Published in Finance On-Line
Does your business require you to have people, equipment, transactions, and services in the field? If your answer is yes, then what you need is a field service management software solution (FSM) that will prove vital to your business’ smooth and efficient operations. As field service management statistics show, FSM tools will help you manage logistics, allocate resources, schedule work, and much more.
We’ve gathered the latest field service management statistics to give you key insights on how you can do these. We’ll take a look at the field service management market size, industry projections, newest technologies being used, and other significant information regarding the FSM sector, factoring in also the disruption caused by the COVID-19 pandemic beginning in early 2020. With this field service management report, you’ll be aware of how your business fares in the current market situation and be prepared for any advancement in the industry.
In the last few years, the field service industry has experienced robust growth with the increasing demand by field service organizations (FSO) for time- as well as cost-effective solutions. The field service management market growth is also buoyed by the need of companies to meet the demands of customers for the best service and thereby increase customer satisfaction. Companies are also looking to differentiate and personalize their services, reduce workforce costs, enhance employee productivity, and improve overall operational efficiency. Here are notable figures in our field service management market report.
- The field service management market is forecast to grow at a CAGR of 11%. At this rate, the FSM market that has an estimated value of $3 billion in 2020 will reach $5.1 billion by 2025.
- North America will be the fastest-growing market for cloud FSM software, while the Asia-Pacific region will be the largest market.
- 48% of organizations are using FSM software.
- 51% of fleet management companies use FSM software, while 52% integrate FSM with their fleet tracking solutions.
- As of 2020, 72% of US fleets use GPS fleet tracking technology, an 8% increase from 2019.
- 96% of companies that use GPS fleet tracking software find it beneficial.
- 32% of fleet tracking software users reported a positive return on investment six months after implementation.
- In 2020, 25% of FSOs were still using spreadsheets for job scheduling, while the rest still use whiteboards and other manual methods.
- 89% of customers want to see modern, on-demand technology applied to their technician scheduling, and nearly as many customers would be willing to pay a premium for it.
- The combination of mobility and artificial intelligence (AI) improve field service agent productivity by 30% to 40%.
- 61% of fleet managers think that the most important feature of FSM software is its ability to capture customer information and job details and automatically update records
Most Useful Features of FSM
- Ability to capture customer information and automatically update records 61%
- Allows managers and dispatchers set up reminder emails and SMS to customers 59%
- Easy-to-use calendar that gives quick access to employee schedules 56%
- Summary of job activity that can be filtered by date, employee, and contact 55%
- Ability to quickly assign jobs and see status 52%
- Giving customers a chance to rate their experience 48%
Business processes today have been impacted by technology, and field service management is no different. We’ll present to you some field service management software statistics to give you insights on how technology is being adopted and used by field service companies and how they are reaping returns. It is worth noting that the cloud field service management market is expected to outgrow the market for on-premise solutions as both SMBs and large enterprises are shifting their focus from IT processes to core service competencies like efficient scheduling and dispatching which can be handled by online FSM tools.
- 73% of field management firms have already incorporated Internet of Things (IoT) into their operations.
- As of 2019, there were 42.2 million smart homes in the US.
- Experts estimate that there will be 35 billion IoT devices installed worldwide by the end of 2021.
- About 75% of field service businesses that utilize mobility tools have observed increased employee productivity, while the rest have seen customer satisfaction rates rise.
- 77% of FSOs invest in technology and solutions geared towards information enablement.
- 74% of fleet operators consider in-cab video telematics as very beneficial or extremely beneficial.
- Three-quarters of FSOs have already rolled out sensor-equipped products.
Emerging technologies, Bring-Your-Own-Device (BYOD) policies, and industry competition are influencing the field service workforce. Technicians are looking for fast and capable tools as well as quick access to important information while in the field. Let’s take a look at some significant facts and figures.
- There are now an estimated 20 million field technicians operating worldwide.
- COVID-19 has caused an increase in demand for service jobs, leading to a shortage of talent. As a result, FSOs reportedly increased investment in service workers by 72% to meet the rising demand.
- The aging field service workforce also poses a shortage of around two million workers.
- 47% of field service companies are still having trouble getting enough quality technicians and drivers to meet business goals, making it among the top challenges for FSOs.
- As of February 2021, the annual salary of a field service manager in the US ranges from $127,739 to $148,315.
- For Field Service Technician in the US, the annual salary range is $33,000 to $69,000, with a national average of $47,423.
- About half of FSOs prioritize soft skills training.
- 50% of fleet managers think that the ability to quickly reroute field technicians for emergency jobs is the most important factor in their success. Keeping everyone updated on schedule changes comes second (48%).
- FSOs with freelance workers can respond to 83% of emergency requests within an hour.
- 78% of FSOs completely stopped deploying technicians to customer sites during the height of COVID-19.
The future of FSM will be dominated by existing and emerging technologies, foremost of which is IoT-driven predictive maintenance, which will make troubleshooting connected devices a whole lot easier for technicians at less cost for the company. Advancements in AI will result in smart scheduling and planning as well as speedy dispatching of technicians based on their location, availability, and skill set. AI will also be instrumental in improving the first-time resolution and fix rates, contributing to top company goals of providing customer satisfaction and increased revenues. As with other industries, COVID-19 is also bound to have a significant impact on FSM. Here’s a look at the future of FSM.
- 92% of FSO executives want to transform their service models to meet consumer needs.
- The value of growth brought about by IoT apps as utilized in the field service industry increases by $470 billion annually.
- The industrial drone fleet industry in the US and Europe is predicted to grow to one million units by 2050.
- 55% of fleet managers and executives reported that the COVID-19 pandemic came with a negative business impact.
- Amid the pandemic, 44% of fleet managers see increasing costs as their top challenge in this time of economic and regulatory uncertainty.
- Half of supply chain operators expect that recovery from COVID-19 will take at least six months.
- FSOs need to explore contactless or remote service as 75% of consumers don’t like the idea of having field technicians in their homes amid the pandemic unless absolutely necessary. (
- About 50% of field technicians and service workers are expected to resort to freelancing by 2025.
From the facts and figures, we can see how field service is closely linked to customer satisfaction. And technology, through FSM software, is at the forefront of delivering fast and efficient field service by automating service scheduling, streamlining workflows, and enabling instant access by technicians to client service history and other required information.
Technology is also being utilized through AR/VR and IoT to further speed up servicing even without the technician physically present on site. Further, the COVID-19 pandemic only hastens the adoption of digital tools to execute FSM. For instance, a technology that you can bring with you is also being leveraged through mobile FSM Solution for anytime, anywhere data access, connection with the head office, and collaboration with supervisors and technicians.
If you are a small company trying to grow your HVAC, home repair, delivery, contracting, or similar line of business, you need to be on top of administrative and operational matters. You can go for field service management solution for small businesses to help you get a handle on the numerous tasks and activities you wouldn’t otherwise be able to manage without this type of software.
We hope you picked up valuable insights from our field service management market report and FSM statistics. Knowing what’s going on and coming up in the industry will strengthen your business today and prepare it for the challenges ahead.
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TimeLinx delivers innovative project & service management software as a complete solution that perfects the sell-track-manage-support-bill cycle that services organizations must have to delight their customers; TimeLinx brings the cycle together in a single application that offers less frustration, better project management, complete reporting, and improved profitability – all specially designed for Infor and Sage.