Process Interaction<br />3/2/2011<br />copyright River Heights Consulting 2011<br />
Process in Distribution<br />The Wild west<br />Logistics<br />Difficulty  Systemizing<br />Warehousing<br />Freight Shipp...
The Distributor Sales Process<br />It’s Complicated and…<br />It’s Interactive<br />
There’s Pushback<br />Do you want me Selling of Filling out Forms?<br />My sales will go down because  I will loose custom...
We already have a process….<br />But, it’s informal…<br />Each salesperson has their own…<br />Real or imagined?<br />Here...
Evidence Mounts<br />Only High Process Groups<br />Perceived Value<br />Sales Process<br />
Pricing ProcessInteracts with Sales<br />Forces Process Driven:<br /><ul><li>Feedback
Scientific Pricing Analysis
Training
Documentation</li></ul>This Results in:<br /><ul><li>Better Segmentation (Customer and Vendor)
Stronger Feedback
Discipline in Sales Mgmt.</li></li></ul><li>Upper QuartilePerformance<br />Often have higher margins but…<br />Not a margi...
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Process interaction

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Process interaction

  1. 1. Process Interaction<br />3/2/2011<br />copyright River Heights Consulting 2011<br />
  2. 2. Process in Distribution<br />The Wild west<br />Logistics<br />Difficulty Systemizing<br />Warehousing<br />Freight Shipping<br />IT/Support <br />
  3. 3. The Distributor Sales Process<br />It’s Complicated and…<br />It’s Interactive<br />
  4. 4. There’s Pushback<br />Do you want me Selling of Filling out Forms?<br />My sales will go down because I will loose customer intimacy!<br />They can’t make me do that..<br />This steals from my selling time…<br />Big Brother, Mind Police<br />Job Security<br />I’ll fight….<br />
  5. 5. We already have a process….<br />But, it’s informal…<br />Each salesperson has their own…<br />Real or imagined?<br />Here are the tests of a real process..<br />
  6. 6. Evidence Mounts<br />Only High Process Groups<br />Perceived Value<br />Sales Process<br />
  7. 7. Pricing ProcessInteracts with Sales<br />Forces Process Driven:<br /><ul><li>Feedback
  8. 8. Scientific Pricing Analysis
  9. 9. Training
  10. 10. Documentation</li></ul>This Results in:<br /><ul><li>Better Segmentation (Customer and Vendor)
  11. 11. Stronger Feedback
  12. 12. Discipline in Sales Mgmt.</li></li></ul><li>Upper QuartilePerformance<br />Often have higher margins but…<br />Not a margin driven thing…<br />Better Control of Process<br />Affects:<br /><ul><li>Selling Activity/Results
  13. 13. Operational Costs
  14. 14. Transactional Costs
  15. 15. Inventory Control
  16. 16. React Better/Faster to Changes in Economic Conditions</li></li></ul><li>What’s next?<br />Targeting<br />Best customer to product match<br />Customers most likely to value and respond to our solutions<br />
  17. 17. Product Level Targeting<br />Vendor – Oriented<br />Fast Results – typically 6 months or less<br />Easily automated<br />Pricing Process<br />
  18. 18. Solution Targeting<br />Are we there yet?<br />plus<br />Lean<br />
  19. 19. Typical Documentation<br />Measures <br /><ul><li>Where are we in the process?
  20. 20. Time in stage
  21. 21. Salesperson stuck in stage?</li></ul>Coaching/Management<br /><ul><li>Need to abort late in process?
  22. 22. Salesperson’s ability to gather information.</li>

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