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Across recent weeks here on fieldservicenews.com we've published a series of features analysing an exclusive research project run in partnership with Si2 Partners, WorkAmmo and Service People Matters.

Previously we reflected on Si2 Partners founding partner Nick Frank's initial commentary on some of the headline findings of the research which were first aired in a recent episode of the Field Service Podcast.

Now in the final part of this exclusive research analysis, we dig deeper into the findings and see how the trends the research has revealed support Frank's Si2 Partners initial hypotheses...

 

The Key Characteristics of a Service Manager

So, to begin let’s explore what the key characteristics field service organisations are looking for when recruiting new service managers.

We asked our survey respondents “What are the key attributes you look for in a service manager” with a list of 14 options to select as well as the option to submit additional information - and we asked respondents to list any options that were applicable to them.

Interestingly, and very much in line with Frank’s comments, the most common response was leadership capability in which 86% of respondents stated was a key attribute they sought within their service managers.

This in itself is a particularly intriguing insight given that as Frank alluded to, leadership capabilities may not be particularly evident based on past performance if organisations are promoting from within and selecting their new service managers from a pool of their highest performing field engineers.

This is not to say that they won’t necessarily exist within that pool, however, the skill set of strong leadership is as we have mentioned in the introduction a different skill set to what makes an excellent field service engineer.

 

"The most common response was leadership capability in which 86% of respondents stated was a key attribute they sought within their service managers..."

 

Yet it seems indeed that leadership is absolutely viewed as pivotal within the role of service management today - something that is surely a reflection on the strategic importance of service delivery as a growth driver that Frank refers to.

However, whilst the research findings reveal that whilst leadership skills are the most commonly sought after trait when recruiting service managers, it seems that many service organisations continue to seek out similar attributes within their service managers as those that are often highly valued within field service engineers and technicians.

Specifically, field service organisations were commonly looking for potential service managers to show technical knowledge and application (77%) and be good problem solvers (50%) both key traits often sought after in field service engineers and technicians.

Additionally, both an ability to fight fires and demonstrated performance delivery were both identified as key traits by just under a third (30%) of field service companies look for when recruiting new service managers - again highlighting how the roles of service managers are seen as being a linear progression from field-based roles.

However, given that this number is relatively low, it could also be argued that this could indeed be indicative of a changing tide and that this is part of the evolution which Frank described as service becomes a strategic growth drier rather than merely a cost centre.

Yet, when we look for the skills and attributes that are more firmly in line with what Frank describes as business management skills, again the data sits very much in line with his hypothesis, that perhaps not enough service organisations are showing the levels of ambition that one might expect given the large shift towards service as a profit centre we have seen in recent years.

 

"A third of companies (33%) who stated that a good head for business is something they look for in a service manager, whilst slightly more (40%) stated that an important trait they look for in service managers is for them to be analytical and metric driven..."

 

In fact, again it is a third of companies (33%) who stated that a good head for business is something they look for in a service manager, whilst slightly more (40%) stated that an important trait they look for in service managers is for them to be analytical and metric driven - another attribute that is perhaps more aligned to business management than the traditional requirements of service management.

What these findings to appear to reveal is that we do seem to be in the midst of an evolution within the role of the service manager, with some companies still leaning towards selecting the best performers within their field service teams, whilst others are adopting a slightly more ambitious approach to selecting their service management personnel in looking for traits that are more aligned with the strategic business aspects of the role.

There are of course merits in both approaches, as Frank points out, however, there are also a number of traits that are fundamental to being able to ensure that field service operations are delivered optimally and this was also evident in the research findings.

One big attribute that was commonly cited as important for field service companies to seek within their service managers was a customer-centric outlook - which was, in fact, the second most frequently cited of all the options within the survey with 80% of companies stating this is something they look for within a potential service manager.

Alongside this, a large percentage of companies felt that potential candidates for their vacant service manager roles should ideally have a good operational understanding, which two thirds (66%) cited as well as a good rapport with their service engineers which over half (55%) cited.

Whilst both of these latter two attributes could, of course, be developed by an external candidate these are both areas where an internal recruit would certainly have an advantage.

 

Service Manager Development

So, based on the research findings around the desired attributes of service managers, there remains a strong case for hiring from within, yet at the same time we are certainly starting to see a developing appetite for and a gradual shift towards the more business focussed service management role that Frank describes.

So does this mean that field service organisations are looking to recruit within and then develop the layers of business acumen required for managing a service business as a profit-generating entity?

The research would appear to suggest that this may not yet be the case and the role remains to be seen as being both technical and supervisory rather than being focused on business performance and strategic thinking.

Having  asked our respondents ‘What training do you give to your service managers?’ we found out that indeed, leadership training was the most popular response being cited by just over half (53%) of respondents, whilst technical training was also cited by half (50%) of respondents.

 

"Less than a quarter of our respondents (23%) stated that they gave their service managers any financial or business acumen training..."

 

In addition to these attributes ‘coach-the-coach’ style training and also ‘soft-skils’ were both cited by 30% of companies, is another attribute that fits more within a supervisory focused service manager role.

In contrast to this, less than a quarter of our respondents (23%) stated that they gave their service managers any financial or business acumen training.

This would certainly suggest that whilst aspirationally many companies may be beginning to see service as a driver for revenue growth, in reality, the majority of field service organisations still see the role of the service manager as being one firmly rooted in the operational side of the business.

Of course, one answer for this could simply be that many organisations see the more business-focused aspects of service management as belonging within the realm of the service director, rather than the service manager - but that begs the question as to whether we are developing the necessary characteristics within our service managers to make the necessary step up to become highly effective service directors who can drive both a service operation and business growth forward simultaneously?

Could it be that as field service delivery continues to becoming increasingly interwoven within business strategy - particularly as the trend towards servitization and outcome-based contracts become more prevalent that we are seeing demand outstrip supply in terms of service managers who are equally comfortable being operationally efficient, business savvy and who also have a natural proclivity to customer-centricity?

 

"Over two thirds (70%) of respondents stating that they didn’t feel there were enough candidates to meet demand for service managers roles..."

 

The research would again certainly add weight to this argument with over two thirds (70%) of respondents stating that they didn’t feel there were enough candidates to meet demand for service managers roles given the fact that field service has become increasingly important operation within many companies wider business strategies.

This lack of suitable candidates again asserts the validity and importance of being able to recruit from within - in essence, to be able to grow your own service management leaders. However, if companies are to do so and to do so effectively, then it would appear that many need to rethink how they approach their management level training programs to incorporate more focus on the business aspects if they are to truly align the role of service manager, with the premise of service as a profit centre.

Yet it is by no means an impossible task and the fact that just under half (44%) of the field service organisations who participated in the research involve their service directors within the recruitment process would suggest that these concepts may well filter down over time.

It seems that there is a small portion of field service organisations who are one step ahead of the pack in terms of developing their service managers to not only be able to deliver operationally but also strategically. The question now must be how long before the rest catch up? how long before the rest catch up?

 

Executive Findings: 

 

• 86% of field service companies state that Leadership Capabilities are a key attribute they look for in potential service managers
• 77% of field service companies state that Technical Skills are a key attribute they look for in potential service managers
• 80% of field service companies believe their Service Managers must have a customer-centric outlook.
• 55% of field service companies expect their Service Managers to have an excellent rapport with their service technicians
• 23% of field service companies provide their Service Managers with business or financial acumen training.
• 70% of field service companies believe that there are not enough suitable candidates to fill the demand for Service Managers

 

About The Research:

The research was conducted over a six week period reaching out to fieldservicenews.com subscribers as well as the respective audiences of our partners inviting recipients to complete a detailed online survey. In total there were 131 respondents.

In addition to this Field Service News Editor-in-Chief conducted a live polling session at the recent Field Service Connect event, held at the Belfry, UK which was hosted by WBR at which an additional 33 senior field service executives were present bringing the total respondent level to 164 field service professionals - a sufficiently large enough response base to provide a fairly robust snapshot of the current trends around recruitment and development amongst field service organisations today.

The respondents represented a diverse range of industries including; Heavy Manufacturing, Healthcare, Consumer Electronics, Power Generation and Facilities Management. There were respondents from all across the globe including the UK, Belgium, Germany, UAE, Canada, Spain and the USA and there were responses from companies of varying sizes ranging from those with less than 10 engineers through to those with over 800 engineers.

 

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Approximately one in three companies (32 per cent) believe the business use of artificial intelligence will be commonplace within the next decade, new research from TomTom Telematics has revealed.

The study found that 22 per cent believe virtual reality will be in common usage, while around one in five anticipates the prevalence of in-vehicle working due to the development of autonomous vehicles.

However, almost a third (32 per cent) fear they may struggle to keep pace with the rate of technological change. Furthermore, one in two (49 per cent) believe those that fail to embrace digitalised processes and the Internet of Things are at greater risk of going out of business.

“Complacency can sound the death knell for businesses,” said Beverley Wise, director UK & Ireland at TomTom Telematics.

“Companies should be mindful of the pace of change and keep a close eye on the solutions and processes that will help ensure a competitive future – from smart mobility and connected tech to advanced manufacturing and design systems. Many of today’s new emerging technologies will disrupt and revolutionise commerce, and in the process become the standard for tomorrow.”

Almost half of companies (46 per cent) believe remote working has or will become, the norm within the next 10 years. Remote working is currently proving more prevalent among larger companies (58 per cent) than their SMEs counterparts (37 per cent).

“The onus is on businesses, both large and small, to adapt to this new era of hypermobility and connected working that is being ushered in by advancements in areas ranging from telematics and the connected car to iPaaS and blockchain solutions,” added Wise.

“Such connected technologies and unified communication systems are unshackling workers from traditional working patterns - an empowering development that is set to significantly impact productivity and business efficiency.”

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Accomplished industry veteran to lead IFS’s Global Service Management initiatives as IFS, the global enterprise applications company, announces the appointment of field service industry veteran Marne Martin as President of IFS’s Service Management business unit and CEO of WorkWave.

The IFS Service Management business unit established under Marne will encompass the global IFS service management organization as well as WorkWave, acquired by IFS in September 2017, and have dedicated engineering, sales and marketing resources to address the unique needs of service management customers globally. Marne’s experience leading high-growth and expansion phases in both publicly and privately held companies will provide the leadership required to propel both brands into their next stages of growth and market expansion.

]As both President of IFS Service Management and CEO of WorkWave, Marne and her leadership team will continue to elevate the strategic importance of service management to the success of the overall IFS business. Marne will focus on ensuring the entire portfolio of IFS’s service management solutions provide customers with the business value they expect from a global industry leader in field service management (FSM).

“I am thrilled to be leading such a great organization and to be part of the overall IFS senior leadership team as we begin a new chapter in our company’s growth,” said Marne. “WorkWave continues to be an important asset to the overarching value proposition of IFS Service Management, and I look forward to working with the talented IFS and WorkWave teams to make sure IFS’s service management portfolio becomes even more customer-focused.”

With Marne’s appointment to its senior leadership team, IFS will be able to draw on her broad experience and proven track record to further increase the significance of the service business and grow its global market share.

IFS CEO Darren Roos said, “Marne’s domain experience will enable us to further develop the service management capability across the entire portfolio to deliver even more value to our customers. We remain completely focused on delivering solutions together with our partners that have an impact on the way our customers serve their customers.”

Prior to IFS, Marne served as CEO and led the executive leadership team at ServicePower Plc., a field service management software company, where she transformed its go-to-market strategy and shifted its focus to SaaS and managed services revenue, increasing pipeline every year during her tenure. Prior to that, she served as CFO of Norcon, Plc., a UK-based telecom and defense consulting firm, where she grew the company from a business largely dominant in only the Middle East to one diversified across the US, Europe, the Middle East and Asia Pacific. Martin is a winner of a number of awards including 2016 CEO Gamechanger of the Year (FSM) from ACQ 5 Global Awards and 2015 Field Service CEO of the Year from Executive Awards.

 

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As we continue our new series we are delighted to bring you a selection of articles taken from the recently released and highly informative, limited edition of Mobile Resource Management for Dummies, which is presented by Verizon Connect. 

 

Is Mobile Resource Management a key Topic for you?! Dive straight into the full eBook by hitting the button below!   

 

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What Is Mobile Resource Management?

The traditional approach to handling business growth is to focus on meeting increased demand – more workers, more vehicles and more warehouses. This can also mean an increase in administrative and management staff and higher overheads.

This linear strategy is fine while the work is there, but in a market filled with increased competition and fluctuating customer demand, committing to fixed expenses can leave a company exposed if business stops booming.

Clearly, saying no to new business is not an option. Fortunately, there is another solution.

Mobile resource management (MRM), or enterprise fleet management technology, helps mobile workforces and the people who manage them to get smarter about how they use their assets.

 

"Mobile resource management (MRM), or enterprise fleet management technology, helps mobile workforces and the people who manage them to get smarter about how they use their assets..."

 

This allows them to improve productivity while saving money by avoiding the financial risk of prematurely acquiring additional employees, vehicles or equipment.

MRM refers to a broad suite of hardware and software technology solutions that are used to monitor, track and optimise mobile assets, from tools and heavy machinery to vehicle fleets, employees and more. MRM is focused on making the best use of a business’s existing assets – vehicles, equipment and employees – to maximise its capacity; connecting the vehicle, the people and the work.

Most businesses have untapped potential that could be converted into a revenue-generating activity, but they don’t know it exists, or how to leverage it. You want to find your underutilised or inefficient assets and/or staff, and this can only be highlighted by monitoring them.

That’s where MRM technology comes in. It monitors each of your assets and allows an owner or appropriate stakeholder to see what, where and when resources are being used.

Using the data supplied by location-based technologies fitted to the vehicle or equipment (including phones and tablets), an MRM solution can easily show a range of productivity metrics.

Information that can be reported includes:

• When vehicles arrive at and/or leave a worksite or customer location.
• If the vehicle is anywhere other than where it should be.
• When equipment is being used (engine on).
• Which vehicles or assets have been sitting idle.
• Vehicle travel time (to determine time spent between jobs).
• Whether drivers are taking the quickest and most efficient routes.

 

Modern MRM solutions increasingly leverage the ubiquitous connectivity, unlimited scale and low-cost advantages of the cloud (discussed in the previous article here).

Some examples of technologies, applications and uses that might be found in a complete MRM solution include:

• Telematics
• Route optimisation
• Mobile technologies
• Data connectivity
• Work order management

Let's explore the first of these, i.e. telematics in closer detail...

 

Telematics

Telematics integrates vehicular technologies, road transportation and safety information, sensors, instrumentation, wireless communications and more. Telematics is sometimes referred to as ‘GPS (Global Positioning System) vehicle tracking’. However, that doesn’t begin to cover the breadth of capabilities under the telematics umbrella.

 

"Aside from simply tracking vehicle location, a robust web-based telematics solution offers customisable reports, near real-time vehicle and driver alerts, vehicle health, dashboards, custom map overlays, geo-fences and other tools to help companies manage and optimise fleet operations..."

 

Aside from simply tracking vehicle location, a robust web-based telematics solution offers customisable reports, near real-time vehicle and driver alerts, vehicle health, dashboards, custom map overlays, geo-fences and other tools to help companies manage and optimise fleet operations.

A comprehensive telematics solution empowers businesses to monitor and understand a broad range of operational factors, including:

Fuel consumption.

Fuel is one of the largest fleet operating expenses. Finding new ways to reduce fuel use provides immediate benefit to any company’s bottom line. With a telematics solution, fleet managers gain detailed insight and visibility into several key areas that have a big impact on fuel use, such as:

• Speeding – According to Commercial Fleet, a van driving at 80 mph uses 20 per cent more fuel than one driven at 70. That adds up quickly when you multiply that by any size fleet over the course of the year.
•  Idling – Unproductive idling is another fuel drain. For example, Figure 2-1 shows that the average yearly idling cost for a fleet of just 15 Transit vans is more than £11,000.
• Vehicle maintenance – It may not be as obvious as speeding and idling when it comes to wasting fuel, but proper vehicle maintenance plays a big role in fuel efficiency. Proper maintenance, including proactively addressing diagnostic trouble codes (DTCs) and maintenance alerts, as well as maintaining proper fleet operational levels, help to reduce costly downtime.
• Tyre pressure – According to the UK’s Department for Transport, underinflated tyres lower fuel. For example, four tyres that are just 25 per cent underinflated increase fuel consumption by about 0.2 per cent. Additionally, properly inflated tyres are safer and last longer.
• Unauthorised use – Unauthorised vehicle use equals unauthorised fuel use. Corporate fuel cards can be tied to specific vehicles via telematics to identify if a fuel card has been used without an accompanying work vehicle. Also note the fuel capacity of your vehicles, in case an employee purchases 45 litres of fuel for a company vehicle that only has a 40-litre capacity tank!
• Route optimisation – Are drivers taking the most efficient routes throughout the day? Added miles burn fuel and put unnecessary wear and tear on the vehicle itself.
• Utilisation – Understanding how much of a vehicle’s time is engaged in productive work can provide valuable insight that may allow some companies to perform the same work in the same amount of time with fewer vehicles on the road – which means less fuel use.

 

FIGURE 2-1: Average idling costs for Transit van and HGV fleets (source: Fleetmatics).

Safety

Any company that has a fleet of mobile workers considers the safety of their drivers and the public to be a top priority. Fleet vehicle accidents are costly on multiple levels – injury claims, repairs, employee morale, loss of productivity, company reputation and government interference, just to name a few.

According to the UK’s Department of Transport, an accident claim can cost an employer over £23,000 in medical care, legal expenses, lost productivity and property damage. That cost can exceed £216,000 when someone is injured, or £1.8 million when a fatality occurs.

 

"Two big contributors to accidents are maintenance issues and driving behaviour. A telematics solution can provide near real-time alerts on both vehicle maintenance issues as well as driving behaviour..."

 

Two big contributors to accidents are maintenance issues and driving behaviour. A telematics solution can provide near real-time alerts on both vehicle maintenance issues as well as driving behaviour. These alerts help to ensure that a vehicle is safe and roadworthy. And they provide business owners and fleet managers with solid data on driver performance that helps them better coach that driver to be safer on the road.

According to a National Highway Safety Administration (NHSA) study in the US, speeding is a factor in nearly 23 per cent of all at-fault large truck crashes. The same agency also reports that a tyre 25 per cent below its recommended pressure is three times more likely to be involved in a crash.

Telematics is also a natural companion for driver compliance factors – such as Hours of Service (HOS) – and can automate tracking processes, and help ensure that drivers are fresh and operating on proper/approved rest.

Simply knowing the location of a vehicle can also improve employee safety. If a truck and its driver don’t return when expected, their location can be determined, and, if needed, assistance can be provided.

Productivity.

Almost everything a telematics solution accomplishes leads back to productivity. One of the first things a supervisor will understand is the percentage of an employee’s day that is productive – are there inefficient in their day that can be improved upon? Better routing? If the vehicle spends a lot of time parked or idling, why is that? Telematics identifies symptoms that can be used to diagnose and correct a problem.

Dispatchers can easily identify the nearest possible respondent to a call by vehicle type, driver capabilities, and tools and parts available on board, ensuring that the response is swift and efficient.

The automation and incorporation of paperwork into mobile devices now allows records to be filed immediately during and upon completion of a job, eliminating countless hours of labour, filing and organising.

Finally, the age of compliance is upon us – HOS, tachographs, and Driver Vehicle Inspection Reports (DVIR) are a fact of life for commercial fleet managers. The same mobile devices that allow communication and form automation can also be used to streamline compliance reporting, ensure expedient interaction with DOT authorities, and eliminate paperwork almost entirely from the process – all driving productivity.

If a company has a large, decentralised mobile operation that is service- and/or delivery-based, a telematics solution can also take the entire fleet and plot out optimised routes that cut down on miles driven, wear and tear on a vehicle, fuel use and, most importantly, time. All working together to allow a fleet manager to accomplish more – for less.

Maintenance.

The two kinds of maintenance are: planned (scheduled/preventive) and unplanned (failure). The first can be managed. The second becomes a downtime event that sinks productivity, adds unexpected costs (repair and replacement) and stunts profitability because that asset and its driver are unable to work. It also has a downstream effect on everything from customer satisfaction to other vehicle/employee schedules. Luckily, the first can largely prevent the second.

 

"Telematics automates the tracking of vehicle maintenance schedules and eliminates many of the old labour-intensive tracking processes..."

 

Telematics automates the tracking of vehicle maintenance schedules and eliminates many of the old labour-intensive tracking processes. Alerts can be scheduled when it’s time to perform regular maintenance activities, as well as to warn a fleet manager if a vehicle is operating out of usual parameters, or if an original equipment manufacturer (OEM) solution triggers a diagnostic trouble code (DTC), indicating the potential for a failure and allowing maintenance staff to address it before it becomes a downtime event 

This also allows fleet managers to schedule planned maintenance activities at a time with the least impact on productive work.

These systems can generally track any and all factors that have a direct impact on uptime and performance. From oil temperatures and fluid levels to tyre pressure and the presence of AdBlue in diesel, a telematics solution can help to diagnose a maintenance issue before it becomes a more expensive problem.

 

Want to know more? The full eBook is available as premium content to fieldservicenews.com subscribers. Access it now on the button below... 

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According to a new report from the leading IoT market research provider Berg Insight, the number of active fleet management systems deployed in commercial vehicle fleets in North America was 8.0 million in Q4-2017.

Growing at a compound annual growth rate (CAGR) of 15.6 percent, this number is expected to reach 16.4 million by 2022. In Latin America, the number of active fleet management systems is expected to increase from 3.0 million in Q4-2017, growing at a CAGR of 13.1 percent to reach 5.5 million in 2022. The top-25 vendors in the Americas together have a combined installed base of more than 7 million active units in the region today. Notably, all of the top-15 players each had more than 100,000 active units in the Americas at the end of 2017.

More than 40 percent of the total number of units deployed in the region is represented by the five largest fleet management vendors alone.

Verizon has in 2018 launched Verizon Connect which represents the culmination of more than US$ 5 billion in investments including high-profile acquisitions such as Fleetmatics and Telogis.

“Verizon Connect is the clear leader in the fleet telematics space both from a global perspective and in the Americas specifically”, said Rickard Anderson, Principal Analyst, Berg Insight. Verizon’s closest competitor in the Americas is Geotab which has grown considerably in the past year, followed by Omnitracs and Trimble which have both surpassed 0.5 million active fleet management subscribers in the region. “Zonar Systems rounds off the top-5, just ahead of Michelin which has established a strong position in the Americas through multiple acquisitions”, continued Mr. Andersson.

He adds that the ongoing consolidation trend in the fleet management space is expected to continue in the coming years. Numerous vendors today have more than half a million active FM subscribers worldwide and the milestone of one million subscriptions has now been surpassed by three leading players, driven by growth strategies based on M&A activity and high-pace organic growth.

“Berg Insight anticipates a future scenario where the global fleet management market is dominated by a handful of solution providers with installed bases measured in the millions”, concluded Mr Andersson.

Download report brochure: Fleet Management in the Americas

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Titos Anastassacos from Si2Partners shares with us some interesting insight on Augmented Reality from their recent research-based reports...

Technology is changing field service rapidly.

In the not too distant future Smart Connected Products will be self-diagnosing; Maintenance will become, almost exclusively, predictive; Spare parts will be 3D printed; And humans will interact at a deeper level with machines through Augmented Reality and Digital Twins, whether the machine is in the same room or on the other side of the planet.

The nature of the service business will shift from technical labour and logistics to knowledge management and exchange. Service delivery will change drastically as will the nature of competition and business models.

 

"The nature of the service business will shift from technical labour and logistics to knowledge management and exchange. Service delivery will change drastically as will the nature of competition and business models..."

 

But if the “end-state” medium term can be discerned quite clearly, getting there poses significant challenges.

So, at a Si2 Partners, we developed a series of survey-based management reports, to shine a spotlight into service businesses’ efforts to grasp the opportunities of digitization while dealing with the challenges. We then draw conclusions and recommend the best ways forward. The first report on Augmented Reality is available now, the next report on Predictive Maintenance is due by the end of the year.

The first public demonstration of AR was in 1998 during ESPN’s coverage of a football game: Generation and display of the yellow first down line. The line stayed fixed within the coordinates of the playing field. It was not physically present on the field and was visible only to the television audience.

But from that simple application, only 15 years later, Gartner was predicting that companies would be increasing their profits by over $1 billion annually -by 2017- through the application of AR in their field service business.

Things, of course, are not so simple. Reducing costs does not directly translate into increased profits.

That depends on prices and we know that digitization tends to make them drop, sometimes to zero -think of what happened to chemical photography. But even if we only consider costs, AR is clearly important, in many ways transformational, technology with a potentially very powerful impact.

So, are companies adopting AR for field service? Our survey showed that they are.

Most expect significant cost savings and productivity improvements through AR, mainly in engineering time and travel cost -and, interestingly, smaller companies are at least as much engaged with the technology as larger ones: Upfront investment can be low, and it can be implemented quickly and stand-alone (at least initially).

Importantly, it may help reduce pressure on scarce, highly qualified, and expensive engineering resources, while simultaneously improving the cost-effective support of remote customers (smaller companies are less likely to have extensive service networks).

Overall, we found that while less than 1/3 of respondents already used AR, and, of those, the majority had introduced it over the past 12 months, another third planned to introduce it over the coming 12 months. This indicates an accelerating trend.

Of course, for users, it has not been all smooth sailing. Challenges are numerous: For example, it turns out that connectivity at customer sites is a significant issue, which hampers the use of the technology. But technical problems are normal at this stage of introduction.

Far more important are managerial challenges.

For example, as always, one size does not fit all: The most commonly reported use case is field technicians receiving AR-based support by experienced engineers from a remote central hub.

 

"Better applications for such cases may be pooling AR-based support, providing technical information through “knowledge-libraries”..."

 

This may help companies with large field service workforces (possibly with high turn-over rates or fewer qualifications) supporting standardized equipment. It is not much help to vendors of highly complex equipment whose field engineers are already highly experienced and qualified themselves.

In fact, it may be even counter-productive, slowing things down or reducing acceptance.

Better applications for such cases may be pooling AR-based support, providing technical information through “knowledge-libraries”, particularly on rarely encountered problems or legacy equipment, or integrating AR with the IoT, so that operational data can provide real-time context to engineers and support for diagnostics.

However, such applications require investment in digital content, something that many AR users have often not considered, as well as a process of experimentation and development.

Another finding is that following implementation of AR, many managements don’t take the necessary action to lock-in the AR benefits by pushing through change in the support and field service processes. For example, few companies eliminate technical manuals and drawings from a field engineer’s toolbox, delaying the necessary adjustments.

And, while many companies market their AR capability to customers, few have developed AR-based offerings. Yet our survey shows that customers would welcome AR-based support if it would help to reduce costs and improve performance, notwithstanding issues of confidentiality or privacy.

The process to integrate AR into a company’s mode of operations and to maximize its benefits will, as for any new technology, be arduous and bumpy. But the impact on costs and productivity is becoming clear. Though most don’t yet formally track it, 72% of our respondents said that AR is on par with or has exceeded expectations.

Augmented Reality in Service: Ready for Prime Time? Visit the Service in Industry Hub Shop to download the flyer or purchase the report. For more information contact titos.anastassacos@si2partners.com or visit Si2Partners

 

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SAS Global Communications, a leading provider of managed network and application services, is using an advanced telematics solution from Ctrack, an Inseego company, to enhance fleet performance and reduce operating costs...

Having adopted the Ctrack Online vehicle tracking system last year across a fleet of vans used by a team of engineers in its physical infrastructure division, the company has achieved a host of benefits including a material increase in productivity.

Following a review of the telematics marketplace, SAS selected Ctrack Online based on the usability of the system and its comprehensive reporting capabilities. The company had recognised a need to gain greater visibility and control over its engineers, responsible for the installation of network solutions at private-and public-sector sites across the UK. This has enabled its office-based team to use real-time positioning and vehicle status data to support improved vehicle scheduling and deploy the most appropriate resource to incoming jobs.

Meanwhile, SAS is using the Mobi Driver App, so engineers can record business and private mileage as well as provide supporting notes about individual trips via their smartphones. By electronically capturing this HMRC requirement, the company has been able to streamline administrative processes and replace a paper-based system that previously required information to be collated manually. Ctrack Online’s working time report is also helping SAS to verify time-sheets and overtime claims, resulting in further time and cost savings.

Alvin Thompson, Physical Infrastructure Manager at SAS Managed IT Services commented: “SAS has experienced clear benefits from using Ctrack Online in terms of productivity improvements and cost reduction. We have been impressed with the level of support provided by Ctrack, which ensured the telematics system has been set up to meet our particular requirements and was installed without any disruption to the business. We are already exploring how else to take advantage of its capabilities in terms of driver behaviour monitoring and duty of care compliance.”

Steve Thomas, Managing Director of Ctrack said: “By working closely with our customers we are able to help them deliver significant business benefits and achieve a return on investment. This is a key reason why businesses of all sizes are turning to Ctrack to implement advanced telematics solutions for their fleet operations.”

 

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In a new series, fieldservicenews.com is pleased to bring you a selection of articles taken from the recently released limited edition of Mobile Resource Management for Dummies, which is presented by Verizon Connect.

 

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Modern Challenges in Managing a Mobile Workforce and Assets

Digital transformation has become imperative for many businesses today that find they must reinvent themselves, or face the possibility of extinction in an increasingly competitive and rapidly evolving market landscape.

Amazon, Netflix and Uber are three modern examples of companies that have used disruptive technologies to transform entire business models.

Beginning in the 1990s, Amazon challenged the status quo in the bookselling market (remember when Amazon only sold books?!). Today, Amazon has become a colossal market force befitting its name. Retail booksellers like Waterstones, Borders and Barnes & Noble have either disappeared altogether or are struggling to hold on. Beyond books, Amazon has transformed the entire retail industry. Amazon has also transformed distribution and logistics. Perhaps most excitingly, Amazon has taken a novel idea to sell excess compute capacity in its data centres and completely revolutionised computing as we know it today. With the launch of Amazon Web Services (AWS) in 2006, Amazon helped to usher in the cloud computing era.

Netflix is another example of a company that used digital transformation to completely reinvent the film rental business, and crush the Blockbuster chain of video rental stores. Today, Netflix is transforming the entire entertainment industry as it produces original films and television programming, largely bypassing the traditional Hollywood entertainment moguls altogether.

 

"The factor that unites all of these success stories is a user-centric experience that gives end-users what they want, now..."

 

Finally, Uber is challenging traditional taxi companies by leveraging an intuitive mobile app to connect drivers with passengers using global positioning system (GPS) location services and crowdsourcing to replace inefficient dispatchers. Uber uses cashless transactions to safely and efficiently collect and pay fares.

The factor that unites all of these success stories is a user-centric experience that gives end-users what they want, now.

For businesses and industries that manage large mobile workforces and assets – such as fleet vehicles, heavy equipment and specialised tools – plus field service organisations, and construction and repair services, innovative uses for technology are driving exciting new opportunities, as well as complex challenges.

Among these challenges, the evolution of the many disparate solutions to manage the mobile workforce has limited the potential of MRM deployments. Different applications and functions – such as route optimisation, navigation, telematics and mobility – operating in independent silos with little or no data connectivity or integration between them create a complex environment that doesn’t adequately support real-time operations (see Figure 1-1).

FIGURE 1-1: Siloed applications and technologies add complexity.

 

A rapidly changing landscape

Not surprisingly, technology is driving a rapidly changing industry landscape. For example, electric cars – once considered science fiction – are now very much a reality. The UK is the latest in a growing list of countries, along with France, to outline plans to halt the manufacture of petrol and diesel cars, announcing that it will ban their production by 2040. For any business that relies on fl preparation for this transition starts now. MRM solutions are key to this, having been shown to lead to significant cost savings through efficient route planning and reduced idling time and fuel waste.

 

"Just as technology is driving this change, it also offers the solution to the challenges it presents..."

 

But just as technology is driving this change, it also offers the solution to the challenges it presents. In the US, record numbers of businesses are turning to advanced MRM systems to collect vital information on their staff, vehicles and assets to ensure that they can keep pace with inevitable changes to business processes, regulation and reporting. C.J. Driscoll and Associates project that the total number of MRM units installed on fleet vehicles, commercial trailers, heavy construction equipment and personal mobile devices used in the field will grow to more than 14 million units in the US by 2019.

Naturally, data plays a key role in any business transformation – especially when upgrading vehicles to new technologies or transitioning to new systems and processes. The more data you collect, the easier it is to adapt. With this in mind, the choice facing business fleets is simple: get ahead of the game now, or spend precious resources catching up in the future.

 

The technologies of tomorrow are here today

In other areas, there’s simply no time to get ahead of the game – tomorrow’s technologies are already integral to the way we work and live. This is particularly true of the Internet of Things (IoT). Just like the cloud before it, the IoT is most definitely here to stay, with various industry analysts predicting anywhere from 20 to 30 billion IoT connected devices by 2020.

 

"The natural progression of this vehicle-to-vehicle and vehicle-to-infrastructure communication is, of course, the autonomous vehicle..."

 

The impact of this trend on fleets is potentially enormous, as greater connectivity allows vehicles to interact with one another and collect data on vehicle environment, condition and performance. Most fleets already collect information on speed, fuel use and driver behaviour, but the technology exists to go much further. Businesses can automate previously labour-intensive or manual processes such as routing, payroll and reporting, through comprehensive MRM systems, connecting the vehicle, the people and the work seamlessly – potentially improving efficiency, productivity and, ultimately, the bottom line. The natural progression of this vehicle-to-vehicle and vehicle-to-infrastructure communication is, of course, the autonomous vehicle. Uber launched its first fleet of autonomous taxis in 2016, and the likes of Google, Apple, Tesla, Nissan and Mercedes-Benz are investing millions in the space.

Vehicle connectivity and standard fitment of hardware will become increasingly widespread, enabling live updates of current vehicle health, GPS positioning and traffic and weather feeds. The speed of change is phenomenal, and businesses need agility and flexibility to survive and thrive in the market.

 

Change today or pay tomorrow

With any new technological development, the last to adapt pays the heaviest price. Progress waits for no one and the companies that thrive are those that embrace it. In the current climate, doing nothing is simply not an option – change is happening, and it is happening now.

As technology continues to infiltrate the way we work, we create more data than ever before. At best, this leaves companies in a position where they have more data than they know what to do with, and therefore fail to take advantage of the potential opportunity that it offers. At worst, businesses waste precious time and resources analysing that data, which can make it feel like more of a hindrance than a help. In such an environment, implementing a system that can analyse this data for you, help to automate key processes, and future-proof your business is no longer a luxury but a necessity.

 

"Your customers are used to technology as an enabler, and they will go to whoever can give them the best and most convenient service possible!"

 

Your customers are used to technology as an enabler, and they will go to whoever can give them the best and most convenient service possible!

MRM technology can do this and more: giving you a clear picture of your business every minute of the working day, and enabling you to make the best use of your people, your vehicles, and your resources – potentially saving you time and money, and providing a better customer experience and competitive advantage.

The companies that now lead the world all used technology to carve out a niche and disrupt the norm, changing the industries they now dominate forever. Who remembers the companies they crushed along the way?!

 

Leveraging Cloud and Mobile Technology

Cloud computing takes mobile resource management to new heights. The cloud enables businesses of any size to leverage massive computing and storage capacity without committing capital expenditure or requiring entire IT departments to operate and maintain it. Cloud services are typically provisioned on a subscription basis in which customers only pay for what they use – much like public utilities. Business can easily and automatically scale their cloud environment up or down as business needs dictate.

One of the most popular cloud computing service models is software as a service (SaaS), in which a cloud customer uses an application that’s hosted in the cloud, but the customer is not responsible for maintaining the software application (such as updates and security patches) or the underlying infrastructure (such as servers, databases and network equipment).

The cloud also enables near real-time access to data – critical to many mobile resource management applications. Rather than connecting back to a server in a corporate network that may have relatively limited network bandwidth, some MRM applications exchange data in the cloud, which supports more robust data centres located around the world and is equipped with massive computing and storage capacity, as well as network connectivity.

 

"Like the cloud, mobile innovation has changed our world today. Smartphones are everywhere – and they’re getting smarter..."

 

Like the cloud, mobile innovation has changed our world today. Smartphones are everywhere – and they’re getting smarter. Increasingly powerful and intuitive applications create new possibilities for solving complex mobile workforce and resource management challenges.

As 5G cellular technology begins to be deployed by 2020, ubiquitous connectivity – practically everywhere – will become a reality. In addition to ever greater network speeds, 5G technology will enable near real-time communication between devices, applications, and users in harsh and remote environments that are not possible today, such as at sea, in the air, or in remote mining areas. 5G innovations will enable certain types of Internet traffic to be prioritised so that mission-critical applications – such as for autonomous vehicles – are delivered reliably and quickly. 5G will also overcome many current structural challenges, such as interference in metropolitan areas and tall buildings.

As 5G networks become a reality, the power of cloud computing and its applications for telematics and mobile resource management will continue to drive digital transformation in every industry. Additional information on vehicle hardware (as standard from 2018 on new model launches) will improve vehicle connectivity and information gathering.

 

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Previously on fieldservicenews.com we published an analysis of an exclusive research project run in partnership with Si2 Partners, WorkAmmo and Service People Matters where we revealed that 57% of field service organisations prefer to promote from within when appointing service managers.

Here in the second part of this analysis, we now explore in greater depth whether service organisations should be redefining the role of the service manager and ask what are the key attributes we should look for in service leaders of the future...

As field service operations continue to become an increasingly important part of revenue and customer engagement strategies for organisations of all sizes and in all verticals, it, of course, follows that those leading our field service teams are simultaneously becoming essential to the wider success of a business.

In our previous analysis of our research into development and recruitment trends within field service organisations we revealed that currently just over half of field service organisations prefer to promote from within when seeking to fill field service management vacancies, which is largely how things have been done historically - it is a sure bet that a large percentage of the service directors reading this report will have started their career as a technician in the field and this background and experience certainly has its advantages.

For a start when promoting someone from within they will, of course, have a much more intimate understanding of your organisation, your engineers’ workflows and perhaps most importantly your customer base. These are all factors that will help them hit the ground running in their new management role.

 

"Sometimes the best engineers, no matter how conscientious and efficient they may be when working in the field, just can’t make the step up into management - running a team requires a very different skill set than keeping your clients’ assets running..."

 

Yet, there is, of course, a flip side. Sometimes the best engineers, no matter how conscientious and efficient they may be when working in the field, just can’t make the step up into management - running a team requires a very different skill set than keeping your clients’ assets running.

Discussing this particular finding within the research in a recent episode of the Field Service Podcast Nick Frank, Founder of Si2 Partners commented:

“I think it is very natural, especially for companies who see service as a cost centre and as simply a way of generating customer loyalty, to see the people that they want to lead these functions within their own organisation.”

“Of course, these companies will be looking for people with the leadership skills - but they may also have a preference for someone who also knows the business.

“A large reason for that is is because service involves dealing with so many different stakeholders such as R&D and sales. Then it is also good to have someone who also knows the products and how those products work and how they operate in the customer environment.”

“So yes, if you are coming from a viewpoint of 'we are fundamentally there to keep the machines running and try to satisfy our customers’ then I’m not that surprised companies are still predominantly hiring from within.”

“But frankly, to be completely honest I’m a little bit disappointed that the percentage is still so high.”

 

"Service is becoming much, much more of a strategic growth driver..."

 

“The reason for that is because for me service is becoming much, much more of a strategic growth driver. Now that’s not to say it is the only drive, but it is certainly becoming recognised as an important strategic growth driver alongside  a number of other things.”

“When you adopt that approach, you’re suddenly your not really looking so much for that in-depth product knowledge in your service leadership - in fact as a leader you should always have people within your team who understand the technical side.”

So the key attributes you want to see in your service managers then become much more about business leadership elements. By this, I mean things such as strategic direction, decision making and getting teams aligned etc. Also, business acumen becomes far more important because when you start seeing service as a driver for growth you are no longer operating as a cost centre, you’re generating revenue and running a business - so in some ways, I was a little bit disappointed that so many are still hiring from within.”

 

"Business acumen becomes far more important because when you start seeing service as a driver for growth you are no longer operating as a cost centre, you’re generating revenue and running a business..."

 

“Who knows, maybe these companies are finding people with all those skills within their organisations, but I feel that it is more likely that they are opting to play it a bit safe, rather than being a bit more ambitious with where they want to take their service business.”

It is certainly an interesting topic for discussion and Frank raises many valid points, but is the fact that so many field service companies are still predominantly hiring from within indicative of field service companies erring on the side of caution, or is it perhaps the case that as with many other areas within field service we see patterns evolve at a slightly slower pace often due to the necessity of keeping what is invariably a mission-critical side of the business on relatively stable ground.

To help us understand this better and to dig deeper into the thinking behind many field service companies approach to hiring and developing new service managers, we will focus in this second part of our research analysis on the key trends amongst service organisations in terms what we attribute are key in the next generation of service leadership and how companies are nurturing them.

About The Research:

The research was conducted over a six week period reaching out to fieldservicenews.com subscribers as well as the respective audiences of our partners inviting recipients to complete a detailed online survey. In total there were 131 respondents.

In addition to this Field Service News Editor-in-Chief conducted a live polling session at the recent Field Service Connect event, held at the Belfry, UK which was hosted by WBR at which an additional 33 senior field service executives were present bringing the total respondent level to 164 field service professionals - a sufficiently large enough response base to provide a fairly robust snapshot of the current trends around recruitment and development amongst field service organisations today.

The respondents represented a diverse range of industries including; Heavy Manufacturing, Healthcare, Consumer Electronics, Power Generation and Facilities Management. There were respondents from all across the globe including the UK, Belgium, Germany, UAE, Canada, Spain and the USA and there were responses from companies of varying sizes ranging from those with less than 10 engineers through to those with over 800 engineers.

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Look out for the second part of this analysis where we will explore how a deeper exploration of the research findings correlated with Frank’s hypotheses as we dig deeper into the key characteristics field service companies are seeking when recruiting for new service managers…

 

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