How field service operations can save cost through smart automation
Field services have faced major interruptions and changes in the past few years. Some companies are struggling to keep up with massive orders while other companies aren’t getting enough work. No matter what the circumstance is, operations always come with a high cost - striking the right balance between smooth, efficient route planning while managing orders is the key to saving costs in the long run.
Despite these challenges, companies relying on field service operations can optimize route planning, operations, and save money through first, an intelligent software solution and second, a flexible payment model.
Saving costs through smart automation
According to a Gartner report about Critical Capabilities for Field Service Management*, for 2020, more than 75% of field service organizations with more than 50 users will implement automation beyond simplified data collection. Likewise, artificial intelligence, will play a significant role, and nearly 10% of companies will opt for AI to monitor their field service work.
Saving cost through flexible payment models
A flexible payment model is based on the actual work conducted and dispatches completed. Therefore, the service provider will only get charged when the work order or dispatch is completed, thus only incurring costs when interventions take place.
The pay-per-event pricing model provides key flexibility on different levels:
Paying only for results: No matter how many parties (users) were involved, or distances travelled or touchpoints used, each onsite event will always be the same price. An event may require the involvement of multiple users to achieve a resolution. However, in this pricing model, the number of users involved and the time spent in the solution process do not affect the end price. This means that the service provider is billed only for the actual number of dispatch events completed.
Improved cash-flow: With a subscription based model the monthly price is set on the basis of a fixed-price agreement. In the pay-per-event model, the monthly expenses depend on the number of events resolved. Due to a standard event price, monthly field service operations savings can be as high as 50%, thus freeing up cash flow as billing only takes place after actual events have taken place.
Leaving traditional subscription models behind and embracing new innovative opportunities for automation and cost-reducing ways to operate service teams is what the industry has been waiting for. You can find out more about our unique pricing model here.
“Critical Capabilities for Field Service Management.” Gartner, 2019, www.gartner.com/en/documents/3956172/critical-capabilities-for-field-service-management
“7 Field Service Management Trends to Watch for in 2019 – FieldCircle.” FieldCircle, 6 Dec. 2018, www.fieldcircle.com/field-service-management-trends-2020/