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Many ERP (Enterprise Resource Planning) packages offer core support for PSA (Professional Services Automation) businesses, which often attempt to cover also repair service functionality. In reality, it is quite difficult to satisfy the wide range of business requirements in diverse industries with one standard service module available as one standard way of doing things. E.g., heavy machinery dealership service is very different from medical devices repair. Here are some of the key requirements - potential gaps I came across at similar businesses - worth examining before investing in ERP or LOB software to support business models relating to repair service of instruments. I am currently working on identifying enhancement customization approaches and ISV solutions for Microsoft Dynamics ERP customers in this area. If you would like to learn more, discuss or suggest solution, please feel free to contact me.
Tracing Service Object
Excellent repair servicing of expensive instrument will likely require ability to track transactions of the instrument and/or its parts in question by their unique serial numbers over full life-cycle of individual products. This may include tracking of where the product or its parts have left from production to reseller (own sales entity or distributor etc), further assembling operations, shipping to customer etc.
ERP will normally support rich tracking inventory items in a warehouse and even at the inter-company level of a global organization, but the same functionality might not be available for repair service items (sometimes called, service objects), which often belong to 3rd party organizations (customers, dealers etc.) or are leased and handled via separate framework or logic within ERP.
Repair Quotations
ERP will normally offer sales quotation function as part of CRM, sales or project functional areas. These will be integrated with inventory item master or new project creation.
Repair services will often deal with service objects, which belong to 3rd party organizations (customers, distributors etc) and not stored in own inventory records. Quotes will often be created based on inspection results of repair lines in service functional area. Entry of the same data on sales quote would cause additional double-entry effort and some level of disintegration with repair. Thus, adding quote functionality into repair area might be an additional need.
One Repair – Many Support Arrangements
One repair case of the whole instrument can include multiple support arrangements with different processing and segregation at transaction line level. For example, labor can be under service contract but spare parts are chargeable. One defect of the same instrument might be covered by sales warranty, another by service contract or simply chargeable repair. ERP standard package might not offer complete administration and tracking functions for a repair in case of such combined scenarios.
Service Contract Invoicing
While many ERP systems offer service contract functionality, consider how it is linked to finance, invoicing process and with various scenarios like cost and revenue recognition etc. Usually ERP project modules has this kind of link with finance and general ledger while additional integration and functionality might need to be established for service contracts.
Loaners
Upon instrument return for repair, it might be necessary to ship a loaner (temporary replacement) to the customer till the repair of original item is finished. Loaners could be company’s own stock and never sold to the customer but shipped to them. Such lending operations are not necessarily supported in many standard ERP systems. Furthermore, due to the high value of these instruments, in many countries they might be considered as fixed assets and thus handled differently than inventory stock. Some would also require conversion between both.
Intercompany Service Transactions
Larger global businesses engaging in repair services of instruments will likely organize their repair workshops in local and regional centers involving transactions among legal entities. For example, a company might choose to set criteria according to which minor repairs are done locally, e.g., at a country level, but more complicated ones - demanding more effort or specific expertise are sent to a regional repair center. This could involve shipping and receiving the repair service object belonging to customer and inventory parts from another subsidiary or factory. Furthermore, often mandatory transaction tracing by serial number and sharing of service order data among multiple companies can further reduce the standard fit levels of ERP package in question.
Damage Catalog
For a more efficient planning, management and solving equipment damages, many repair organizations choose to catalogue them and link to resource and operation planning. This classification means grouping at least the most frequent types of instrument damages, providing them with IDs, titles, descriptions, photos, solutions and other properties. Furthermore, required time, resources and location can be planned for each of the types per product, effort and workshop capacity planned in advance. If repair inspectors are to use the ERP system, it is likely that such functions would be requested.
Mobility
With the mobile taking over business processes, it is likely that mobile interface or apps will be requested by a modern repair service organization not only for the field service to connect to the service object data and update it, but also in-house. For example, many inspectors would rather use a mobile tablet interface to make photos and fill out a form than existing paper forms followed by entry into ERP table interface as it is often done today.
