Background of Client: A paper manufactures
Business unit involved: Major local offices in the Asia-Pacific region
As an older (50+ years) conservative company, most of its management and sales staff used a price-reduction approach to close sales. Thus, the company’s profit margin had dramatically decreased in the highly competitive business environment of recent years.
Although the company had launched some highly specialized product lines to enhance its strategic positioning, the staff still used outdated methods to position and promote these products in Asia.
As more specialized product lines were to be launched, the company decided to optimize its existing business practices and develop value-driven business practices in its major Asia-Pacific offices.
Methods Involved: Design Thinking, CEN/TS 16555 and 5i Customer Management Method
Type of Transformation: Business Transformation
Transforming price-driven into value-driven business practices for sustainable long-term business growth
Duration of Project: 2 years
KPIs of Project
Sales effort and cycle
- Developed a new channels for their high-end branded products
- Designed a set of new criteria for classifying the importance of existing clients and identified the 20 most important clients as key accounts for every local office
- Developed an analytical report that identified critical procedural touch points for managing non-key accounts and suggestions for eliminating all non-critical procedures (e.g., face-to-face meetings)
- Established a brand new tele-sales team and designed a tele-sales process with a discount approval system for non-key accounts
- Developed a consultative selling procedure for managing key accounts
Client’s Tangible Results:
The overall profit margin was increased after all arrangements were implemented
The sales effort and cycle for non-key accounts was significantly shortened