Field Service KPIs
We've identified the most crucial KPI (Key Performance Indicators) for a field service manager and their team.
Download scorecards where companies can track their field service technician goals.
The Basic Metrics of Field Service KPIs
Much of today’s businesses require astute quantitative calculating of business performance and continuous tracking and assessment of industry status. Reaching your field service technician goals is easier if you break it down into measurable detail with the use of a scorecard.
One of the metrics that is necessary for all businesses is the amount of time field service engineers spend on each individual client.
In the 1980s, Japan introduced “quality circles” whereby staffing was grouped according to quality control guidelines for each particular phase of business. This idea led to field service analytics that calculates time vs. cost of field service business operations.
Few businesses can ignore the significance of key performance indicators (KPIs) as part of business management and leadership.
The basic metrics of field service involves both tactical and strategic key performance indicators. Add to this financial and operational key performance indicators and the need for actual and projected KPI data.
Thus, field service KPIs are composed of three elements that include business operations, sales and marketing, and finance. All of which are intertwined in the performance of daily business operations.
There are several benefits of utilizing KPIs in your field service business. These include:
- Development of integrated, measurable goals for your team
- Dissemination of KPIs into data sets for business forecasting
- KPIs being a powerful business tool for leaders and management
- To easily share data with key staffers and employees
Read more about implementing KPIs now to elevate your performance, measure success, and drive impactful results.
KPIs for Field Service Managers
When you’re streamlining your field service management and finances it can be difficult to keep focused on your goals. For project managers, it often feels like there are too many fires to put out before they can get to the nitty gritty of growing a business. But this is not necessarily the case – when you start tracking performance, a pay-off is the sense of satisfaction you get when you see that the numbers are in line with your goals. Then the hundreds of smaller jobs form a part of the whole.
It can happen that you lose track of your goals and this can be a wake-up call to better prioritize daily tasks or to find smarter ways of doing things. If certain issues keep arising, maybe there is a systematic problem that needs to be solved. At Fusion CPA, our business advisory services are aimed at finding and solving these issues.
Utilization
Get to the bottom of time spent on actual billable work vs time spent on other tasks like internal meetings and admin. Team members need to have a percentage goal identified, as billable hours should take priority, but they still need to set time aside for other duties.
To ultimately enhance your profits, it’s essential to track and measure each activity-based event on a weekly basis, whether it’s associated with operations, finance, or sales and marketing. Using an eCommerce scorecard and KPI for each element can get this done effectively.
Response time
Measuring response time ties in with what happens in scheduling: If a worker’s response time is too long, they might not have the resources or an optimal schedule. If it is shorter than average, they may be under utilized.
Average time to completion
Knowing the company’s average time to completion for certain tasks helps streamline scheduling and identify where individual field service workers are taking longer than average. This might mean that they need assistance, or that a certain task takes longer and needs to be identified as such in the future for accurate billing.
Rework percentage
The percentage of total jobs that needed to be repeated because something wasn’t perfect the first time round. This is important for customer satisfaction as well as profit! Identifying how this percentage can be minimized is key.
KPIs for Field Service Engineers
Customer Satisfaction
Customer ratings are a good indication of the level of service they received. It can also point out problems where customers did not have realistic expectations – which need to be addressed by sales and marketing in the future – or workers weren’t properly equipped.
Jobs completed on schedule
Measuring response time ties in with what happens in scheduling: If a worker’s response time is too long, they might not have the resources or an optimal schedule. If it is shorter than average, they may be under utilized.
Rework
Percentage
The percentage of jobs that need to be revisited. The lower this percentage, the better. Not to be confused with upsells or repeat customers.
Reach Your Goals in Field Service Sales
Today’s customers are purpose-driven and focused. With this comes the need for businesses to relate emotionally to prospective customers. The use of KPIs can also improve employee focus and accountability, as they are responsible for tracking their progress and reporting on their work. It creates a greater sense of ownership for individuals.
Each time a sale is completed, it has a specific track record that begins with a field service sales person who meets with prospective clients. The duties of a sales person for field service technicians include:
Number of leads followed up on
This can also be expanded to include the number of demos or explanation of services that a salesperson has completed per week.
Percentage of problems solved
Sales teams need to know enough about your services to assist clients before and after you’ve completed your sales. Measuring the percentage of problems that could be solved by the sales team will motivate them to learn more and be more helpful, and ensure better client relationships. If this percentage is lower than average, there can be a need for more training.
Finance Team KPIs for Tech Companies
Engineer billable time
Business expenses
Cost of overtime hours
Fix/repair costs
Completed vs. invoiced jobs
This is an important metric that is often forgotten. If invoices are not sent in time, and followed up on, businesses lose a lot of revenue.All of the above factors affect the most important business goal: a healthy, stable, flourishing bottom line. As such, savvy business owners and entrepreneurs rely on KPI charts to disclose critical performance data.The cost of managing KPI for field service engineer projects can be prohibitive and untimely without the use of measurable, realistic goals.Get Tailor-Made KPIs
We optimize KPIs to suit your business – from daily operations to finalizing data and reporting on the most important factors that determine business success. We customize every KPI for field service engineers that adapt to business needs and optimal employee productivity.
Fusion CPA provides our clients with a viable means of quantitative measurement of business and staffing performance. If KPI is not already a business tool or if your existing KPI planning needs adjustments, contact Fusion CPA and discuss your needs.
Create a KPI Chart to Track Field Service Technician Goals
For field service engineers, a KPI chart includes time and labor disseminated as individual segments of key performance indicators.
If there is a large group of field service engineers, the chart may be broken down categorically according to their level of experience or number of clients serviced.
The chart may further calculate performance by positive and negative factors, such as the highest and lowest numbers of repairs and repair costs within each category.
Conceptual Strategy to Implement KPIs
The larger a business becomes, the more KPIs as a metric strategy become an essential tool to gauge the overall corporation’s profitability and success. However, KPIs are also useful for determining how well business goals have been met.
When a business owner or entrepreneur organizes their field service engineering staff according to KPIs, they find increased clarity, communication, and an interface between management and staffing.
Fusion CPA can assist you with the creation of the best KPIs for field service – and so much more! Working with us is a finance 360 for our clients.