{"id":13321,"date":"2015-06-25T10:36:15","date_gmt":"2015-06-25T14:36:15","guid":{"rendered":"http:\/\/www.enxmag.com\/twii\/?p=13321"},"modified":"2015-06-25T10:36:15","modified_gmt":"2015-06-25T14:36:15","slug":"inside-the-numbers-indiana-business-equipment-takes-service-excellence-seriously","status":"publish","type":"post","link":"http:\/\/www.enxmag.com\/twii\/enx-features\/2015\/06\/inside-the-numbers-indiana-business-equipment-takes-service-excellence-seriously\/","title":{"rendered":"Inside the Numbers: Indiana Business Equipment Takes Service Excellence Seriously"},"content":{"rendered":"<p><img loading=\"lazy\" class=\"alignleft size-medium wp-image-12708\" src=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2015\/05\/BEI-ENX-Service-Award-e1435152932832-300x246.jpg\" alt=\"BEI ENX Service Award\" width=\"300\" height=\"246\" srcset=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2015\/05\/BEI-ENX-Service-Award-e1435152932832-300x246.jpg 300w, http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2015\/05\/BEI-ENX-Service-Award-e1435152932832.jpg 451w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/>There\u2019s so-so service, there\u2019s good service, and then there is the kind of service that Indiana Business Equipment (IBE) provides, service based on measurable metrics that clearly identifies just how well the dealership is doing compared to everyone else in the industry using the same metrics.<\/p>\n<p>And what those numbers show is nothing short of impressive. We\u2019ll get around to that shortly. First let\u2019s meet IBE.<\/p>\n<p><strong> Humble Beginnings<\/strong><\/p>\n<p>IBE began in 1987 as a two person manufacturer\u2019s rep selling copiers and typewriters. Since then the dealership has grown to 15 employees and has moved into a new 10,600 square foot facility.<\/p>\n<p>The dealership, run by co-owners David and Tom Goss, services customers in nine counties in West Central Indiana and six counties in East Central Illinois within a 90-minute radius of the company\u2019s headquarters in Terre Haute.<\/p>\n<p>\u201cThe nice thing about being in a rural area is we have a variety of customers from single unit locations up to large government, college, and medical installations,\u201d says David. \u201cAll customer sizes are important to us and we have a good representation in all market segments and sizes.\u201d<\/p>\n<div id=\"attachment_13322\" style=\"width: 310px\" class=\"wp-caption alignleft\"><img aria-describedby=\"caption-attachment-13322\" loading=\"lazy\" class=\"size-medium wp-image-13322\" src=\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2015\/06\/IBE-Service-Team-1-300x200.jpg\" alt=\"The owners of IBE pose with the dealership\" width=\"300\" height=\"200\" \/><p id=\"caption-attachment-13322\" class=\"wp-caption-text\">The owners of IBE (center) pose with the dealership&#8217;s service team.<\/p><\/div>\n<p>Four full time technicians and a couple of part timers who take additional service calls when necessary are responsible for servicing 1,500-1,600 machines under contract.<\/p>\n<p>IBE is a single-line Canon dealer, something that\u2019s an exception in the industry.<\/p>\n<p>\u201cWe thought it made sense to focus on doing one thing really well vs. being adequate at two or three things,\u201d explains David. \u201cWe also are probably an exception in that we use all OEM parts and supplies in servicing our Canon machines.\u201d<\/p>\n<p>Prior to partnering with Canon in 2009, service was a modest part of the company\u2019s revenues. For many years the manufacturer was responsible for servicing IBE\u2019s customers. Things changed with the switch to Canon and since then IBE\u2019s service revenue has grown by double digits every year. That double-digit growth has ranged from a low of 20 percent to today where service represents 44 percent of IBE annual revenue.<\/p>\n<p>\u201cOur main focus has always been to treat customers the way we would want to be treated and always do the right thing for the customer,\u201d says Tom. \u201cOur focus on the customer by every employee in our business is the main reason for our tremendous growth over the years.\u201d<\/p>\n<p><strong>Ramping Up Service<\/strong><\/p>\n<p>When IBE transitioned to the traditional sales\/service dealer model in 2009, management understood that the biggest challenge would be building a competent and effective service organization to take care of customers and be a profit center for the business.<\/p>\n<p>It helped that both of IBE\u2019s owners possessed strong marketing backgrounds.<\/p>\n<p>\u201cWe believed the way to do that was to invest in the best people, training, equipment, and software from the beginning,\u201d notes David.<\/p>\n<p>That started with hiring Forest Raines as IBE\u2019s service manager. Raines shared IBE\u2019s company values and his 27 years of experience in the industry was an excellent foundation for the dealership\u2019s service organization.<\/p>\n<p>Canon has played a huge role in IBE\u2019s service department\u2019s success by supplying reliable equipment and excellent training support. \u201cAll of our techs go through Canon factory training on every product they service vs. in house training,\u201d says Raines.<\/p>\n<p>Not too long after bringing on Raines IBE signed on with BEI.<\/p>\n<p>\u201cI can\u2019t tell you how important that decision was,\u201d emphasizes David. \u201cBEI gives us objective data that allows us to plot a course of continual improvement.\u201d<\/p>\n<p><strong>The Truth of the Matter<\/strong><\/p>\n<p>As much as David doesn\u2019t want to bring up an overused phrase regarding why dealers typically select BEI Services, he can\u2019t ignore the reality. \u201cBEI shows us \u2018what good looks like.\u2019\u201d<\/p>\n<p>IBE\u2019s numbers are excellent with a first call fix rate running in the 65 percent range. Their call back rate is exceptional too, according to BEI\u2019s Steve Sharkey.<\/p>\n<p>\u201cOur goal is 25 percent; these guys are consistently in the low 20\u2019s; right now they\u2019re at 22 percent,\u201d reports Sharkey. \u201cAnd their incomplete for parts rates run in the teens. Right now it\u2019s at 14 percent, but I\u2019ve seen it as low as 10-11 percent in certain months. It\u2019s a very good indicator that not only are the technicians well stocked from a prepared for parts standpoint, these guys have the technical skills so when they get in front of a machine the vast majority of the time they\u2019re able to address the problem and get the customer up and running.\u201d<br \/>\nIt\u2019s not like IBE was doing a poor job prior to implementing BEI. \u201cWe were actually pretty good to start with,\u201d reports Raines. \u201cBEI came in and worked with us and saw that our numbers were good, and were able to help us fine tune car stocks for the geographical area we cover. That\u2019s been a huge help; our hold for parts percentages have improved the most because of BEI.\u201d<\/p>\n<p>Using BEI data, IBE revamped its entire parts inventory and car-restock process in an effort to improve hold for parts numbers. \u201cIt\u2019s critical, especially in our rural geography, that we fix machines on the first visit and get them to run as long as possible between calls,\u201d says Tom.<\/p>\n<p>Another benefit is that management can sit down with techs individually on a monthly basis and review their performance using objective data and plan out where they can improve.<\/p>\n<p>\u201cThat\u2019s where a big part of the value comes from,\u201d states David. \u201cThe goal is to improve our customer experience and by doing so the techs can leverage the BEI Comp Plan. We are all rowing the boat in the same direction.\u201d<\/p>\n<p>These reviews are something that BEI\u2019s Sharkey finds essential. \u201cWhether you\u2019re using BEI or not, you owe it to your people to give them regular and routine feedback, let them know what they\u2019re doing well and recognize that and also identify areas where individuals can improve and become a more valuable asset to the company. Technicians are dying for that information and attention and the fact that these guys do that every month is a big part of the reason they\u2019ve been as successful as they have been.\u201d<\/p>\n<p>Is Raines satisfied with the numbers or does he see areas where IBE can improve?<\/p>\n<p>\u201cI don\u2019t think you can ever be satisfied,\u201d he says.<\/p>\n<p>And with David chiming in about \u2018parts,\u2019 Raines adds, \u201cWe want to make sure the guys are using parts instead of assemblies whenever possible.\u201d<\/p>\n<p><strong> Diamond of Excellence<\/strong><\/p>\n<p>Everyone at IBE was ecstatic to learn that it achieved the Diamond of Excellence Award. This is particularly impressive considering they only started laying the foundation for their service organization six years ago. Management views this award as a testament to Raines\u2019 direction and dedication and IBE\u2019s continuous commitment to customer satisfaction.<\/p>\n<p>Plus, IBE techs who have been with the company for at least one year have earned individual BEI Services awards, including one tech that achieved the highly coveted Diamond level, which places him in the top 5 percentile of the more than 6,300 techs monitored by BEI nationwide.<\/p>\n<p>\u201cIt\u2019s something we\u2019re all proud of here, not just the techs,\u201d acknowledges Tom. \u201cEverybody that touches our customers on a daily basis from the dispatcher to the delivery people played a part in that award.\u201d<\/p>\n<p>And earning this award can\u2019t help but contribute to customer retention, something that IBE excels at already.<\/p>\n<p>\u201cOnce we get a customer we don\u2019t lose them very often; we have a loyal customer base,\u201d adds David.<\/p>\n<p>\u201cEverything we do here is customer first, whether it be the person answering the phone or dispatching service calls, and the technicians do a great job of carrying that out,\u201d emphasizes Raines. \u201cIt\u2019s the customer that determines our ultimate success and everyone gets that here.\u201d<\/p>\n<p>Additionally, the Diamond Award is a great motivator for everybody in the organization.<\/p>\n<p>\u201cIt\u2019s like reaching the playoffs in sports,\u201d says Tom. \u201cOnce you are there, you want to keep improving and come back again.\u201d<br \/>\nAsked if he has any advice for other dealers looking to improve their service operations, Tom says, \u201cIt\u2019s the best way to objectively monitor and benchmark not only your service department, but individuals as well, and to help techs become better. Without the data we wouldn\u2019t have the road map to go forward.<\/p>\n<p><strong>Indiana Business Equipment<\/strong><br \/>\n1301 Ohio Street<br \/>\nTerre Haute, IN 47807<br \/>\nwww.goIBE.com<br \/>\n<strong>Number of service technicians:<\/strong> 4 full time and 2 part time<br \/>\n<strong>Number of machines under contract:<\/strong> 1,500-1,600<br \/>\n<strong>How they\u2019re doing:<\/strong><br \/>\n\u2022 First Call Fix Rate of 64%<br \/>\n\u2022 Call Back Rate of 22%<br \/>\n\u2022 Incomplete for Parts Rate at 14%<\/p>\n","protected":false},"excerpt":{"rendered":"<p>There\u2019s so-so service, there\u2019s good service, and then there is the kind of service that Indiana Business Equipment (IBE) provides, service based on measurable metrics that clearly identifies just how well the dealership is doing compared to everyone else in the industry using the same metrics. And what those numbers show is nothing short of impressive. We\u2019ll get around to that shortly. First let\u2019s meet IBE. Humble Beginnings IBE began in 1987 as a two person manufacturer\u2019s rep selling copiers and typewriters. Since then the dealership has grown to 15 employees and has moved into a new 10,600 square foot facility. The dealership, run by co-owners David and Tom Goss, services customers in nine counties in West Central Indiana and six counties in East Central Illinois within a 90-minute radius of the company\u2019s headquarters in Terre Haute. \u201cThe nice thing about being in a rural area is we have a variety of customers from single unit locations up to large government, college, and medical installations,\u201d says David. \u201cAll customer sizes are important to us and we have a good representation in all market segments and sizes.\u201d Four full time technicians and a couple of part timers who take additional service calls when necessary are responsible for servicing 1,500-1,600 machines under contract. IBE is a single-line Canon dealer, something that\u2019s an exception in the industry. \u201cWe thought it made sense to focus on doing one thing really well vs. being adequate at two or three things,\u201d explains David. \u201cWe also are probably an exception in that we use all OEM parts and supplies in servicing our Canon machines.\u201d Prior to partnering with Canon in 2009, service was a modest part of the company\u2019s revenues. For many years the manufacturer was responsible for servicing IBE\u2019s customers. Things changed with the switch to Canon and since then IBE\u2019s service revenue has grown by double digits every year. That double-digit growth has ranged from a low of 20 percent to today where service represents 44 percent of IBE annual revenue. \u201cOur main focus has always been to treat customers the way we would want to be treated and always do the right thing for the customer,\u201d says Tom. \u201cOur focus on the customer by every employee in our business is the main reason for our tremendous growth over the years.\u201d Ramping Up Service When IBE transitioned to the traditional sales\/service dealer model in 2009, management understood that the biggest challenge would be building a competent and effective service organization to take care of customers and be a profit center for the business. It helped that both of IBE\u2019s owners possessed strong marketing backgrounds. \u201cWe believed the way to do that was to invest in the best people, training, equipment, and software from the beginning,\u201d notes David. That started with hiring Forest Raines as IBE\u2019s service manager. Raines shared IBE\u2019s company values and his 27 years of experience in the industry was an excellent foundation for the dealership\u2019s service organization. Canon has played a huge role in IBE\u2019s service department\u2019s success by supplying reliable equipment and excellent training support. \u201cAll of our techs go through Canon factory training on every product they service vs. in house training,\u201d says Raines. Not too long after bringing on Raines IBE signed on with BEI. \u201cI can\u2019t tell you how important that decision was,\u201d emphasizes David. \u201cBEI gives us objective data that allows us to plot a course of continual improvement.\u201d The Truth of the Matter As much as David doesn\u2019t want to bring up an overused phrase regarding why dealers typically select BEI Services, he can\u2019t ignore the reality. \u201cBEI shows us \u2018what good looks like.\u2019\u201d IBE\u2019s numbers are excellent with a first call fix rate running in the 65 percent range. Their call back rate is exceptional too, according to BEI\u2019s Steve Sharkey. \u201cOur goal is 25 percent; these guys are consistently in the low 20\u2019s; right now they\u2019re at 22 percent,\u201d reports Sharkey. \u201cAnd their incomplete for parts rates run in the teens. Right now it\u2019s at 14 percent, but I\u2019ve seen it as low as 10-11 percent in certain months. It\u2019s a very good indicator that not only are the technicians well stocked from a prepared for parts standpoint, these guys have the technical skills so when they get in front of a machine the vast majority of the time they\u2019re able to address the problem and get the customer up and running.\u201d It\u2019s not like IBE was doing a poor job prior to implementing BEI. \u201cWe were actually pretty good to start with,\u201d reports Raines. \u201cBEI came in and worked with us and saw that our numbers were good, and were able to help us fine tune car stocks for the geographical area we cover. That\u2019s been a huge help; our hold for parts percentages have improved the most because of BEI.\u201d Using BEI data, IBE revamped its entire parts inventory and car-restock process in an effort to improve hold for parts numbers. \u201cIt\u2019s critical, especially in our rural geography, that we fix machines on the first visit and get them to run as long as possible between calls,\u201d says Tom. Another benefit is that management can sit down with techs individually on a monthly basis and review their performance using objective data and plan out where they can improve. \u201cThat\u2019s where a big part of the value comes from,\u201d states David. \u201cThe goal is to improve our customer experience and by doing so the techs can leverage the BEI Comp Plan. We are all rowing the boat in the same direction.\u201d These reviews are something that BEI\u2019s Sharkey finds essential. \u201cWhether you\u2019re using BEI or not, you owe it to your people to give them regular and routine feedback, let them know what they\u2019re doing well and recognize that and also identify areas where individuals can improve and become a more valuable asset to the company. Technicians are dying for that information and attention and the fact that these guys do that every [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1649,2195],"tags":[115,2283,2285,2282,2284],"_links":{"self":[{"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/13321"}],"collection":[{"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/comments?post=13321"}],"version-history":[{"count":1,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/13321\/revisions"}],"predecessor-version":[{"id":13323,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/13321\/revisions\/13323"}],"wp:attachment":[{"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/media?parent=13321"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/categories?post=13321"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/tags?post=13321"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}