Top 5 Reasons Service Resists MPS Despite many organizations’ HUGE success in MPS, there are still companies that have not quite made the leap to this business model. I don’t believe it’s that service leaders, or ownership, are not willing to make the transition; rather they simply get caught up in over-analyzing and planning for all the possible scenarios, which results in “paralysis by analysis.” Many of the concerns are valid; however, there comes a point when one has to take a calculated risk and execute the plan. When executed properly, the financial rewards are worth the risk. There are many reasons or “justifications” for not making the leap. Below are the 5 most common reasons for such hesitation. 1. Not clear on the financial benefits. From a support standpoint, it is easy to get comfortable in supporting your existing customers and business model. In most cases, the staff is trained and competent supporting your existing business. If the department’s current profitability is good, why make the change? As a service professional you might be asking yourself, “What’s in it for me, or my department?” The reason for the change and the major benefit to MPS is an increased service margin. This margin should be 60%+ and will enable your company and department to grow. For established organizations you are just adding to a core competency of servicing your clients. Your department has the infrastructure in place and MPS will allow your company to be further integrated into existing accounts and gain new business. Not to mention your organization is already the preferred provider for many of its clients. 2. How can I technically support all of these different makes and models? This is a very valid question. First ask yourself, “What are the current makes and models your organization is competent in supporting?” Are there similarities? There are many similarities in makes and models and you might be surprised that your team is already supporting some of these products. The image and mechanics are similar, although I’m not saying they are the same, but the workings of these print devices are comparable. You would also be amazed at the available service documentation available on the web for even the “odd ball” printer. Consider creating an ongoing technical database of service manuals, schematics, parts diagrams, and supply lists for popular devices within your accounts for your technicians. Many of the parts suppliers have this information readily available and they might provide training. If you are not supporting HP or Lexmark today, this is a must. I am amazed today at how many other manufacturers are providing parts and training support for HP and Lexmark devices. 3. Not sure how to get parts and supplies? Again, this information is available online and you might already be sourcing your parts from qualified providers i.e. Katun, Parts Now, Metrofuser, or Depot International just to name a few. A reputable vendor should be able to provide you with a list of high mortality items for specific devices to further enable your organization to prepare for potential needs. When considering a source for parts and supplies a qualified vendor can drop ship items to various locations in case of an emergency or for a specific client need. 4. Fear of changing the service delivery approach. One of the keys in an effective MPS program is keeping your labor costs under control. A client-facing help desk is a fantastic way to control your labor and your travel costs, and can lead to a quicker response time for your customers. The client/tech relationship is vital in servicing a customer’s MFD needs because your technician is in front of these customers more frequently. These products typically have higher call durations and lower mean time between failures. Even though MFDs today are much more reliable than those in the past, printers still have lower call durations and typically produce higher image counts between service calls; which means your technician is not at these units, or with the customer, as often. I am not inferring that the client/tech relationships are not important (especially with major accounts). But any time a service call is avoided by resolving the issue over the phone, it results in a faster uptime and a lower cost to service. 5. Collecting meter reads manually. It is no secret that an electronic means of data collection is a must for an efficient program. And no question there are great systems out there to help dealers accomplish this, but there will be times when you will not be able to electronically collect reads for all the local devices. Unfortunately in these cases, meter collection has to be done manually. The more printers you get under contract, the more you increase the likelihood of manual intervention. The key to this scenario is keeping your labor cost down by not sending your highest paid technicians, or other high paid employees. Consider sending an entry level technician or lower paid admin person to reduce this expense. It is not too late to get on board the MPS train to success. Don’t wait too long though, or your MPS competitor is going to start taking your accounts. Ken Staubitz is a service consultant with Strategy Development Ken has over 14 years of experience in all levels of service operations and MPS service structure. Ken was formerly with Modern Office Methods (MOM) in various service and operational roles, most recently as MOM’s director of client services overseeing a service operations and management staff of more than 60 employees. Ken served on the Lanier Dealer Advisory Council and was an E-Automate Service Committee member. He can be reached at staubitz@strategydevelopment.com or (513) 200-2169.