Strategic Business Controls
Morgan Legend Software

Value proposition
Communicate
Improve Align
Simplified
Change
Execution
Reward Execute
Morgan Legend Software

Value proposition
Communicate the strategy
Align the organization
Execution
Reward success
Improve
Morgan Legend Software

Communicate the
Strategy
Morgan Legend Software

Strategy Map
EBITDA Dollars & Percentage | Sales Growth
Financial
Sales COGS Costs Capital
Customer
Implementation of Group Sales & Marketing Policy
Tollgate
Internal
GAM
Segmentation
EOQ Lean
Supply
Consoldiation
People
Values Selection
Training Rotation
Morgan Legend Software

Align the organization
Morgan Legend Software

KPI model
Corporate
BU BU BU
Team Team Team Team Team Team
Individual
Morgan Legend Software

KPI tracking
Morgan Legend Software

Execution/Performance
Morgan Legend Software

Profit management
• Profitability trending
• EBITDA contribution
• Margin trending
Morgan Legend Software

Dimensions of analysis
• Class
• Rank
• Type
• Tollgate
• Segment
Morgan Legend Software

Profit trending
Profitability Trending Period 1: Jan 1, 2008 to Jun 30, 2008 Period 2: Jul 1, 2008 to Dec 31, 2008 Currency: CHF
Period 2 -
Period 1 SPV ACP Growth Win Lost Sales Period 2 %
Period 1
Sales 4,235,906 -868.582 1,301,114 1,224,667 3,443,762 -792,145 -18.7
COGS 2,748,884 2,159,418 -589,466 -21.4
GP1 1,487,023 58,062 -87.466 -282,847 540,110 431,338 1,284,344 -202,679 -13.6
GM1% 35.1 41.5 35.2 37.3 2.2
Morgan Legend Software

Whale chart & trending
Morgan Legend Software

Margin trend analysis
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Sales analysis
• Sales volume, margin and EBITDA trending
• Variable period comparisons by
• Class
• Rank
• Type
• Tollgate
• Segment
Morgan Legend Software

Sales & margin trending - rank
Morgan Legend Software

Sales & margin trending - sector
Morgan Legend Software

Sales pipeline management
• Sales funnel from prospect to account
penetration
• Project sales funnel tracks new deals at
existing accounts
• Uncover hidden costs of account
dominance
Morgan Legend Software

Active pipeline analysis
TG 6
TG 1
10
TG
TG 2
TG 9
TG 3
Existing Customers
TG 8
TG 4 TG 5 TG 7
# 12
$
#7
1,170K # 14
#3 $ 875K #6
$ 744K
$ 1,230K
#8 $ 390K
#3
#4 #4
$ 560K $ 290K
$ 360K $ 440K
#6
Prospects & New Projects
$ 420K
Time to Money
TG1 - 108 days - $120
TG2 - 82 days - $252
TG3 - 55 days - $144
Time to Money 108 days
TG1
TG4 - 42 days - $179
Value today $120K
TG5 - 28 days - $261
Total = $956 in 108 days
Morgan Legend Software

Reward success &
alignment
Morgan Legend Software

Compensation management
• Personalised & higher-level KPI
• Align compensation to contribution
• Controls to adjust based on compliance
• End-user compensation modelling
Morgan Legend Software

Improve
Morgan Legend Software

Strategic Segmentation
• Holistic market & segment demographics
• Relative market share & threat analysis
• Account specific opportunity & threat
tracking
• Align sales-costs with strategic
opportunities
Morgan Legend Software

Penetration by segment
Morgan Legend Software

Segment competition
Morgan Legend Software

Competitor’s activity - segment
Morgan Legend Software

Competition size analysis
0
Morgan Legend Software

YMC by segment by growth
7
6
5
4
3
2
1
Morgan Legend Software

HYMC by rank by growth
7
6
5
4
3
2
1
Morgan Legend Software

Customer satisfaction
• Repeated surveys to capture the Voice of the
Customer
• Track changes in perception pre and post change
• Track advocacy - do your customers support
you?
• Plot your successes and barriers within
customers
Morgan Legend Software

The One Number
Morgan Legend Software

Satisfaction by function
Mrs. xxx yyy
Mr. xxx yyy
P - KDM
P - KDM
S - Advocate xxx yyy
10
S - Advocate
Director - Supply Head of Finance
pts
Director - Asia Pacific
Chain
Materials
CSI - 73
Mr. xxx yyy
Ms. xxx yyy
P - Evaluator Mr. xxx yyy Ms. xxx yyy
P - Coach
S - Advocate P - Coach P - Coach xxx yyy
S - Advocate
6 pts
Senior Mgr - S - Advocate S - Advocate Finance Manageer
Manufacturing
Purchasing Procurement Manager Purchasing Manager
Manager
CSI - 82
Mr. xxx yyy Mr. xxx yyy Ms. xxx yyy
Ms. xxx yyy Mrs. xxx yyy
P - KDM P - Key Decision P - KDM
P - KDM P - KDM
S - Advocate Maker S - User
S - User S - User
2 pts
Supplier Quality S - Advocate Supplier Performance
Procurement Senior Purchasing
Engineer Quality Engineer Engineer
Engineer Executive
CSI - 76 CSI - 84 CSI - 63
Legend
Missing
CSI > 79 CSI < 65
CSI > 65 <80 Not surveyed
Morgan Legend Software

Morgan Legend
Software
Strategic Business Controls
Morgan Legend Software