Tuesday, November 29, 2011

Someone Moved My Cheese. Again!  

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The sales process that we all knew from 20 years ago has changed.  Why?  Quite simply its because the buying process has changed.  The Internet has created a very educated and informed buyer.  This shift is true in all business to business sales, but it is even more important that professional service firms acknowledge this change.  Gone are the days when you could rely completely on relationships fostered by one or two of your associates.  In today's world everyone must be a part of the sales process and you have to embrace the modern knowledge base and communication tools of email, LinkedIn, blogs, Twitter, and the like to be effective against your competition.

Here are some basic "must haves" that I think apply to every technology, accounting, legal, and consulting firm:

First, create a consolidated sales and marketing plan.  Your plan should be in writing, it should be concise and it should be understandable by everyone at your firm.  It should spell out your firm's value proposition, your target market, and your criteria to qualify or disqualify prospective clients.  The sales plan should outline a basic sales process and the marketing section should outline your tactical timelines to meet measurable market objectives. The plan should embrace the use of social media technologies, which in today's world are an important part of the sales process, to engage in electronic conversations with prospective clients.  You can choose to execute the strategies in house or outsource the tasks, but the written plan is critical to making sure your sales and marketing dollars are spent effectively and that you will have a measurable return on your investment.

Second, train those who will be engaged with the sales process regardless if they have a primary or secondary role with each prospective client.   Client decision processes today are multi-faceted and often include several people who will make the decision to choose your firm or to disqualify it.  The training plan doesn't mean that every associate has to attend a three week Sandler course.   Training for most associates can be conducted at in house "lunch and learn" sessions where  you won't lose precious billable time and so that the "sales resistant" associate  won't feel like they are being forced into changing who they are.

Third, manage the process every day.   Someone at the firm must fulfill the role of "Sales Manager".  This person will champion the sales process and keep everyone on track with your sales and marketing plan.  Ideally, this is a senior associate that has attended additional sales training and likes being involved with the process.   Not every associate will be good at taking on even minor sales roles.  The sales manager has to make decisions on who will get locked in the back room and kept away from perspective clients and which associates should commit additional time to the  process.  They have to be able to coach the other associates and let them know when it is time to disqualify a prospective client before they spend too much valuable time on them.
  
About the author
Marty Michael is an entrepreneur, investor, and senior executive who has been involved directly and indirectly with many software, technology, and professional service firms.   As the Executive Vice-President of sales and marketing at Avanceon he was forced to face the dilemma of a changing sales process head-on to ensure that the company made the transition in an unpredictable and shifting market place.  He has embraced the effective use of the modern marketing tools of email, blogging and LinkedIn, but still personally has a hard time saying the word "Twitter" with a straight face.  Never the less, they are all effective technologies when used in combination with a well thought out and structured sales and marketing plan.

Please check out his profile on Linked in at:  http://www.linkedin.com/in/martym9400

Thursday, September 22, 2011

Get Your Head Into the Cloud  

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At a conference last month, I sat in a room with several product managers from different OEM companies.  The speaker was there to talk about the value of cloud computing and why the current trend was continuing to escalate into all markets, including manufacturing.  He was quite convincing.  He addressed the biggest concerns over privacy and security of data and concerns over a loss of control.  He discussed at length the tremendous cost advantages and the ability to rapidly achieve value and reduce project life cycles.  Real time continuous improvement and reduced maintenance management costs were also key elements in his message.  I was convinced, but I was already a believer before he spoke a word.  It’s part of my DNA to be looking outside of what we do today, and I have been absorbing everything I can on this subject for quite a while.  I guess I am always trying to find a better way.   That same DNA gets me in trouble sometimes, for I will sometimes pursue a solution based on innovation and technology before the market and the users are ready for it.   Is that the case now with Cloud Computing in the industrial and manufacturing world?

After the speaker was finished, the time came for questions and answers.  The crowd in the audience wasn’t as convinced as I was.  As a matter of fact, some very smart people took the immediate position of, “Great stuff, but not for my customers.”   Can you explain further, asked the speaker.   “It’s simple,” explained the product manager of a well known OEM, “Customers in manufacturing will never embrace the use of  this technology  even if it is in a private cloud.”   He wasn’t alone in his opinion.  There were dozens of brilliant engineers and sales people in the room who quickly jumped to his defense and the conversation evolved along these lines for about 15 minutes before the speaker reached the point of exasperation.  It was like trying to convince Eskimos that global warming was going to change their world when it was still 60 degrees below zero in the igloo.

Ok, it was my turn.  I had to chime in.  “Do you think the folks selling electric relays and manual processing made the same argument against the PLC and DCS 30 years ago?”, I said.    I persisted further, “The man just showed you how your customer can deploy superior technology in one half of the time at one third of the cost.   Do you really think that we can continue selling what we have if the customer is going to have that kind of option?”

The truth is that everyone was correct.  There will be a big part of the market place that will resist the change and rationalize why they should continue doing what they are doing today.  They won’t go out of business, based on that choice.  Maybe they will get left behind, but on the other hand they may do better than those who take the risk if the technology hits an unforeseen challenge.   While Google and Amazon may not be the answer for the manufacturing plant floor applications, there will be solutions that evolve out of this technology shift.  I said it a few months back.  We are at an inflection point and the time is now to start paying attention.

In my next article I will elaborate on one of the latest innovations in cloud computing that will bridge this gap between the inflection point of the cloud and the “not in my house” perception of the industrial market place.   Stay tuned.

Thursday, March 3, 2011

Matching Technology to your Business  

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Technology can be a beautiful thing. It can solve problems, reduce costs and it can also improve company profits.


However, it can also be responsible for raising costs, creating problems and losing you money. Nowhere is this more true than with manufacturing control technologies. These technology systems are the brain of every manufacturing plant. When there is a problem with the brain there is a problem with every part of the plant.

When things go wrong it's usually not a technology problem. Today's technology works. When things go wrong it is probably more about the people involved in the process. The technology will normally allow you to do what you design it to do. The real challenge is in making sure you can clearly define your business requirements and that you are working with a team that knows how to deliver to those requirements.

Here a three great tips when choosing an integration partner.

1. Make sure the people working on your project KNOW your business.
2. Make sure the partner is committed to supporting you long term. Ask for an extended warranty and if they can't, or won't give it, then move on.
3. Don't just ask for references that they will hand pick. Use the web to find out what people say about them. If you can't find any information then keep looking for someone with a real track record.

Remember, it's the people that are important.

Thursday, February 24, 2011

Sales 2.0 Is Not Marketing 2.0  

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I spent two days last week in Nigel Edelshain's (www.sales2.com) sales 2.0 bootcamp. I have read a lot of information on the concept of Sales 2.0 and went into the session thinking we would spend our time perfecting a strategy around LinkedIn, blogging, and tweeting, but came away with much more. It would have been easy to get caught up in the technology, but Nigel did a great job of keeping everything grounded in the real sales process and guiding the group in how to use Web 2.0 to drive new business within the traditional sales process.

Just as important in the session was the interaction with the other group members. It was a great session and I highly recommend the program to anyone interested in improving sales and marketing efficiency.

Sales 2.0 is here to stay and the rewards will go to those companies who take advantage of it early.

Tuesday, November 30, 2010

Solution Sales For Everyone?  

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I was in a meeting yesterday with a business partner. He's a smart guy and a great salesperson. He has a problem though. He has been running a company selling products for years, but now his products have hit the commodity cycle and he has to change.

He has become convinced he has to sell more services and move to solution sales. He is planning a lot of training to convert his current large sales force to a solution based sales force, and we were talking about the challenges of that.

Here is my advice on this subject from living through it in more than one industries.

1. Accept the fact that best product sales person will not be your best solution sales person. The process and the required skills are too different.

2. Training is an absolute requirement, but not an absolute solution.

3. Before you judge which sales person can make the change figure out first which ones are really willing to make the change. (I think it's more like converting a hockey player to a baseball player than it is like moving a shortstop to second base.)

4. You have to change your success metrics first. If you keep asking how many boxes or licenses they sold then it will be impossible to move forward.

This is an important subject. Let me know what you think and what advice you would have given?

- Posted using BlogPress from my iPhone

Saturday, November 13, 2010

The Recession is Over?  

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I have been watching company presentations all day at the Philadelphia IMPACT venture capital conference. It's been interesting. They have used a rapid response system to answer survey questions about the current, and future, economic trends.

The crowd, made up of a lot of smart bankers, lawyers, and business people, was about 80% optimistic. That's encouraging. I guess. As long as you ignore the fact that the same worldly mix failed to predict the 2008 crash.

That being said I am extremely optimistic about the near future. I am a pretty conservative person and I am ecstatic about last weeks election results. Not because I expect the new congressman to actually do anything, but mostly because I think there presence will restore stability to the previous "change everything" strategy of the executive and legislative branches. Instability and unpredictability are the real enemy of business.

That is not to say that we can't manage change. But too much change is scary, and scared business people tend to stand still and not move forward for the fear of falling backward. Even then we can only stand still so long before the paranoia of getting left behind takes over and you have to move.

The bottom line is that we have all been standing still too long and it's time to move forward and get our businesses growing again.

If we all believe we can move forward then the momentum will propel us all.

So, let's get to it.

- Posted using BlogPress from my iPad

Monday, August 30, 2010

We Haven't Seen Anything Yet  

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I don't think we have seen anything yet when it comes to the total digital integration of our society. Ford is now releasing a new line of cars with a unique WIFI integration hotspot. And yes, you guessed it, there will be an App For That.

Please comment, where will integration invade next?

Check out this video.