Tuesday, August 7, 2007

CRM - a corporate or territorial responsibility?

Customers buying processes are culture intensive differing from country to country. The same product is bought differently in the US than in Japan.Selling processes vary by type of channel.

Distributors will leverage on a wider variety of offerings, while direct sales force will focus on a deeper product knowledge. Therefore, the selling, marketing and service processes, must be designed at corporate hierarchy level, rather than at a singular territorial altitude, independently of its market size.

Forecasting, price discounts authorization and other workflows, should follow the same guidelines - their planning is a corporate responsibility, not a territorial job.KPI (Key Performance Indicators) may vary by territory: managing price discounts can be more critical in China, less decisive in Japan.

Monitoring gross margins during the selling processes of an opportunity may become vital in Shanghai, less in Tokyo. KPIs should be designed and managed at corporate level rather than at territorial rank.

Adopting CRM implicates changes in the management culture, as it drives sales from an "art" to a discipline. Overcoming obstacles to change is a territorial responsibility and should be delegated to the regional managers.

SUMMARY
  • Processes, KPIs and CRM architecture - must see global differences and need to be designed at a corporate level.

  • CRM adoption has to overcome local obstacles to change, and need to be a territorial owned task.

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