Whats Is The ROI for Imaging Service Organizations That Access the Industry's Longest Running Printer Technician Training!
Since we have trained thousands of printer technicians you know right away where we sit on this topic. Of course we believe there is value in training. However, we are not the one who buys it. So realistically we need to look at this from a service managers stand point, who needs to get the approval of the CFO, CEO and/or board to answer the question; can you justify the cost of printer service techs training?
Today’s world is about efficiencies and controlling costs. Prices on devices are dropping and end users are putting the squeeze on the price of service, working down pricing on contracts, looking for better pricing in those MPS, MNS and any other agreement. How do you grow the margin when the deals get tougher?
Control costs just like the businesses you work for or own.
MPS was born out of a research paper that pointed to the last bastion that business had not yet gained control over – printing and copying costs. Before MPS, service or supplies for an end user company were often coordinated by each department and not the company as a whole.
A medium or large size company would often have multiple contracts for service, toner, paper, and other supplies. It all got recorded under the office supplies and outside services accounting codes thus mixing it in with the purchase of pens, paper clips, HVAC repair, and trash pickup.
MPS and MNS also created challenges for service providers in controlling their costs in order to improve margin. In the old days when service profit was fat and unit sales paid a good commission for a reason, there was room for fudging and errors. Today there is far less and errors can be costly.
Many service companies have become more sophisticated or perhaps better put, corporate. It used to be the President/Owner, VP of sales, VP of service and some others ran the business. Now there are CEO’s, CFO’s, CIO’s, COO’s followed by VPs and directors, not to forget board of directors, who are seriously focused on a well run and functioning business to serve their customers AND make a good profit.
Controlling costs to increase profit takes on many forms. Most companies have learned how to control printer parts costs calculating for toner and parts, keeping a balance on quality by measuring how long the toner or part lasts which reduces callbacks or early maintenance. The fewer times a tech has to show up at a business under contract, the more profit the company is able to make.
After supplies and consumables, the next piece of the puzzle is the actual service call. Today’s world is challenging for techs; there are so many models from multiple OEM’s they now support. To be profitable the service tech needs to accurately trouble-shoot the device and repair it if they have the part.
If not, it’s an incomplete call and the tech needs to return when the part arrives which is not uncommon. However, making a third or even fourth trip to the customer site due to wrong printer parts orders or misdiagnosis can be quite costly in excessive labor.
For many companies, the cost of sending a tech out on a call is around $75. Return day 2 with part in hand and you’re now $150 into it – not including the part and shipping. If they have to return a third time, $225, or fourth time, $300 – plus more parts & shipping, not to mention the other parts ordered earlier you may or may not want to keep. You now have to start asking questions.
Is the product old? Is it a known bad model (OEMs like to wait 10 years before admitting a unit was a dog). Is this a problem unit? If history shows it’s not a problem model and it eventually gets fixed you need to start looking at the service tech. I’m sure they’ll be unhappy already because it hurt their efficiencies for bonus or other incentive. Do they struggle with other service calls? Does it isolate down to a set of models or brand. Does it happen only on Mondays or Fridays – you laugh.
Sometimes the issue isn’t a problem unit or a problem tech, but ignorance. Ignorance according to the Merriam Dictionary is “a lack of knowledge, understanding or education” Thus ignorance isn’t stupid or being bad at something, it’s a matter of not knowing. When you don’t know because you haven’t been given the knowledge, the remedy is training. When doing training, do it right as those misdiagnosis costs start adding up real quick.