ARCHIVE FOR THE ‘research’ CATEGORY

Kris Oldland, Editor-in-Chief, Field Service News and Kieran Notter, Director, Global Customer Transformation, ServiceMax from GE Digital explore the findings of an exclusive independent research conducted by Field Service News and sponsored by ServiceMax from GE Digital.

In this excerpt from the full one-hour long webcast, Oldland and Notter discuss both the challenges and opportunities of an ageing workforce within the field service sector and assess whether there is any substance to fears that we are facing an ageing workforce crisis.

 

Want to know more? The full webcast PLUS an exclusive report based on the findings of this research is available for Field Service News subscribers.

If you are a field service practitioner you may qualify for a complimentary 'industry practitioner' subscription. Click here to apply now!

Be social and share

Field service management software is transforming trade/ speciality contracting as more revenue comes from service contracts and maintenance...

IFS, the global enterprise applications company, has released a primary research study revealing that legacy software solutions used by speciality and trade contractors could prevent them from profitably delivering aftermarket services to their customers.

These contractors are finding aftermarket service an important source of revenue growth as project owners wish to outsource asset maintenance to the companies that constructed, fabricated or installed the asset on their behalf.

The survey of 200 HVAC (heating, ventilation and air conditioning), plumbing, electrical, building automation, low voltage electrical, signage, overhead door and other speciality contractors paints a picture of an industry in the grips of a digital transformation.

85 percent of study respondents said they have maintenance contracts with customer-specific terms, service level agreements (SLAs) and pricing, but only 14 percent said their software facilitated these contracts “very well.”

85 percent of study respondents said they have maintenance contracts with customer-specific terms, service level agreements (SLAs) and pricing, but only 14 percent said their software facilitated these contracts “very well.”Many respondent companies did not enable field technicians to improve the customer experience or drive new revenue. Only 38 percent said technicians could access information on the terms of the contract including customer-specific requirements. Only 15 percent of respondents have the technology to empower field technicians to upsell or sell new service contracts, only 25 percent could issue new estimates and 23 percent could get customer approval for an estimate.

89 percent of respondents said they use subcontractors, but just over 10 percent have adopted the current technology by giving their subcontractors a mobile app to interact with their field service management software.

Respondents reporting greater readiness for digital transformation—Digital Transformation Leaders—are nine times as likely to say their software prepares them well for the essential process of service contract administration. Only 30 percent of Digital Transformation Laggards were even offering customer-specific contracts, while Digital Transformation Leaders were more than nine times as likely to say their software prepared them very well to support these contractual obligations with specific requirements for each customer.

Our data shows that residential contractors seem to be ahead of commercial contractors when it comes to Digital Transformation.IFS Industry Director for Field Service Management Mark Brewer said, “These trade and speciality contractors are at an inflexion point with field service management software. Many of them have invested in some level of field service technology to support aftermarket service work. Often, this same software helps them manage construction crews during the initial project. But now they are at that point where they need to become more attentive to customer-specific SLAs. They need to upsell and drive more sales from each customer and improve the customer experience.”

IFS Senior Product Evangelist for Field Service Management Tom DeVroy added, “The adage is that the future is here—it is just not evenly distributed. This is true for trade contracting, where our data shows that residential contractors seem to be ahead of commercial contractors when it comes to Digital Transformation.

This is mostly the result of customer demands that have pushed them towards software that optimizes the field service schedule, enabling them to give an accurate estimated time of arrival and issue proactive customer alerting. They are further ahead on automated subcontractor management, automated parts ordering and fulfilment, and field-based, point-of-service payment processing. Contractors engaged strictly in commercial work need to catch up as their own customer expectations evolve.”

Download the entire study, Are Trade/Specialty Contractors Leveraging Field Service Software for Aftermarket Service? @ fs-ne.ws/MNNo30inF0F

Be social and share

Across the last five weeks, we've been presenting you with the findings from our most recent research project, which we ran in partnership with ServiceMax from GE Digital. 

Our focus was to see what the field service engineer of the near future will look like and across the first three features of our analysis, our focus was on the changing face of the field service engineer as we see an ageing Baby Boomer workforce reaching retirement age being replaced by a new wave 'millennial'  field service workers.

In the first feature, we looked at the threat of the ageing workforce and the changes in training methodologies that are emerging. In part two we explored if and if and how field service companies are utilising their experienced field service engineers to train the incoming generation and in part three we asked if field service companies were reacting quickly enough to these challenges.

In part four we changed tack slightly and looked at how technology is playing a role in attracting new field service talent and in the final part of this series we look at how field service companies are utilising technology within their training methodologies and bring together some conclusions from the research project as a whole

There is also a detailed white paper outlining the wider findings of this report which is available to fieldservicenews.com subscribers...

Not a subscriber yet? Click here to apply for a complimentary industry practitioner email and get this resource sent to you instantly

(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain English version is available from our main subscriptions page here) 

Technology as a training tool:

In the previous feature, we discovered that technology appears to play an increasingly important role in attracting new field service engineers to an organisation, and our research revealed that it also plays an important role in their development and training as well.

Indeed, just under three-quarters of companies in our response group stated that they use smartphone or tablet apps as part of their training, over two thirds (69%) utilise knowledge bases and over half utilise video conferencing.

The use of video conferencing is of particular interest as 57% of companies also stated that they have programs in place for older technicians to support newer recruits and video conferencing is a highly convenient means of facilitating this.

The use of video conferencing is of particular interest as 57% of companies also stated that they have programs in place for older technicians to support newer recruits and video conferencing is a highly convenient means of facilitating this.However, it is interesting to note that only 9% of companies are currently using Augmented Reality (AR) tools as part of their training programs.

This raises the question of why companies are yet to make what on the surface seems to be a natural transition from video to AR. Given that the processes for offering remote support via video conferencing are essentially the same as for AR it would seem that many field service companies are already well positioned to take advantage of these tools.

Competition amongst AR providers is increasing which will likely drive down prices, whilst case studies and use cases are becoming more apparent - meaning the increased efficiency that AR offers over video conferencing will become more widely acknowledged.

Therefore, it would seem a likely assertion that we may soon see wider adoption of AR amongst field service organisations.

What is abundantly clear, however, is that technology is playing a crucial role in the training and development of field service engineers. In fact, only 7% of field service companies stated that they didn’t use any of the various technologies we listed in the survey as training tools.

The reason for such widespread use of technology in field service organisations training programs was also made apparent within the research. 87% of companies stated that technology was at least partially responsible for reducing the length of time necessary it takes to train a new field service engineer.

Just 10% of companies commented that for them the delivery platform of their training wasn’t an important factor.Of that 87%, well over a third of companies (37%) went on to state that incorporating the latest technology into field service engineer training can reduce the amount of time taken to onboard new field service engineers significantly, whilst just 10% of companies commented that for them the delivery platform of their training wasn’t an important factor.

Of course, with technology being ever more integrated with field service delivery it perhaps makes sense to be embracing technology throughout the onboarding process and beyond.

The good news here for field service companies recruiting new millennial talent is that in general, our respondents experienced that they found that Millennials are able to familiarise themselves with mobility tools etc far quicker than the existing Baby Boomer workforce.

In fact, over half 53% of our respondents commented that they believed this to be the case whilst just 4% disagreed and stated that their older field service engineers see the benefits of technology and adapt just as well as the younger engineers now entering the workplace.

One final point on the insights gained from this section of the research is that whilst the use of new technologies such as AR may be an important element in attracting talent and also in reducing training times, it is also can play a role in keeping that talent and reducing attrition rates.

In fact, over three-quarters of the respondents (80%) stated that for them harnessing the latest technology is a factor in keeping attrition rates low.

The Key Stats:

• 67% of field service companies believe that the technology they employ can have a positive effect on attracting talent
• 69% of field service companies use digital knowledge bases as part of their Field Service Engineer development
• 57% of field service companies use their more experienced Field Service Engineers to support younger members of the team
• 87% of field service companies stated that their technology was at least partially responsible for reducing the time it takes to train a new Field Service Engineer
• 53% of respondents felt that the incoming generation of workers would be abe to adapt to mobile tools quicker than their existing Field Service Engineers
• 80% of field service companies believe that the use of emerging technologies such as Augmented Reality will help them reduce attrition rates

The Conclusions:

Firstly, it is absolutely clear that the threat of an ageing workforce is real – yes it may not be of a critical pressing nature just yet for many organisations but the research would certainly indicate that for those companies who fail to address it, it could become so in the not too distant future.

Secondly, the difference between the incoming generation of millennial workers and the exiting baby boomers should not be underestimated.

Fortunately, it seems that the industry at large is aware of the challenge which is a good starting point - although the fact that 84% of companies who have identified the issue have yet to take any action on it is a worrying one.

The answer to both challenges is actually a fairly obvious one.

By using more experienced engineers edging closer to retirement to support those new engineers working in the field it is possible to stop tribal knowledge walking out of the door, whilst also providing training via a platform that is both attractive and familiar to a millennial.

Again, whilst this seems to be a reasonably well-accepted wisdom, those who are practising what they preach remain in the minority with just 17% actually having such a solution in place.

This really needs to change.

Our research has also revealed just how high the expectations are for field service engineers. Technical skills are viewed as-as important as ever, yet modern field service engineers are also expected to have great people skills and be expert problem solvers.Our research has also revealed just how high the expectations are for field service engineers. Technical skills are viewed as-as important as ever, yet modern field service engineers are also expected to have great people skills and be expert problem solvers.

Perhaps counter-intuitively, the rise of knowledge banks has meant that when an engineer is sent out on a call he is not only expected to achieve a first-time fix but often he is trying to establish a fix that wasn’t easily resolved through an initial triage at the contact centre stage. With this in mind surely we should be doing everything possible to empower those in the field – and giving them access to the knowledge and experience of our seasoned engineers should be a fundamental part of that.

Technology has already become an integral part of both field service management and field service delivery.

Our research also confirms that it plays a highly important role in both the recruitment, training and development of Field Service Engineers.

It also absolutely offers the solution to two of the biggest challenges our sector currently face and we should absolutely be embracing tools like AR to overcome these challenges. The transition from a Boomer to the Millennial workforce is bringing with it an evolution of the field service engineer.

Such a significant shift will, of course, have problems and the technology available can certainly smooth out some of the bumps in the road Such a significant shift will, of course, have problems and the technology available can certainly smooth out some of the bumps in the road - as to will establishing new or redesigned processes.

Ensuring your organisation comes out of this transition phase (which all companies will have to go through at some point in the next few years) without major impact to your business will require an investment of time, resources and money in your field service engineers.

With this in mind, it is perhaps even more important than ever before, that field service organisations are able to retain those engineers they have invested so heavily in. It is, therefore, no surprise that the majority of field service companies understand the importance of clearly defined career progression paths.

In summary, across the various key factors of this research, we have identified that in the main the challenges and solutions field service companies are facing are understood by the majority. However, it is those companies who act on these challenges today that will be best positioned to take advantage of the sector-wide disruption we are set to face, whilst those who too long may well find themselves in a precarious position sooner than they think.

The question is which of these will your company be?

Want to know more? There is also a detailed white paper outlining the wider findings of this report which is available to fieldservicenews.com subscribers...

Not a subscriber yet? Click here to apply for a complimentary industry practitioner email and get this resource sent to you instantly

(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain English version is available from our main subscriptions page here) 

 

Be social and share 

For our latest research project, which we ran in partnership with ServiceMax from GE Digital our focus was to see what the field service engineer of the near future will look like. In the first three features of our analysis, our focus was on the changing face of the field service engineer as we see an ageing Baby Boomer workforce reaching retirement age being replaced by a new wave 'millennial'  field service workers

In the first feature, we looked at the threat of the ageing workforce and the changes in training methodologies that are emerging. In part two we explored if and if and how field service companies are utilising their experienced field service engineers to train the incoming generation and in part three we asked if field service companies were reacting quickly enough to these challenges.

Now as we change tack, we explore the role technology has to play in attracting and developing new field service engineers

There is also a detailed white paper outlining the wider findings of this report which is available to fieldservicenews.com subscribers...

Not a subscriber yet? Click here to apply for a complimentary industry practitioner email and get this resource sent to you instantly

(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain English version is available from our main subscriptions page here) 

The field service sector is changing rapidly.

Not only are technologies constantly emerging that continue to enable field service organisations to push the boundaries of service excellence, but as we saw in our last article in this research series, the shift from an ageing workforce of Baby Boomers reaching retirement age and the Millennial generation coming in to replace them heralds an unprecedented change in culture within field service companies across each sector and in every corner of the globe.

However, one thing is certain this change is happening, it is happening on a large scale and the pace of the change is increasing day by day, week by week and year by year.

Almost half (48%) of the companies we surveyed admitted that the threat an ageing workforce poses to their business is either significant or severe. Those companies who are slow to react may find themselves with a potential crisis on their hands in the not too distant future - in fact almost half (48%) of the companies we surveyed admitted that the threat an ageing workforce poses to their business is either significant or severe.

In a previous part of this research analysis, we reported that not only did most companies acknowledge the potential threat to their service operations but also that they had identified that they would need to change their recruitment and training policies to make them a more attractive proposition to Millennials.

Yet at the same time, the majority of companies had so far failed to make any real changes in how they approached these dual challenges.

Now in this second half of our analysis, we explore the potential benefits of harnessing technology as a tool to attract, retain and develop talent from the Google Native generation.

Does technology attract talent?

One of the key findings of the research that we revealed in our first article in this series was that the role of the field service engineer is evolving into one which has multiple skill requirements.

Taking this into account, attracting the best talent to an organisation is of course highly important process for any field service company – but what role does technology play in making a service organisation an attractive option for the brightest and best recruits?

We asked our respondents if they felt that those companies who are harnessing technology such as mobility tools and Field Service Management systems to empower their field service engineers are likely to be more attractive to potential new recruits.

Here we saw a real even split of opinions. We gave our respondents three options to this question which were:

• Yes – we find that our adoption of FSM technology is a key factor in recruiting future FSEs
• Yes – but currently our adoption of FSM technology is limited and this could have a negative impact on our recruitment drives.
• No – we find that there are other more important factors such as salary levels and holidays etc.

In fact, the responses were almost perfectly split across the three options.

34% of respondents stated that they felt that adoption of technology was likely to make them more attractive but they felt they current solutions were limited, whilst 33% answered with both of the other options.

The consensus then is that technology does certainly have a role to play in attracting new talent to a field service organisation, even if a sizable section of companies feel their own levels of technology are not currently sufficient to fully take advantage of this fact.

Want to know more? There is also a detailed white paper outlining the wider findings of this report which is available to fieldservicenews.com subscribers...

Not a subscriber yet? Click here to apply for a complimentary industry practitioner email and get this resource sent to you instantly

(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain English version is available from our main subscriptions page here) 

 

Be social and share 

For our latest research project, which we ran in partnership with ServiceMax from GE Digital our focus was to see what the field service engineer of the near future will look like. We are now into feature three of our online coverage of the findings of this research where we look at some of the conclusions drawn from the first part of our analysis and highlight some of the key statistics the research revealed.

To recap in the first part of this series we looked at the research aims, the threat of the ageing workforce and the changes in training methodologies that are emerging. In part two we explored if and if and how field service companies are utilising their experienced field service engineers to train the incoming generation.

Now let's dive in to part three...

 

There is also a detailed white paper outlining the wider findings of this report which is available to fieldservicenews.com subscribers...

Not a subscriber yet? Click here to apply for a complimentary industry practitioner email and get this resource sent to you instantly

(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain english version is available from our main subscriptions page here) 

Companies are aware of the challenges but are they reacting quick enough?

It is clear from our findings that the role of the FSE is undoubtedly changing.

Field service companies are today seeking much more rounded individuals, who are as proficient as dealing with face to face interactions with the customer as they are dealing with technical maintenance issues.

It is also clear that whilst it may have been exaggerated in some quarters the challenges of replacing an ageing workforce is very much a real threat to a large number of field service organisations. However, the fact remains that these challenges may also essentially be set resolve each other.

There have been numerous explorations and studies into the traits of the Millennial generation and one of the key observations that is often raised is that Millennials are on the whole a more confident generation than those that preceded them, who also value variety within their working lives - perfectly suited to a role that balances both technical and customer service elements perhaps?

Connected Assets, Machine Learning, AR and of course a solid FSM system can all empower field service engineers to be the brand ambassadors field service companies today are seeking.What is clear though is that the link between the two will be provided by technology. As discussed above, technologies such as Augmented Reality can go a huge way to bridging the gap between the experienced engineers that are in the latter part of their careers and those who are just entering the workforce. It is, therefore, a bit of a surprise that so few companies are actively embracing such tools as yet.

Perhaps, here is the real issue and the underlying challenge.

Technology really does provide an answer to most of all of the challenges discussed in this series so far. Connected Assets, Machine Learning, AR and of course a solid FSM system can all empower field service engineers to be the brand ambassadors field service companies today are seeking.

They also provide a platform for easing the transition from ‘a ‘Boomer workforce to a Millennial one by creating far more economically efficient means of extending the older FSEs productive career span, bringing them out of the field and allowing them to offer guidance remotely.

However, it seems that for many perhaps there is a lack of urgency.

There is a sense that for many companies it is a case of ‘yes - we see the challenge and we’re aware of it but aren’t actioning it just yet...’ One suspects that perhaps because the issue of an ageing workforce isn’t quite critical enough as yet and the fact that solutions do exist and are in-fact becoming fairly well established already, the danger doesn’t seem as particularly real as it should for many.

However, whilst the systems and technologies are certainly available to overcome these challenges, implementation and realignment of processes will take time and unless companies act soon, the ageing workforce crisis and rapid evolution of the FSE in a millennial guise may just catch them unawares and then the risk may just still live up to the hyperbole after all.

Some of the key statistics from the findings:

• 48% of field service companies believe the threat an ageing workforce poses to their field service operations is either significant or severe
• 18% of field service companies believe their exposure to an ageing workforce will be limited
• Only 10% of field service companies have redeveloped their training methodologies to be more attuned to Millennials entering the workplace
• 78% of field service companies are in the process of or are planning to overhaul their training processes
• 20% of companies actively use their senior engineers in a remote expert capacity to guide younger Field Service Engineers in the field
• 98% of companies are prioritising softer, inter-personal skills as key attributes more now than they have done in the past when hiring new field service engineers[/unordered_list]

Want to know more? There is also a detailed white paper outlining the wider findings of this report which is available to fieldservicenews.com subscribers...

Not a subscriber yet? Click here to apply for a complimentary industry practitioner email and get this resource sent to you instantly

(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain English version is available from our main subscriptions page here) 

 

Be social and share 

Our latest research project, run in partnership with ServiceMax from GE Digital has take a deep dive into how the role of the field service engineer is evolving. Across the next few months we will be publishing a series of articles both in print and online exploring the findings of this research.

In the first part of this series we looked at the research aims, the threat of the ageing workforce and the changes in training methodologies that are emerging.

Now in part two we explore if and if and how field service companies are utilising their experienced field service engineers to train the incoming generation.

There is also a detailed white paper outlining the wider findings of this report which is available to fieldservicenews.com subscribers...

Not a subscriber yet? Click here to apply for a complimentary industry practitioner email and get this resource sent to you instantly

(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain english version is available from our main subscriptions page here) 

Utilising experienced FSEs to train the next generation:

Of course, an optimal solution that keeps older FSEs in the work place longer and ensures their knowledge is transferred to those FSEs entering the workforce, is to implement training programs whereby the more experienced techs are directly involved in the training process.

Traditionally, the potential for such undertakings was limited somewhat by the very nature of a field service role. Some senior technicians could take on trainer roles perhaps, providing classroom style learning, but such positions are by default limited. Also, much of a young FSEs true training begins once they’ve left the classroom and are actively in the field. Again, some companies run highly successful programs, pairing up newer engineers with more experienced counterparts to deliver on-job training - doing so can be costly and an inefficient use of FSE resources - doubling up engineers on each job.

Over half (54%) of respondents stated that such an undertaking was certainly something that they are exploring but that they currently don’t have the technology/processes in place.However, emerging technologies - in particular Augmented Reality have shown huge potential to widen the possibilities of using older FSEs in a training and support role. This has dual benefit of both extending the FSEs potential career within the field service organisation whilst putting valuable insight, knowledge and experience in to the hands of less experienced engineers as and when they need it.

But are field service companies harnessing both the power of technology and the experience of their older engineers in such a manner?

We asked our respondents: “A number of companies are now using remote assistance technologies (e.g. Augmented Reality) to keep their older and experienced FSEs in the work place for longer, both as a means of training new recruits and also as a way of ensuring that the knowledge and experience of older engineers is not just walking out of the door. Does this apply to your organisation?’

The responses again somewhat reflect the findings of the previous question around training methodologies, in that whilst the majority of companies agree with the notion of using their older, more experienced FSEs as part of training and support programs and that technology was key to that process, most were still (at best) just beginning down that path.

In fact, over half (54%) of respondents stated that such an undertaking was certainly something that they are exploring but that they currently don’t have the technology/processes in place.

However, perhaps surprisingly just under a quarter of companies (24%) stated that they did not envisage implementing any such plans. This is a surprisingly large number given those companies who do not involve their older engineers in the training process risk seeing years of amassed ‘tribal knowledge’ simply walking out of the door in the not too distant future.

Looking forward it may well be that it is these companies, i.e those who have gotten the head-start over their competitors in such programs, will reap the benefits of doing so and it may well be at the expense of those who don’t.

However, with currently just 20% of companies actively using senior engineers in a remote expert capacity - it seems there could still be room at the top table, for a while at least.

Soft skills taking precedence?

Another major driving factor which is often seen to be impacting how we view the core skills of the field service engineer is the widely reported increase in customer expectations and demands - largely driven by disruptive companies such as Uber and Amazon raising the bar in terms of visibility and immediacy.

Today’s customers are empowered by technology, and easier access to information than ever before makes them more insightful and more expectant. They also have a louder voice than ever before thanks to social media, whilst the ongoing digitisation of all industries makes finding competing service providers a quick and easy process for dissatisfied customers.

And of course the majority (if not all) of this can now be done without the need to actually meet another human being in person. But what does this mean for the FSE?

Well given that in many instances the FSE may be the only face-to-face touch point your customers have with your customers, the old image of a FSE being a recluse, lurking in dark corners, happier tucked away fixing machines than speaking to those pesky customers who just get in the way - has thankfully made way for a new breed of confident, customer-friendly FSEs.

An incredible 98% of respondents stated that people skills were now a higher priority for them than they had been beforeToday’s FSE is armed with all the knowledge they need to hand courtesy of a modern FSM system. They’re confident speaking with customers at all levels of seniority and are true brand ambassadors and are as comfortable selling as they are fixing.

But, is this actually a true reflection of how field service companies are beginning to view their FSEs? Have soft skills become more important than technical skills? There is an argument that it is simpler to train technical skills and that good inter-personal skills are that much harder to teach - but does this hold any truth and are field service companies moving towards placing greater emphasis on soft-skills in their recruitment today? We asked our respondents ‘Is the need for softer, interpersonal skills – becoming a higher priority than before when recruiting new FSEs?

From the results it would appear that this is indeed a major trend amongst field service organisations. An incredible 98% of respondents stated that people skills were now a higher priority for them than they had been before with 46% of companies going as far as stating that people skills are at the top of their list when recruiting new FSEs.

Want to know more? There is also a detailed white paper outlining the wider findings of this report which is available to fieldservicenews.com subscribers...

Not a subscriber yet? Click here to apply for a complimentary industry practitioner email and get this resource sent to you instantly

(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain english version is available from our main subscriptions page here) 

Be social and share 

New research reveals that 86% of companies now expect on-site post-sales services from industrial suppliers. UPS customer examples show how a new supply chain setup can improve technicians’ efficiency by up to 30 min per service and strongly improve the cash conversion cycle. Jean-François Mathieu, Marketing Manager, UPS Europe explains more...

The UPS Industrial Buying Dynamics Study is one of the few detailed studies available on the relationship between industrial buyers and suppliers.

It is a study that provides a unique understanding of how industrial buyers identify suppliers such as industrial distributors, manufacturers and e-marketplaces, their satisfaction with existing suppliers and their propensity to change suppliers in search of improved value and service.

Interviews were carried out with purchasing professionals and the study provides a detailed view across countries and sectors and one of the key learnings of this year’s study is that industrial buyer expectations of post-sales support are increasing across Europe.

In 2015, 78% of survey respondents said they expected on-site post-sales services from industrial suppliers; in 2017 that has risen to 86%In 2015, 78% of survey respondents said they expected on-site post-sales services from industrial suppliers; in 2017 that has risen to 86%, driven particularly by significant rises in expectations amongst UK and German respondents.

In fact, European expectations of post-sales support are now running well ahead of expectations in the US where 76% expect on-site support, although in China a remarkable 99% of industrial buyers expect on-site support.

In a world where sources of industrial supply have proliferated, the service offer from suppliers has become one of the most critical differentiators between competitors. Indeed, the UPS 2017 Industrial Buying Dynamics Study shows that while an effective returns process is the most important post-sales service, buyers now also expect a much wider range of services, with on-site maintenance and repairs cited as being important to them by over 70% of respondents.

This necessity of on-site maintenance and returns brings about logistics challenges for suppliers that may go beyond their traditional operational skill-set.

The survey shows that 60% of buyers typically need delivery for all orders within 48 hours or less, with little if any differences in figures cited appearing between respondents from disparate sectors.

The survey shows that 60% of buyers typically need delivery for all orders within 48 hours or less, with little if any differences in figures cited appearing between respondents from disparate sectors Over half of buyers need on-site service at least every three months, and nearly a fifth of buyers say they need on-site service at least every month. However, only a quarter of buyers say they actually receive on-site service within 24 hours, although that figure does rise significantly to 80% when we focus on a response time of 48 hours.

One company who have recently had to acknowledge this problem and find a means to overcome the challenge was Sealed Air, a leading producer of materials and manufacturing equipment for food safety, facility hygiene and packaging was recently facing challenges managing on-site service in Europe for their TASKI® floor cleaning machines.

They were managing their own supply chain through a network of 19 warehouses, supporting over 500 field service engineers providing aftersales services.

However, they had found that their service response time was continually beginning to slip below their buyer’s expectations – an issue that the senior management team at Sealed Air had quite rightly identified as one that was set to be costly both in terms of top line revenue, brand reputation and bottom line profit.

The solution that they put in place was to work with UPS in combining UPS Express shipping services with the UPS Access Point™ network to deliver parts to their field service engineers. With wait times for parts delivery massively reduced by utilising this approach, Sealed Air found that they were able to significantly improve their response times – which in turn improved their ability to meet customer expectations whilst simultaneously reducing costs by driving efficiency.

The UPS Access Point is a dropbox/locker network that features over 15,000 locations across Europe where buyers can collect or drop off parcels.

Meanwhile, UPS was able to consolidate the company’s network of warehouses into a single, centralised distribution centre. The new service infrastructure allows field technicians to order a part up until 1pm, and have it in hand early the next morning.

Field Service Engineers across Europe are typically able to find a UPS Access Point location within a few kilometres of their home or buyer, meaning that the time spent by engineers collecting spare parts has been reduced by approximately 30 minutes per service order. If each engineer was to process just one order per day then that would be an instant time saving of 250 work hours a day.

That equates to the same as adding in over 30 more engineers to the workforce!

Simply working smarter has allowed Sealed Air engineers to complete more service trips on a weekly basis, reduce the number of warehouses and inventory levels and to bring their post sales offering back on track – something which is vital for any organisation that wishes to remain competitive in this ever increasingly service-centric world.

Be social and share

Our latest research project, run in partnership with ServiceMax from GE Digital has take a deep dive into how the role of the field service engineer is evolving. Across the next few months we will be publishing a series of articles both in print and online exploring the findings of this research.

There is also a detailed white paper outlining the wider findings of this report which is available to fieldservicenews.com subscribers...

Not a subscriber yet? Click here to apply for a complimentary industry practitioner email and get this resource sent to you instantly

(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain english version is available from our main subscriptions page here) 

Here in the first article of this series we look at the question of the ageing workforce and the entry of millennials into the field service workforce...

Much has been written about an ageing workforce crisis but how much of the worry is based on hyperbole? And what of the Millennial generation entering the workforce - is our industry ready to embrace them?

Our industry is rapidly evolving. Technology is continuously pushing the boundaries of field service efficiency whilst simultaneously customer expectations are becoming ever more demanding.

Companies like Uber and Amazon have disrupted the very concepts of what good service looks like, shifting the goal posts and creating a race across almost every industry vertical for companies to embrace service excellence.Companies like Uber and Amazon have disrupted the very concepts of what good service looks like, shifting the goal posts and creating a race across almost every industry vertical for companies to embrace service excellence.

At the same time digital transformation is the other major trend sweeping across our sector – one direct side effect of which is that increasingly the Field Service Engineer (FSE) is often the only face to face human interaction between a company and their customers.

So what does this mean for the FSE of tomorrow?

How is their role evolving? What are the skills that will be vital to their role and how do these differ from those that we have previously sought in our FSEs?

To try to find the answers to these questions Field Service News has undertaken a new research project in partnership with ServiceMax by GE Digital.

Across the last few months we’ve reached out to our readers across the globe to gain their insight in order to build a picture of what the FSE of 2022 (incredibly only five years away!) will look like and what role does the growing  importance of technology in field service delivery play in shaping the way we approach acquiring, training, and developing talent within the field service sector?

Across the next few months we will be publishing a series of articles based on the findings of this research and in this first article in the series we ask is the ageing workforce crisis actually really happening or is it all hyperbole? And what about the Millennial workforce entering the field service sector - are we ready to embrace and empower them?

About the research:

The research has been conduct via an online survey across the last two months and our respondents have come from all over the globe including; the UK, Germany, Netherlands, France, USA, Canada, Brazil and beyond.

There was also an equally wide split of industries represented with respondents coming from numerous sectors including; Oil and Gas, Manufacturing, Utilities, Telcos, Print/Copy, Med Tech and many others.

Finally, there was also a balanced representation of companies of all sizes with some companies having less than 10 field service engineers right through to companies with more than 800 engineers.

In total there were 126 respondents which is a large enough sample to provide a reasonable snap-shot of the thinking and the trends amongst field service management professionals.

So what were the findings? Let’s take a look.

The threat of an ageing workforce:

One of the biggest drivers for the rapid evolution of the role of the field service engineer is the fact that the core demographic of those working in field service roles is going through seismic change as we see an ageing Baby Boomer workforce reach retirement age being replaced by a new generation of workers, the Millennials.

Perhaps never before has there been such a significant difference between the generation leaving the workforce and those that are just beginning their working lives. From the way knowledge is gained and shared through to the key motivational drivers, ‘Boomers and Millennials are often chalk and cheese. One of the key challenges for field service companies of all shapes and sizes is how they adjust to this shift in thinking within their workforce and for many time is not on their side as they endeavour to make this adjustment.

There has been much talk of an ageing workforce crisis as the existing Boomer workforce reaches retirement age - perhaps magnified amongst field service organisations by the simple fact that field work can often be relatively physically demanding compared to more sedentary office based roles.

With this in mind our opening question in the survey was focussed on assessing just how real this ageing workforce crisis is amongst field service organisations. We asked our respondents ‘For your organisation how big a threat to your field service delivery do you think this issue will be across the next 5 years?’

The responses revealed that whilst perhaps there may be some hyperbole around the urgency of the issue - it still remains very much a concern for a huge percentage of companies.The responses revealed that whilst perhaps there may be some hyperbole around the urgency of the issue - it still remains very much a concern for a huge percentage of companies.

Whilst only 8% of organisations stated that for them an ageing workforce represented a severe threat i.e. that it is a major issue they are facing that could put their field service operations at risk, 40% of companies taking part in the research stated that the threat was significant for them and that unless addressed quickly they are likely to face major disruption to their field service delivery within the next five years.

In addition to this a further 34% of the respondents stated that they believed the challenge of an ageing FSE population was moderate that they acknowledged it as possible issue that they need to be aware of, although they didn’t anticipate it having a major impact on field service operations.

At the other end of the spectrum just under a fifth of respondents (18%) stated that the impact for them would be limited and that whilst there may be some workforce attrition due to FSEs reaching retirement age, it is unlikely to have any significant impact on their field service operations.

So, it would indeed appear that in the main the issue of an ageing workforce is at the very least a consideration for more than four out of five field service companies.

Changes in training methodologies:

This puts many field service organisations in a challenging position.

The need to recruit younger talent for FSE roles is clearly pressing, but given the aforementioned differences between ‘Boomers and Millennials are the existing on-boarding and training methods suited to this incoming generation?

Our next question was therefore focussed on understanding if field service companies did in fact feel the need to change their training methodologies and whether they were actively doing so. We asked our respondents; ‘Have you adapted your training and development strategies to reflect this?’

Only 10% of companies had stated that they had already redeveloped their training strategies to be more geared to the incoming Millennial workforce. Here the research revealed that whilst there was a clear understanding that changes to the traditional means of training FSEs does indeed need updating, it seems that there is something of a general inertia amongst field service companies to currently tackle such change.

In fact, only 10% of companies had stated that they had already redeveloped their training strategies to be more geared to the incoming Millennial workforce. However, just over half (52%) of companies taking part in the research are currently in the process addressing the issue in their organisation.

Further to this just over a quarter (26%) stated that they had yet to start making changes to their FSE training to reflect the shift from ‘Boomers to Millennials but accept that they need to do so and is something they are currently considering.

Meanwhile, 12% of companies do not believe they need to make any changes to their FSE training at all.

Want to know more? There is also a detailed white paper outlining the wider findings of this report which is available to fieldservicenews.com subscribers...

Not a subscriber yet? Click here to apply for a complimentary industry practitioner email and get this resource sent to you instantly

(Please note that by applying for your subscription via this link you accept the terms and conditions here and a plain english version is available from our main subscriptions page here) 

Be social and share 

A new study from Vanson Bourne, sponsored by ServiceMax, from GE Digital, the leading provider of field service management solutions, has found that 75% of IT decision makers believe that machines will receive better, preventative healthcare than human beings by 2020.

Leaders surveyed believe advancements in machines having the ability to predict failure, take preventative measures or self-healing actions are widely viewed as beneficial to a company’s bottom line.

For example:

• 46% of respondents say machines requesting help themselves will help their company better manage their equipment assets.
• 39% of respondents say predictive maintenance would help better manage asset equipment.
• 44% of respondents say digital twin with predictive maintenance and artificial intelligence would help prevent major failures.
• 69% of IT leaders surveyed say they would like their own personal digital twin to help themselves and medical professionals regulate their health in non-invasive ways by taking early action and preventative measures.[/unordered_list]

The new study, “After The Fall: Cost, Causes and Consequences of Unplanned Downtime,”  surveyed 450 field service and IT decision makers in the UK, US, France and Germany across the manufacturing, medical, oil and gas, energy and utilities, telecoms, distribution, logistics and transport sectors, among others.

According to Gartner, by 2020, 10% of emergency field service work will be both triggered and scheduled by artificial intelligence. The new study highlights the impact of new technology like artificial intelligence, analytics, and use of a digital twin on how we monitor industrial machines to predict when a piece of equipment will fail and what preventative service maintenance is required.

“In the same way that organisations want zero unplanned downtime with their equipment assets to avoid expensive loss of production or service, we want to mitigate our own human ‘outages’,” said Mark Homer, Vice President Global Customer Transformation for ServiceMax, from GE Digital. “This holistic view of how something is operating – whether it’s a person, an equipment plant or an individual component in a machine – has historically been disjointed and only visible when something goes wrong.

 

Today, organisations are now acutely aware of the value of a real-time view on the health and performance of their critical assets, as well as predictive analytics on when preventative maintenance or intervention is required, and access to time series data, service history and optimisation demands. The research found that more than half of companies are planning to invest in a digital twin in the next three years.

The value of these digital insights in an industrial context is starting to generate interest in preventative maintenance in a human context.”

A copy of the Vanson Bourne Whitepaper and Executive Summary, can be downloaded here

 

---

 

Be social and share: