Apple

Challenge:

Apple Computer was delivering computer service to consumers exclusively via reseller service departments. The compensation model was fragmented and expensive - resellers were getting three different checks for the same repair. One check was for labor, one was for reimbursement for the part, and one was for premium service repair (if applicable). This was inefficient and expensive.

Solution:

Working with a cross-functional team, including service operations, service marketing, product marketing, and IT, we realized that part of the problem was that each affected group managed a different part of the repair process. We devised a new process, one that integrated the repair process and operational flow internally, and was managed by a cross-functional team. IT then changed it's computer systems to integrate each group's process into one IT system.

Result:

Because they were now able to generate one check to the reseller for each repair, Apple Computer saved 10% per transaction, and several million dollars per year.