best use of resources to obtain the highest and best outcome for themselves and their customers. In other words, outcomes that result in high first-time fix rate, customer satisfaction ratings, and profitability for the FSO.

Smaller businesses using five or fewer technicians may be able to manage scheduling effectively enough to operate a successful business. However, an increase in the number of employees, the number of customers, or the number of service requests can quickly disrupt the flow of business. With each new addition, the complexity of scheduling grows exponentially. This is because each addition brings a host of related attributes. For example, a new technician means identifying a new skill set, adding another vehicle, identifying a different route, stocking more parts, and redistributing servicecalls. Multiply times two - or twenty and a logistical nightmare quickly ensues.

At issue, end-customers increasingly expect a high level or responsiveness example, one that provides them with visibility into their FSE’s route and schedule, and one that provides a high level of certainty of when their FSE will arrive onsite. Using manual scheduling or basic dispatch software will not result in this outcome. It is virtually impossible to remain competitive in the field services environment using manual scheduling and spreadsheets, which can cost mangers 20% of their workday. Further, incorporating even a single change, such as adjusting for a driver who calls out, can have a domino effect on the overall schedule, wasting additional time by the scheduler and downtime as other technicians wait for reassignment.

Dynamic Scheduling software offers a host of benefits and there are several factors which should be considered when evaluating scheduling software options. Some core functions include resource scheduling, dispatching, route planning, work order management, SLA compliance tracking, parts inventory management, forecasting, integration with other systems, and reporting just to name a few.

The table below shows which outcomes are typical for organizations that use dynamic scheduling applications:

REDUCTION IN:	INCREASE IN:
Labor costs	Procedural consistency
Scheduling/re-scheduling costs	Customer satisfaction
Fuel costs	Availability of resource usage reports
Inventory costs for parts	First-time fix (FTF). SLA Compliance/Onsite response time

While the most common reason for not replacing an existing field service management system is cost, efficiencies gained from a technology-based system often negate that argument. Further, companies using dynamic scheduling can gain a 20% - 25% improvement in operating efficiency, field service productivity, and utilization. Other reasons to consider a change are opportunities for growth, more accurate and reliable data, flexible and scalable scheduling, and positive impact on KPIs.

With a seemingly infinite choice of features, identifying a workforce and scheduling management platform that is cost-effective and offers what you need without unnecessary add-ons that don’t add value can be a challenge. Most systems offer a customizable range of features and benefits appropriate to your industry, size, and business objectives.

A benchmark survey by Blumberg Advisory Group indicates that advanced tools like Dynamic Scheduling software allows companies to perform more efficiently and effectively by optimizing scheduling and associated functions. Companies that use these tools also are more likely to have an SLA compliance rate of 90% or higher. Field service workers scheduled through an automated process are also more likely to complete five or more calls per day, at a utilization rate of 85% or higher.

 

"It is virtually impossible to remain competitive in the environment using manual scheduling.."

 

In addition, companies that utilize advanced tools are more likely to be able to manage and schedule a higher volume of service events. For example, half (49%) of the companies surveyed that use advanced receive at least 500 service request calls per day, and about half of those companies (26%) receive 1,000 service calls per day.

They are also more likely to have a higher ratio of FSEs to schedulers than companies who do not use w technology. In summary, Dynamic scheduling software offers clear advantages to field service organizations regardless of the industry, services, revenues, or number of field service workers.

Automated technologies provide enhanced functions beyond the capabilities of the most adept schedulers and other manual approaches. Being able to get the best qualified FSE to the customer site at the right time, relies not only on identifying a knowledgeable technician and the necessary parts but ensuring they get to the customer site within the timeframe promised. Using a scheduling software system can make this happen while simultaneously adjusting the calls, routes, and ETA’s of other field service workers to maintain responsiveness and avoid jeopardizing schedules.

The business intelligence collected and stored in these systems allows FSOsto make better decisions about what inventory and tools to carry, equipment to be repaired or replaced, routes that should be developed or changed, and other factors that influence the bottom line.






More and more field services organizations recognize this need and adopting dynamic scheduling platforms, leaving businesses that do not provide these increasingly expected and desired services struggling to compete.

You can download the whitepaper, Creating an Uber-like Service Experience: Benchmarks and Best Practices in Field Service Scheduling, here.

 

Is your organisation digitally determined or are you amongst the 54% of companies who are currently digitally distraught? Sarah Nicastro, IFS, reflects on some of the common errors to avoid when approaching digitalisation...


In a recent blog titled You Need a New Digital Transformation Playbook, published by IDC, author Meredith Whalen reveals that based on a recent study of digital leaders, 46 percent are what IDC refers to as “digitally determined” while 54% are what IDC calls “digitally distraught.”

It doesn’t surprise me that such a large percentage of organisations fall into the “distraught” category – true digital transformation is a massive undertaking that can prove daunting and frustrating at times. In an effort to alleviate some of the headaches that can come along with such a major initiative, I’m going to share four common missteps I see organisations make related to digital transformation:

#1: Overlooking the Cultural Implications of Digital Transformation
If you think of digital transformation as strictly a technology initiative, you are starting off on the wrong foot. Digital transformation requires just as much cultural change as it does technology use, yet this piece of the puzzle is commonly overlooked for a variety of reasons – leaders assume employees will just “get it,” carving out time for cultural change management seems to slow down progress, or companies just aren’t sure how to tackle such a cultural shift.

I assure you, making an effort to get the cultural part of digital transformation right will pay dividends. I’ve heard countless tales of efforts gone wrong because the employee wasn’t bought in on the concept or properly trained on the tool introduced.

Key areas to focus on are to communicate clearly and regularly with all employees on the need and objectives for your transformation – implement a feedback loop with your employees and listen to what they have to say. Be selective about the technology you adopt as part of your effort – if the tool doesn’t meet the needs of your workforce or
is difficult to use, adoption will suffer. Investing in tools that do what they say they will and deliver an experience your employees actually value will build their trust in your digital transformation efforts. Finally, continually monitor adoption and “take the temperature” of your employees to course correct your efforts as needed.

"Making an effort to get the cultural part of digital transformation right will pay dividends..."

 

#2: Failing to Set a Solid Digital Transformation Foundation
It’s all too easy to become enamored by some of the ultra-cool facets of digital transformation and gloss over some of the basics. But for true digital transformation to be successful, you have to walk before you run.

You have to ensure you’ve laid a solid foundation of basics from which to build your digital repertoire. While not as sexy as AR and AI, effective and efficient communication, bulletproof scheduling and routing, and solid work order management are examples of more basic technology that simply has to be mastered before being built upon.

As you evaluate your foundation, think about the past — what do you have in place already that is working well; the present — what you want to accomplish in the near term; and the future — what you want your digital portfolio to look like five years from now. This will help you visualise the evolution of how you build on what you have to get where you want to be, or will help you to identify changes you need to make to your current systems before building upon them.

#3: Defining YOUR Desired Digital Transformation State
To achieve digital transformation success, you MUST realise that your desired end state will be unique. I’ve seen organisations get off track because they see what ABC Company is doing and make every effort to replicate their success, rather than tailoring the approach to their own business. It’s fine to look around you for inspiration but staying in your own lane is critical to your success.

Start by defining your business goals, by visualising what YOUR desired digital transformation state looks like (and of course agreeing upon this vision organisation-wide). Each businesses’ end goal is going to be individualised, as well the approach for getting there – no two companies can follow the exact same path.

Once you have your goals set and vision articulated, focus then on only the technologies that will get you there – don’t allow yourself to be sidetracked by the new, shiny thing that will ultimately bring no value to your business but looks really cool. Stay focused and measure your progress to that desired state.

#4: Racing to Reach The “End Goal” of Digital Transformation
I’m here to break it to you: you’ll never reach the end of your digital transformation efforts. The “end goal” is a myth; it doesn’t exist. The reality of digital transformation in the technology age is that it will keep going, and going, and going.
This means you have to work to perfect the art of ongoing cultural adaptation, business goal setting, and technology adoption – because you’ll be adding on to and tweaking your digital transformation efforts from now until the end of time.

Don’t let this overwhelm you – the foundation you are setting will equip your entire organisation to make future adjustments and additions far more seamlessly.

While there is no true state of completion, the race is on to make progress and remain competitive.

Sarah Nicastro is Director of Service Management Business Development at IFS.

The way products are serviced is reshaping their design at the R&D level, and providing new insights into product usage, according to field service management specialist, ServiceMax. Service mechanisms are increasingly seen as the common denominator of accurate product development and maintenance.

The Internet of Things and intelligent field service automation is creating a connected service loop built into products, enabling manufacturers to track, pre-empt service requirements, understand usage and ultimately improve the way customers are using products.

“Before IoT, R&D teams relied mainly on interpretation and anecdotal input from field service engineers to get a full understanding of how products were faring out in the field,” said Mark Homer is Vice President, Global Customer Transformation for field service management specialist, ServiceMax. “But faced with competition and diminishing returns, manufacturers are using IoT and connected field service to make products more specific to consumer requirements.”

 

With IoT enabled field service automation, companies can collect data automatically from machines and devices to determine their condition, performance, potential for error or malfunction, foresee problems, identify troublesome parts, and equip field service techs with the right tools and materials.

Companies can also gain new levels of insight into how their products are actually used post purchase and aggregate the data for better design, maintenance and user experience, redefining the relationship between businesses and customers. The result is minimum product downtime, maximum customer satisfaction and greater insight into how consumers are using products.

 

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In part one of this exclusive two part interview Field Service News Editor, Kris Oldland talks to Martin Summerhayes of Fujitsu, about his spending over two decades as a pioneer in the field service industry... 

There are a number of key people who have been there and done it in field service. Professionals who have dedicated there lives to service, who have an inherent understanding of what it means to put the customer at the heart of the business strategy, and what it takes to develop a successful service division on an enterprise scale.

And then there is Martin Summerhayes.

A day before our interview I was able to witness Martin give a presentation at the recent Service Community event. In the half hour during which he spoke he gave the impression not only of a man that had a very firm understanding of the whole picture is in terms of service delivery, but also a man who had gained that understanding by paying attention to the minutiae of every aspect of the process.

However, after speaking to him one on one at some length a day later, it was clear that we had only just scratched the surface of Summerhayes’ depth of understanding of the industry in which he operates, as well as his passion for getting it right.

In terms of his entry into the world of field service Summerhayes, like many of his peers took a fairly straightforward path into the system. Having graduated from university in London in the late 80’s he joined HP as a field engineer on a graduate scheme working in their volume repair business.  As he puts it himself “You started as a man with a van and progressed from there”

Summerhayes himself ending up doing so rapidly and was soon not just progressing at HP, but was changing the way the business operated.

 

“My boss asked me to come up with some ideas for generating service revenue” he began as I asked him to describe his path from service engineer to service manager

“I came up with what I called the ten million dollar opportunity, which was literally sold up front. We offered a multi year extended warranty on the HP printers and PCs that we were selling in the UK, this would provide HP with an incremental ten million dollars worth of revenue. It was called the HP support pack business and when I left HP was generating over a billion dollars of revenue per anum.”

And perhaps here is a glimpse at what makes Summerhayes such a fascinating subject for interview or indeed just someone to have a conversation with. Whilst announcing what was a really quite an extraordinary achievement, he makes it sound as if  it was essentially a logical development that anybody else could have made

This of course isn’t true, to create a billion dollar business in any industry takes vision by the bucket load and to do it in a fledgling IT service industry even more so, but the touch of humility he shows when outlining his achievements, and an almost a blasé outlook on such a success, hints at an impression of a man who is almost certainly quite an inspiration to both his peers and his team alike.

In total Summerhayes spent nearly 20 years working with HP, having risen up the ranks from the “Man with a Van” to being at differing points responsible for 450 engineers, developing new programmes within the company to change their processes, to being heavily involved in overseeing the merger with Compaq (which actually also included absorbing Digital Equipment Corporation and Cabletron into the HP structure as well). Eventually he was asked to move to Texas as part of a management restructure, which Summerhayes declined and the HP chapter of his career came to an end.

He then took a decidedly left-field step in his career and took up a role with the Metropolitan Police Force. Spending two years with the ‘Met’ which he describes as “a mix of secret military, local government bureaucracy gone mad and IT” where the culture was one of “meetings, about meetings about meetings” Summerhayes eventually returned to the more familiar corporate environment with Fujitsu where he has been for the past six years.

Here in his roles as Head of Strategy and Business Development he now works directly with the firms fourteen largest accounts in the UK, working with them to establish margin and service improvement opportunities. (Last year alone he was able to deliver over two million pounds of margin improvements.)

Look out for part two of this feature coming soon where we look at Summerhayes' biggest frustrations in field service today as well as what makes him go home smiling after a long day...