Case Study

Reducing Inventory And Logistics Costs

Source: CSDP Corporation

A leading hi-tech organization wanted to reduce inventory and service costs while improving customer satisfaction levels. The company had approximately 700 frontline tech support personnel and 7,000 field technicians, and received over 10,000 customer requests per week. At the outset, there were delays due to unavailable parts in 40% of cases, and multiple customer interactions we required before work completion.

CSDP implemented an SRM © solution for the company's existing CRM, which allowed contact agents, field technicians, and inventory managers to access a central knowledge base. This facilitated greater coordination of activities, increased access to repair histories and technical guides, and more effectively automated service processes. This phase of the solution was implemented ahead of schedule and 29% under budget.

As a result of CSDP's SRM © solution, this company has improved their first-call resolution rate by 23% and has become a proactive service provider. These improvements eliminated the need to dispatch field personnel for many calls, leading to decreased labor costs. The average cost per repair for each transaction was reduced by 54%. After CSDP implemented parts inventory and skill alignments, customer satisfaction went up 3 points, and the company significantly reduced its service-related operational costs.

In certain cases, the client specified that their software may only be down for a maximum of 15 minutes in case of technical issues. To facilitate this company goal, CSDP customized the SRM © solution to include greater levels of stock and inventory control in multiple locations worldwide.

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