TSIA Membership Success Stories
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Transcript of TSIA Membership Success Stories
Membership Success Stories
What do all technology companies have in common? They’re looking for opportunities to grow revenue and profits. TSIA is laser-focused on helping members achieve this by optimizing their service businesses.
Here’s a look at how three organizations were able to utilize their TSIA membership to solve their top business challenges.
Success story #1: A $700M electronics company
OUTCOMES
As a result, the organization benefited from:
CHALLENGE
On the heels of a significant acquisition and reorganization of services, this member was under pressure to:
• Rationalize business processes. • Improve core financial metrics (particularly revenue growth), price performance, and margins.
RECOMMENDATIONS
Utilizing benchmarking and operational best practices (OBP), TSIA recommended:
• Recalibrating market rates and discount-limiting processes to become better aligned with industry and peer standards.
CSAT10%5%$40M+
New heights in customer
satisfaction scores
5%+ improvement on discounts resulting in
over $40M+ in bookings
Compounding QoQ improved revenue growth
Improvement in operating margins in
targeted lines of business
Success story #2: A $620M+ software company
OUTCOME
CHALLENGE
Member was facing enormous pressure to increase their below-peer average utilization and BU margins.
RECOMMENDATIONS
Through benchmarking and a workshop, TSIA advised the member to implement:
• A resource management office (RMO).• A professional services automation (PSA) solution.• Best practice reporting.
The organization improved billable utilization by 17%.
Which in turn resulted in a revenue increase of $21M in three years!
$21M
YEAR 1 YEAR 2 YEAR 3
17%
CHALLENGE
Instructors were spending 26% of their time developing content, which was impacting their utilization rate and by default, revenue.
Success story #3: A $300M technology company
OUTCOME
The organization was able to:
Reduce the amount of time spent on non-billable content development activity from 26% to 7%. Resulting in a net gain in revenue per FTE
from $257K in 2012 to $405K in 2014.
RECOMMENDATIONS
After reviewing benchmarking data, TSIA suggested:
• Aim for the best practice standard of no more than 7% to 8% of instructor time spent on content development. • Hire content developers and/or leverage subcontractors to offset the work that would have been done by instructors, allowing them to act in an SME capacity rather than developing content.
$275K2012
2014 $405K7%
Become a TSIA member. TSIA membership includes a rich set of programs, services, resources, and events that empower service leaders and their organizations to better manage their business. Join our community of more than 30,000 individual service executives.
> Request a Membership Briefing
www.tsia.com© Technology Services Industry Association | 17065 Camino San Bernardo, Ste. 200 | San Diego, CA 92127 | Tel. 1.858.674.5491