Virtually all companies in the field service industry have been affected by the COVID-19 pandemic. The uncertainty has forced many businesses to make difficult decisions in order to cut costs.
For most companies, there is no “silver bullet” or single idea that will radically change your cost structure — without serious disruption to your business. Instead, focus on implementing a combination of smaller measures that can add up to make a big impact.
1. Understand your expense structure
Before you consider where to reduce costs, make sure you have a comprehensive view of your spending. You probably already have a good pulse on your overall expenses. But a detailed understanding can help you make the most informed decisions about where you might be able to cut.
Start by conducting a thorough expense audit to identify areas of spending such as technology costs, labor costs, and other related field service delivery costs (such as inventory and travel). These are areas where many field service companies can find savings.
Whether you need to make some short-term reductions or find new ways to cut costs long-term, here are some tactics to consider.