Network News Volume 44 Issue 3
Special points of interest:
- Bulletin Board—Partnering Opportunities
- SIA Conference 2002 Update, March 10—12, 2002 Fontainebleau, Miami Beach
- SIA forms alliances for 2002 conference
- A Letter from the President
- White Paper
- New Members—Member Drive can put money in your pocket
- Sponsors
Making Money in Turbulent Times
by: Claudia J. Betzner
September
11... A day that will live in infamy when America was attack on its
own soil, and…..a day that created additional challenges for the high
tech service industry….September 11 coupled with an already “Maturing
Industry and a down turned economy” has created an environment where
we must come up with creative ways to make more from less. Networking,
using our existing resources is now mandatory for our livelihood and
survival as an industry.
Relationships become vital to mining the gold in our own back yard
with our customers and employees. I have noticed an increase in the
Partnerships and Alliances between our Member Companies.
Service Industry Association’s annual meeting will focus on sessions designed to increase the Networking between Member Companies, creating new partnerships with OEMs that do not have their own service arm, and providing vital informative sessions designed to give you the tools you need to increase the revenue from your customer base and motivate your employees to be more productive and creative in service solutions. This is definitely the year you will want to participate in a greater way through your association to increase the Partnerships which put dollars in your pocket.
SIA
will hold it’s conference March 10—12 at the Fontainebleau on Miami
Beach and will focus on “How to Make Money in these Turbulent Times.”
Our Board continues to work for your interest and the week after the
11th we all got back on a plane and held a Board Meeting. Some of
the decisions we made at the meeting was to hold rates at last
years and we negotiated a decrease in the hotel rate from $225 to
$209. We also decided to Increase the amount of General Session
time together. The individual groups meeting will be held in the late
afternoons each day.
Some of the positives in our industry—remember the Y2K bug and everyone upgrading their equipment in 1999? Well, that goes out of warranty next year & with this economy I doubt we will see a rise in equipment purchases so... since Independents are usually higher quality and lower costs, we have a story to tell……...ISOs provide BetterService@less costs. More details of this will be reviewed in our white paper and is the main message in our Communications Strategy. Also, look for the teaming/alliances on the 2002 conference with Field Force Automation & NISO which will provide even greater discounts to you. All three conferences are back to back in Miami.
SIA extends its condolences to our members who lost employees, friends and customers on September 11. I have personally spoken with many of you in and around the New York area and we thank our dedicated Members and Friends during this difficult time for your continued support of this association.
New Sponsor & New Members—How you can put $100 in your pocket
for each new member
RadParts—A
New Sponsor
Carl "Randy" LaFoone, is President of
RadParts.Com, Inc., a soon to be ISO 9001-2000 registered Radiotherapy
equipment parts and depot repair company providing parts support worldwide.
RadParts has on-call logistics reps available around the clock and a secure online database and ordering website.
RadParts stocks over 3000 replacement parts, consumables and accessory items available for most all manufacturer's Linacs and Simulators at a considerable savings.
Whether you need emergency next flight out service, next day or weekend delivery, RadParts is there to aid your efforts with quality parts and support. Around the clock & around the world, Radparts delivers!
| New Members in 2001: Antenna Software ARC Services, Inc. DITEC, Inc. Olympus America, Inc. Penn Biomedical Support Triangle Technology Srvs. Barrister Global Srvs. CADx Medical Sys., Inc. Grace Consulting, Inc. NovaMed Corporation Valencia Technical Srv.,Inc. New Members this Quarter: Braun Consulting Michael Lupomech Englewood, CO 303 209 4066 |
Morse Medical Wayne Morse, Pres. Mercer Island, WA 206 232 3766 Radiology Srvs. of PR Antonio Sola Cidra Puerto Rico 787 739 5234 ServTechUnited Randy Parks, V P Ops Kennesaw GA 770 514 6704 Fifteen New Member and three new sponsors thus far. |
SIA Partnerships work....come to Miami Beach in 2002 and hook up with a new member |
Membership Drive
Earlier this year the SIA Board began a contest to see which Board
member could bring in the most new members/sponsors. To make it more
interesting for each new member SIA gave $100 credit toward member
dues or the Conference. Here are the results thus far: Randy Parks
(3) $300 credit; Paul Thomas (3) $300 credit; Steve Schwarz (3) $300
credit; Barry Cummins (1) $100 credit; Larry Gashi (1) $100 credit.
The program has worked so well we are opening the program to all members
of SIA. If you sponsor/sign up a new member -you too can receive
$100 credit for each new member which you can use toward the 2002
conference or your membership dues.
Do you have an associate that could benefit from SIA?
Call me...619 221 9200 or have them register on our website and complete
the portion “how heard about SIA” with your name included and you
will receive $100.
SIA forms Alliances: Field Force Automation & NISO for the 2002
Conference
Over the past few years SIA has continued to form alliances with other associations and events such as AFSMI, NIS0,IAMERS,Healthtech, in an effort to bring our members greater value. Accordingly, I am very pleased to announce we have formed an alliance with Field Force Automation magazine. They will be presenting their conference—FFAST TRACK FORUM immediately before SIA’s on March 5—7 at the Hyatt Regency, Miami. Their conference will focus on mobile/wireless field automation. The event will be produced by Freedom Technology Media Group. SIA and FFAST TRACK will give a $100 credit for participants attending both events. The sessions will include industry experts & panels, project assessment, one-on-one feedback sessions, product applications,demos and Networking opportunities.
To register for SIA complete the form included or go to the website at servicenetwork.org and register. To register for FFAST TRACK contact Michael Kushner, Dir. Of Strategic Events at 212 314 7625 or contact him at michaelk@ftmg.net or go to the Field Force Automation website at www.destinationffa.com . We will also have a hotlink directly on the SIA website for registration for the Field Force Automation event.
Additionally, NISO, the Business Products Group & Copier Service Association will hold it’s conference on March 8 & 9 immediately prior to the SIA conference in the Greater Miami/Ft.Lauderdale area. The two groups will jointly hold the Golf Tournament on March 10.
Letter from the President........John Walker
September 11th, 2001 was a day of unspeakable horror for all Americans and it will forever be etched on our nation’s collective consciousness. The destruction and loss of life in Washington, D.C. and New York City’ lower Manhattan financial district will have a lasting impact on us all. To my knowledge no member or associate of SIA was lost in either incident, however I am sure that all were deeply affected by this tragedy. With the substantial effort of its citizens, America will rebound from this sudden and senseless day of violence. The total impact to the American economy and our industry remains unclear at this time, however, I sincerely believe that the United States of America and the Service Industry is more than ready for the challenges that lie ahead.
To this end the Board and members of SIA are continuing our efforts to expand the benefits of membership and active participation in our Association. During the previous months we have established a password area to our web site which includes a member bulletin board, or chat room, where member to member business and opportunity development can occur. Additionally we have configured this area to receive and post requirements from manufacturers, distributors and others, that are actively looking for a service provider. If you have not yet checked this out, please be sure to do so. We continue to develop and strengthen relationships with other associations and groups, such as AFSMI, COMPTIA, Field Force Automation, NISO, and others. You will hear more about these later in this newsletter and at our upcoming March Conference. Beyond these a new White Paper, developed by members of SIA, which addresses the ever escalating costs of Health Care and how we can better understand and work to address some of these costs is scheduled to be presented at our conference along with a congressional roundtable discussion.
In conjunction with our September board meeting in San Francisco, an informational seminar was held for SIA members and invited quests, which addressed some of the nuances of California labor laws. Though this session was only lightly attended, being only 9 days removed from the events of September 11th, those that did attend received valuable insight, and written materials that they could take away with them. We hope to continue with these regional seminars throughout the year. Please be sure to attend, when one is held in your area.
As
you will note from the activities, events and plans in the newsletter
issue, our association and industry continues to be strong, as is
our membership and board. Along with all of America, I believe that
our association and the United States of America are more than ready
for the challenges that lie ahead as the effects of September 11th
continue to ripple through our economy and our lives. Remember to
please let me know at any time, whether by telephone or Email, how
SIA can better benefit your company in the coming years, and remember
to tell other business associates about our hard-working trade association
and encourage them to join.
Computer & Medical Service Group Report
Computer Service Group
By: Randy Parks
The Computer Service Group continued to hold monthly conference calls
during this past quarter. Most of our discussions centered around
providing more value for members. Examples include more effective
use of the SIA website for member to member and customer to member
communication and the upcoming White Paper which we hope will be a
good marketing tool for members. It will lay out the benefits Independent
Service Providers deliver to the market and the positive effects of
competition with OEM’s.
We have also spent considerable time in planning for the 2002 Conference in Miami, we are happy to report that the content and opportunity for networking at this conference will be the best in many years.
We are actively seeking new member companies for SIA and would encourage you to stop for a minute and think about companies you do business with that should be involved in the Association. We have a new program in place that compensates your company for any members you refer.
Special thanks are due to Larry Gashi at SATS for his work on the Partnering Handbook. If you’d like to join us in one of our monthly Computer Service Group calls please let me know, randyparks@aol.com .
Medical Service Group
The Medical Service Group also continues to hold monthly conference
calls and much work has been conducted by Paul Thomas and Malcolm
Ridgway on the White Paper, the Economic Model and the Communications
strategy. The last conference call in October’s discussions included
analysis of the SIA Strategic Plan, where we are and what is needed
for our value-adding strategy. Malcolm also discussed the Medical
Symposium scheduled for October 31 at Disneyland Hotel in conjunction
with AFSM had been cancelled along with most other pre and post sessions.
The content of the work completed by the speakers will in part be
presented at the SIA annual conference since some of it discussed
the Economic Model completed by Malcolm and Paul and the SIA white
paper. The timing of the event coupled with a terrorist target location
were sited as reasons for the cancellations. The next conference call
is scheduled for November 20, if you are interested in participating
let either one of the Board members know or call SIA headquarters.
SIA Benefits added: B2B section added to web—New Partnering Books
distributed
The beginning of September SIA began the distribution of the new SIA Member Partnering books along with individual passwords for the secure portion of the website.
When you go to the website now you will notice an icon for anyone needing service to click on and complete a request for service —what kind of service, product, equipment type, location, etc. The completed information will then be on the secure portion of the website for all members to see for biding. Additionally, we have different forums—Parts, Vendors, People Requirements, Service Requirements, Training and General Discussion forums so you can post your requirements for other members. This is a valuable tool if you use it.
If you went to the website today you would find someone looking for Acquisitions—Computer Service companies around $10 million, Parts request for CT Scanners, request for Computer Service Subcontractors in certain areas, and a Director level position for a Medical Service Provider.
You can choose to respond directly or on the website or you can add your own requirements.
I
will make it simple—here is what you do:
| (1) | Go to SIA website www.servicenetwork.org and click on the bottom “Member Only” section on the green bar |
| (2) | When prompted, you will need your ID and Password, already provided to members in good standing—if you are a member and have paid your current dues but you have forgotten or lost the paper—call me |
| (3) | Click on New Benefit “Discussion Forum” |
| (4) | Respond or input your own Requirement into a Forum. That is all there is to it. |
The SIA Member Partnering Book, which we began distributing the beginning of September looks great. The comments thus far are very positive and have increased the amount of partnering between our member companies. A special thanks to SATS and Larry Gashi who provided the manpower and printing of the Books. The Association greatly appreciates this valuable tool to our members.
“The Spirit of America” By: Paul Thomas
Like all of you, I was horrified by the events unfolding in New York, Washington and Pennsylvania. Horrified and sickened by what I saw, but unable to turn off the TV for what I might miss. America, the world and, more simply, freedom itself was attacked, but to no avail. We will persevere, rise up and be strong because the ideals of righteousness cannot be trampled so easily. Americans are at their best when faced with adversarial circumstances. What makes America great is the common commitment of its citizens to the democratic principles of freedom, a commitment shared by most civilized countries in the world.
We saw people from over 60 different countries, people who were our friends, family and colleagues, people we loved, of all races, religions and ethnic backgrounds, who were made victims by these senseless, criminal acts of terrorism. Yet, in the midst of this horrific event, we saw the absolute best of humanity. We saw almost 350 policemen, firemen and EMT workers perish as they rushed in to render aid without regard for their own personal safety. We watched our country rally behind the rescuers, our President, the Congress and all of our elected officials. America couldn't be prouder of our brothers and sisters in New York and Washington, or of the heroic individuals on United Flight 93 that crashed in Pennsylvania. Our churches were filled; flags were unfurled; blood donated; financial donations made; people volunteered, sang and prayed together.
We are changed by the events of September 11. We will move forward; we will recover; and we will rebuild. We are a determined bunch. Our country is made stronger by its diversity. We will not tolerate those people who want to impose a single view of the world upon us. We are Americans. We come from everywhere; we look the same and we look differently. Some of us speak with accents, some of us do not. Some of us are first-generation Americans and some of us are related to the founding fathers and mothers of this country. We worship in temples, mosques, churches and synagogues. Some of us don't worship at all. But we are a free people, free to choose how or if we worship. We are a freedom-loving people who, when pushed to the edge, will rise up and defend the principles of democracy against those nations or individuals that seek to destroy our way of life. With a discipline and commitment few have seen, we will overcome the hate thrust upon us.
I am proud to be an American for so many reasons. Shame on me that it has taken such a horrific act for me to stop and reflect on all of the pleasures of life bestowed on me because I am an American. America as a nation and its people as individuals have achieved greatness over the centuries because of our unyielding commitment to our democratic principles. We believe in equality under the law, no matter where you come from. Oh, we make mistakes yes, too many to count and we will make many more over the coming centuries. That's one of the reasons we are great! We acknowledge our mistakes. However, at the end of the day, when you balance the ledger, our contributions outweigh our mistakes tenfold. We are a nation of individuals united by our love of peace and freedom. But make no mistake, we will defend these ideals fiercely and with steely resolve, even to the death as generations before us have done. The civilized world is at risk without the strength of our country. America will shine brightly for the world, like a beam from a lighthouse that draws ships safely to harbor. The will of our citizens, the strength of conviction and the resolve of our leaders will see us through this calamity. We will rebuild our buildings, lift up our wounded, bury our dead and achieve greatness like never before. Why? Because we are Americans and we are free.
SIA White Paper, Economic Model, Communication Strategy
In the last Newsletter we discussed the SIA White Paper, of which the Medical portion has now been completed and includes purpose statement, economic model, empirical data and academic information. The paper, developed by Malcolm Ridgway and Paul Thomas of the SIA Medical Board, goes into detail about the benefits of competition in the Medical Equipment Service Marketplace. The intent of the paper is to develop a platform for the Members of SIA, provide actual data the Members can use to show potential customers the tangible and intangible benefits of independent service and why it is so important to have Competition in the industry. A one-page summary will be developed and available to SIA members. The paper will also be used to enlist a Congressional “champion” with an overall goal of cutting National Healthcare costs through increased utilization of independent service providers who can compete in the industry at a reduced rate and provide a higher level of service. A panel discussion on this topic along with a congressional roundtable is on the SIA Conference 2002 agenda. Over the next two Newsletters I will review highlights from the Paper which will be presented in it’s entirety at the annual conference and available to members. A similar paper on Benefits of Competition in the Computer Service Industry will also be developed by the SIA Board. Some Highlights from the Paper prepared by Malcolm and Paul:
The
ever-increasing costs of healthcare
Costs of National Healthcare is a major concern for all Americans.
National healthcare expenditures are projected to grow to 32% of the
GDP by 2030 or $48,000 for every citizen (Burner, Waldo and McKusick
1995). Salaries, equipment, training, service, account for 50% of
the annual costs increase in healthcare expenditures but many economists
believe the technology expenditures are one of the primary factors.
Manufacturers monopolistic policies and practices
Over the years, the larger manufacturers of sophisticated medical
devices continue to do all they can to eliminate or reduce the effectiveness
of both independent and in-house alternatives to manufacturer service.
The long standing policy has been to restrict access to repair parts
and technical information to competing non-manufacturer service organizations.
A more recent tactic has been to pressure the FDA to impose regulatory
restrictions on all non-manufacturer servicers.Statistics from two
large medical incident databases were presented to the FDA from the
last 25 years historical date which showed the number of service related
incidents were less than 0.04% of the total number device-related
incidents. Equipment manufacturers today are moving from a manufacturing
environment to a service environment because of the economic advantage
to set the service profit levels for their equipment.
The Customers/costs savings
Heskett, et, al., (1994) stated that “the lifetime value of a loyal
customer can be astronomical, especially when referrals are added
to the economics of customer retention and repeat purchases of related
products.” All consumers want “Choices.” Maintenance insurance users
found they could easily achieve savings of 20-30% or more relative
to the cost of a comparable manufacturer’s full service agreement,
without compromising service. A back-of-the-envelope calculation sets
the nationwide annual savings associated with this of at least
a quarter of a billion of the nation’s healthcare dollars.
Manufacturers ability to render a product obsolete
When there is after-market competition manufacturers lose the ability
to render a product obsolete by arbitrarily terminating after-sale
service. Access to non-manufacturer service provides the user with
the ability to continue using a piece of equipment they already own,
for as long as its performance continues to be acceptable to them.
Manufacturers invented the concept of “planned obsolescence.”
Quality of Service the primary service differentiator
Manufacturer’s service groups are considered the “gold standard” for service quality. This may be partially true with complex high-tech devices that need “factory support.” However, 80% of repair calls are relatively simple problems that do not require expensive “gold standard” level of “factory support.” There is a need for a more economical level of support which also gives the customer “choices.”
Other benefits of non-manufacturer service
They are vendor neutral and good sources of unbiased equipment information.
More likely to cross-train on a variety of equipment choices. As a
result they are more flexible and more likely to repair a customers
entire equipment inventory.
Bottom line—in-house maintenance departments and ISOs should be equally
opposed to any attempts by a manufacturer to perpetuate their traditional
monopolistic hold on after-market service. Equipment users, as equipment
purchasers, have the ultimate power. Purchasing Agents and In-house
groups should align with SIA in promoting “open service.”
| Service Industry Association 518 San Andres Drive Phone: 619 221 9200
The Network
for High Technology Service Promoting Customer Choices
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Service Industry Association is a non-profit organization made up of high technology service companies promoting customer choices. |
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Sponsors & BoardSponsors Board of Directors: President: John Walker, Pres. Computer Service Group
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