How to Grow and Fortify Critical Accounts

Presented by:Rick Reynolds

CEOAskForensics, LLC

© AskForensics, LLC, 2013

Agenda

• Background• What customers want• Why accounts are “at risk”• 6 actions to avoid becoming “at risk”• Q&A

AskForensics• Over 25 years of expertise

• Works with leading corporations

• Evaluated over $10.6B of business over past 7 years - sales events and accounts

• Presentation addresses performance with existing customers:– $4B worth of accounts

• >$3B of “at risk” accounts

– >600 B2B customer evaluations

– Insights from 20 Fortune 1000 level companies

Levels of Account Status

Ratings What They Mean

StrongPretty much all is well. Your company is delivering effective support and is highly valued. This doesn’t mean, though, that you can rest on your laurels.

VulnerablePercolating issues that, left undetected and unresolved, can escalate and become festering and growing concerns. These can hurt your chances for expansion and renewal.

DamagedTriage is needed. You are susceptible of losing the account, perhaps before your contract expires. You have no time to waste.

2%

30%

58%

8%

% of Accounts

Damaged

VulnerableStrong

Expansion Opportunity

Most Accounts Have Some Level of RiskStatus Rating of Existing Accounts

What Customers Want

27%

22%

16%

14%

% of Accounts

Service quality

Program management

Account support

Financial performance

What Customers Want

What does Service Quality Mean?

61%

21%

11%

Strong operations and results

Timely service

Meet special needs/requirements

% Mentioning Service Quality

55%24%

14%

What does Financial Performance Mean?

Be cost competitive

Decrease operating expenses

Increase total revenues

% Mentioning Financial Performance

What does Program Management Mean?

44%

15%

15%

12%

Operational expertise

Innovative ideas

Professional management

Quality onsite/frontline staff

% Mentioning Program Management

What does Account Support Mean?

26%

22%

16%

16%

Strong support from sales/account team

Partner-level relationship

Constituents / end customers

Offer recommendations

% Mentioning Account Support

Primary Needs Prevalent Sub Issues

Service Quality Strong operations and results

Financial Performance Be cost-competitive

Program Management Operational expertise

Account Support Strong support from sales/account team

Offer recommendations

Let’s Bring This All Together

Bottom line: Customers want a strong partner to improve their performance.

What Can Possibly Go Wrong?

Most Prevalent Reasons for Being Strong

67%

13%

Account Support

Service Quality

% of Strong Accounts

% Mentioning Account Support

47%

26%

21%

In-depth knowledge of client’s businessPossesses industry expertise

Proactively shares recommendations

Corporate Level Account Support in Accounts Regarded as Strong

39%

24%

18%

15%

Frontline Level Account Support in Accounts Regarded as Strong

% Mentioning Account Support

Highly valued relationship

Delivers effective support

Delivers measureable results

Responsive to requests

Most Prevalent Reasons for Being Vulnerable

27%

22%

16%

Account Support

Service Quality

Value

% of Vulnerable Accounts

38%

21%

18%

18%

% Mentioning Account Support

Does not proactively share recommendations

Does not support client’s programs

Not responsive

Lack of senior management interaction

Corporate Level Account Support in Accounts Regarded as Vulnerable

33%

29%

17%

17%

% Mentioning Account Support

Insufficient employee quality

Delivers measureable results

Highly valued relationship

Delivers effective support

Frontline Level Account Support in Accounts Regarded as Vulnerable

Most Prevalent Reasons for Being Damaged

38%

26%

17%

Account Support

Service Quality

Value

% of Damaged Accounts

Account Support is the Common ThreadAccount Support Encompasses:

Strong$660 Million

Vulnerable$3.5 Billion

Damaged$81 Million

Corporate Level In-depth knowledge of client’s business

Proactively shares recommendations

Possesses industry expertise

Does not proactively share recommendations

Does not support client’s programs

Not responsiveLack of senior

mgmt. interactionOnsite/Frontline Team

Highly valued relationship

Delivers effective support

Delivers measureable results

Responsive to requests

Employee qualityDelivers

measureable results

Highly valued relationship

Delivers effective support

Insufficient employee quality

Mirror Images

New Issue Emerges

Strong factors are less strong

Comparing Prevalent Needs to Performance

Prevalent Needs

Account Support – Strong support from teams and offer recommendations

Service Quality – Strong operations and resultsFinancial Performance – Be cost competitiveProgram Management -Operational expertise

Strong Accounts

In-depth knowledge of client’s business

Proactively shares recommendations

Responsive to requests Highly valued

relationship

Delivers measureable results

Delivers effective support

“At Risk” Accounts

Does not proactively share recommendations

Does not support client’s programs

Not responsive Lack of senior mgmt.

interaction Highly valued

relationship

Delivers measureable results

Delivers effective support

Mirror Images

PerformanceWhat Clients Want

How Can We Avoid Becoming “At Risk”?

6 Actions to Avoid Becoming “At Risk”

Action #1: See around corners.Continually reassess and meet clients’ needs Needs they articulate Needs they have not fully defined Pronounced and subtle needs Emerging needs they may not detect yet

Action #2: Continue to be proactively creative.

Think as if you were on the outside attempting to win the account Proactively share ideas and concepts with clients Don’t wait until renewal Involve your senior executives and your clients’

senior executives

6 Actions to Avoid Becoming “At Risk”

Action #3: Avoid having a weak link.

Improve training of frontline staff and reassess your corporate involvement Keep corporate teams involved Match cultures and personalities Assure top quality employees are assigned to

the account

6 Actions to Avoid Becoming “At Risk”

Action #4: Don’t let issues fester and escalate.

Identify gaps, respond quickly to requests, and resolve problems All levels of your company must be responsive Make sure everyone is on the same page Thoroughly address issues so they do not reappear Challenge customers when they are responsible for

issues Communicate your actions and results

Actions to Avoid Becoming “At Risk”

Action #5: Don’t fail at your core deliverables.

Continually deliver measurable value

Communicate value to all stakeholders Include direct and indirect value Position as investment instead of cost Continue to improve your service/product delivery Enhance your customer’s value to their customers

6 Actions to Avoid Becoming “At Risk”

Action # 6: Conduct thorough audits on your key accounts.

Initiate a fresh eyes review of your total relationship and overall performance Thorough Objective Take action

6 Actions to Avoid Becoming “At Risk”

AskForensics, LLCwww. AskForensics.com

Rick ReynoldsSenior Partner404-425-3107

Atlanta, GA USA

Thank you!

© AskForensics, LLC, 2013