In Field Services, asking for more investment budget (budget needed for business process transformation) while incurring declining revenues is not generally acceptable in most organizations. But the challenge remains. So what are the tools and techniques that can help a Field Service executive achieve same Year ROI for investing in Field Services transformation? This presentation uses case studies to highlight proven tools and techniques to help make those needed investments in transforming your Field Services operations.

1. © 2007 – 2016 RTM Consulting, Inc. All Rights Reserved 1
Randy Mysliviec | Managing Partner, Field & Support Services | RTM Consulting, Inc.
6 Ways to Achieve SameYear ROI for
Field Services Transformation

2. Agenda
• Introductions
• Challenges of Achieving Positive In-year ROI in Field Services
• 6 Ways to Achieve Positive In-year ROI - Case Studies
• Selling Your Plan to the CxO

3. © 2007- 2016 RTM Consulting, Inc. All Rights Reserved.
Randy Mysliviec
Managing Partner, Field and Support Services
(also President and CEO)
39 years services and technology experience
IBM
Convergys
Author and innovator of the Just-in-Time
Resourcing® Solution
3

4. © 2007- 2016 RTM Consulting, Inc. All Rights Reserved.
4
Rapid Assess Design Transform RESULTS!
Innovative
Frameworks and
Transformation
Processes
Since 2007
Two Locations:
Cincinnati (HQ)
Wash. DC
>100 Clients
Worldwide
on 5 Continents
Services
Transformation
Experts for Tech
Companies
100+ Years of
Strategy and
Operational
Leadership
Experience
Management &
Operational
Consulting
#1 in Resource
Management:
Just-in-Time
Resourcing®
Consulting
Training
Technology
Staffing

5. Why Investing in Field Services is Unpopular?
• Business transformation costs money but budgets are declining
• CxO is reluctant to invest in anything ‘hardware’ related
• Therefore CFOs want most/all investments accretive in current
year
• Risk reward curve for FS executives drives most to the path of
least resistance – accept more cuts and move on
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 5
This presentation is designed to help FS executives learn how to invest in
FS needs and achieve in year savings leading to long term benefits!

6. RTMC Services Transformation Strategy for FS
Tactical execution of in-year transformation actions funds needed investments
Optimize Current Business Model
…to deliver current financial plans and enable investments in business transformation
Develop Services Engines of Growth
…to deliver incremental revenues and profits
Customer Value Proposition
…enhance value by enabling customers to consume full value of solutions
Workforce Transformation
…evolving mission requires workforce transformation
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 6

7. Case Study #1 - Restructuring for Success
• Multi-national/multi-$B technology firm
• Field Services facing massive cost reduction targets with company under
revenue pressure
• FS Exec decides to tackle the fish in a disciplined manner
• RTMC engaged to:
• Perform a high level assessment of the current business model, strategic initiatives,
current high level operating plans, and organization structure
• Design a business model to achieve target gross margin levels by:
• Improving current cost structure (org focused)
• Improving operating and cost flexibility (labor, parts, vehicles)
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 7

8. Optimizing the Current Biz Model
2-year target = $15M*
Organizational
Redesign
Parts and Vehicles $3 to $4M
Other Cost Opportunities
(Labor Utilization / Channel Optimization /
Travel / Other
$6M
$5 to $6M
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 8
Use of
bench-
mark data
helpful in
setting
targets for
‘what
good
looks like’
* target is cumulative savings from prior year spend. New run rate results in substantially greater long term savings.

9. Followed a Structured Process
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 9
Assess &
Architect
Build & Refine
Execute
Phase 1 Phase 2 Phase 3
RTMC FS Business Transformation Process
Actual/Projected Savings =
$18M (per year)
$3.5 (in-year)
$8M (in-year)
$6.5M
Organizational Redesign
Parts and Vehicles
Other Cost Opportunities
(Labor Utilization / Channel Optimization /
Travel / Other
 Organizational simplification
 Ops consolidation/more
shared support
 Improved operational and
client performance
 Improved decision and
execution effectiveness

10. Case Study #2 - Optimizing Cost (Vehicles)
• Multi-national/multi-$B technology firm
• Field Services facing significant cost reduction targets
• FS Exec identifies vehicles (using benchmarks) as an opportunity for
savings
• RTMC engaged to:
• Perform a vehicle management assessment to identify opportunities for
savings
• UseVariability Reduction techniques to accelerate time to savings
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 10

11. RTMCVehicle Optimization Landscape
• Strategic alignment/other
considerations on utilization
of vehicle
• Echelon stocking/parts
delivery capabilities
• Geographic/service coverage
alignment
• Price and lease/buy
• Company owned or
employee owned
• Special requirements and
aftermarket retrofits
Vehicle
Selection
• Monthly mileage-business
and personal
• Entitlement
• Fuel and Maintenance
• Accidents/Insurance/Driver
Safety Programs
• Personal Use/Legal and Tax
Consideration (Tool or Benefit
mentality)
• Technology available with
benefits far beyond vehicle
optimization!
Vehicle Use
• Timing/Aging of fleet
• Types of leases/purchase
options
• Tiered depreciation to
increase flexibility
• Maintaining proper
number of vehicles
• OEM marketing data
• Managing days to sell
Vehicle
Refresh
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 11
TSIA Benchmark

12. Followed a Structured Process
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 12
1) Which vehicle
2) How many
vehicles
3) At what
price
4) How to
maximize
usage
5) When to
replace
6) How to
remarket the
best
Improved type
mix:
- Lower
cost
- Better
reliability
Re-evaluated
inventory/
service needs
need and
consolidated /
optimized fleet
Some savings
for in-year
purchases (vs.
prior strategy)
but mostly
out-years
• Preventative
maintenance
and accident
redux focus
• Future
savings from
better use of
telematics
• Financial
analysis
produced
better mix of
lease vs.
purchase vs.
employee
owned
• Replacement
schedules
optimized
• Next year
plan to get
better resell
price yield
2015
2016
2017>$1200
Great progress! (mo. cost per vehicle)
<$1000
<$800

13. Case Study #3 - Labor Optimization
• Multi-national/multi-$B technology firm
• Field Services facing substantial cost reduction targets
• FS Exec identifies labor (using benchmarks) as an opportunity for
savings
• RTMC engaged to:
• Perform a labor/usage assessment to identify opportunities for savings
• UseVariability Reduction techniques to accelerate time to savings
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 13

14. • Competitive Wages
• Competitive Benefits
• Effective use of Flexible
Resources (Direct and
Indirect)
• Sourcing
Labor Rate
• Effective Supply and Demand
Management
• Density Management
• Technical Proficiency
• Repair Procedures, Policies
and Practices
• Knowledge Management
• Variability Management
• Management Processes
Labor Utilization
• Select, Develop and Retain
• Serviceability/Technology
• Remote Solutions and
Channel Optimization
• Product/Parts/Supplies
Quality and Availability
• Product Rationalization and
End of Life
• Customer Expectations and
Use of Solution
• Measures, Scorecards,
Rewards and Recognition
Labor Effectiveness
RTMC Labor Optimization Landscape
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 14
Channel
Optimization
(Shift Left)

15. Followed a Structured Process
Speed
Quality
Wage
Benefits
Direct Hours
Labor
Cost
Rate
Utilization
Effectiveness
Variability
Reduction
analysis
conducted to
identify outliers
and remediation
by region/geo
In-year savings ($4M)
and drivers:
Next year savings
($12M) and drivers:
• Utilization (partial yr.)
• Non-conforming WOs -
(improved FTF)
• Utilization (Full yr.)
• Non-conforming WOs -
(improved FTF)
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 15

16. Some Mini-Case Studies
© 2007- 2016 RTM Consulting, Inc. All Rights Reserved. 16
Revenue Growth
• Multi-$B multi-national
technology firm
• Renewals challenges
• Strategy to leverage tech
relationships
• Client facing skills a
challenge
•Solution:
• Successful soft skills
training pilot (2016)
• Broader rollout 2017
• Results tbc
Parts Optimization
• Multi-$B multi-national
hw/sw firm
• Cost redux targets to meet
• Parts costs known to be
above industry norms
•Solution:
• Variability reduction used
to identify opportunities
• $1.5M parts costs per
month savings began in
current year
Channel Optimization
• Multi-$B industrial
automation firm
• Labor cost challenges
• Decided to ‘shift left’
•Solution:
• Channel optimization
assessment
• Remote solves primary
area of focus
• 6 mos. implementation
• >15% on-site calls moved
to remote solve (in-year)

17. Selling Your Plan to the CxO
- Have a plan that is
accretive in the current
year (plan ahead!)
- Contemplate starting
early in your budget year
to maximize time to
results
Know your stuff
- Use benchmarks
- Often a third party can
help you fill gaps &
speed time to value
Have a detailed plan
showing needed
investment, Y1 ROI, and
execution plan
(consider a third party to
help with speed and
execution)
1 2 3

18. Contact Information:
RTM Consulting, Inc.
855.786.2555
info@rtmconsulting.net