Manufacturers’ service models have historically been transactional in nature – a product or machine “breaks” and a technician is dispatched to “fix it”. This process, although ultimately effective in solving the problem, is riddled with opportunities for improvement.
End-user and customer service expectations are at an all-time high. Downtime has gone from being a byproduct of ownership to an unacceptable business disruption. To remain competitive and retain customers, OEMs must redefine what service means within their organization and for their customers.
PTC has commissioned IDC, a premier global provider of market intelligence, to author a report on current market dynamics. In a companion report, PTC shares insights on how to assess readiness for, launch, implement, and win with a service transformation. Both are exclusively available here on ptc.com.
Successfully implementing a service transformation has a positive impact on the entire product lifecycle. By making service a value proposition instead of a transaction, OEMs can elevate their customer relationships from vendor to partner. This not only leads to better service and stronger ties to the customer, but generates new revenue streams by creating outcome-based service contracts, and reduces training and response costs when service incidents do occur.
The digital service transformation era isn’t a nice-to-have, it’s here. By 2018, 40% of top 100 discrete manufacturers will provide some of their portfolio as product-service systems, and OEMs expect that 30% of their revenues will come from service contracts.
By following PTC’s evaluation framework of Understand, Advance, Outperform, you’ll learn how OEMs can begin the conversation and build a strong business case for digital service transformation. Then, OEMs can learn how to go from real-time data monitoring of connected devices, to digitizing service content, delighting customers with proactive and cost-effective remote service, inventory optimization, and finally redefining value for the customer with predictive analytics and service.
Unlock both white papers here and stay tuned to our Service Software blog as we deep-dive into each layer of the PTC evaluation framework in the coming weeks.