Maximizing the profitability of B2B after sales service contract portfolio remains key challenge for Original Equipment Manufacturers (OEMs) and maintenance service providers. Analysts estimate that ineffective control and management of supplier contracts costs businesses in the US $153B per year in missed savings opportunities. Inefficient process for sales opportunity identification leads to poor win rates while inaccurate forecasting of failures / maintenance events can result in sub optimal pricing. Billing leakage, non-compliance and inefficient processes often result in significant service revenue loss. In depth analytics can help optimize many of these operating metrics and improve service contract profitability.
Genpact’s Contract Analytics Service leverages more than 750 plus man-years of experience and cutting-edge tools like ‘Service Contract Optimizer’ to help Head of Services, Finance and Risk organizations of Original Equipment Manufacturer (OEMs) or Maintenance Service Providers achieve following:
- Better pre-sales enablement using market analysis and installed base mining
- Optimum pricing using reliability forecasting
- Contract setup and execution without any leakages
- Accurate forecasting of contract risks - technical, operational and financial
- Sustain the profitability through continuous monitoring and identifying cost out opportunities
Additionally, we have cloud/mobile enabled Genpact proprietary tool called "Service Contract Optimizer" which provides timely and granular analysis/recommendations to stakeholders.
|Service Contract Analytics can help achieve |
|10% - 15% improvement in Profitability by driving productivity; identified through analyzing historical cost and failure data |
|08% - 10% increased Revenue through optimum pricing; achieved by accurately forecasting the risks - both technical, operational and financial; associated with the contract |
|05% - 07% increase in Conversion Rate through win loss analysis and feedback mechanism to deal pricing. |
Reliability based Failure forecasting for Inverters: Reduced the overall part consumption by ~43% till the life of the contract
Contract Compliance: Ensuring Contract Compliance created incremental revenue of $42M over next 10 years of a contract
Offload Cost Analysis: $15 M of bottom Line Impact Delivered Improving Material & repair sourcing and financial account correction
Please contact us for more information on how to optimize service contract decisions at email@example.com