Working Together to Strengthen the Aftermarket Supply Chain

The product life cycle generally includes
research & development, product introduction, growth, maturity, decline,
and eventual replacement with new technology – then, rinse and repeat!

Those of us who have been around the block
a few times have seen this cycle repeat many times (see CRT, PTV, VCR, DVD…the
list goes on). But there’s another critical aspect of this cycle often overlooked:
once a product enters the marketplace, the multi-faceted after sales stage
begins. While successfully getting a product to market is crucial and vital to
the health and well-being of any manufacturer, ensuring ongoing support through
end-of-life is just as important. 

The foundation of the entire service and
support industry is built on the aftermarket stage of the product life cycle.
From extended warranty companies to field servicers to replacement part
suppliers to claims processors to e-recyclers and many others, the industry is ultimately
committed to adding value to goods regardless of where they may be in the
product life cycle. Extending the life of the product is the end goal.

Having worked in the parts business for
the past 25 years, I know the many segments of the aftermarket supply chain and
understand how important it is to have collaboration among the various vendors
supporting the product lifecycle. Symbiotic relationships are vital for the
industry to flourish. Manufacturers need servicers to maintain their products.
Servicers need parts distributors to stock the components required to make
repairs. Parts distributors need manufacturer authorizations to expand their
line cards – and so on throughout the chain, which ultimately exists to serve
the end user and build brand equity. 
Those that ignore the spirit of partnership typically don’t last long in
our industry.

Each link of this chain must build
mutually beneficial relationships to ensure the chain remains unbreakable. One
way to achieve such unity is to form a professional association that fosters
open dialogue and serves as a forum in which to share best practices. Encompass
is currently trying to gauge interest in creating Partners for Aftermarket
Support (PAS) – a collaborative industry association to bring together those
who are dedicated to strengthening the after sales supply chain.

We envision this being an all-inclusive
association whose members share a commitment to providing superior service and
support to end users. With strong support, we all can win. End users who have a
positive experience with a brand are likely to repurchase those products and
warranties, which eventually will leads to service opportunities to like-minded
members.

We all have a lot to learn from each
other, which can’t be done in a vacuum. Joining together to share ideas could
help us all take our industry to the next level of service and support.

If you are interested in participating in
Partners for Aftermarket Support or have any feedback, please let me know: rcoolidge@encompass.com