Fuel Oil News

Fuel Oil News January 2012

The home heating oil industry has a long and proud history, and Fuel Oil News has been there supporting it since 1935. It is an industry that has faced many challenges during that time. In its 77th year, Fuel Oil News is doing more than just holding

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S ER V I C E D E P AR TMEN T • Customer satisfaction – random calls should be placed to monitor custom- er's perception of the last experience. Inquire about every step of the process from the initial phone call that places the service call to the performance on the job to the quality of the invoice. It's the whole experience that matters. Due to the seasonal nature of the industry, most comparisons should not be made between one period and the next, but instead between the same period, one year apart. For example, instead of com- paring the 3rd quarter to the 4th quarter, compare the 3rd quarter this year to the 3rd quarter last year. That will give a more realistic indication of change. Lastly, pay close attention to your soft- ware codes. Garbage in, Garbage out. In order to create informative reports for the service department, the input codes (reason for call, transaction type, work performed, parts codes, etc.) that feed your work orders and invoices must be carefully designed. Your staff must be trained to use them correctly. Most fuel retailers are great at repairing heating equipment, but they strug- gle with setting up computer codes. This is understandable. It's something that's done only once or twice a decade, so how will they ever become good at it? Additionally, most software companies, even those with extensive industry experience, have limited understanding of service equipment and ser- vice operations. As a result, their "out of the box" service codes are frequently inadequate. Hire an expert with service knowledge and experience implementing software and you will not only reduce your management time, but you will also increase the utility of your software. Most software providers would agree on the benefits of hiring a specialist to set up your service codes. Ask them if they can connect you with someone experienced in the process. CONCLUSION The best way to avoid competing on price is to offer better service. Customers will pay more for the same product if it is accompa- nied by better service. What better way for a full service fuel company to stand out www.fueloilnews.com | FUEL OIL NEWS | JANUARY 2012 15 from the competition than by improving the capabilities of its service department? But this won't happen automatically. It's up to you elevate your capabilities and to increase your service margins accordingly. Don't be satisfied with the status quo. The suggestions in this three-part article have all been accomplished at existing fuel retailers. If they can do it, so can you. l FON David Visaggi, president of Inside Oil Consulting, is an opera- tional specialist for fuel retailers and mechanical service com- panies. In addition to other management roles, David was a service manager for many years with Almeida Oil/Halstead Quinn Propane, in Mount Kisco, NY.

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