Service Management Solution Pays Off For Avaya And Diebold

Solution helped Avaya reduce inventory while improving service levels.

At the recent Chief Service Officer's Summit in Boston, Avaya Inc. and Diebold Inc. were recognized for their service chain achievements. At the summit, hosted by Aberdeen Group, more than 100 service business leaders met to explore the value of strategic service management.

Both companies use a strategic service management system from Servigistic, an Atlanta-based service solution provider. Using this system Avaya was able to reduce gross parts inventory from $250 million to $160 million while significantly improving service levels, explained Gary Brooks of Servigistics.

At the event Aberdeen conducted a summit delegate survey and found that 74% of attendees operate service as a profit center, with 57% deriving more than 21% of overall revenues from service and 44% seeing more than 31% of overall profits from service.

"Service is becoming increasingly strategic for leading manufacturers to enhance competitive advantage and sustain growth in today's global marketplace," said Mark Vigoroso of Aberdeen Group. "Companies that are leveraging strategic service management solutions are transforming their service organizations into strong, profitable growth generators."

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