Theory of Constraints Handbook - James Cox Iii [590]
As we have said previously, the idea is to create common interest between the customer and the service provider to resolve the problem quickly and effectively. As long as there is only one business model—the current one—it will not work.
However, what if we provide our customers with a different business model, one that creates incentives to reduce service calls, to make an effort to resolve problems by themselves, to minimize the usage of the service only to the “must” cases, instead of the current “why not?”
The elements of the proposed solution are as follows:
Instead of the current one standard “unlimited” support service for a fixed fee, we can offer our clients a number of differentially priced options. We should price them in a way that will reward them for minimizing demanding unnecessary services, thus creating a truly win-win solution. The following are examples of the range of service options.
The Array of Service Offerings
Basic Services
This is the basic building block of all the service program options and consists mainly of remote services. Some customers who are currently on Time & Materials (T&M) only (i.e., they pay per call time of the FSE and per parts/material every time there is an occurrence), may be attracted to this option. Basic Services include:
Phone support 9:00 AM to 6:00 PM, Monday through Friday, with a two-hour maximum response time.
Remote access support.
Remote application support.
Software upgrades (including implementation of upgrade).
System review or audit once per year (to ensure that there is no systematic degradation of certain equipment for customers who will take only the basic services).
CS publications (updates for user manuals, reference guides, quick reference guides, training materials).
Extended Basic Services
Basic Services are a prerequisite.
Extended hours phone support: 7:00 AM to 11:00 PM, Monday through Friday and 10:00 AM to 8:00 PM weekends, with a one-hour response time.
Limited FSE Visits
Basic Services are a prerequisite.
Consists of on-site visits, including FSE labor and travel costs. Does not include parts.
Five on-site service visits per product per year, 9:00 AM to 6:00 PM, Monday through Friday, with a one-business-day response time. Visits include preventive maintenance visits (according to product policy) and one system audit per year.
Right for additional visits at a predetermined fixed price (independent of time and travel; No-Questions-Asked [NQA] policy adopted for repeat calls).
Extended FSE Visits
Basic Services are a prerequisite.
Consists of on-site visits, including engineer labor and travel costs. Does not include parts.
Five on-site service visits per product, 9:00 AM to 6:00 PM, Monday through Friday and 10:00 AM to 8:00 PM during weekends, with a one-business-day response time. Visits include preventive maintenance visits (according to product policy) and one system audit per year.
Right for additional visits at a predetermined fixed price (independent of time and travel; NQA policy adopted for repeat calls).
Complementing FSE Visits
Coverage for unlimited visits (in addition to the five visits covered by Limited FSE Visits).
Complementing Extended FSE Visits
Coverage for unlimited visits (in addition to visits covered by the Extended FSE Visits).
Parts Services
Services must be offered by a Certified FSE (whether from customer, third-party service provider, or company’s CS).
Hardware upgrades for Field Change Orders (FCOs).
Spare parts.
Important Notes
1.