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Blog · Wallet share and penetration · Industrial manufacturers

Ten questions a manufacturer's VP of aftermarket asks, and the table that answers each

The ten questions a vice president of aftermarket at an industrial manufacturer puts to the service and parts teams, which customers run our equipment on someone else's parts, which units come off warranty next quarter with no contract offer, is the installed base register complete, which batches are claiming above the model's rate, which customers claim above the norm across batches, which quotes convert and which are price checks, which distributors and direct accounts double count, what is catalogue fit per customer, which service contracts renew with a bad claims history, and what changed, each with the table from the installed base register, the claims file and the ledger, and the answer to send back.

The short answerA VP of aftermarket's questions are about the installed base and what it generates, and each has a table from the installed base register, the parts and service ledger, the claims file and the quote log: aftermarket attach per customer against the contracted norm by model and age; the service contract calendar with offers logged; the register check against units shipped; claim rate by batch; claim rate by customer, batch-adjusted; quote conversion by customer and family; direct and distributor channels without double counting; catalogue fit; contract renewals with the unit's claim history; and the movements page. Every claim joins to a unit in the register, and the answer to send back is an attach figure computed on a register nobody has checked.

A VP of aftermarket asks what the installed base generates and hears an attach rate computed on the register as it stands. The register check, the claims file, the ledger and the quote log hold the honest version as tables. This guide is the ten questions, the tables, and the answer to send back.

The ten

# The question The table Identity Send back
1 Is the register complete? Units in register vs shipped, per model and year Register ≤ shipped Attach on the register as it stands
2 Who runs our equipment on someone else's parts? Aftermarket attach per customer vs contracted norm by model and age Revenue sums to ledger Parts revenue ranking
3 Which units come off warranty with no offer? Service contract calendar; offer log; attach history Units in one state A warranty end date list
4 Which batches claim above the model's rate? Claim rate per batch with failure codes Claims join to serials Claims by customer only
5 Which customers claim above norm across batches? Claim rate per customer, batch-adjusted Same as 4 Claim cost by customer
6 Which quotes convert, and which are price checks? Quote conversion by customer, family, estimator, turnaround Orders reference quotes Quote volume
7 Are direct and distributor double counted? Channel roll-up with sell-through reconciliation Direct + distributor = ledger A channel total that exceeds the ledger
8 What is catalogue fit per customer? Families held vs segment norm; gap Families sum to orders Revenue per customer
9 Which contracts renew with a bad claims history? Contract end dates with the unit's claim rate Contracts in one state Renewal dates alone
10 What changed? The movements page Every line cites Narrative

A worked exchange

VP: What is attach at customer 2207? Response: 21 percent: 212 units mostly in years three to eight, $0.4m of aftermarket against $1.9m at the contracted norm. The register check shows the model's count at 2207 matches shipments. Tables 1 and 2. VP: Is that our quality or their sourcing? Response: Their claim rate is at norm, batch-adjusted. Somebody else supplies the parts. Table 5. VP: What comes off warranty there? Response: Fourteen units in the next two quarters, $126,000 a year at the contract norm, no offer logged. Table 3.

Three tables, one customer, one and a half million dollars of aftermarket at norm.

Where it goes wrong

Register unchecked. Attach flattered by the units it does not know about.

Claims not joined to the register. Batch and customer indistinguishable.

Warranty ends unwatched. The parts desk hears first, eighteen months later.

Channels summed. Distributor sell-in and sell-through both counted.

Every quarter, ten tables

Covirage produces the ten tables from the installed base register, the ledger, the claims file and the quote log, with the register check first. The industrial manufacturers page describes the setup, and the aftermarket attach guide covers the second table.

Questions people ask

Which question first?

The register check, because every aftermarket table is computed on the installed base, and a register missing a fifth of the units shipped understates expected aftermarket by a fifth and makes attach look fine. Units in the register against units shipped per model and year is the first table.

Do these need the claims file?

The two claim tables do, joined to the register on the serial. Attach, the contract calendar and catalogue fit come from the register and the ledger. Quote conversion from the quote log and the order book. All exports.

What is the identity?

Parts and service revenue sums per customer to the ledger; units in the register per model and year never exceed units shipped; every claim joins to a serial; direct plus distributor revenue equals the ledger with no unit counted twice. An attach figure on an unchecked register is sent back.