REFRAMING CONTRACTOR RELATIONSHIPS TO improve quality and reduce installation and service costs, from contract redesign through order fulfillment, invoicing and quality control across 10+ U.S. divisions
Project Focus
Review and adjust contract elements and contractor management practices across the company to implement a common operating model that includes standards of performance, new quality assurance methods and clarity around service level agreements and coordination of operations. Provide a plan and support for getting the new contracts signed, new pricing in place and implementation of a consistent comprehensive business model across multiple field services operations in various parts of the country while respecting local marketplace needs.
Financial and Operating Benefits Realized
- > $1Million in charges to contractor for quality issues found through QC program
- Established program to charge contractors for missed appointment time frames across all divisions
- New coding process and training for billing staff to ensure customers are billed for all appropriate services
- Decreased contractor costs due to consolidated coding for work tasks, reducing erroneous add-on charges
- QC program is designed to protect revenue as consolidated billing goes into place; strongly promotes high-quality installations that initially drive reduced contractor costs via charge back system with goal of reducing repeat calls within 30 days of installation; significantly reduces labor, truck rolls and service disruption
- Decreased contractor costs due to review of local pricing that is designed to garner a 3 – 5 % reduction
- Took an effective divisional model for CPE control and management company wide that incorporated reimbursement by contractors for lost equipment
- Increased “bench strength” due to cross-functional and cross-divisional communication, sharing of ideas and problem-solving established during engagement
- Increased multi-level participation in operational problem solving
- Work process that is being developed will save between 15 and 20 FTEs in one location that currently performs data entry of contractor billing codes
- Developed and implemented an approach to internal and external introduction of new contract elements that is easily adaptable to an open-bid model
- New pricing, certification and quality accountability expectations built into contracts without disruption to service/relationships
“… Alliant was the only organization I worked with that took the time to understand our organization, knew how to bring value without spending a fortune, and delivered more than pricey white paper – they stayed to implement their concepts. However, the most important feature of Alliant’s work is in the measured performances they deliver. Visualize being on the client’s premises, implementing the idea you just sold them as “the solution” and having the faith that the measurements achieved will deliver the results you just promised.”
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