Improve your business resilience with steady revenue from new, high-margin value-driven business models. Build closer partnerships with your customers to help them maintain today’s complex, customized heavy equipment. Drive efficiency in all service-related activities with information only you can provide. Tune service to the actual need, and build know-how to continuously improve your equipment.
Make your business more resilient and improve customer retention in a turbulent global economy by complementing cyclical new equipment sales with recurring, high-margin revenue from services and value-driven business models.
The average operating margin from the aftermarket business globally is about 2.5 times the operating margin from new equipment sales. (Deloitte)
Percentage of defecting customers that leave because of bad service, not price or product quality. (FarmEquipment.com)
SaaS offerings can help companies create significant value and achieve incremental top-line growth of 10 to 25 percent while increasing customer loyalty and satisfaction. (McKinsey & Company)
Help your customers get the most out of their investment by accelerating service execution, optimizing service scheduling and focusing on continuously improving current and future equipment.
There are three key paths to turn service into a profitable business with service lifecycle solutions:
Avoid downtime by ensuring service execution has accurate information that reflects the actual configuration of the equipment. With full asset traceability, you can:
Leverage your knowledge from product design, engineering and manufacturing to drive efficiency in service operations. Support service technicians with comprehensive and up-to-date service-related documents specific to each individual piece of equipment. With accurate service information, you can:
Build service and maintenance intelligence to anticipate service needs and improve overall machine performance. Collect data via sensors and apply analytics to adopt a predictive maintenance strategy. With predictive maintenance, you can:
Well-executed services businesses can increase customer satisfaction by 10 to 20 percentage points and reduce costs by 15% to 25%. (McKinsey & Company)
Predictive maintenance typically reduces machine downtime by 30 to 50 percent and increases machine life by 20 to 40 percent. (McKinsey & Company)
With 65 percent of CO2 coming from the use of a product over its lifespan, service is the single most impactful lever for your company’s greenhouse gas footprint. (Deloitte)
Protect your brand by factoring in serviceability as a design criterion for today’s complex heavy equipment.
Service lifecycle analytics for heavy equipment is a collection of activities aimed at helping OEMs leverage their unique product knowledge to enrich the service and maintenance value chain as well as improve current and future equipment based on feedback from the field. With service lifecycle analytics, OEMs can provide more comprehensible serial number specific service documentation, optimize service planning, orchestrate service execution, anticipate service needs and build know-how on how to improve equipment for various aspects. Equipment lifecycle management solutions will help OEMs become a partner for their customers, rather than merely a vendor. One they trust to help them continuously maximize uptime, reduce maintenance costs and improve productivity throughout the entire lifetime of their investment.
Service lifecycle management is a group of service-related activities, enabled by a subset of product lifecycle management capabilities. Product lifecycle management is an approach that enables OEMs to track each individual piece of equipment throughout its entire useful life, cradle to grave. The foundation of this approach is to deploy a common data infrastructure between all equipment lifecycle stages, including design, engineering, manufacturing, and operation. All information regarding each individual piece of equipment is kept up to date and all decisions and changes are captured and documented. Product lifecycle management is a key enabler to many applications that require closing the loop between different areas, including continuous requirements verification and validation, smart equipment capabilities, heavy equipment smart manufacturing and service lifecycle analytics.
Service lifecycle analytics features data continuity between design, engineering, manufacturing and service - facilitated by an underlying product lifecycle management system. Information can flow both upstream and downstream in the process, which is essentially the definition of having a closed loop. A bi-directional information exchange allows for input from one stage to be passed onto the next one without discontinuities or error-prone data conversions involved. In addition, that information collected along the way can be fed back to earlier product lifecycle stages, even in real time, to support initiatives for improvement to either current or future equipment.
When heavy equipment design and engineering departments stay connected to equipment in the field through a comprehensive product lifecycle management system, they can collect data on parameters that are representative for performance loss or wear via sensors and compare those with their originally intended values. This can happen either continuously during operation, or at discrete points in time at the service location. By analyzing this information, design and engineering teams can detect and interpret anomalies, anticipate service needs and initiate corrective actions, either manually or automatically, as part of a predictive maintenance strategy. By doing so, they can ensure any piece of equipment in the field always performs as intended, and is compliant with requirements.
Siemens’ service lifecycle analytics solution helps OEMs drive efficiency in service execution by providing technicians with well-illustrated manuals, part catalogues, work instructions, training materials and service kits. These resources would be specific to each piece of equipment and up to date, reflecting the as-maintained configuration. This will increase first-time-fix rates and reduce turnaround times. In addition, when linking Siemens’ service lifecycle analytics solution to their corporate ERP system, OEMs can streamline their process to supply spare parts to the service location, and thereby improve efficiency while reducing overall inventory costs. This solution also enables OEMs to plant the seeds for adopting a predictive maintenance strategy. Reactive maintenance leads to expensive repairs and unexpected downtime for customers, while preventive maintenance leads to unnecessary spending. Predictive maintenance allows OEMs to tune service to the actual need, saving time and cost while keeping equipment performance optimized at all times. OEMs can also leverage feedback from service execution in design and engineering, improving the next generation of equipment for serviceability, and reducing service-related costs long term.
On-demand webinar | Turn equipment service-related activities into a competitive advantage
On-demand webinar series | Service lifecycle management
Podcast | The importance of service lifecycle management
Blog | Keys to reduce time and cost for service documentation and tech pubs
Blog | Top 4 reasons why fleet maintenance will make OEMs successful
Infographic | Optimizing service performance