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OTISLINE

ALOK || ANSHAT || MOHIT || VIDISHA

We are OTIS..

• OTIS Elevator, a subsidiary of United technologies Corporation

• Revenue in excess of $2 billion as of 1985, 13% of the company’s total revenue

• Organized into four divisions- North American, Latin American, Pacific and European Transcontinental.

• Into the business of design, manufacture, installation and service of elevators.

OTISLINE Overview

• OTIS elevators considered the best in the market leading to consumers paying premium for its product

• Markets three elevator lines- Otis Hydraulic, Otis geared, Otis Gearless

• The preferred elevator for large projects and state of art elevators.

• Introduction of automated microprocessor based elevators in 1970s led to increase in market share.

Elevator Industry overview

• Very competitive market with other players like Westinghouse, Dover, Montgomery, Schindler etc.

• Elevator market directly correlated to the building Cycle while the service market is stable

• A number of players in the servicing market

• Elevator service company selected mostly on the basis of responsiveness, quality and price.

• Small service providers offered discount

North American Operations Overview

• Second largest division with over 8000 employees in 1985

• Until 1978 the computer systems used for production control and accounting

• Subsequently expanded into data entry and inventory control

• Cost reduction program halted all the progress and led to laying off of over 60% programmers.

Bring back my programmers!!!

• Feasibility of the using IT to establish centralized customer service system investigated in 1981

• The callback time due to the mechanical system varied a lot.

• The process to implement OTISLINE began in 1982.

• The IT budget of NAO doubled with great insight in the consumer problems.

Problems faced….

• Quality of answering services

varied greatly

• Response Time varied

• Out of service elevators

irritated customers

• No centralized Data

NAO and IS

NAO

•Second largest division of OTIS

•Its business required it to be geographically dispersed

1965

•Installed its first computer to automate maintenance billing

1982

•Centralized customer service was implemented

1985

•OTISLINE was developed with aim to provide 24 hours of service

OTISLINE linked with Information services

• OTISLINE- part of NAO’s SMS data

base

• SMS database contained all

maintenance activities

• OTISLINE dispatcher updated the SMS

database.

• It helped in responding to a customer in

less than 60 secs.

Quality of Customer Service in OTISLINE

• Staffed by skilled dispatchers

• New hires received four to six weeks of in-

house training

• Telephone system was used to produce

the statistics to measure dispatcher

performance

• One callback required four OTISLINE

dispatchers.

• By 1985, 11 of the 47 NAO districts were

using OTISLINE. 43300 calls on an

average weekday.

Dispatching and Control Of Service Mechanics

Prior to

OTISLINE

•Field Offices dispatch Service Mechanics to field

•Service Mechanics send written reports after Call back

OTISLINE

•Service Mechanics call the OTISLINE and give description

•They also maintain a notebook

OTISLINE

•Reporting became accurate and maintained by a Central Server

Benefits of OTISLINE

Marketing of new projects

• Representatives used NES database to automate the production of status reports

• NES had three components:

•Organize data about new equipments projects

Negotiation

•Provides cost estimates and configurations for new products

Estimation

•Provides mechanism to record outcome of a negotiation.

Disposition

Marketing Service

Reliability

Responsiveness

Innovation

Communication

Teamwork

Customer Satisfaction

Business Alignment with IT

STRATEGY EXTERNAL ENVIRONMENT

IT STRATEGY

IT APPLICATIO

N/INFRA

TRANSACTION COST THEORY

TR

AN

SA

CT

ION

AL

CO

ST

FIRM SIZE

AGENCY COST THEORY

AG

EN

CY

CO

ST

FIRM SIZE

TWO WAY RELATIONSHIP

ORGANISATIONS

INFORMATION

TECHNOLOGY

MEDIATING FACTORS1. Environment2. Culture 3. STRUCTURE4. Business Process5. Politics6. Management

Decisions

VALUE CHAIN MODEL

Future Of OTISLINE

Remote Elevator Monitoring

In Car Phones

Handheld Terminals

New Equipment Ordering

Contract Management

Telemarketing Of Services

THANK YOU QUESTIONS

IF ANY