5 Key Field Service Management Trends for 2024
The power and reach of field service management (FSM) is evident in just about every service business today. Its impact on productivity, customer satisfaction, and revenue growth are transformative. Research shows that 74% of mobile workers say that customer expectations are higher than they used to be, and 73% say customers now expect a personal touch. So, what field service trends should you be keeping an eye on and how will they shape the future of field service management?
5 field service management trends to watch in 2024
New field service trends are emerging that are reshaping the future of the service industry, driving revenue growth and accelerating productivity and efficiency. Field service management is being shaped by technology that delivers new routes to revenue, leverages data and meets rising customer expectations, while also powering connected technicians to work more efficiently.
1. Diversification of revenue sources
While FSM alone is not a silver bullet for revenue growth, when strategically integrated into an organization’s business model, it can help diversify rich sources of revenue. This ranges from broadening the service portfolio by offering additional services related to maintenance and repairs, to cross selling and upselling as technicians are ideally placed to identify sales opportunities and support expansion into new markets. FSM is also key to enabling new outcome-based business models, such as servitization, which provide continuous revenue.
2. Leveraging advanced technology
Asset-centric industries are turning to technology to improve asset uptime with optimized in-person and remote service, boost field technician productivity with the latest mobile tools and cloud-based field service management and deliver metrics for confident decision making. FSM solutions collect valuable data on asset performance, provide a central, single record of service history, including customer configurations, preferences and operational efficiency. By analyzing this data, organizations can identify key areas for improvement and innovation.
3. AI and machine learning
AI and machine learning are revolutionizing the FSM arena by automating tasks, improving efficiency and enabling data-driven insights. AI algorithms optimize technician schedules based on location, skill set and urgency to ensure faster, efficient response times and better customer satisfaction, as well as optimize workloads to prevent burnout or underutilization. AI’s automation also categorizes service requests and workflows, while chatbots and virtual assistants handle routine enquiries to free up technicians for more complex tasks. Likewise, machine learning algorithms analyze historical data to identify patterns and underlying root cause analysis, preventing recurring incidents.
4. Increased customer expectations
As mentioned above, customer expectations are continuing to increase and field service technicians working onsite are seeing this for themselves first hand. As the bar continues to rise, customers want personalized experiences and more control through self-service portals for equipment trouble shooting, as well as remote repairs that include advanced remote assistance beyond simple phone or video calls. The desire for remote diagnostics and resolution is rapidly becoming the norm and a key competitive differentiator that organizations should be considering if they have not already done so.
5. Predictive maintenance and analytics
The traditional bread/fix model of service is both outdated and inefficient. Today, predictive maintenance and analytics are empowering FSM by preventing issues, optimizing resource allocation, and enhancing customer service. This approach provides significant benefits to organizations, ranging from reduced downtime, improved operational efficiency and customer satisfaction, cost savings from reactive maintenance, as well as better optimization of resources. By analyzing data on service requests, technician performance and equipment failures, organizations are leveraging data-driven decisions for better outcomes, performance and productivity. This in turn also enhances the overall employee experience for technicians, who are deployed to do higher level work.
How to make your installation flawless
While current FSM trends are always top of mind for organizations, throughout my years of working with service leaders, one area that is often overlooked and underestimated is installation. Any installation can have unforeseen events, regardless of the technology, which is why it’s important to carefully consider your planning and execution.
What is field service installation?
While we talk a lot about field service management, field service installation gets less airtime. The journey of new equipment, from delivery to full operation, involves a crucial two-stage process in the field service industry: installation and commissioning. Installation ensures technicians with specific expertise in the equipment model carefully position the equipment, secure it in place, and complete any necessary assembly steps according to manufacturer's instructions.
How can companies streamline installations?
Planning is essential. Service leaders should coordinate the availability of people, parts and resources, and use tools that help deliver job-specific forms and checklists to technicians so they can capture critical job data, such as punch list execution or pre-job planning checklists, in an intelligent and streamlined manner. These types of streamlining field service activities are crucial for installation, efficient operations and customer satisfaction. During the installation process, technicians perform ongoing quality checks to ensure everything is being installed correctly and according to specifications. Embracing FSM software from the outset is key to ensure smooth, undisrupted performance.
What activities fall under field service installation?
In addition to physical installation of equipment, commissioning includes detailed records of the installation and commissioning process are created, documenting test results, settings, and any adjustments made. This serves as a crucial reference point for future maintenance and troubleshooting. Technicians or customer service representatives assist with registering the equipment for warranty coverage, ensuring proper documentation and adherence to manufacturer's guidelines. An initial preventive maintenance schedule is established to ensure optimal performance and longevity. Depending on the complexity of the equipment, technicians may provide on-site training to customer personnel on proper operation and basic troubleshooting procedures.
Handover and post-installation
Technicians or customer service representatives assist with registering the equipment for warranty coverage, ensuring proper documentation and adherence to manufacturer's guidelines. An initial preventive maintenance schedule is established to ensure optimal performance and longevity. Depending on the complexity of the equipment, technicians may provide on-site training to customer personnel on proper operation and basic troubleshooting procedures. After installation, an asset enters its operational lifespan, requiring ongoing service activities like repairs, preventive maintenance, contract renewals, and other key milestones throughout its lifecycle.
How do companies manage field service technicians?
Customers initiate service requests through various channels like phone calls, online forms, mobile apps, self-service portals. The request details the nature of the issue, equipment involved, and desired service timeframe. This is best managed through a robust field service management system that manages the deployment of field service technicians through AI-powered scheduling, workflow and optimization. Modern field service software automates work order creation based on the service request details. Dispatchers are responsible for scheduling the work orders depending on complexity, resource and workforce availability, and routes. Systems like ServiceMax consider technician skillsets, location availability, and real-time data to optimize dispatch decisions.
Steps in field service installation
Effective field service installation relies on proper planning, co-ordination and resource allocation. This includes job planning, tracking activities, resources and technicians, as well as the management of workflows, and of course site preparation.
Planning and scheduling
It might sound obvious, but it’s important to match the right technician to each job based on skills availability and location. Organizations should leverage optimized scheduling software to arrange service appointments at job sites by mitigating travel time, allocate resources and set completion deadlines in line with SLAs, and optimized routes to minimize distances and reduce travel time for technicians. Ensure proper work orders area in place with clear instructions, detailing what needs to be done and any necessary parts, and use inventory management to keep track of parts.
Site Preparation
Safety, compliance and efficiency should be your overarching top priorities for the installation of new equipment. Depending on your specific industry, other considerations include environmental impact and protection, soil erosion and sediment control, site security, signage and safety measures, such as site access and traffic management, delivery and storage logistics, as well as site documentation and record-keeping.
Field service decommissioning: What is it and why is it important?
Field service decommissioning refers to the process of safely and efficiently retiring or dismantling assets once they reach the end of their operational life. Many of the same considerations around installation also apply to decommissioning, such as environmental impact to ensure proper disposal of waste or toxic materials, legal compliance around regional, nationals and international regulations, safety and risk mitigation for workers and nearby communities, as well as cost management to minimize expense. Many organizations today are proactively leveraging resource reclamation to repurpose or recycle materials from decommissioned assets as part of their sustainability initiatives.
Steps in field service decommissioning
Understanding the purpose of decommissions is a key starting point for this task. Sometimes a decommissioning happens as part of an asset relocation exercise, often following a resale or a location move, or it could be because the asset has reached its end of life.
Key steps include:
- Review the Digital Product Passport (DPP) if one exists. This is a digital record that provides comprehensive information about a product and its entire value chain. This includes everything from the origin of the product, materials used, environmental impact, and disposal recommendations.
- Assess the requirements for the asset.
- Risk assessment the exercise from a Health and safety, environmental and regulatory point of view.
- Create a sequenced plan for decommissioning considering access, tooling, skills & Precautions based on the risk assessment and safe system of work.
- Establish a disposal plan for where the controlled materials will be sent to for re use, relief, scrappage or recycling.
- Amend all system and records for the asset to reflect the changes made as part of the decommissioning.
Assessment and planning
A project plan and manager may be required, depending on the complexity of the application for the asset. Some products may contain hazardous materials or residues. Relevant guidelines need to be understood and followed. Some assets may have significant civil work if they are built into the fabric of the building or production line, while other assets may have access issues and will need to be broken down into smaller, lighter, or more portable parts to fit through doors or into elevators. Be sure to consider both health and safety, as well as resource requirements, as multiple teams may be needed, or specialist equipment, such as cranes, engineers and construction teams.
Safe removal
Health and safety and environmental advisors may be needed, along with permits for approval. Proper risk assessment will be required to cover all potential risks and hazards, and an action and mitigation plan will be needed to address the risk identified as a medium to high potential. Be sure to monitor activity throughout the exercise, as this may be required based on the action plan.
Environmental compliance
A digital Product Passport (DPP) may exist which outlines the full information about the asset, including its entire value chain from the origin of the product, materials used, environmental impact, and disposal recommendations. Make sure you have approved supply chains for asset disposal and recycling to ensure the waste is being managed in an ethical and legal way. Restricted material will need to be tracked and certified prior to and following disposal. Remember, materials are not the only compliance risk. Noise, heat, fumes, vibration and ground contamination are also examples of environmental risks to be considered.
3 field service technology solutions to overcome common challenges
1. Mobile field service apps
Robust mobile field service apps can significantly enhance technician productivity and streamline operations. These include the ability to deliver complete work and asset visibility, keeping all parties informed with optimized routes and an optimal service experience, such as notifications when the technician is on their way. Mobile apps also enable technicians to efficiently capture and present data for inspections, maintenance and safety, give them the ability to work offline in remote areas, and drive operational efficiency.
2. Predictive maintenance
Sensors embedded within equipment can monitor various parameters like temperature, vibration, or energy consumption. When these sensors detect anomalies or readings outside pre-set thresholds, an IoT alert is triggered, automatically generating a service request with detailed information about the potential issue.
3. Remote assistance
Leveraging technology, service organizations can offer remote support options such as video conferencing or chat functionalities. During this stage, a skilled representative can provide initial troubleshooting, diagnose basic problems, and potentially resolve them remotely, reducing the need for on-site visits. For more complex issues, remote triage helps gather essential information for accurate work order creation and technician dispatch.
Turning service into a revenue engine with ServiceMax
While the most visible impact of service is seen in customer satisfaction and mitigation of customer churn, service can also add to the top line by turning service into a revenue engine. ServiceMax regularly works with customers to address key revenue areas, including revenue leakage, uncovering new opportunities for contract and part sales, and contributing relevant information that creates revenue opportunities for new equipment or new services.
For example, analysts calculate revenue leakage can be as much as 5% of annual revenue. If left unaddressed, these leaks impede growth, put customer relationships at risk and impact the morale of your field service technicians. ServiceMax addresses both non-contract leakage - otherwise known as Time & Materials leakage when service is delivered for free outside of a service contract - as well as contract leakage, when your service delivery provides more or higher levels of service than the customer is entitled to receive.
Likewise, actively managing your service contracts through full visibility into contract terms, entitlements and warranty expirations prevents unintended warranty lapses and provides documented evidence of how much value you’ve delivered. Increasing customer retention by as little as 5% can boost revenue by more than 25%. For thousands of customers, ServiceMax has now become central to revenue protection.
One of the most underutilized areas of field service today is value enhancement. Optimizing how customers are using your products, proactively suggesting what other things they could and should be doing and finding low-effort ways for them to drive greater value can pay big dividends. In doing so, you can move them from time and material billable service to contractual relationships, creating more predictable revenue and higher margins.
This also provides insights into additional value opportunities based on your better understanding of their needs and asset use. And of course, some customers who rely too heavily on service support require a higher level of service contract and more handholding from your service team.
All of this requires visibility into the installed base to increase both service contract attach rate and your revenue footprint. Having this level of insight also means you can convert service contract levels, approach customers with service parts, contract upgrades and additional revenue opportunities throughout the lifecycle of the asset.
Field service management tools like ServiceMax have become a catalyst for revenue growth. Organizations globally have transformed their service operations from a cost center into a revenue engine by mitigating revenue leakage, boosting growth and uncovering new revenue opportunities.