On Key Account Management, Matthias Caesar @ SAP in 2003

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It is about 10 years old, but I think the basics are still the same...

A presentation about Key Account Management which I presented at SAP's SLS in 2003.

Thank you for the invitation, Chris!

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On Key Account Management, Matthias Caesar @ SAP in 2003

  1. 1. CONSTANT CHANGE!? How to generate Repeat Business with Key Accounts Matthias Caesar SAP Language Services, Feb. 27th 03
  2. 2. Change in our industry • Innovation! • Technology • Structure! • MLV • Source? • Translator • Maturity? • Size
  3. 3. 4 Areas one Goal Source: Bruhn, „Das Konzept der kundenorientierten Unternehmensführung“, 1998 Customer orientation Customer satisfaction Customer loyalty Customer value Company internal moderating factors Company external moderating factors • Heterogeneous expectations • Market dynamics • Market complexity • Variety seeking-motive • Image • # of options • Comfort-level • Potential customer value • Service requirements • Price • Customer retention • Customized services • Heterogeneous service range • Service complexity • Barrier to change • Contractual • Modular design of service range • Customer Information System • Staff retention • Pricing policy • Span of service range
  4. 4. customer-oriented business model •DEF – Ability of an enterprise to assume the customer‘s point of view with regard to services and to transform this into enterprise services and consequently into commercial results •Goal: customer loyalty and profitable customer relations •‘Profitable’ is determined by ‘customer value‘ (the long- term value of a customer to the enterprise) •Prerequisite for customer loyalty: high level of customer satisfaction
  5. 5. Customer-oriented Corporate Management Wechselbarrieren Source: Bruhn, Das Konzept der kundenorientierten Unternehmensführung, 1998 1. Analysis 2. Planning 3. Implementation 4. Controlling customer oriented data collection customer life- cycle segmentation acquisition relations management regain organization/ structure management system company culture market-driven controlling Internal controlling
  6. 6. 0 1 2 3 4 5 innovative creative regional product-oriented customer-oriented tailored reasonable nitch traditional hands-on international brand slow standard expensive general Customer view Comp A Comp C Comp D Comp B
  7. 7. 0 1 2 3 4 5 innovative creative regional product-oriented customer-oriented tailored reasonable nitch traditional hands-on international brand slow standard expensive general Company view Comp A Comp C Comp D Comp B
  8. 8. Measuring Source: Homburg/ Werner, Operationalisierung von Kundenzufriedenheit und Kundenbindung, 1999 Structure Systems Culture Attitude Innovation as a value Management as a role model Identification/alignment Frequent customer contact Customer integration (process / value chain) Process-oriented Decentralized Increasing competency Cross team cooperation Defined points of contact Flat hierarchies
  9. 9. strategy overview step 1: implementing key account management with existing customers A B C New BizAnalysis (I.) existing customers A/B/C customers Information Customer • needs • demands • markets • positioning ReorganisationAnalysis (II.) Company •service/ product portfolio •internal organisation service/ product portfolio internal organisation new business opportunities with existing customers
  10. 10. key account management •DEF - to identify, develop, maximize and share value added potentials for the customer and your own company* •customer orientated company philosophy •differentiated form to work on and deal with different customer groups •special internal organization: key account teams and streamlining of internal processes * Hans D. Sidow: “Key Account Management”, Munich, 2002
  11. 11. implementation I •identification of key accounts (large accounts, growing customers, opinion leaders, prestigious customers, know-how customers...) •analysis and gathering of information (strategies, demands, needs, expectations, problems of key- accounts; market information) •development of a key account strategy for each customer and a customer contact plan internal organization into account teams, concentration on special services or implementation of new services
  12. 12. implementation II •introduction of a customer development plan/forecast in terms of sales and margins plus customer contracts •analysis and regular update/correction of forecast •regular customer strategy/controlling meetings/conferences •implementing customer benefit measurements (staff retention, newsletter, seminars, incentives, parties) •yearly customer surveys (web based)
  13. 13. recommended activities - execution april july aug sept oct nov dec jan feb mar april mayjunemay identification of key accounts information gathering key account strategy plan internal presentation first customer A strategy meeting internal organisation implemented customer forecast plan forecast updates customer meeting customer meeting customer meeting customer surveysummer party International New Biz Meeting SYSTEMSCebit Cebit controlling/update internal organisation I.I.R. presentation strategy ‘foreign’ market
  14. 14. Bottom line • What is it all about? COMMUNICATION! SUCCESS! COMMUNICATION!
  15. 15. Summary • Key Account Management • Ask, listen, analyze • Quality • Flexibility • Long-term • Continuity • Predictability • Internal organization/structure • Referrals • Success => Security
  16. 16. Q&A - Discussion • Thank you very much!

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