Data is one of the key driving forces underpinning the modern day economy, but asset and service data specifically, is absolutely crucial.
Organisations collect, aggregate and analyse plenty of it, but the way in which they do this can either be the catalyst for soaring above competitors, or the iceberg that sinks the ship.
Equally, outcome-based business models, which could be considered the next generation of the modern economy, might be a “make or break” moment in the lifespan of many global organisations. An outcome-based business model is focused on the outcome for the customer rather than a specific product. Customers receive extensive maintenance and support services after they have purchased the product, helping to nurture their relationship with the supplier.
In addition, customers only pay per outcome.
For example, the ability to only pay for a jet engine while it is in the skies, or an MRI scanner that is fully functioning and actually able to carry out a scan on a patient. Essentially, this type of model ensures that the customer always has the right outcome, enabling them to grow their own business while fostering a healthy client-supplier relationship.
Whether organisations can make an effective transition to this relatively new form of business model will likely be intrinsically linked to their ability to successfully collect and use data derived from their assets and will ultimately decide whether or not they stay afloat.
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Summary of Key Findings:
- Surveyed IT and field service decision makers would only categorise 19% of their organisation’s current business model as outcome-based, on average.
The vast majority (95%) of respondents, whose organisation does not currently operate a 100% outcome-based business model, state that their organisation is currently working towards moving some or all of its products and/or services towards such a model, or is planning to in the future.
Just under nine in ten (89%) respondents believe that a move to more outcome-based business models willenhance the way that their industry operates.
- Over eight in ten (82%) agree that servitisation will make their company more competitive than ever before.
- Only 50% of respondents report that they or other service leaders in their organisation completely trust the asset service data that they have access to.
- A minority (22%) of respondents believe that the IT and field service functions in their organisation work together completely effectively to achieve the goal of better data utilisation.
- Over three quarters (77%) of respondents agree that the pace of data intelligence digitally collected by their organisation’s assets is outpacing the skills of those responsible for using the data.
- More than four in ten (43%) of those surveyed assert that the process of collecting and entering asset service data in their organisation needs to be automated to a huge extent, or that this is completely required.
- The majority (84%) of respondents believe that the successful utilisation of asset data can positively impact all areas of the business.
- On average, respondents believe that their organisation’s revenue will increase by 14.15% and their operational costs will decrease by 12.03% over the next 12 months as a result of automatically collecting, aggregating and analysing asset service data.
- For every $1 invested in ensuring that they can automatically collect, aggregate and analyse asset service data, respondents anticipate that their organisation would expect a return of $4.44, on average.
Approaching nine in ten (86%) respondents agree that the more asset service data is used, the more value it brings to the organisation.