The Difference Between Effectiveness and Utilisation

Oct 29, 2021 • Features • Martin Summerhayes • Digital Transformation • Covid-19 • Digital Symposium • GLOBAL

Kris Oldland, Editor-in-Chief, Field Service News is joined on the Field Service News Digital Symposium by Martin Summerhayes, Head of Digital Transformation Services at MDB Service Consulting.

Demand for IFS Cloud Drives Strong Q3 Performance for IFS with Cloud Revenue Up 104% YoY

Oct 27, 2021 • News • Digital Transformation • IFS • Technology • GLOBAL

IFS, the global cloud enterprise applications company, announced its Q3 2021 year-to-date (YTD) financial results, ending September 30, 2021.

Driving strong performance in Q3 was the increase in customer demand for IFS in the Cloud, with cloud revenue up 104% year-on-year (YoY). In line with this, recurring revenue now constitutes 81% of software revenue, representing a 19% increase YoY.

With customers achieving faster time-to-value because of the improved deployment capabilities of IFS Cloud, as well as more partners implementing IFS solutions, the contribution of software revenue now represents 72% of IFS’s total revenue, up 17% YoY.

Industrial asset & service proposition drives momentum with major customer wins

The improvements against every leading KPI demonstrate IFS’s continued growth as well as an impressive revenue mix that is delivering consistency and predictability. Combining this with IFS’s differentiated proposition for companies managing asset and service needs, provides a headwind for strong end of year.

In Q3, IFS also added depth to its offering with the acquisition of Customerville. Customerville is an award-winning feedback platform that elevates feedback and listening across the entire customer journey thanks to its unique design-driven approach. It enables companies to get a better understanding of their customers, address issues and unearth new opportunities so that they can ultimately deliver amazing Moments of Service™.

Testament to IFS’s leadership in Service Management is recognition from Gartner who named IFS a Leader, for the sixth consecutive time, in the Magic Quadrant for Field Service Management. In Q3, IFS also won competitive tenders with its industrial asset and service proposition, adding one of the world’s largest packaging and one of the world’s largest telecoms companies as customers.

Commenting on the results, Darren Roos, CEO of IFS, said: “At heart, IFS is a technology-driven software company and the investments we have – and continue to make – into the IFS Cloud platform and our customer-facing services evidence themselves in these stellar results. The strong growth in software revenue is testament to us attracting new customers, but also in our commitment to our current customers whose ongoing success is of paramount importance to us. I’m proud of the work that our team has done to create market differentiation with our industrial asset and service capabilities, which continues to create positive momentum.”

IFS CFO, Constance Minc, added: “It is hugely impressive for a business of our size to be growing at such a pace, while at the same time building resilience and consistency into our revenue mix. We are continuing to deliver to plan which provides us full confidence in how we will close out the year.”

Summary of the financial highlights from Q3 2021 YTD:

Software revenue was SEK 3.4bln, an increase of 17% Year on Year
Recurring revenue was SEK 2.75bln, an increase of 19% Year on Year and representing 81% of software revenue
Cloud revenue increased 104% Year on Year representing more than 29% of software revenue

* Note: all figures based in Swedish Krona and reported in constant currency.

In line with WorkWave establishing itself as a standalone business at the end of Q2 2021, the performance reported above excludes WorkWave’s contribution to the IFS Group. Performance including WorkWave saw software revenue grow at 24% YTD. The IFS Group is on track to achieve $1bln USD revenue in 2021.

Is Now the Time to Re-evaluate the Key Performance Indicators of Your Company?

Oct 27, 2021 • Features • KPIs • Martin Summerhayes • Digital Transformation • Covid-19 • Digital Symposium • GLOBAL

Kris Oldland, Editor-in-Chief, Field Service News is joined on the Field Service News Digital Symposium by Martin Summerhayes, Head of Digital Transformation Services at MDB Service Consulting.

Martin has over 30 years of experience in the service industry in the UK working for organisations such as HP, the Metropolitan Police and Fujitsu, and he focuses on leading key clients to a successful transition of services into new, agile, ways of working.

During the conversation, the two discuss a wide range of topics related to the acceleration of digital adoption during the pandemic and what this means for the future of service organisations.

In this excerpt from that conversation, Martin and Kris explain why now might be the right time for service organisations to reevaluate the KPIs that indicate success within their field of operations.

Want to know more?

FSN Premium subscribers and FSN Elite members can access the full-length interview plus many, many more in the Field Service New Digital Symposium. If you have an FSN Premium account you can access the video on the button below. If you are currently on our FSN Standard subscription tier you can upgrade your subscription by clicking the link below.

If you are yet to subscribe you can join 30,0000 of your field service management peers by subscribing to FSN Standard for free to gain access to a monthly selection of premium content or select either FSN Premium or FSN Elite for even more resources. Click the button above to visit our subscription page to find out more.

Successful Digital Transformation: Learning From Failures

Oct 25, 2021 • Features • Martin Summerhayes • Digital Transformation • Covid-19 • Digital Symposium • GLOBAL

Kris Oldland, Editor-in-Chief, Field Service News is joined on the Field Service News Digital Symposium by Martin Summerhayes, Head of Digital Transformation Services at MDB Service Consulting.

During the conversation, the two discuss a wide range of topics related to the acceleration of digital adoption during the pandemic and what this means for the future of service organisations.

In this excerpt from that conversation, Martin and Kris discuss how failures in the process of implementing and adopting new technologies are actually a learning point and can help organisations move forward and achieve a successful digital transformation.

Want to know more?

FSN Premium subscribers and FSN Elite members can access the full-length interview plus many, many more in the Field Service New Digital Symposium. If you have an FSN Premium account you can access the video on the button below. If you are currently on our FSN Standard subscription tier you can upgrade your subscription by clicking the link below.

If you are yet to subscribe you can join 30,0000 of your field service management peers by subscribing to FSN Standard for free to gain access to a monthly selection of premium content or select either FSN Premium or FSN Elite for even more resources. Click the button above to visit our subscription page to find out more.

How the Pandemic Has Changed the Approach to Digital Adoption for Companies and Customers

Oct 22, 2021 • Features • Martin Summerhayes • Digital Transformation • Covid-19 • Digital Symposium • GLOBAL

Kris Oldland, Editor-in-Chief, Field Service News is joined on the Field Service News Digital Symposium by Martin Summerhayes, Head of Digital Transformation Services at MDB Service Consulting.

During the conversation, the two discuss a wide range of topics related to the acceleration of digital adoption during the pandemic and what this means for the future of service organisations.

In this excerpt from that conversation, Martin and Kris discuss how much the impact of COVID-19 has accelerated digital adoption even for those companies and customers who were very reluctant to approach remote services before the pandemic.

Want to know more?

FSN Premium subscribers and FSN Elite members can access the full-length interview plus many, many more in the Field Service New Digital Symposium. If you have an FSN Premium account you can access the video on the button below. If you are currently on our FSN Standard subscription tier you can upgrade your subscription by clicking the link below.

If you are yet to subscribe you can join 30,0000 of your field service management peers by subscribing to FSN Standard for free to gain access to a monthly selection of premium content or select either FSN Premium or FSN Elite for even more resources. Click the button above to visit our subscription page to find out more.

Latest Update To IFS Cloud Adds New Functionality And Simplifies Composable Application Deployment

Oct 21, 2021 • News • Artificial intelligence • Augmented Reality • Digital Transformation • IFS • Technology • GLOBAL

IFS, the global cloud enterprise applications company, today announced the latest update to IFS Cloud™, which is now generally available. IFS’s twice annual release cycle allows customers to constantly evolve their solution without the need for big...

The latest evolution of IFS Cloud delivers a long range of innovative, industry-specific new capabilities. For one, IFS is helping businesses collect the data needed to demonstrate their compliance and improve their performance against environmental sustainability standards - IFS Cloud Sustainability Hub is now available and integrated inside Microsoft Teams. Secondly, IFS Cloud for HCM and Talent Management solutions now provide the flexibility of using either basic or out of the box functionality for recruitment, onboarding, and development of your most key resource – your people.

New features include ESG capabilities, Advanced Analytics and innovative user experience

Available now are new APIs that connect factory machinery with IFS Cloud to deliver a connected shopfloor – this provides real-time intelligence that enables companies to better manage their supply-chain and production in line with order demands. New Intelligent Asset Monitoring and Maintenance functionality uses machine learning to improve predicative maintenance capabilities and efficiency.

The new Advanced Analytics feature that is accessible through the user-customizable Lobbies leverages modular tabular analysis models to clearly display business-critical information relevant to the user. End users can visualize their data in real, detailed graphical renderings suitable to the way they access and consume data, reducing the skills needed to make insights available to everyone.

As a market differentiator and ongoing driver for the evolution of IFS Cloud, the platform’s UX has also been updated. New branding capabilities allow the customer to integrate their own look & feel, helping to create a more engaging experience for users. Adding customization and analytical capabilities enables users to join up data, insights, actions and transactions in one place.

Additional capabilities added to IFS Cloud include:

The Update Studio puts customers in control of the update and cadence of functionality, allowing them to analyze the release update and understand what impact it might have on configuration or customization, before making any changes, which is especially critical to customers in regulated industries. The Update Studio is at the heart of enabling our customers to stay evergreen.
The Dispatch Console, which is part of IFS Cloud for Service Management, now features capabilities based on four personas of dispatchers, ranging from those that rely on a mostly automated process to those that will complete a whole process start to finish manually. IFS Cloud now gives each user profile the power to make sure they are delivering their Moment of Service™ for their customers.

IFS Chief Product Officer Christian Pedersen commented, “The updates we have built into the latest release of IFS Cloud are meaningful for our customers, both in how customers engage with the software through the UX improvements, as well as the additional functionality that has been added to help them manage and address the issues they face and the opportunities ahead of them. An example of this is the new IFS Cloud Sustainability Hub – there is no customer who does not want to improve the impact they are having on the environment and communities we all work in. Sustainability is a critical item for not only our planet, but IFS and our customers. We are continuing to see the world over that businesses want and need to transform if they are to prosper. Therefore, having regular, meaningful updates to our platform is key to enabling customers to remain evergreen and empowered to continually drive value from their software.”

IFS is committed to delivering an ever-evolving set of solutions for customers along their transformation life-cycles – future-proofing their operations, limiting risk to their businesses, and allowing them to create increasing value to their own customers.

“We’ve been expanding our digital transformation globally with IFS’s help, and since we initiated IFS Cloud six months ago, it’s proving to be key in how we deliver on our ambitions,” said pioneer IFS customer Cimcorp’s Director of Corporate IT, Pekka Nurmi. “IFS Cloud provides a big step forward in technology and capability for us and our customers and will continue to support our global growth strategy. The biggest value provided by IFS Cloud is the ease of use for the everyday end user – our users are excited and even our management has shown particular interest in the new user interface and functionalities."

To find out more about the latest IFS Cloud release, visit: https://www.ifs.com/ifs-cloud/cloud-21r2/

Managing Service Profitability in the Age of Digital Transformation

Oct 19, 2021 • Features • Joe Kenny • Coen Jeukens • Digital Transformation • servicemax • GLOBAL • service profitability

We know that the service department is probably the single largest contributor to the margin of your organization. But when I would ask you: when do you know you are doing a great job? What is your reference, your yard stick? We know the call for great, greater and greatest. CFO’s want even more margin contribution. CEO’s want to have more revenue and market share.

In this article, Coen Jeukens, VP of Global Customer Transformation at ServiceMax, and Joe Kenny, Vice President, Global Customer Transformation & Customer Success at ServiceMax, will show you some basic building blocks to manage your Service Profitability & Growth agenda.

It is an age-old dilemma for Operations Managers. Your CEO wants XX% revenue growth, your CFO wants XX% cost reduction, your CRO wants better references and higher NPS scores, and you are supposed to deliver all of this with zero additional investment, because – of course – you have been doing this for years with no additional cash, so why would you need it now?

To top all of this off, you had very little idea of where you stood, operationally or financially, at any given time. And this was due to the fast that access to real time data, a current view into work in process, and accurate financial information was all impossible to come by.

Historic Challenges

I often speak at conferences and participate in webinars, and I often relate this anecdote – in March I would lay out my operational plan, based on the most recent P&L statement I had received (January’s), intending to address performance weaknesses I had uncovered. My team would execute the plan and in May I would receive my March P&L to see if the response to January’s performance shortfalls were successful of not. It was madness.

Now, layer onto that, the fact that 30, 60, 90-day invoicing accruals were also Operation’s responsibility, even though we had an AP department. This process greatly impacted both revenue and cost, as the cost of service was consumed, but the associated revenue may not have arrived in 90 days.

Enter the Age of Digital Transformation

Fast forward to today, and service operations managers have been given a lifeline—digital transformation. Digital transformation can be like a light switch, illuminating what is happening in real time, allowing service operations leaders to adapt to circumstances immediately. They can reallocate precious resources instantly, validate payment status and credit status prior to service delivery, and see and understand the impact of operational plans in real time.

Digital asset and service management platforms can provide real time performance measurements, both foundational and top line. This includes data round first time fix rate, mean time to repair, mean time between failures, and equipment up time. With this data, operations managers can organize and drive for peak utilization of labor resources while ensuring that the training and quality of the work is optimal, thereby increasing the efficiency of their organization and lowering the cost to deliver excellent service.

With today’s platforms, functionality and tools, service operations are finally on par with our commercial partners and can see, and act, on upsell, cross sell, renewals, and service contract extensions instantaneously. In addition, we can support sales by identifying and helping them target competitors’ equipment for targeted replacement, becoming the eyes of the commercial team on the customer’s location.

Newfound Financial Control

Utilizing a digital solution allows for real time tracking of labor, parts consumed, travel, and any other costs associated with a service call, regardless of whether it is a T&M call or in support of a warranty/service contract entitlement. This is a key advantage that enables service operations leaders to not only manage labor and parts expenses far more granularly, but they can also evaluate the revenue associated with the service provided to validate if the pricing is correct based on their revenue and margin targets.

This ability to understand the Cost to Serve an asset or entitlement agreement in real time is a huge step forward for service operations. It gives them the data they need to truly align entitlement pricing, cost control, operational efficiency and productivity to accurately manage and forecast their performance and address fundamental issues that are obstacles to achieving their own performance objectives.

The evolution of equipment and asset service management platforms has greatly assisted service operations professionals in attaining the insight, visibility, and control that their commercial and financial counterparts have enjoyed for decades. As asset and equipment maintenance and service becomes a larger and larger part of most organizations’ revenue and margin contributions, it is important that they equip teams with the technology that enables them to better manage and control their operations.

ServiceMax will be exhibiting at the Field Service N Expo on October 27^th and 28^th and can be found on stand B6.

To sign up for the FSN Expo please click here.

Think Ahead About the Future of Remote Service

Oct 18, 2021 • Features • White Paper • Digital Transformation • IFS • Covid-19 • Remote Services • GLOBAL

In this final feature from a recent white paper published by IFS, we discuss the importance of thinking ahead about the role that technology can play in your business in the future.

This feature is just one short excerpt from an white paper recently published by IFS.

www.fieldservicenews.com subscribers can read the full white paper now by hitting the button below.

If you are yet to subscribe you can do so for free by hitting the button and registering for our complimentary subscription tier FSN Standard on a dedicated page that provides you instant access to this white paper PLUS you will also be able to access our monthly selection of premium resources as soo as you are registered.

Data usage note: By accessing this content you consent to the contact details submitted when you registered as a subscriber to fieldservicenews.com to be shared with the listed sponsor of this premium content IFS who may contact you for legitimate business reasons to discuss the content of this white paper, as per the terms and conditions of your subscription agreement which you opted into in line with GDPR regulations and is an ongoing condition of subscription.

With the rapid pace of change that we all acknowledge at play, it is important to be thinking not only about how to make the best use of augmented reality and remote assistance tools today – but to be thinking ahead to create a vision for the role the technology can play for your business’ future state. COVID made the value of remote assistance crystal clear, which I think will only spawn further use of the technology in the months and years to come.

So, what do we expect to see? One major point is the expansion in use of the technology across businesses. While these tools are often deployed for a point-specific purpose, this enables the value of the technology to be recognized within an organization and for use to become more pervasive. “Various ideas have been brought up through our innovation counsel about the future use of remote service,” says Scott. “Two of the most notable solutions were having technical advisors on large scale emergency scenarios remotely connected to provide eyes in the field and providing immediate support to our technicians from peers or trainers who may not be in the local area. The future of technology is growing at such a rapid pace, it’s truly hard to predict what’s to come but I feel we are on the tipping point of even larger acceptance of these innovative technologies.”

For larger-scale acceptance and use to occur, its likely that the technology needs to become more cohesive and seamless. “Over the next few years, I would hope the technology is able to catch up to the vision of self- service and remote resolution,” says Marlene. “Chatbots today are unable to provide the level of understanding to truly make a difference in self-service. I would like to see technology integrate and mature, providing a more robust interactive experience for the customer for remote resolution.” When you look at how a variety of technologies including remote assistance, IoT, AI, ML, knowledge management, and service management intersect, you see the immense opportunity for these tools to become more unified.

Pandemic-initiated travel restrictions have resulted in a recognition of exactly how productive and effective remote interactions can be, and this will drive the use of remote assistance and other technologies to permanently eliminate unnecessary travel. Companies who have used remote assistance as a stand-in and have achieved impressive results are looking for areas where it can become the standard process. We’ve looked at factory acceptance testing with customers, for instance,” says Roel. “So, we involve the customer in the factory acceptance testing without traveling. And that seems to be quite successful.” Whether internal travel of knowledge workers or situations like Roel mentioned with its customer-facing factory acceptance testing, there are certain applications where travel was the standard before that it simply just doesn’t need to be any longer. This isn’t to say that companies will look to replace all, or even most, travel with remote assistance and other tools – but it will certainly have an impact.

The Impact of Remote Assistance on New Talent

I believe in the coming years we will also see remote assistance play a significant role in how companies deal with the talent gap. The talent gap presents a major challenge for businesses across almost every industry and geography, and the value proposition of remote assistance is simply too strong to not be leveraged as a part of the solution – both as a direct training resource and to play a part in knowledge capture and transfer. “When we onboard our newer or greener technicians, we’ve grouped them into three training workstreams. We use baseline testing to assess which workstream they fall into: beginner or associate, intermediate, and master level. For anybody who falls into that first group, part of their onboarding and training is introducing them to remote assistance,” explains Gyner. “So, we give them the opportunity to have this technical resource to help them with diagnosis. Use of the tool drives scalability in terms of building a bigger knowledge base of recorded sessions in the LMS. You’ll see this knowledge grow in the next five years and it’ll also be enabled by IoT because the IoT may tell a technical resource, ‘Here’s the problem to begin with,’ and that technical person can get on the phone then with the customer or technician and say, "Okay, I’m seeing what the piece of equipment is telling me is the problem. Let me help you walk through how to resolve that’.”

Finally, remote service will be a key aspect of any company’s journey to Servitization or delivering outcomes. We’ll see use of the technology expand and mature as organizations work through the role remote service plays in their broader service strategy and value proposition. “We feel that we’re only scratching the surface with what we will use this for now and in the future. But I think one thing is that we certainly won’t go back to doing things how we did before,” says Karl. “We’ve seen situations where we’ve had to do an intervention and we’ve been able to provide very quick response. We’ve looked at this from a training point of view as well. Things are moving much more to a Servitization model so service is hugely important for us. We’ve been primarily a manufacturer, but now we’re looking to provide a solution. Our use of IFS Remote Assistance has been thought provoking, it’s given us a lot of ideas about how we can evolve and change."

This feature is just one short excerpt from an e-book recently published by IFS.

www.fieldservicenews.com subscribers can read the full e-book now by hitting the button below.

If you are yet to subscribe you can do so for free by hitting the button and registering for our complimentary subscription tier FSN Standard on a dedicated page that provides you instant access to this white paper PLUS you will also be able to access our monthly selection of premium resources as soo as you are registered.

Here’s What Your Average KPI Numbers Aren’t Telling You

Oct 15, 2021 • Features • KPIs • Digital Transformation • Aquant • GLOBAL

Relying solely on average service KPIs may be risky for service organizations, since they do not really capture the overall customer experience. In this new article from Aquant, leading Service Intelligence Platform, we discuss why it pays to...

At some point in time, most service organizations will receive a complaint that they likely weren’t aware of. But whether the call was the result of compounded dissatisfaction or related to a specific incident, there are ways to prevent customer escalations before a complaint arises—and it starts with taking a close look at your performance trackers.

Your org may be using a variety of data points, including KPIs like First Time Fix Rate, Cost Per Success and Net Promoter Score, to measure the success of your products, services, and processes. But relying solely on average service KPIs can be risky: they don't fully measure the total customer experience.

KPIs and NPS are not always what they seem, especially if you don’t have a complete look at your service landscape. It is helpful to think beyond basic First Time Fix Rate (FTFR), Cost Per Success (CPS), Mean Time to Resolution (MTTR), and Mean Time Between Fixes (MTBF) rates when looking to get an accurate snapshot of your service performance and costs.

We can’t begin to understand how to proactively improve service performance unless we have an excellent understanding of the landscape as a whole — including everything from specific field tech performance to machine usage and breakdown rates. It all starts with establishing baseline measurements, or snapshots of your service habits and outcomes as they stand.

To form these measurements, you need to take a close look at your organization’s data, sifting through a large pool of numbers to spot hidden patterns—including areas of celebration or concern. This type of assessment can help you set priorities, determine which practices you want to keep or improve, and get you into the practice of keeping tabs on your KPIs.

When you take an in-depth look at your KPIs, you begin to spot other factors that may look like your customer is happy when they actually aren’t. For instance, imagine that one of your all-star techs retires. They have been servicing an important account for years, and KPIs indicate A+ service. A less-seasoned technician inherits the account, but due to a lack of experience, the KPIs have started dwindling and the client calls with a complaint. When you go on to review the 12-month average, you can’t pinpoint exactly where the issue is because the data is now skewed. This is where it becomes important to look at trends across the entire service period—including the time that your new tech took over—so that you can brainstorm solutions to get your account up to speed (additional training, reassignment, etc.)

“If customer focus is not at the forefront of our business on a daily basis, we put ourselves at risk of losing and jeopardizing relationships with them,” said Sidney Lara, Aquant’s resident service expert, in a recent session, 3 Ways to Win Customer Loyalty and Avoid Service Disasters. “It’s all about allowing service leaders to be quicker about identifying issues in the field and quicker about maximizing retention and customer satisfaction.”

Improve Indicators That Aren't Performing Well

Capturing data that matters can be challenging. But there is a way to keep a consistent and detailed watch on your org’s service landscape without doing any manual work or relying on an in-house team of data scientists. To innovate your customers’ experiences, you need a way to predict and prevent service disasters, like with Aquant’s Service Insights. It provides a 360-degree view of your service cycle, turns messy service data into detailed—and actionable—recommendations. There are many benefits to data-driven decision making, which ultimately helps create better customer experiences, and trickles up to improve KPIs, NPS, and profits overall.

Take the Next Steps to Greatness

Do you know where your company’s current practices stand in comparison to its peers?

Find out how your service performance stacks up by taking our quick service assessment. Get actionable tips based on your results to reduce service costs, boost your CX, and become one of the top 20% of service organizations.

ARCHIVE FOR THE ‘digital-transformation’ CATEGORY

The Difference Between Effectiveness and Utilisation

Want to know more?

Further Reading:

Demand for IFS Cloud Drives Strong Q3 Performance for IFS with Cloud Revenue Up 104% YoY

Industrial asset & service proposition drives momentum with major customer wins

Further Reading:

Is Now the Time to Re-evaluate the Key Performance Indicators of Your Company?

Want to know more?

Further Reading:

Successful Digital Transformation: Learning From Failures

Want to know more?

Further Reading:

How the Pandemic Has Changed the Approach to Digital Adoption for Companies and Customers

Want to know more?

Further Reading:

Latest Update To IFS Cloud Adds New Functionality And Simplifies Composable Application Deployment

New features include ESG capabilities, Advanced Analytics and innovative user experience

Further Reading:

Managing Service Profitability in the Age of Digital Transformation

Further Reading:

Think Ahead About the Future of Remote Service

This feature is just one short excerpt from an white paper recently published by IFS.

www.fieldservicenews.com subscribers can read the full white paper now by hitting the button below.

This feature is just one short excerpt from an e-book recently published by IFS.

www.fieldservicenews.com subscribers can read the full e-book now by hitting the button below.

Here’s What Your Average KPI Numbers Aren’t Telling You

Further Reading:

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