06.06 Large-Item Installation & Field Service Network
Governance metadata | Owner: Head of Service | Last reviewed: 2026-10-22 | Next review: 2027-01-31
Core principle: for large-item hardware, returns and NPS are often driven not by a bad product but by a bad installation. The installation network is part of the GTM cost model, not a vendor you find after launch.
1. Scope
Categories requiring on-site or semi-installation: energy storage, robotic mowers, pool equipment, major appliances, outdoor solar, smart locks, and similar.
2. Service Model Comparison
| Model | Advantages | Disadvantages | Best fit |
|---|---|---|---|
| In-house team | Controllable quality, strong brand experience | High fixed cost, slow to scale | Core cities, high AOV |
| Authorized providers | Fast scaling, local presence | Uneven quality, requires auditing | Regional expansion |
| Platform dispatch | Broad coverage, asset-light | High commission, inconsistent experience | Long-tail regions |
| Hybrid | Balances quality and cost | Complex management | Most brands |
3. Installer Onboarding and Auditing
- Qualifications: business license, insurance, electrical/low-voltage credentials (by category);
- Training: product structure, installation standards, safe operation, scripts;
- Certification: authorize after assessment; grade A/B/C;
- Auditing: mystery shopping, work-order sampling, photo evidence, score-based elimination;
- Elimination: repeated bad reviews, rework rate above threshold, safety incidents.
4. Per-Unit Installation Cost Model
Per-unit installation cost =
base labor hours × hourly rate
+ consumables (brackets/cables/seals)
+ travel (mileage/lodging, by region)
+ rework cost × rework rate
+ damage compensation × compensation rate
+ platform commission (if applicable)Unit rates follow city and provider quotes. The model must keep "rework rate" and "compensation rate" as sensitivity variables.
Regional Cost Baseline (fill per market; no pre-filled values)
⚠️ Every figure must come from actual local provider quotes. Never carry a rate across markets — the same category can differ several-fold in labour rate between North America, Europe and Japan.
| Cost item | Unit | N. America | Europe | Japan | ANZ | Middle East | Source |
|---|---|---|---|---|---|---|---|
| Labour rate | per hour | Provider quote | |||||
| Visit / dispatch fee | per visit | Provider quote | |||||
| Mileage | per km | Provider quote | |||||
| Working-at-height / hoisting | per job | Specialised quote | |||||
| Electrical connection (if needed) | per job | Licensed electrician quote | |||||
| Consumables pack | per unit | Purchase price | |||||
| Rework rate | % | Work-order history | |||||
| Compensation rate | % | Work-order history |
Filling discipline:
- Take quotes from at least two providers; use the median and record the range;
- Quotes must state whether tax and insurance are included, to avoid post-signing add-ons;
- Rework and compensation rates may start as labelled assumptions in year one and be replaced with real work-order data in year two.
5. SLA
| Metric | Target (empirical; calibrate by category) |
|---|---|
| Appointment response | Within 24 hours |
| On-site lead time | 3–5 days in cities, 7–10 days in remote areas |
| First-visit success rate | ≥95% |
| 7-day post-installation follow-up | 100% |
| Installation damage rate | <1% |
6. SLA Compensation Ladder and Assessment
An SLA without a compensation clause is a wish list. Compensation must be formulaic, settleable and capped.
1. Late arrival and no-shows
Per-event compensation = that job's installation fee × ladder percentage| Situation | Ladder % (suggested default) | Note |
|---|---|---|
| On time | 0% | — |
| Late ≤2h with prior notice | 0% | Not penalised |
| Late >2h | 10% | Customer may refuse |
| Rescheduled by the provider (<24h notice) | 25% | Customer's time cost |
| No-show | 50% | Also counts in the assessment |
| Customer cancels as a result | 100% | Stacks with §8 damage liability |
The percentages are suggested defaults to be negotiated per market and provider. What matters is that they are written into the contract and reconcilable, not the exact percentage.
2. Quality metrics
| Metric | Definition | Threshold | If missed |
|---|---|---|---|
| First-visit success rate | Jobs completed and accepted on the first visit ÷ total jobs | ≥95% | Deduct in proportion to the shortfall |
| 7-day rework rate | Installation-caused rework ÷ completed jobs | ≤3% | Rework is unpaid and the second visit cost is borne by the provider |
| Installation damage rate | Damaged units ÷ completed units | <1% | Handled under the §8 liability layering |
| Photo compliance | Complete uploads (six sides + nameplate + wiring) ÷ completed jobs | 100% | A job missing any item is not settled |
3. Settlement linkage
- Monthly settlement, based on system work-order status only — paper forms are not accepted;
- Sampling deductions: audit ≥10% of jobs each month; a mismatch between photos and reality deducts the batch proportionally;
- Dispute window: 7 days after the settlement statement; silence is deemed acceptance.
7. Scheduling and Rescheduling
- Scheduling: allocate by region/provider capacity to avoid overselling;
- No-shows: record customer no-shows; charge a visit fee on the second no-show (with advance notice);
- Coordination: property management, weather, and power conditions; confirm 24 hours ahead.
8. Damage Liability and Claims
- Pre-installation inspection: photo/video record of appearance and function;
- Liability layers: product defect / installation operation / customer environment;
- Insurance: provider liability insurance + brand product liability insurance;
- Claims: determine liability within 48 hours, close within 7 days.
9. Van Stock and Acceptance
- Van stock: brackets, screws, seals, wear parts;
- Post-installation acceptance: function demo, app pairing, safety check, customer signature, photo upload;
- 7-day follow-up: usage issues, second visit, NPS.
10. Interface with Reverse Logistics
- Installation failure/damage → 06.03 RMA grading;
- Deep repair → 06.05 Repair Depot;
- Return interception → 06.01 unboxing retention scripts.
11. Twelve Mandatory Service-Provider Contract Clauses
A contract is not a framework signature; it is where the §6 compensation ladder and §8 liability layering become enforceable.
| # | Clause | Must specify | If missing |
|---|---|---|---|
| 1 | Scope | Categories, territory, whether height/electrical/removal are included | On-site upselling |
| 2 | SLA | Response/arrival/completion times, consistent with §5 | Nothing to assess against |
| 3 | Compensation | Ladder percentages, caps, triggers (§6) | Cannot penalise |
| 4 | Insurance | Liability limit; the brand must be a named insured | No backstop after an incident |
| 5 | Licensing | Electrical/height/hazardous-work certificates and validity | Compliance exposure |
| 6 | Training & certification | Number of sessions, assessment standard; no dispatch before passing | Quality uncontrollable |
| 7 | Spare parts & tools | Who supplies, who stores, who bears loss | Job stoppage on site |
| 8 | Photos & data | Mandatory items, retention period, ownership and usage rights | Cannot evidence |
| 9 | Confidentiality | Customer data, product materials | Data leakage |
| 10 | Settlement | Cycle, reconciliation basis, invoicing, dispute window | Endless disputes |
| 11 | Audit rights | Sampling, mystery shopping, work-order access | Cannot verify |
| 12 | Termination & handover | Termination for breach, in-flight job handover, spare-part stocktake | Service interruption |
Legal boundary: cross-border contract entity, tax and limitation of liability must be confirmed with 07.09 product liability insurance and Legal. This document is not legal advice.
12. Category Difficulty Matrix
One installation network covers very different difficulty and risk profiles — one SLA cannot serve every category.
| Category | Complexity | Required credentials | Typical duration | Main risk |
|---|---|---|---|---|
| Energy storage / residential solar | High | Electrician + grid-connection permit | Half a day~1 day | Electrical safety, grid compliance, roof load |
| Robotic mower | Medium | None (trenching for boundary wire) | 2~4h | Boundary wire routing, RTK base placement |
| Pool equipment | Medium-high | Plumbing/electrical | 3~6h | Pipe modification, leaks |
| Major appliances | Medium | Moving + basic electrical | 1~2h | Entry damage, old-unit removal |
| Smart lock | Medium | Locksmith/carpentry | 1~2h | Door modification, lock-body incompatibility |
| Outdoor lighting | Low | Electrician (if wired) | 1~2h | Waterproofing, wiring |
Three rules this implies:
- Set SLA per category: the first-visit threshold for storage should be lower than for locks (different complexity), while its compensation percentage should be higher.
- Licensing is a hard disqualifier: no storage/solar job goes to an installer without an electrician licence, however cheap.
- Spare parts per category: lock bodies for locks, connectors and fuses for storage — one universal kit does not work.
13. Safety, Insurance and Incident Response
1. Three high-risk work types
| Type | Risk | Mandatory controls |
|---|---|---|
| Working at height (roof/hoisting) | Falls, dropped objects | Harness, two-person rule, weather window |
| Electrical (grid connection/wiring) | Shock, fire | Licensed electrician, lockout-tagout, insulated tools |
| Batteries (storage handling) | Short circuit, thermal runaway | Insulated handling, no stacking, isolate on anomaly |
2. Insurance chain
- Provider liability insurance: covers injury and property damage from the work; the brand must be a named insured;
- Brand product liability insurance: covers product defects, see 07.09;
- Employer's liability: covers the installer's own injury, preventing the brand from being joined in.
3. Incident response (within 24h)
On-site containment (power off / isolate / medical)
→ report to brand and insurer within 2h
→ on-site evidence within 24h (photo/video/witness)
→ classify within 48h: product defect / installation error / customer environment
→ route to 06.03 reverse logistics or insurance claimProhibited: frontline staff promising compensation privately. All compensation is set centrally by the brand to avoid inconsistent standards across regions.
14. Execution Checklist
[ ] Service model selection and regional coverage map
[ ] Installer admission standards and insurance requirements
[ ] Training and certification completed
[ ] Per-unit cost model includes rework and compensation rates
[ ] Regional cost baseline filled: labour/visit/mileage/height/consumables, ≥2 quotes, median
[ ] SLA compensation ladder formulaic: late / reschedule / no-show / cancellation written into the contract
[ ] Quality metrics tied to settlement: first-visit success, rework rate, photo compliance
[ ] All 12 contract clauses confirmed
[ ] Category differences applied: storage/solar get licensing gates and higher compensation
[ ] Safety and insurance in place: height/electrical/battery controls + three insurance layers
[ ] Incident response drilled: 2h report / 24h evidence / 48h classification
[ ] Scheduling/rescheduling/no-show rules
[ ] Pre-installation inspection and photo evidence
[ ] Liability layering and insurance claims process
[ ] Van stock list and acceptance form
[ ] 7-day follow-up and NPS collection
15. Related Documents
- 06.03 Overseas Local RMA and B-Stock
- 06.05 Overseas Local Repair Depot
- 08.06 Energy Storage Projection
- 08.07 Robotic Mower Projection
Review record (2026-10-22): This is an installation-service operating framework. Cost and SLA figures are empirical ranges and must be calibrated against regional provider quotes.