More and more manufacturers are engaging in field services operations as they seek to generate happier customers and employees, increase productivity, and lower overall costs.
In fact, one in four companies today perform some type of field work, and the field services market overall is tracking to triple in size to $12 billion by 2032.
Companies that dip their toes into field services work learn very quickly that managing the process is an entirely different animal, one requiring the coordination skills of a maestro and an unwavering commitment to real-time communications to keep everyone involved in a job on the same page. The number of variables and what ifs to consider can be dizzying, and with so many disparate parts in motion, mistakes are inevitable. The key is learning from these errors so as not to repeat them. Fool me once, shame on you. Fool me twice, shame on me. This blog post, the second in our field services management (FSM) series, zooms in on two common and costly mistakes that can be avoided with better planning: jobsite delays and follow-up site visits.
The Crux, or Cost, of the Matter
Research shows that field service delays, which can be triggered by any number of variables – including weather, commuting time, equipment problems, parts availability, or job complexity – can drive costs up between 25-30% due to wasted time, excess fuel, and additional labor. At the same time, 60% of field technicians say they make return trips to jobsites that could have been averted, often due to missing parts or having incomplete information the first time. These second trips have a negative domino effect – they not only drive fuel and labor costs up but also impact productivity by limiting the number of jobs technicians can complete in a given period.
Optimization Strategies
It is impossible, obviously, to predict and plan definitively for these types of circumstances. However, as we have worked with clients across industries on these very issues, there is a general planning approach, or template, that can provide a ballast to help your firm eliminate this costly waste.
There are essentially three core elements in FSM:
- Allocating resources – this involves scheduling, inventory management, equipment maintenance, job/skills matching
- Managing logistics – managing tasks pertaining to travel, work orders, invoice management
- Communicating – overcommunication doesn’t exist in field services. Prioritize real-time interfaces with technicians and clients to ensure updates and progress are always aligned.
Each is equally critical, and all must be working in sync together. But companies often make the mistake of leaning more heavily on one or two, instead of applying a balanced approach and ensuring strength across all three areas. Let’s look at each pillar in more detail.
Resource Allocation
Thorough planning and resource allocation is essential in field services management. Successfully executed assignments begin with an accurate diagnosis of the issue, which includes ensuring that the right technicians receive the right information relevant to the job at hand before physically arriving at the site. This is easier said than done and is an area where advanced diagnostic tools and customer input can help identify issues before they have a chance to rear their costly heads.
Logistics Management
Scheduling and parts management are two specific areas where companies have room to get better, and some are using AI-powered tools to better optimize technician routes to jobsites – based on location, skillsets, and availability. Early feedback has been positive, and many are seeing less idle time and travel delays.
Tracing back to the issue of unnecessary return trips, one of the most common reasons stems from part-related problems. Another way to cut down on this expensive waste is to maintain a detailed, real-time inventory of all parts in the field and to ensure that technicians have mobile access to the inventory – and options for getting the part locally if necessary.
Leveraging Communications and Data
There is no such thing as overcommunicating when it comes to field services operations. As we all know, it comes down to the details. Doing everything you can to help all stakeholders stay coordinated, updated, and informed can go a long way toward cutting into delays and return trips. Companies with an FSM operation need to keep pace with evolving mobile technologies and software so technicians in the field have on-the-spot access to information like job details, technical manuals, and key updates. According to Deloitte, 40% of companies using these types of advanced technologies in field work have seen significant reductions in delays and costs while simultaneously improving service quality. Two-way communication with clients is important as well, to help reduce miscommunication or scheduling issues, and we are seeing some traction in tools that provide remote monitoring capabilities to diagnose or even solve issues without having to make a physical visit.
Data is also playing a valuable role in helping to tamp down these costly, repetitive foot faults. For example, some companies are using data from past service calls to identify recurring issues and patterns that need to be addressed, often involving processes, training materials, or product design. Others are utilizing data and AI for predictive maintenance, which helps prevent surprise repairs, and to keep track of each customer’s history and interactions, which helps inform improvement priorities going forward.
Increasingly, companies are opting for simplicity, which in most cases comes from implementing new, more efficient technologies. Field services management software, a booming market unto itself, helps companies streamline the overall management process by automating routine tasks and creating dashboards to help gauge progress. There is also software aimed at helping field service and home office workers collaborate and communicate more effectively in real time.
Effective daily management
A Daily Management System (DMS) is a powerful tool for driving continuous improvement in field services, particularly in reducing delays and enhancing customer service – from service order to service completion. By implementing daily huddles, visual management boards, and standardized work procedures, a DMS enables real-time issue identification and prompt corrective actions. This system fosters data-driven decision-making by tracking key performance metrics such as response times and first-time fix rates, ensuring resources are effectively allocated to address critical service quality issues. Moreover, the DMS promotes the standardization and dissemination of best practices across the organization, reducing variability in service delivery and consistently improving overall performance.
The impact of a DMS on reducing delays and improving customer service is significant. It encourages proactive delay prevention by focusing on leading indicators of service performance, allowing teams to anticipate and address potential bottlenecks before they affect customers. The system also enhances customer communication through regular updates and feedback collection, keeping clients informed and satisfied. Furthermore, the DMS facilitates continuous skill development among field technicians through daily performance reviews and problem-solving sessions, leading to faster service times and improved first-time fix rates. By creating a culture of accountability and continuous improvement, a DMS empowers field service teams to consistently refine their operations, resulting in superior service delivery and increased customer satisfaction.
Getting the Best Possible ROI
For many, committing to full-scale technology integration, improved training, and optimized communication and planning can sound like a five-year plan. But improvement in field services work needs to be a living, breathing mindset because we know the toll bad service can take on reputation, customer satisfaction, and profitability. Two-thirds (67%) of customers are dissatisfied when technicians need to make return visits, and inefficiencies in field services operations overall can shave up to 15% off revenues.
The only option is to move forward and drive toward better performance. The good news is that we live and work in a time of amazing technological magic that can bring together data and process to create a clear picture of improvements needed to succeed. A mix of advanced tools and good operational excellence practices can make all the difference in the world in optimizing your field service operations, and there is no time to delay.
