Worried about wasted service costs? Makes sense. Everyone wants to save money. It’s the simple things that impact the bottom line, like service costs. To see this, just follow the paper trail. Understanding how money flows through an organization provides a very clear view into ways to improve the company. Oakwood pays a lot of attention to these simple but important things.
Saving A Company Some Money | Case Study
One example of this was recently seen in a company that provides services to consumers. This organization like many professional services organization is equal part service provider & service broker. In today’s economy, services are better when companies partner together. However, following the paper trail in this organization demonstrated that 70% of their outbound expenses were going to third-party service providers.
While the services from their third-party partners were seen as mission critical & vital to the success of the organization, they resulted in a cost like any other activity. Where there is cost, there is likely waste and therefore cost reduction.
Service Costs | How We Delivered Success
While building a new interface to manage this customer service management process, our joint team (Developers/BAs, Product Owner, Data Experts) realized that the service assignment process was far from cost-effective. Essentially, the representatives executing this process were focused on completing the task as quickly & efficiently as possible. However, they did not have the data to make quick, efficient decisions that were commonly the most profitable.
With limited investment, relative to the larger project, we tapped some of our Business Intelligence experts to help us construct data structures which evaluated service provider profitability and customer satisfaction ratings. With this information, we simply re-sorted & prioritized the list of service providers available during assignment to maximize the return while minimizing future re-work due to poor service. As a result, the representative lost no functionality & in many cases wouldn’t have even noticed the change in appearance.
However, this approach significantly increased profitability across the board. As a result, it took a significant chunk out of their biggest cost center. Estimates suggest a savings of 30%+ on operational expenses (OpEx). Nice return for resorting a simple list of service providers.
Review our case studies and engagements where we helped companies just like yours solve a variety of business needs.
Since 1981, Oakwood has been helping companies of all sizes, across all industries, solve their business problems. We bring world-class consultants to architect, design and deploy technology solutions to move your company forward. Our proven approach guarantees better business outcomes. With flexible engagement options, your project is delivered on-time and on budget. 11,000 satisfied clients can’t be wrong.