Process Interaction 3/2/2011 copyright River Heights Consulting 2011
Process in Distribution The Wild west Logistics Difficulty Systemizing Warehousing Freight Shipping IT/Support
The Distributor Sales Process It’s Complicated and… It’s Interactive
There’s Pushback Do you want me Selling of Filling out Forms? My sales will go down because I will loose customer intimacy! They can’t make me do that.. This steals from my selling time… Big Brother, Mind Police Job Security I’ll fight….
We already have a process…. But, it’s informal… Each salesperson has their own… Real or imagined? Here are the tests of a real process..
Evidence Mounts Only High Process Groups Perceived Value Sales Process
Pricing ProcessInteracts with Sales Forces Process Driven:
Scientific Pricing Analysis
This Results in:
Better Segmentation (Customer and Vendor)
Discipline in Sales Mgmt.
Upper QuartilePerformance Often have higher margins but… Not a margin driven thing… Better Control of Process Affects:
React Better/Faster to Changes in Economic Conditions
What’s next? Targeting Best customer to product match Customers most likely to value and respond to our solutions
Product Level Targeting Vendor – Oriented Fast Results – typically 6 months or less Easily automated Pricing Process