GLOBAL CONSULTING CASE STUDIES
Case Study 1: Anybody who thinks engineers can’t sell is dead wrong.
Situation: A small, global electronics manufacturing firm had been losing market share in their niche for the past 12 months. Theirs was a highly sophisticated, premium-priced top tier product that involved a 2-3 year sales cycle. The sales department consisted of three people.
Intervention:
Through the interview process, we found that the three salespeople were using an old sales model in an industry that required a far more polished presentation.
We custom designed a sales system to differentiate them in their approach to the market.
The system was based on in-depth research into the competition and the customer’s customers and markets.
Training focused on a sophisticated questioning strategy designed to expose their competitors’ weaknesses and lead naturally to a discussion of their competitive advantage and benefit to the customer (value distinction).
Three engineers were invited to take part in the training in order to increase the size of the training group.
Results:
One year later, the two veteran salespeople who resisted the new approach to the customer had left the firm six months after the training. In spite of the fact that they had not been replaced, the company reported more than doubling their sales revenue. In this instance, more than doubling revenue while decreasing the cost of sales.
Case Study 2: Customer Intimacy
Situation:
A tier 2 automotive parts supplier, whose clients consisted largely of Fortune 500 and Fortune 100 OEMS, had been notified by one of their long-standing clients that they had been put on new business hold. The entire automotive sector was under relentless pressure of cost. Significant trends were impacting the auto industry. One of these trends was the Japanese business model of fewer suppliers and more “intimate” relationships.
Intervention:
In the role of consultant, I interviewed the Senior Commodity Manager to find out what had triggered the new business hold.
One of the client’s main complaints was that there had been a total breakdown in service leading to significant quality issues in the past three months. Since their primary contact had left the company, the longstanding relationship had been lost. The person who replaced him, “an engineer by trade but not trained in the sales side of the house” could “only talk about technical issues.“
The feeling was that the engineers, however capable on the technical side, were not listening to them and were lacking in customer focus. They were not responding to RFQs and estimates on time and were otherwise “giving the impression they didn’t seem truly interested in doing business with us.”
We custom designed and conducted a 12-week/45-hour sales & customer service workshop for the entire engineering team and their manager, based on these and other client issues.
Training included planning, listening, engaging with high-impact questions to focus each conversation on issues that were top of mind to the customer, negotiation and other communication skills to expand their interpersonal tool kit.
Results:
1. The customer reported seeing a difference in both attitude and customer focus. The new business hold was withdrawn and the supplier succeeded in winning future contracts.
2. The training was rolled out to all divisions in several locations. Return on investment was in the multi millions.
Case Study 3: Communication is understanding the customer’s needs.
Situation:
A US-based auto parts manufacturing firm had been responding to RFQs and pursuing contracts from an Asian manufacturer for two years, without success. The manager in charge asked me to help them establish a toe-hold to secure their first contract.
Intervention:
We were able to secure an appointment with the individual in charge of awarding contracts.
We asked whether there were any cultural issues that, as a North American supplier, my customer did not understand about doing business with Asian firms?
We asked about their own target clients’ greatest challenges and what it would take to become invaluable to them as a supplier in meeting these challenges?
Their response was that, in a fiercely competitive market, they needed to partner with suppliers who understood the position they were in, and who would value building a long-term relationship, not just with them but also with their customer. One of the reasons they didn’t have an existing relationship with my customer was that the comfort level had not yet been established.
The client’s entire team of technical people participated in a sales training designed to take into account the differences in Asian business culture, context and communication.
Results:
Within months, my client had won their first of many ongoing contracts worth millions of dollars, year over year.