Fix limited visibility of stock at dealerships and get closer to customers
AGCO had several burning issues it needed to address. The low level of system integration between AGCO and its dealers meant parts planning was often a guessing game that reduced the first-time fix rate, leaving customers frustrated and dealers losing sales.
These barriers between AGCO, its dealers, and end customers also meant that a lot of point-of-sale (PoS) information was missing, making it harder to detect problems with machinery, gain insights into customer consumption and loyalty, and understand the competition.
Meanwhile, because some inventory wasn't moving, dealers felt the impact on their profits and needed more working capital. In addition, keeping track of parts was a physical chore that took time and effort without, in their view, adding value. Warranty claim handling, service and technician management and administration also reduced time spent with customers.
Without the necessary spare parts, customer equipment was out of action for longer than average, unless they were willing to pay for expensive emergency orders. And because they didn't have reliable service schedules, they were reactive rather than proactive when their equipment failed.