Key Account Management

Key Account Management

Strategic focus

Key Account Management

Key account management is a strategic business approach with the objective of ensuring long-term and sustainable business development through profitable partnerships with strategically important customers Key account management is not an isolated business process. It is an intregrative element of the business strategy. Successful KAM requires the development of an organisational culture that facilitates both radical innovation and cross-functional working relationship

Strategic implications

Key Account Management

KAM as core to business: For KAM to be able to deploy its full potential and benefits, it is crucial that it be positioned in the organisation as a core to the business. Full commitment and involvement of the CEO and top management are key to success Capacity building: Developing internal capabilities and capacity in terms of knowledge, structures, systems and tools is a requirement for long-term success

Getting organised

Key Account Management

Key account managers act as the corporate principal points of contact for key customers. They represent their company to their accounts, and bear the responsibility of representing those accounts within their own company. The WIN-WIN approach they are to apply determines how the supplier can help the customer grow its business and grow the business of the buyer in return. KAM must be positioned and empowered to be able to integrate different internal resources located in different divisions, departments, or even subsidiaries to serve the key customers.

Integrative management

Key Account Management

The leading role of the CEO

Key Account Management

Marketing & Sales

HR, IT Others

CEO

Finance

Operations

Operating as a team of interdependant strategic business units or

Commitment of Top Management

Key Account Management

Operational Excellence

CustomerFocused Strategy

Customer-Focused Organization

Success requires integration and alignment of key building

Customer service issues

Customers service expectations Market

Key Account Management

Organizations understanding of expectations Service

Information Gap

Service Quality Gap

standards Gap

Customers service perception

Customer

Organizations service specifications

Communication Gap

Service performance Gap

Organizations communications to customers

Communication Gap

Organizations service performance

Customer Service Improvement Potential Gaps to Monitor and Bridge

Knowledge management

Key Account Management

Information about competitors

Why do they even exist? Where do they add value for customers? Which of my customers are of most interest to them? What is their cost base and liquidity? Are they less exposed with their suppliers than we are? What do they intend to do in the future? How will their activity affect my strategies? How much better than them do we have to be to win their customers? Are there any new competitors or new ways of doing things which will appear in the next few years? If I were a customer would I choose my product over those offered by competitors?

Systems and process

Information needs

BIS requirements

Knowledge management

Key Account Management

Information about customers

How many Large/medium/small Existing/new/potential/lost Their perceptions Their needs Growth potential Principal strengths and weaknesses Their own business development challenges Their competitors Their key personnel (decision-makers or influencers) and decision making process Our image/competitors image Their attitudes to our products or services New requirements Our performance rating across all aspects of our product/service offering

Systems and process

Information needs

BIS requirements

Information Systems

Key Account Management

Management Information systems

Performance Improvement Measurement systems

Customers

Communications systems

Operational Systems

KAM support systems and processes

Reforming for success

Key Account Management

Ensuring that the changes planned and expected do not turn out to be disruptive. Ensuring a more precise assessment of current and prospective strengths, weaknesses and needs in each at each link. Identifying and overcoming internal barriers that prevent quality support Ensuring all support functions play a key role in servicing major accounts Giving employees empowerment to create the time, space and systems and take actions vital for customer satisfaction

Organisation Congruence

Key Account Management

Durable SUCCESS

n tio ss a q u uc c e E ge to S n ha a y C w he ath T P e Th
Structure

Win-Win Benefits Systems Processes

Strategy

VISION

Assuring Congruence Aligning Vision, Strategy, Structure, People, Systems and Processes

A Shared Vision
The Organisation will be a market-driven, customer-oriented, profitable organization that

Key Account Management

supports social and economic growth by providing reliable and efficient processing of information, financial transactions and goods to meet the changing needs of customers.

The ultimate Challenge Aligning Vision, Strategy, Structure, People, Systems and Processes

Delivering on promise

Key Account Management

Customer service charter

We will - provide high-quality, secure and reliable services. - publish clear performance standards, monitor performance regularly against the standards, and publish the results. - publish clear and up-to-date information about our services. - provide customer contact points where you can make enquiries and complaints, and seek compensation. - respond professionally, courteously and promptly in all our dealings with you. - monitor how satisfied you are with our services, and we will constantly seek improvements in all areas, to meet your needs.

Reliability is one of the keys to any good relationships and KAM is no exception

Making promises that the organisation will keep

Universal Postal Union

Key Account Management

The companys assets and competences are not necessarily strengths or weaknesses in themselves but become so in the way they meet the customer critical success factors. They should regularly be assessed and upgrated to this end.