Key Account Management

Key Account Key Account ManagementManagement

Marketing and Sales ExcellenceMarketing and Sales Excellence

Team mission :Team mission :

Deliver “World class “ Key Account & Territory ManagementDeliver “World class “ Key Account & Territory Management

Operating model relationship Operating model relationship overviewoverview

VisitsVisits InternetInternet Phone/FaxPhone/Fax

Trade ShowsTrade Shows PublicationsPublications Promotion Promotion

MaterialMaterial

CustomerCustomer PartnerPartnerss

DistributDistributionion

MarketMarketFactorsFactors

GovernmeGovernmentnt

CompetitiCompetitionon

Key Account Key Account ManagerManager

AnalyzeAnalyzeAccounAccoun

tt

SetSetObjectivObjectiv

eses

PlanPlanstrategystrategy

Take Take actionaction

ReviewReviewAccountAccount

SupplySupplyChainChain

FinanceFinance

HumanHumanResourceResource

ss

MarketinMarketingg ProductProduct

MgmtMgmtSalesSalesMgmtMgmt

TerritoryTerritoryMgmtMgmt

BizDevBizDev RegionalRegionalMgmtMgmt

SalesSalesSupportSupport

TechnicaTechnicall

SupportSupport

GeneralGeneralMgmtMgmt

ProductProductDevelopmenDevelopmen

tt

MarketMarketResearchResearch

A model for identifying and rolling-up Key A model for identifying and rolling-up Key AccountsAccounts

Global Key AccountsGlobal Key Accounts

National Key AccountsNational Key Accounts

Regional Key AccountsRegional Key Accounts

Territory Key AccountsTerritory Key Accounts

Key Account ManagementKey Account Management

Process diagramsProcess diagrams

ObjectiveObjective

The principle objective Key Account Management is to The principle objective Key Account Management is to provide the following benefits to the Sales Organization provide the following benefits to the Sales Organization

and customer…..and customer…..

MARKETING AND SALESMARKETING AND SALES

Improved customer insightImproved customer insight Understanding of customer Understanding of customer

needsneeds Understanding of usage patternsUnderstanding of usage patterns Better product knowledge Better product knowledge Better access to marketing and Better access to marketing and

material material Better competitor informationBetter competitor information Improved performance Improved performance

informationinformation Measurable goalsMeasurable goals Link between Business Plan Link between Business Plan

strategy and customer strategystrategy and customer strategy

CUSTOMERCUSTOMER

Better product informationBetter product information Better information on servicesBetter information on services Better understanding of Better understanding of

reimbursementreimbursement Better product benefits Better product benefits

knowledgeknowledge Ability to raise individual Ability to raise individual

profileprofile Increased end usersIncreased end users Provide resource inputProvide resource input

Process overview Process overview Level 1 Level 1

1Analyze & Classify

Customers

2Key Account Management

3Territory Management

4Customers

5KAM Management and Administration

1-Analyze and Classify Customers

1-Analyze and Classify Customers 1-Analyze and Classify Customers Level 2 Level 2

1.1 1.1 Identify/adIdentify/ad

ddCustomer/Customer/

ModifyModify

1.21.2Analyze Analyze CustomeCustome

rrDetailsDetails

1.31.3SegmentSegmentCustomeCustome

rsrs

1.41.4ValidateValidate

1.51.5Identify Identify

Key Key AccountsAccounts

KA?KA?

3.33.3ReviewReview

PerformaPerformancence

2.12.1Profile Profile

AccountAccount

Non KAsNon KAs

3.13.1Plan CallPlan CallActivityActivity

KA?KA?

1.1 - Identify/Add Customer 1.1 - Identify/Add Customer Level 3 Level 3

1.1.11.1.1CollectCollect

InformationInformationAdd?Add?

1.2.11.2.1Enter dataEnter data

1.1.21.1.2Review Review

InformationInformation

1.1.31.1.3ClassifyClassify

TypeType

1.1.41.1.4DetermineDetermine

Whether to Whether to addadd

1.1.51.1.5ManagemeManageme

ntntConfirmatioConfirmatio

nn

YesYes

NoNo

RejectRejectCustomeCustome

rr

1.1 1.1 Identify/adIdentify/ad

ddCustomer/Customer/

ModifyModify

1.21.2Analyze Analyze CustomeCustome

rrDetailsDetails

1.31.3SegmentSegmentCustomeCustome

rsrs

1.41.4ValidateValidate

1.51.5Identify Identify

Key Key AccountsAccounts

1.2 – Analyze Customer 1.2 – Analyze Customer Level 3 Level 3

1.1.41.1.4DeterminDetermin

eewhetherwhetherto addto add

1.3.1 1.3.1 Establish Establish

segmentationsegmentation

3.3.63.3.6ChangeChangeProcess/Process/

PlansPlans

1.1 1.1 Identify/addIdentify/addCustomer/Customer/

ModifyModify

1.31.3SegmentSegment

CustomersCustomers

1.51.5Identify Key Identify Key

AccountsAccounts

1.3 – Segment Customer 1.3 – Segment Customer Level 3 Level 3

1.2.51.2.5Confirm CustomerConfirm CustomerNeeds/ObjectiveNeeds/Objective

1.4.1 1.4.1 Confirm levels of Confirm levels of

validationvalidation

1.4.41.4.4Reassign Reassign

customerscustomersand reviewand review

segmentation segmentation processprocess

1.4.1 1.4.1 Confirm Confirm SegmentSegment

PopulationPopulation

1.4.31.4.3Validate Validate

segmentationsegmentationdecisionsdecisions



1.4 – Validate 1.4 – Validate Level 3 Level 3

1.3.41.3.4Assign customersAssign customers

to segmentsto segments

1.5.1 1.5.1 Confirm KA Selection Confirm KA Selection

CriteriaCriteria



segmentation segmentation processprocess

1.3.11.3.1Confirm segmentConfirm segment

criteriacriteria

2.1.1 2.1.1 Develop/updaDevelop/upda

teteAccount Account profileprofile

2.1.22.1.2Assess Assess

PositionPosition

2.1.32.1.3Re-evaluate Re-evaluate

account account ClassificationClassification

2.1.42.1.4Complete Complete account account profileprofile

2.1 – Analyze Account 2.1 – Analyze Account Level 3 Level 3

2.2.12.2.1Define account Define account

strategystrategy

1.5.41.5.4Validate Selection and Validate Selection and

CriteriaCriteria

OutputOutput

Business overview of the customerBusiness overview of the customer Understanding of key players and Understanding of key players and

relationshipsrelationships Map of influencersMap of influencers Review of relationship history and Review of relationship history and

performance of the customerperformance of the customer

InputInput

General information on the account General information on the account

Account history Account history Share of customerShare of customer Profitability Profitability Spending and service requirementsSpending and service requirements Past account plansPast account plans Product performanceProduct performance IssuesIssues Service effortService effort

Classification criteriaClassification criteria

2.1 – Analyze Account 2.1 – Analyze Account Level 3 Level 3

1.5.41.5.4Validate Selection and Validate Selection and

CriteriaCriteria




PositionPosition




2.2.12.2.1Define Define

account account strategystrategy

Develop and Develop and maintain maintain account profilesaccount profiles

Identify process Identify process for product for product approvalapproval

Access account’s Access account’s potential/financipotential/financial viabilityal viability

Establish Establish prospect prospect segment/prioritysegment/priority

Identify account’s Identify account’s current situationcurrent situation

Identify benefits Identify benefits of offering to of offering to meet need/ meet need/ Opportunities Opportunities

Rank customers by order of importance, segmentationRank customers by order of importance, segmentation Develop a map to guide networkingDevelop a map to guide networking Consider account’s influence/ reputationConsider account’s influence/ reputation Be familiar with account’s businessBe familiar with account’s business Estimate account’s expenditures and constraintsEstimate account’s expenditures and constraints Consider account’s buying historyConsider account’s buying history Determine account’s buying cycleDetermine account’s buying cycle Identify influences/decision makersIdentify influences/decision makers Identify prospect by product line/ treatment modality; 3Identify prospect by product line/ treatment modality; 3 rdrd party party

informationinformation Conduct needs assessmentConduct needs assessment Identify, probe, qualify needs/ concerns Identify, probe, qualify needs/ concerns Seek alternate source of information on the accountSeek alternate source of information on the account


strategystrategy

2.2.22.2.2Set account Set account

goalsgoals

2.2.32.2.3Establish Establish account account

objectivesobjectives

2.2 – Set account objectives 2.2 – Set account objectives Level 3 Level 3

2.3.12.3.1Develop action planDevelop action plan

2.1.42.1.4Complete account Complete account

profileprofile

OutputOutput

Customer strategyCustomer strategy Long – medium – short termLong – medium – short term Customer teamCustomer team

InputInput

Account profileAccount profile Company/Business Unit strategyCompany/Business Unit strategy Financial targetsFinancial targets


strategystrategy

2.2.22.2.2Set account Set account

goalsgoals

2.2.32.2.3Establish Establish account account


2.2 – Set account objectives 2.2 – Set account objectives Level 3 Level 3

2.3.12.3.1Develop action Develop action

planplan

2.1.42.1.4Complete account Complete account

profileprofile

Define end users Define end users of product and of product and servicesservices

Establish selling Establish selling goalsgoals

Identify growth Identify growth opportunitiesopportunities

Identify specific Identify specific product product opportunitiesopportunities

Look for long Look for long range range opportunitiesopportunities




PositionPosition




2.2.32.2.3Establish account Establish account


OutputOutput

Account plan including actions, Account plan including actions, resources, responsibilities, resources, responsibilities, timelines, quantitative and timelines, quantitative and qualitative targets and progress qualitative targets and progress measurements for the next measurements for the next period.period.

Key account portfolio Key account portfolio consolidatedconsolidated

InputInput

Opportunities identifiedOpportunities identified Account objectivesAccount objectives Product and service offeringsProduct and service offerings Customer needsCustomer needs Critical success factorsCritical success factors Competitive positionCompetitive position

2.3 – Create Account plan 2.3 – Create Account plan Level 3 Level 3

2.4.12.4.1Execute planExecute plan




PositionPosition




2.2.32.2.3Establish account Establish account


2.3 – Create Account plan 2.3 – Create Account plan Level 3 Level 3

2.4.12.4.1Execute Execute

planplan Design call cycle (day, week, month)Design call cycle (day, week, month) Select appropriate contact methodSelect appropriate contact method Build a regional action planBuild a regional action plan Add customer to call cycleAdd customer to call cycle Strategic process and position Strategic process and position

productproduct

Communicate Communicate sales approach sales approach to teamto team

Identify growth Identify growth opportunitiesopportunities

Identify specific Identify specific product opportunities product opportunities

Integrate Integrate marketing marketing strategy/conceptstrategy/concept

2.4.12.4.1Execute action Execute action

planplan

2.4.22.4.2Identify new Identify new opportunitiesopportunities

2.4.32.4.3Modify Modify

account planaccount plan

2.4 – Execute Account Plan 2.4 – Execute Account Plan Level 3 Level 3

2.5.12.5.1Measure performanceMeasure performance

2.3.42.3.4Finalize & approve Finalize & approve

account plansaccount plans

OutputOutput

New opportunities identifiedNew opportunities identified Actions executedActions executed Results of actionResults of action Customer insightCustomer insight Market intelligenceMarket intelligence

InputInput

Action plansAction plans Responsibilities Responsibilities Resources Resources

2.4.12.4.1Execute action Execute action

planplan

2.4.22.4.2Identify new Identify new opportunitiesopportunities

2.4.32.4.3Modify Modify

account planaccount plan

2.4 – Execute Account Plan 2.4 – Execute Account Plan Level 3 Level 3

2.5.12.5.1Measure Measure performaperforma

ncence

2.3.42.3.4Finalize & approve Finalize & approve

account plansaccount plans

Demonstrate proof (clinical)Demonstrate proof (clinical) Present clinical informationPresent clinical information Refer to other successes – testimonial Refer to other successes – testimonial Explain products in terms of competition, feature benefit sellingExplain products in terms of competition, feature benefit selling Reassure account of our value Reassure account of our value Confirm benefits of offering to meet needsConfirm benefits of offering to meet needs Use appropriate selling tools Use appropriate selling tools Gain account agreement Gain account agreement Negotiate order/terms and conditionsNegotiate order/terms and conditions Receive order Receive order

Enter order or recognition of order in systemEnter order or recognition of order in system Alert account to any changes (reimbursement)Alert account to any changes (reimbursement) Resolve disputesResolve disputes Arbitrate differences, make adjustmentsArbitrate differences, make adjustments Assure account satisfactionAssure account satisfaction Show appreciation of business Show appreciation of business Question all influencers and decision makersQuestion all influencers and decision makers Grow advocates for feedbackGrow advocates for feedback Reinforce prior purchasing decisionsReinforce prior purchasing decisions

Follow up on planFollow up on plan

3 – Territory Management

Key Account Management

Documents

Transcript of Key Account Management