Why frameworks are the way forward for successful KAM?
Table of Contents
• Problems with KAM
• Why Frameworks and Not methodologies/processes?
• KAM Frameworks
• Human + Machine
Key Account Management is OLD
It would not be incorrect to say that key account management is as
old and established as management itself. The last four decades
have seen strategic account management being driven by
methodologies. Not to forget the consultants, who always had their
‘way’ of doing key account management.
Key Account Management is changing
The VUCA world is calling out for a ‘new’ form of key account
management. One that is agile and moves with market, technology
and social changes. Methodologies fail in providing the necessary
‘degrees of freedom.’ Frameworks could provide the answers.
No value creation
Problems with KAM
Those days have gone when all the organizations had centralized
procurement units. Now with the influence of subscription economy, the
decision making is getting decentralized across the teams. Country
level/Department level/Functional level buying is happening. More
stakeholders are involved in the process that often salespeople end up
having no idea who is involved in decision process. As the sales process is
getting increasingly difficult with the expansion of DMUs in the
organizations, every account manager must need a new understanding of
the B2B sales process.
“The typical buying group for a complex B2B
solution involves six to 10 decision-makers”
Country level/Department level/Functional level buying is happening
Key account management is an art of offering value to the key accounts.
KAM must be an ever-evolving, cross-functional and multi-year journey for
an organization. Rather than rigid, an agile function is required because no
long term plans can be formulated in this ever changing market. For
organizations with a traditional rigid structure, the implementation of KAM
practice will be a complex undertaking. Account Managers must be
comfortable in experimenting and offering flexibility to impact customer
success and maintain a strong relationship with them.
Key account management is more of
an art than a "formula."
Traditional key account management is rigid
KAM must be an ever-evolving, cross-functional and multi-year journey
Key account managers are the people who build and nurture loyal, long-lasting
relationships with each of the high-value customers of an organization. A smart
key account manager should develop dynamic business intelligence to tackle this
evolving market. According to BTS, this is the "knowledge of how the drivers of
customer growth, profitability, and cash flow are changing, of how the customer’s
markets are changing, and of how the interrelationships within the customer’s
business are changing."Key account managers who fail in this, end up finding it
harder to create value to the customers. Every key account manager must focus on
relationship-based revenue and value-based selling.
Focus on relationship-based revenue and
No value creation by Managers
Key account manager should develop dynamic business intelligence to tackle the evolving market
Standardizing the complete KAM process is not possible because no one size
fits all. It varies by industry, country and even organizations. For every key
account, it really matters for a difference in perspective, planning, and
execution. Every key account must be managed with unique compelling action
and a strategic vision. Standardization of KAM will negatively impact the key
accounts as understanding the client’s business and being flexible in aligning the
objectives, goals of KAM is really necessary. This flexibility can enable
unlocking new revenue potential in key accounts..
No one size fits all
Negative Impact of KAM Standardization
Every key account must be managed with unique compelling action and a strategic vision
Methodologies had been the guiding factor for years in the industry. It has helped us with set of principles, tools
and practices to achieve our goals. But in the evolving world, the industry needs a super power with a loose
structure which can offer room for innovation and experimenting.
Say Hi to Frameworks!
Key account managers can focus on monitoring and making changes in the process rather than planning.
Rigid methodologies and processes might not work!
Why Frameworks and Not methodologies/processes?
Every key account needs a
They entail a flexible and configurable
framework based on their needs.
A Loose Framework with flexibility
is the key
Account Segmentation White Space Analysis Relationships Communication Matrix
Competition Analysis Value Co-creationMetrics
Read More Read More Read More
Read More Read More Read More
1. Quantify the relationship health of your key accounts with an account health score
2. Understand the relationships objectively and avoid unpleasant surprise or unexpected setbacks
Status : Maintain the
Streamline : Manage for
Strategic : Invest mindshare
and ensure profitability
Streamline : Invest time & money.
Need not be profitable yet.
1. Where are we engaged today?
2. Where are the opportunities?
3. Where are the white spaces of growth?
4. Farming & Mining growth?
White Space Analysis
1. Get the hierarchy in your key account organization
2. Understand who are your Champions, Promotors,
Distractors and so on.,
3. Know the influence people have on each other
4. Who controls what budget?
1. All meetings between client stakeholders and account team are captured in
2. Shows you the communication and interaction pattern over the past 12
3. The meeting matrix helps to account teams answer important questions
when planning a communication strategy for an account
4. Also, get year wise verdict and know whether you’re in ‘Super touch’ or
you need to work more on the volume of meetings.
1. Identify the strenghts and weakness of competitors
2. Get the analysis of Customer Spend vs Wallet share
1. Account Plans: Get all your account plans at one place.
2. Relationship: Know power, affinity, and opportunities with the
3. KAM Quadrant: Quantifying the overall relationship health for all the
4. Win-Loss: Accounts and Offerings that are won or lost.
What's your Pipeline today?
You win most, you lose some.
What's happening with the
Opportunities you've won?
Show me the MONEY?
Metrics that matter for key
Revenue at Risk
Roll up your sleeves, hustle!
How are your Key Accounts
Who loves me, who doesn't?
Who controls the moolah?
What is selling. What is not?
What the Boss man wants.
Equip Account Managers with High tech tools
Complex functions like KAM requires the
power of this Combo
Human + Machine
KAM - automated by robots is absurd
as the uniqueness of the accounts
require ‘human intellect’
Training your Account Managers
to be Supermen is not scalable
Frameworks are the way forward to transform your
KEY ACCOUNT MANAGEMENT PROCESS.
Start your New KAM Journey Now!