Transforming Field Services with AI-Driven Strategies

Transforming Field Services with AI-Driven Strategies

Throughout 2023, field service leaders faced many challenges influenced by economic uncertainties, the omnipresence of artificial intelligence (AI), and the day-to-day intricacies of overseeing essential organizations. 

As 2024 dawned, the primary focus shifted towards improving operational performance, transforming field service structures, and exploring AI’s potential to mitigate significant obstacles.

In a recent TSIA webinar, Vele Galovski, TSIA’s Distinguished VP of Support and Field Services Research, shared his findings based on TSIA’s benchmark data, highlighting last year's field services trends and everyday business challenges. Watch the full webinar now!

This blog will cover the following:

Smart tip

Leverage data and telemetry to make informed decisions and optimize your operations. This involves monitoring performance metrics, identifying trends, and using data-driven insights alongside AI to drive overall improvements.

2023 field services recap

Throughout 2023, field service leaders gained a number of essential insights into how to successfully navigate business model transformation by identifying a number of industry trends that disputed the long-term viability of existing business models.

Historic tech layoffs

According to a TrueUp report, historic layoffs, totaling approximately 300,000 job losses, sent shockwaves through the technology sector until May 2023. Despite this significant downturn in employment within the industry, the broader economic landscape of the United States painted a contrasting picture. 

Remarkably, national unemployment rates remained historically low, consistently hovering below 4% throughout the year. What's more, statistics revealed a remarkable ratio: approximately two job openings were available for every unemployed person in the country during 2023. This dichotomy between the struggles faced within the technology industry and the overall health of the labor market underscored the complexities and nuances present within the broader economy.

AI steps into the spotlight

In November 2022, the emergence of ChatGPT, a then-relatively unknown tool, captured the tech world's attention, growing to dominate discussions throughout 2023. Curiosity surged as individuals sought to comprehend the nuances of AI, large language models (LLMs), and machine learning, eager to discern their implications for the industry.

Amidst this exploration, divergent viewpoints emerged. Advocates boldly touted AI's potential to revolutionize technology companies, suggesting it could reduce labor needs by up to 25%. However, some skeptics raised concerns about AI's reliability.

This lively debate illuminated the intricacies of integrating AI technologies, showcasing its vast opportunities and potential risks. As AI continued to advance across industries, stakeholders increasingly grappled with the need to balance innovation with careful risk management, navigating a brand-new landscape of unprecedented possibilities and challenges. Accordingly, balancing innovation with risk management will be crucial as we move forward in this ever-evolving landscape.

Business challenges faced by Field Services organizations

This webinar covered a number of top challenges that are currently hindering the field services industry, including: 

Talent and labor costs

Over the course of the last year, the competition for skilled field service professionals intensified, increasing overall labor costs. Consequently, field service executives faced pressure to optimize travel and repair time while maintaining a balanced workforce management model to meet service-level commitments.

Spare parts optimization

Spare parts management remained a critical challenge despite easing pandemic-related supply chain disruptions. Implementing advanced exchange, reverse logistics, and remanufacturing practices proved essential to minimizing new-buy commitments and supporting sustainability initiatives like the circular economy.

Managing third-party service providers

Unsurprisingly, most field service organizations turned to outsourcing some or all of their on-site incidents, further highlighting the importance of effectively managing third-party service providers for staff augmentation. Coordinating with external partners continues to be crucial for maintaining service quality and efficiency.

The need for a data strategy to feed your AI strategy

Gathering and analyzing data produced by-products have always been crucial components of any digital transformation initiative, ultimately benefiting the bottom line. Over the past five years, TSIA has collected benchmark data on the percentage of connected install bases, gathering meaningful telemetry. 

This data demonstrates a significant correlation between connected installed bases under contract and field service gross margins. Traditional methods for enhancing operational performance are approaching diminishing returns, making telemetry a vital facilitator of your future productivity.

There are few certainties in business, but one undeniable truth is that meaningful telemetry can reduce your total service cost—while generating high-margin service revenue. 

Top recommendations to implement in your field service organization

TSIA has created a one-of-a-kind database that allows us to mine data to spot the core patterns of success and failure. Through hundreds of validated industry best practices, and trial and error for our member companies, several AI tools have been victorious. 

Here are three of the top ten tools to help you scale the AI landscape:

Join our Research Journey

Become part of the solution by subscribing to TSIA’s Research Journey, “AI for Predictive and Proactive Support.” We’re working with the industry to gather data, address this issue’s central challenges, and ultimately deliver validated board-ready insights.

Knowledge management 

Let’s be honest: the best time to start an enterprise-wide knowledge management program was five years ago. The second-best time is today. Every company scaling the AI landscape wishes it had taken knowledge management more seriously.

Prioritize telemetry

Ensure that telemetry is integrated seamlessly into your standard support package, emphasizing its importance as a core element of your service. Make opting out of telemetry less attractive by highlighting the benefits it brings, such as improved support efficiency, proactive issue resolution, and overall customer satisfaction. 

The goal is to encourage you to see telemetry not just as an optional feature but as a crucial tool that enhances your support experience, enabling us to provide proactive and personalized assistance tailored to your needs.

Access the complete list of ten recommendations to help significantly enhance your ability to navigate the AI landscape effectively. By subscribing to our research journey, you can stay informed and contribute to addressing key industry challenges.

Unlocking insights: Transforming field services for a smarter future

Field services leaders faced numerous challenges in 2023, influenced by economic uncertainties, the widespread adoption of artificial intelligence (AI), and the day-to-day complexities of overseeing significant organizations.

As we step fully into 2024, the industry’s primary focus has shifted towards improving operational performance, transforming field service structures, and exploring the potential of AI to mitigate significant obstacles.

Watch the entire webinar now to gain valuable insights into your role.


In this recent webinar, Vele Galovski, TSIA’s Distinguished VP of Support and Field Services discussed emergent field service trends and common business challenges. Touching on current TSIA benchmark data, this webinar highlights last year’s trends—and what they mean for the future. Watch the entire webinar now to gain crucial insights into your role!

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