Case on otisline

QI: Why did OTIS launch this project? Background: OTIS was a market leader in both the aspects of elevator industry i. e.

sales and services. However, the services industry despite being very stable had become very competitive due to entrance of many small players since services involved higher margin on profits, which attracted many entrants in the field. An elevator service company would be typically invited on the basis of responsiveness, quality and price.

5. The response on call-backs till now varied across locations and it was felt to make it more effective to enhance customer satisfaction, the company needed to be more effective across all locations. 6. Of the 2300 service mechanics employed by NAO in 985, most handled both call-backs and preventive maintenance.

According to NAO OTIS could save up to $5 million by reducing call-backs which centralized system could make possible achieve Q2: How was value created in this model? OTISLINE proved to be greatly beneficial to the company in terms of following value propositions- 1. Responsiveness: Fact: Reduced response time to up to 1 second, enabled component specific problems to be tackled and increased visibility of the company to end customers.

Engineering could also investigate trends that could be an indicator of flawed design or problem. 4. Customer Satisfactions: All the above lead to greater customer satisfaction and thus improved company’s reputation in services.

Also it empowered Otis to compete with independent competitors. Q2: What adjustments in the organization were needed to accommodate OTISLINE? In order that OTISLINE proves to be a good fit satisfying strategic need and delivering successful outcomes, the critical thing is to have an appropriate infrastructure and to employ a good implementation process. One of the very important ways to provide this environment is by transforming the organizational tructure from a decentralized one to a centralized centre.