A recent study by USP shows that failure costs are still a problem in the installation industry. While this was still 5% of the turnover a few years ago, the total failure costs are now estimated at more than 10% of the total turnover. Failure costs are a bottleneck for the organization, and we must prevent at all times that the percentage increases further in the coming years. We are happy to give you tips on how the right software can ultimately help reduce failure costs.
The leading causes of failure costs in the installation sector
Research by USP Marketing Consultancy shows that most failure costs are caused by a lack of communication and agreements between the parties involved. In addition, the requirements at the start of the assignment are too unclear, there is a lack of knowledge among processors and planners, mistakes are made in the planning, and care is taken when the deadline approaches. Furthermore, it appears that no formal agreements are made about responsibilities, and unexpected extra requirements are imposed without these being implemented in the calculation. And as if all this were not enough, all of the above also leads to lower customer satisfaction, a longer throughput time than planned, dissatisfied employees, and a lower quality end product. In extreme cases, it can even have legal consequences or endanger safety.
Capture all information in the project
Although it is, of course, the case that recording communication and agreements between different parties require a particular approach from everyone, it is in any case vital that you always wholly have these communications and agreements available. Bluace’s service and maintenance software make capturing all this information accessible. You record communication and contracts in the project by, for example, linking incoming e-mails and making additional notes. And if necessary, you can also link actions to this. Our software is a cloud software, meaning you can consult the system via any device with an internet connection. In this way, your employees can immediately record agreements made at the office, on the road, or on location with the customer or partner. All these notes are also immediately visible to every authorized person within your organization.
Work with standard calculations
In daily practice, many mistakes are still made, and much time is lost due to frequent retyping of data. This while you can store regular jobs with associated assembly time and parts in the correct software. Using these saved calculations, you have valid data with a few clicks, and planners can plan the job immediately without requiring much thinking from your employees.
Get started with optimizing your resource planning
Today, the installation industry is perhaps busier than ever before. Efficient planning is crucial to make maximum use of your capacity. An ERP software for installation companies with a suitable planning module helps you to optimize and, if possible, even automate your planning. This makes your planning more efficient, reduces planners’ workload, and makes it easier to implement changes. Suppose you also have to deal with urgent jobs. In that case, the most suitable mechanic is selected based on location and available parts in his bus. And if necessary, the software considers the authorizations and certificates of technicians so that you comply with legislation and regulations at all times.
Always work on location with a Field Service App and digital work order
Our consultants regularly hear stories from installers about working with paperwork orders. If these are subsequently lost, it is no longer noted which work has been performed, and invoicing for this is also tricky. Make sure your employees use a Field Service App. This app ensures that everyone works according to specific guidelines so that your installation company works uniformly, reduces errors, and makes work easy to find. In addition, it is easy to register time worked and used parts directly. All this information is immediately visible to the financial department so that invoicing is done quickly and correctly.