Gig Economy Plays a Crucial Role in Hiring freelance Telecom Field Technician

Ramya Sri Alluri is a Marketing specialist and Staff Author at FieldEngineer.com a freelance marketplace to hire a telecom engineers.

In today’s digital world, things are more difficult than ever when you’re competing. This is especially true with the global connectedness. Luckily, however, you can benefit with the advantage of a freelance marketplace that connects you to a telecom field technician or other talent you’re looking for. Businesses are finding numerous benefits of hiring a freelance telecom field technician from a freelance marketplace, such as:

Cost
A freelance telecom field technician can save you immense costs in your business. After all, once you start bringing people in it can sky rocket to mean that your payroll outpaces other costs in your company. So to keep that in check, consider freelancers as a budget option whenever you need it.

Speed
Speed is of the utmost importance in any business. If you lag behind the competition, you’ll find that your customers are going somewhere else. This can spell disaster if you don’t do something to correct it. Benefits of hiring freelance telecom specialists also include speed: you can talk with them instantly from anywhere else in the world and cut down on time costs that would otherwise make you miss important deadlines.

Convenience
It’s incredibly convenient to be able to use your phone or computer to talk with your workers. Whether you are in the office, at home, or in line for lunch, it takes a few punches on a keyboard or taps on your phone to get things running along smoothly. This kind of convenient workflow is quite priceless.

Integration
You can integrate the skills of your telecom hire with the others on your team. Some teams need various skill sets in order to achieve a complex set of directives from the top. If you feel this describes your company, then you’ll derive many benefits from using the marketplaces that connect your team together, no matter if they’re in Asia, Africa, or anywhere in between.

Capability
The worst feeling is when a client wants you to perform something for them but you can’t meet the capability. Having to say no is the worst fate of a business. If you do it too often, you’ll lose your reputation. A benefit of freelance telecom workers is they make you agile and scalable. You can add a few more man hours into the mix to bring a project in on time and under budget.

Security
Security is of the utmost importance for any business. If data gets into the wrong hands, such as customer lists or your secret recipes of how you deliver solutions to customers, then it could spell the end for your business. Enjoy the benefits of freelance when you have them siphoned off from certain knowledge just in case of a data leak. A telecom field technician only needs to know certain variables of what they’re working on.

Hiring new workers for your company can be a pain. However, it doesn’t have to be if you follow the right advice and emulate other companies that have had success in the industry before you. So you can have the most profit with least risk by hiring on freelancers to fill in the gaps needed to make your business a wild success.

Fieldengineer.com is an innovative digital marketplace that connects you with talent all across the globe. You can log into the portal from any computer, phone, or tablet. This makes it fast and convenient to use. In addition it’s free for businesses. Features include live tracking of your engineers and freelancers, management of work orders, fast matching with talent with our AI, and special APIs so you can run your business more effectively and streamlined.

Would you like to submit a Guest Post?

What’s on Service Director’s Minds

Nick Frank is a Co-Founder of Si2 Partners and this article is based on one first posted in Field Service Matters.

With customer expectations on the rise, field service organizations are constantly fighting to keep up. The service industry has shifted from a cost-centric and reactive approach to a value-centric and proactive approach. But aside from more demand from the customer, the transformation has also opened up new opportunities for service technicians, process, and technology.

Recently, I met with service and operations directors from the United Kingdom’s biggest organizations gathered at Field Service Summit. Field service leaders from manufacturing, telecommunications, and utilities met to exchange ideas and discuss opportunities and trends. Here are the most important topics they addressed.

On dealing with near-impossible expectations

Thanks to on-demand services such as Uber, customer expectations are higher than ever. Your customers want faster resolutions, more visibility into their service, and real-time communication with their technicians. But disruptions happen, and sometimes the customer wants more than you can give them at that moment. Here’s how the experts are managing customer expectations:

Set realistic expectations & don’t over promise

What do you do when the customer wants more than you can handle? Start by setting expectations. Before the service visit, know exactly what the customer wants accomplished and when. You always want to strive for a quick, first-time fix. But don’t over promise if you can’t deliver.

Let’s say a customer wants a tech to fix their washing machine the same day they call, but your techs are already booked for the day. Since it’s not an emergency situation, let the customer know they’ll have to wait, and schedule them for a different time slot. They might be upset that you can’t help them as soon as they’d like, but they’ll be more upset if you’re unable to deliver on a promise.

Let the customer set their own (controlled) expectations

Better yet, give your customer a range of options so they can set their own expectations. Most field service directors at the summit found that their customers want to be partners during the service process. Involve customers by allowing them to set their own expectations for the service visit. Just make sure to do so within in a controlled environment.

For instance, give them open time slots to choose from before they decide on their own. And if they want a higher level of service that will take more time and labor, let them pay more for it. This way you’re giving the customer more control throughout the process, but maintain manageable expectations.

On developing service technicians

Most of the experts at Field Service Summit agreed that the people side of the service delivery is crucial. In other words, your techs, along with their attitudes and capabilities, determine the successful delivery of solutions for your customers. Think about it. Your techs make up most of your company’s interactions with your customers. As the face of your organization, it’s important that the tech makes a good impression. Here’s what the experts advised for developing technicians:

Help your techs become brand ambassadors

It’s crucial for technicians to have the right technical skills, but attitude and image are just as important. Coach your techs on how to represent the brand and company values during their service visit. They should be courteous, engaged, and dressed appropriately. Your customers should feel confident in their tech’s ability to solve their problems and think of them as trusted advisors.

Make customer feedback part of the service process

The best way to learn how your techs are performing is by asking the customers. Consider making customer feedback part of the field service process. Send your customers a survey immediately after the service visit so they can respond with the visit fresh in mind.

If the feedback is positive, send it directly back to the tech. In addition to learning what he or she did right, the tech will also feel good to know they had a positive impact on their customers. If the tech gets a negative review, have a manager deliver feedback. Set a meeting to discuss their performance and talk about ways they can improve for next time.

On the importance of service value over price

As products are commoditized, quality service and positive customer experiences become main competitive differentiators. Field service directors at the summit noticed that customers today are less competent technically, and care more about the outcome. Being said, it’s important to constantly communicate the value of your service, especially if you have not been as visible to the customer. Make sure they know what’s been happening in the background, and throughout the service process.  Here’s what the experts advised:

Demonstrate value with proof

As your company grows, be sure to document a service portfolio. Get your customer support team on board with your company’s value propositions and demonstrate them. Work with your customers to build case studies (with numbers) to use as proof points for potential customers.

Be a business partner

Just as customers should see techs as trusted advisors, they should see your company as a partner invested in their success. Customers are looking for more than just a fix — they want solutions. And they want advice on their assets in case the problem arises again. Let them know you’re always there for them, even when they’re not due for a service visit.

Would you like to submit a Guest Post?

Driving Revenue Growth without Losing Sight of the Customers

CUSTOMER SATISFACTION

Several months ago, Derek Korte, the editor of Field Service Digital solicited my opinion for article titled “Expert Roundtable: Never Lose Sight of Customer Satisfaction”.    The basic question that Derek asked was “How do service leaders ensure the important work involved in managing a service business get done while still keeping the needs of customers involved?”  After all, Derek pointed out, Field Service leaders have a lot on their plate. They must continuously balance the need to improve the quality, productivity and efficiency of service operations with the strategic objective to drive revenue and growth; all while never losing sight of keeping customers happy.

This dilemma is a challenge facing all businesses not just Field Service.  When it comes to practical advice, Peter Drucker said it best, “the goal of any business is to get and keep customers.”  This quote provides a good lesson for Field Service leaders.  Driving revenue and growth, and maintaining customer satisfaction is not an either-or proposition.  They are one in the same.

To achieve superior outcomes in these two areas, Field Service leaders must view themselves as business owners.  They must view themselves as owners of a business franchise called “service” whether they are equity owners or not.  In other words, they must adopt an “ownership” mindset.

To succeed as business owners, Field Service leaders must first have the right “seats on the bus” otherwise known as the right functions that manage their service business.  This includes functions such as service delivery operations (i.e. dispatch, field service, parts management, etc.), accounting & finance, sales & marketing and others.  Without the right functions, the business cannot perform.

Second, Field Service leaders must make sure they have the right people in those seats. This means they must find talented people to manage these functions.  The people can be groomed from within the organization or recruited from outside.  Regardless, field service leaders must develop performance standards by which personnel must adhere.  These standards should consider the characteristics, skill sets, experience and behaviors that service personnel must possess.

Third, Field Service leader must have clear outcome of where they are heading.  If they are going to drive growth, then they must have a map to help them reach their destination.  In business, another term for a map is a strategy and/or plan.  Without a clearly defined strategy or plan to follow, a business can’t go very far.

Fourth and finally, Field Service leaders need to make sure their bus (i.e., their organization) is running efficiently. That it has a clean engine, good tires, etc. They also most make sure they have a GPS or dashboard to help them monitor their performance, the direction in which they are heading, and the speed at which they are going.  The engine, tires, etc. are a metaphor for state of the art service delivery infrastructure and related technologies that make superior service possible.  The GPS and dashboard are the Key Performance Indicators (KPIs) and operating benchmarks that help Field Service leaders keep course on their direction.

Now it’s your turn to answer the question: “How do service leaders ensure the important work involved in managing a service business get done while still keeping the needs of customers involved?”   What have you found that works and doesn’t work? If you’d like to read about other experts’ perspectives on this topic then read Derek’s online article.

Please also feel free to schedule a free strategy session with me today if you need more insight and guidance on how to improve service operations and drive revenue and growth while maintaining a high level of customer satisfaction.

Still looking for answers?

 

 

Measuring the Impact of Freelance Management Systems on KPIs

In a previous blog we presented the results of a survey regarding staffing for the Field Service Industry.  The  respondents of the survey included people who either staff or make decisions about staffing for companies ranging in size based on revenue, number of events staffed, types of technology supported, and the way in which the service business was run (i.e., cost center, profit center, etc).  The survey supported our idea that using a Variable Workforce and especially using a Freelance Management System (FMS) to recruit, hire and dispatch the Field Service Engineers (FSEs) is becoming a larger part of the industry with overwhelmingly positive results.

As in all industries, there are certain ways in which we measure success, so we looked at the Key Performance Indicators (KPIs) that are relevant in the Field Service Industry.  These included indices like  Service Level Agreement (SLA) compliance, Field Service Engineer (FSE) Utilization Rate, FSE Productivity , First Time Fix Rate, Time to first response, Gross Margin per Field Service project and per service call Time to recruit, hire, train and onboard, FSEs, Time to train FSEs, and others for the Field Service Industry.

On all 17 KPIs measured, at least 28% of companies saw an improvement with the greatest improvement noted in Geographic Reach (76%). And over 75% saw either improvement or least no change in all indices. Variable Workforce managed by FMS enables easier ability to recruit, hire and onboard specially trained Field Service Engineers. This also increases the ability to respond to seasonal and emergency needs of customers.

The survey shows that using a variable workforce model is faster, less expensive and more efficient than not using it. Because it is so efficient, this makes integration and utilization of FSEs faster. In addition, users of Variable Workforce and FMS are able to support more types of technology (4.3 vs 2.8). This means that not only is the overall function of the company improved, the use of FMS allows companies an opportunity for growth.

We also compared the results of several KPIs for companies using FMS to the Best in Class (BIC) Performance, which is an average of the top 5% of respondents for each KPI.  The results were quite encouraging:  Best In Class FMS users had an SLA Compliance Rate of 98.2%  vs 81.1% for the overall average; FSE Utilization Rate of 96% vs 94.5%; and First Time Rix Rate of 96% vs 77.8%.  In addition, FSE Productivity was the same among Best In Class FMS user versus non FMS users at 6 calls per day.

Not everyone who responded to the survey is has moved to using a Variable Workforce.  In fact, about a 25% of the survey participants are not Variable Workforce users.  What were their main concerns about making the transition?  Loss of control over service quality, coupled with concern about the reliability and capability of freelance technicians.  About a third of this group felt that their volume of service calls doesn’t justify switching to a Variable Workforce model. And 10% stated “We’ve always used a traditional workforce and will not change.”

Other than those who just are not willing to change, the reasons given by these companies for not changing were similar to those concerns expressed by many prior to making the jump to Variable Workforce.  As the survey results show, not only have the Variable Workforce adopters found that their business improved, but they also said that they will continue to use this model and increase the use of it as well.  The success of changing their staffing model seems to far outweigh their past concerns.

So are you are using a Variable Workforce? If not, what is holding you back?  Are you using a Variable Workforce but not using FMS to manage it?  This survey shows that the use of a Variable Workforce in conjunction with a FMS platform has provided overwhelming success for those who have made the transition.  Use of the Variable Workforce and FMS is growing and will continue to do so. It is helping companies to move into the changing market place while maintaining high quality standards.  Meeting and exceeding the needs of your customers, being agile and able to expand your geographic reach and service offerings and financial benefits mean that Variable Workforce and Freelance Management Systems are the way to go into the future in the Field Service Industry.

Best Practices In Selling Extended Warranty

Got a question? Click here to schedule a free consultation

Innovation is a Given

This is a reprint of an interview which appeared on Core Systems’ website in their Field Service Management Blog.  Core Systems develops solutions and software for the Field Service Industry.

In this week’s interview we have spoken to Michael R. Blumberg, independent consultant and President of Blumberg Advisory Group, about the latest technologies field service businesses need to implement and what managers can do to create a culture of innovation.

You are consulting a lot of companies on strategic planning and efficiency improvement. What are your customers’ pain points?

I help my customers unlock value within their service supply chain like for example technical support, field services, services parts logistics or depot repair. For example, they may face challenges growing top line revenue or boosting profits. They may be trying to improve various KPIs associated with service quality and productivity. Others are focused on reducing costs, improving operating efficiency, or enhancing customer experience. One specific set of challenges I help clients deal with is validating their need to implement new technology to automated key business processes and functions.

What do you advise those companies to meet those challenges? 

I help them compare their current business processes and performance to best practices and industry standards. As part of this evaluation, I help them understand where there are gaps and how they can close them through process and systems improvements. I then make specific recommendations on what the new processes and systems should look like.

According to you, what are the top technologies that will change how businesses deliver service in the future? 

Every management guru and industry analyst wants to point to disruptive technologies like IoT, wearables, drones, and 3D printing as the top technologies that will change how service will be delivered in the future. No doubt these technologies will have a dramatic impact on the future of service. However, in order for these technologies to have any real and measurable benefit, they need to be incorporated into a company’s overall service business strategy, service delivery processes, and systems infrastructure.

More importantly, it may be a long time in the future until a company is ready and able to make these investments. In the meantime, there is lower hanging fruit they can pick off the trees that will help them achieve measurable gains in service performance, in a shorter period of time. For example, technologies like social collaboration, mobility, cloud computing, crowdsourcing platforms, or knowledge management. Businesses should consider implementing these technologies, if they haven’t done so already.

Do you have particular examples of companies that have innovated their field service? What results do they see? 

Most examples usually center on implementing some form of field service software. Either a basic system with dispatch, depot repair, and inventory management functionality or more advanced systems with capabilities for dynamic scheduling, spare parts optimization, field service mobility, and knowledge management. The results include greater control over people and parts, improved access to real-time business intelligence, better decision making, lower operating costs, improved utilization of parts and labor, and increased productivity of field resources.

Which features should a field service software ideally have? 

Businesses seeking to implement a field service software solution should consider features which automate critical service delivery processes and capture key data related to service transactions. In addition, the software should have the capability to produce performance reports in order to evaluate how well the processes are working. At a minimum, field service software should include feature functionality for work order management, parts usage, customer history, equipment history, time and cost tracking, and reporting & metrics. More advanced features might include mobility, contract management, and dynamic scheduling, routing, and knowledge management.

Do you feel there is a fear on the side of businesses to implement new technologies? Or are they open to innovation? 

I think most field service leaders today recognize that their businesses need to innovate in order to survive and thrive. Without innovation, they risk going out of business. This was not always the perspective of service businesses. Looking back, 15 or 20 years ago, there were more field service leaders who resisted innovation than embraced it. Technology was often perceived to be a threat to their existence. Now most field service leaders see innovation as a given. Sure business executives still have fears about innovation, its human nature. However, the fears are more realistic then in the past. Rather than an irrational fear about being replaced by a machine, the fear is centered around whether or not their companies are ready for innovation, whether the implementation will go smoothly, and whether the results will live up to the promise.

What would you advise managers to do in terms of getting everyone on board with innovating service processes? 

Managers really need to make sure that everyone understands and appreciates where the business is in terms of current levels of productivity and efficiency. They need to communicate this with all stakeholders and help them understand the risks associated with maintaining the status quo versus the rewards associated with pursing innovation. In addition, managers must create a well-defined plan for innovation and communicate the plan with key stakeholders. Most importantly, managers must create an environment which motivates and rewards people for embracing innovation.

Got a question? Click here to schedule a free consultation

Sell More Service By Providing More Value

value-added1

Over the last month I’ve spoken to over two dozen Field Service Executives about challenges they are facing when it comes to generating additional service revenue for their companies.   I observed several common themes.  First, every executive I interviewed indicated that they would like to sell more service contracts.  However, they were experiencing resistance from customers as evidenced by low contract attachment rates.   Second, these executives were concerned about whether or not their prices were too high or if their customers really needed service contracts.  After all, this was the feedback they were receiving from their sales teams and even first hand from the customers that had spoken to directly.

This is an all too familiar problem for me.  I’ve encountered this for the last twenty five years as a management consultant. It is also a challenge that many field service executives face.  Seldom is price the real issue why companies struggle to sell service contracts.  In market research studies that I have completed for clients in a wide array of technology service industries, I have found that price is often low on the list of criteria that end-users consider when selecting and evaluating service providers.  Indeed, criteria such as quality of service, knowledge and skill of service personnel, breadth of service offering, and vendor’s knowledge of their business are perceived by customers to have higher importance than price alone.

The truth is “your price is too high” will always be an objection that customers provide when they cannot justify the purchase of a product or service.  In other words, they have no way of logically defending the value of the service being purchased.  Stated another way; they are not able to differentiate the benefits of service contracts from time and materials service.  The problem is that Field Service Organizations (FSOs) often attempt to sell service contracts without providing reasons why a contract is better than simply paying for service on a time and materials basis.   In order for end-customers to rationalize their purchase of service contracts, FSOs must be able to demonstrate the contrast between service contracts and time and material/pay as you go service.

In order to achieve this outcome, FSOs must be able to articulate the value of service contracts to customers as well as to their own sales people. They need to describe what’s included in a service contract that is not included in time & materials. This requires they do an effective job in defining the service contract and answering the question “What’s in it for me (the customer)?”  If the only difference between a service contract and time & materials is that the customer is able to prepay for service, then there is no value and no contrast.  However, if the service contract provides a preferred level of service (e.g., 4 hour response time, 7 by 24 hour coverage, parts, etc.) or preferred price structure then the customer is presented with some real value and contrast.

Ultimately, FSOs must be able to help customers defend their purchase of service contracts.   They do this by offering more value in a service contract than the customer could possibly receive through time and materials services.  Another way that FSOs can help customers defend their purchase is by letting their customers know why they offer service contracts in the first place, and why they prefer customer purchase them.   Usually, service contracts help FSOs do a better job at anticipating and managing service requests. It helps the FSO forecast and plan resources better.  As a result, service contracts benefit the customer which is something customers will understand and appreciate.

If your company is facing struggles when it comes to selling service contracts then perhaps it is time for a marketing tune-up.  A tune-up will identify where there are challenges in your sales and marketing process and more importantly, explain how to overcome them.  If you are interested in learning more, then contact me to schedule a free strategy session where I’ll describe what’s involved in a marketing tune-up, help you determine if it is something you need, and explain how you can get started. Isn’t it about time you stop leaving money on the table and start winning more business.

Got a question? Click here to schedule a free consultation

Improving First-Time Fix Rates

A Field Service Manager’s Guide

first-time-fix-technician

In my last blog, I discussed the importance and impact of high First-Time Fix rates for the field service industry. (If you have not already read it, catch up here.)  Knowing that a high First-Time Fix rate leads to greater customer satisfaction, higher renewal rates, and lower costs for your company encourages management teams to want to improve this Key Performance Indicator (KPI). And making those changes does not have to be difficult or costly. On the contrary, making this KPI a priority will increase profitability and can make your organization flow more smoothly.

Here are 5 keys to increasing your First-Time Fix Rate:

  • Triage
  • Training
  • Dynamic Scheduling
  • Parts Planning
  • Knowledge Tools

Call Triage:  This is where it all starts.  Your customer calls in with a problem. The team on the front line needs to have the right technology and systems in place so that when a call comes in they can screen the call, understand the issue, and understand what skills and which parts may be needed to resolve the issue. Some calls may be able to be resolved over the phone if you have given the Call Triage Center the technology and systems to evaluate the call properly then no dispatch is necessary, saving time and money for you and your customer. If this is not the case, knowing as much as possible up front will help in the decision making process for the next step – dispatching the correct Field Service Engineer (FSE) with the right skills and equipment to have the highest chance of fixing the problem the first time. Is there a FSE in the physical area? Does that technician have the skills and parts to repair the problem? If not how can the FSE get the needed parts? And how do you achieve this in the time frame you have promised to your customer?  Your call center needs to know who is available and what skill set and equipment they have to make the best decisions for both your customer and your field service organization.  By conducting upfront call triage, you can provide the FSEs with the information they need to know in order to resolve the issue right the first time. Having the right systems and technology will help facilitate this process.

Training:  While it may seem like an obvious thing, you must have highly trained and well qualified FSEs available for dispatch.  Make the investment in both hiring and training your existing team of FSEs.  The more skills they each possess, the greater chance that the one closest to your customer at the time needed will be able to make the First-Time Fix happen.   How do you make this happen? First, have consistent and periodic training. Second, training should take place both in the classroom and in the field. Third have continued skill assessment and evaluation, that is evaluate your technicians and see how well they perform, then go back and do more training in the areas needed. In summary train, let them do, evaluate, and train more.

Dynamic scheduling: This means using advanced technology to identify and assign the best technician who has the skills, is available, can get there in time frame promised to customer and has or can get the required parts. Again, it may seem obvious, but if the FSE does not have the right part to fix the problem then a second trip to the customer is a given.

Parts: Parts management must be a part of any profitable Field Service Strategy.  What are the most commonly needed parts for the most common issues your FSEs encounter? What are the parts that have the highest failure rate? How do you make decisions about what each FSE carries with them for every call? And what is the availability for the parts that are not included in those most common service requests?  All of these decisions impact your organization’s First-Time Fix rate.

The fifth aspect of creating a high First-Time Fix rate is enabling your technicians to be more efficient to troubleshoot while in the field. There are several ways to achieve this:

  1. Give FSEs access to mobility solutions to access knowledge bases while in the field.
  2. Provide access to a Telephone Technical Support center they can call while in the field.
  3. Implement collaboration tools that allows FSEs to use their mobile devices to query and collaborate with other technicians who may have faced the problem and know how to solve it.
  4. Rely on augmented reality technology so that your technician can learn in real time while in the field what they need to do to solve the problem.

Investing in people, technology and processes make a high First-Time Fix rate achievable. By utilizing time and resources to have a well-run Triage Center; Train and re-train technicians; use Dynamic Scheduling to make the process efficient; implement effective parts management; and giving your FSEs the tools to be successful while at your customer, your First-Time Fix Rate will enhance the profitability of your Field Service Organization.

Tell us what has worked for you?

Or if you are looking for answers call for a free consultation.

The New Field Service Workforce

Images Outreach article

There has been a dramatic shift over the past 5 to 10 years in the way work is performed in the U.S. and Europe as more and more workers join the gig economy.  By definition, a gig economy is an environment where temporary positions are common and organizations contract with independent workers for short-term engagements.  In other words, people are increasingly taking on freelance work.

According to the US Bureau of Labor Statistics, 53 million Americans are currently working as freelancers.  By 2020, 50% of the American workforce will be engaged in freelance activity. Furthermore, a study published by the Freelancers Union and Elance O-Desk indicates that freelance work contributes $750 billion annually to the US economy.

The gig economy has played a significant role within the Field Service Industry.  It is driven by the trend of many companies to implement variable workforce (VWF) models. This is a business model in which a field service organization (FSO) relies on a contingent workforce to manage peaks and valleys in labor demand.  Earlier this year, Blumberg Advisory conducted an extensive research study to examine the impact of VWF models on the Field Service Industry. The study, sponsored by Field Nation, revealed  that 8 out of 10 FSOs have implemented VWF models to manage over one-half (53%) of their workforces.

One of the ways that FSOs implement the VWF model is through a Freelancer Management System (FMS).  This is an integrated software platform that includes functionality for Vendor Management System (VMS), Human Capital Management System (HCMS), Service Ticketing System, on-line recruitment tools, and reporting & analytics. Approximately two-thirds of survey respondents use this type of solution to manage their contingent labor pool of field technicians.

The single biggest benefit of using an FMS, as reported by 70% of survey respondents, is scalability.  In other words, the ability to scale the workforce up or down based on service demands.   A majority of respondents also perceive access to a vibrant marketplace of freelance technicians (61%), the flexibility that an FMS has in managing W2 and 1099 employees (56%), and lower cost of overhead (54%) that results from using an FMS, among the top benefits.  Just under half of the respondents (46%) viewed lower direct labor cost as a benefit of using an FMS platform.

In addition to these benefits, FMS platforms have a measurable impact on field service financial and operating performance.  Indeed, companies that use FMS platforms report having observed a 6% or more improvement in field service key performance indicators (KPIs) such as field service productivity (i.e., # of visits per day), labor utilization rates, SLA compliance, recurring revenue, and gross margins.

Obviously, the gig economy has had a positive impact on FSOs who rely on the VWF model and FMS platforms.  However, many opponents of the gig economy believe that freelancing models take advantage of workers and therefore are bad for individuals.  The facts point to the contrary. In 2015, Field Nation, a leading FMS platform provider to the field service industry, conducted a survey among freelance workers to understand their attitudes and perceptions of freelance work.  An overwhelming majority indicated that the freelance lifestyle is both a personnel choice (88%) and their primary source of income (73%).  Almost all the respondents were satisfied with the work they do (97%) and the career choice they had made (95%).

These findings suggest that the nature of work within the Field Service Industry has changed for good. The days of individual commitment to a single employer and vice versa are long gone.  Freelancing is not a passing fad within Field Service .  Furthermore, Freelancer Management System (FMS) platforms make it possible for FSOs to achieve positive, measurable results from implementing a Variable Workforce Model. Clearly, the gig economy is here to stay.

Have a question? Click to schedule a consultation.

To obtain a copy of our new ground breaking report on benchmarks and best practices in field service staffing click here.

What Do Pokémon Go and Service Lifecycle Management Have in Common?

pokemon-go-spec-625x351-300x168

Augmented Reality (AR) became a physical reality earlier this month when Nintendo launched its Pokémon Go application. This is the first example of a consumer based, augmented reality application that can be downloaded free on any Android or iOS device.  According to Vox Examiner, “Pokémon Go is a game that uses your phone’s GPS and clock to detect where and when you are in the game and make Pokémon “appear” around you (on your phone screen) so you can go and catch them. As you move around, different and more types of Pokémon will appear depending on where you are and what time it is. The idea is to encourage you to travel around the real world to catch Pokémon in the game.”

Many analysts believed that consumer applications for AR would not hit the market until 2017.   Nintendo was ahead of schedule.  Pokémon is taking the world by storm and fueling the market for  AR applications, a market that Digi-Capital reports will reach $90 billion by 2020.  Goldman Sachs estimates that 60% of the AR market will be driven by consumer applications, with the remaining 40% of the market attributable to enterprise usage.

In case you have not been paying attending to technology trends, AR provides a live direct or indirect view of a physical, real-world environment and then augments (or supplements) this view with computer-generated sensory input such as sound, video, graphics or GPS data.  The technology functions by enhancing one’s current perception of reality.  AR improves  users’ experience by enabling them to interact and learn from whatever they are observing.

Prior to the launch of Pokémon Go, AR applications where limited to the enterprise market.  I saw an example of a real-world-use case for AR at PTC’s LiveWorx ’16 last month in Boston.  At this conference and exhibition, PTC provided a proof of concept of how AR can be utilized within the context of Service Lifecycle Management.  In conjunction with their customer FlowServe, a leading manufacturer of pump and valves for process industries, PTC demonstrated an integrated solution which provides users with a better experience when it comes to operating, maintaining, and managing centrifugal pumps.  Sensors on the pump identify when an anomaly is detected.  Using AR, a virtual representation of the machine is placed on top of the device to expose the root cause of the problem.  AR is then utilized to identify the exact steps that need to be taken to resolve the problem.

By implementing AR solutions, companies can expect to realize significant improvements in key performance indicators related to Service Lifecycle Management.  For example, AR can help equipment operators anticipate and/or avoid machine failures and thus increase equipment uptime.  AR can also facilitate repair processes, thereby reducing both repair time and downtime while improving first time fix.  In addition, AR can improve the learning curve of novice field technicians, enabling them to become more proficient in diagnosing and resolving problems.  Furthermore, the contextual knowledge that is made available through AR enables equipment owners to make smarter decisions about operating the equipment, which  in turn can help extend the equipment’s life.

These results are only possible if field service technicians embrace AR and actively utilize it.  How likely are technicians to embrace this technology? This of course is the big question on people’s mind.  One scenario is that AR adoption will be very high, so high that technicians will become dependent on it.  The implication is that technicians will lose their domain expertise and be unable to resolve problems without it.  This could pose a challenge if for some reason the AR interface is not working properly and the machine still has a problem that requires resolution.  This outcome can be avoided through ongoing education, training, and skill-assessment drills.

A more likely scenario is that adoption rates will occur gradually.  Although technicians may embrace the use of AR in consumer applications, they may have some resistance to using it in a technical environment.  This is because AR requires technicians to modify their workflow and perceptions of themselves as problem solvers.  Technicians have been conditioned to rely on their own experience, intuition, and “tribal knowledge” to solve problems.  AR changes that basic premise.  Technicians will have to remember to activate AR applications when they are in the field and rely on the information that is presented to them to complete the task at hand. They’ll also need to become proficient at analyzing and acting upon the information they observe.  These activities are not second nature and may take some getting used to for veteran technicians because it represents a different way of working and a challenge to their conventional way of thinking.  Companies that want to leverage the value of AR can overcome these challenges by managing technicians’ performance against key performance indicators (KPIs).  They can observe who on their team is using AR and evaluate the impact on performance. They can in turn incentivize and reward good performance as well as identify who needs more training and coaching on the use of AR.

Got a question? Click to schedule  a consultation.

4 Ways Service And Support Adds Customer Value

————————————————————

This is a guest post by Sam Klaidman. He is a consultant focused on Service Marketing and Customer Experience. You can read his blog and follow him on LinkedIn. If you want to guest post on this blog, email me at michaelb@blumberg-advisor.com and write “Guest Blog Guidelines” in the subject field.

————————————————————–

service and support

Today, customers are looking to receive more value from their partners than ever before. The two primary reasons are:

  1. Customers are “crazy busy” and need relief because they are drowning in problems, opportunities, issues, and challenges. This relief is one form of value added by the supplier (partner).
  2. Partners see many “similar” situations at their customer’s locations and so should have a good idea about what will work to help the customer and can be implemented with little effort or risk, with a high likelihood of success.

Almost sounds like the customer wants the supplier to solve their problems and expect no more that a “thank you.” The first part of the sentence is correct but not the second part; smart customers are perfectly willing to pay for value added services if they understand the benefits they will gain.

Who is best suited to deliver value-added services?

For a number of reasons, service organization are best situated to deliver value-added services to existing customers. Here’s why:

Of the two primary customer-facing organizations, the “sales” department is generally charged with selling products. Their compensation plans are based on closed business; they have marketing breathing down their necks pushing them to turn leads into orders and their nature is to be hunters.

The other group, services, is totally different. Their role is to make the customers successful; they enjoy helping customers, frequently have little or no revenue objectives, are totally familiar with the products and, organizationally, have seen all the customers and how they have attempted to solve their problems

How can Service and Support add value to customers?

  1. Technical people understand their product’s capabilities and limitations. When they are talking with individual customers they should be asking questions like:
    1. What exactly are you trying to do with our product?
    2. What do you wish it could do but have not found a way to do it?
    3. Where in your process is our product helping you? Slowing you down? Making it impossible to do everything you need to do?
    4. Do you know of any other products that help you do your job?

 

As they get a better understanding of the customers jobs-to-be-done, they frequently can teach the customer how to use the capabilities they already paid for and did not know existed.

  1. When we see how our product is integrated into the customer’s job stream, we frequently can identify unnecessary steps. By sharing this with the customer, we add value because we help them do their job quicker and easier.
  2. Many hardware owners are totally concerned with uptime; they bought our product because they needed to use it when they needed to use it. However, the person who sold the service contract, or the one who actually purchased it, may not have discussed the critical uptime requirements and so only discussed the standard plan. When the Service Marketing person works closely with the equipment owner, there are frequently creative ways for the customer to increase uptime (for an additional price) while the service group provides unique services that can be integrated into their workflow.
  3. Finally, if your service and support people identify a value adding opportunity but do not know how to actually accomplish the customer’s needs, they should get the case into the hands of the product manager. He can then research the feasibility of adding the feature, assess the market size and implementation cost, and potentially move ahead in a future upgrade.

 

Your service and support team has a number of separate roles to play. Here they are:

  1. Fix the customer’s problem. This is Job #1. Helping them get full value for money for their purchase is critical; without it there is no business relationship.
  2. Collect information about product performance and put into a useful format for your Engineering or Manufacturing departments to use to improve the products.
  3. Identify opportunities for the business to add additional customer value. The front line service and support professionals should always be thinking about ways that your customers can squeeze additional value from their purchases. When they find opportunities they must not only help their immediate customer implement changes but must also spread the word throughout your company so other customers can take advantage of these new findings.

 

If not already in place, these behaviors must become part of your company’s culture. People must be able do these things as though it were it standard operating procedure so that everyone wins!