Business success factor and differentiation

Today, customers have increasingly high expectations when it comes to services. Besides, companies themselves expect their service business to deliver additional revenues and contribute significantly to the improvement of profits.

Additionally, service business offers companies opportunities to successfully differentiate themselves from competitors by convincing solutions made of products and services. However, this only works when the service portfolio is optimised to fit customer needs – in spite of budget restrictions. Furthermore, many companies neglect systematic service pricing and still provide their services virtually for free. By doing this they threaten their long term positioning as a premium service and solution provider.

Developing the service business with an integrated approach

J&M supports companies in developing their service business more successfully. Based on a service vision and strategy we develop an optimal service portfolio together with our clients, improve their service processes and document and analyze the service business in the appropriate IT systems.Our consulting offering covers, amongst others, the following services:

  • Development of vision and strategy for the service business
  • Introduction of service eBusiness strategies
  • Optimisation of service portfolio
  • Market and customer segmentation for the identification of service demand and willingness to pay
  • Design of systematic service pricing
  • Introduction of consistent service innovation standards and methodologies
  • Design and introduction of KPIs to measure internal performance, service levels, customer satisfaction and cost efficiency
  • Analysis and optimisation of all service and maintenance processes as well as repair and overhaul processes
  • Analysis, evaluation and adaption of ERP and CRM systems to track and analyse the service business more efficiently
  • Design and introduction of customer portals and eShops for spare parts
  • Implementation of service measures and activities by management of change

Measurable success by optimisation of the service business

It pays off to work at the improvement of the service business. The results, that our clients achieved in projects with us, reflect this. Besides, soft factors such as an increased customer loyalty and the increased awareness of the value proposition of services, the following key figures improved significantly:

  • Increase of service revenue by 30-% in 18 months
  • Increase of service level by 10-% at equal costs
  • Increase of customer satisfaction by 20-%
  • Decrease of waiting time for customers in call centre by 40-%
  • Decrease of customer losses by 5-%
  • Increase of share of the service turnover at the total turnover from 15-% to 25-% in three years
  • Improvement of the service margin by 2.5-% in 12 months
  • Increase of the total revenue by 5-% p.a. by improved service portfolio
  • Improvement of EBIT within the spare parts business by 2-% within only three months
"The combination of profound knowledge of the industries of both, our customers and the end customers, and J&M's pragmatic approach have contributed significantly to the success of the project. Moreover, the structured and result-oriented way of moderating the pilot workshops has convinced the participants from 'Delivery Metallurgical Services' and 'Lifecycle Services for Drive Technology Motion Controls'. We will now transfer the results to other business segments"