Selling Complex Solutiona by Consalia

Selling Complex Solutions (From creative Win Themes to Advanced Negotiation)

WVP, PUN

ďŁŠConsalia Ltd April 2012

Contents Introduction

Winning Value Proposition Workshop

Procurement Understanding and Negotiation Workshop

Reasons for choosing Consalia Ltd

Consalia Contact Details

Introduction As competition increases for selling complex solutions it becomes more and more important for the supplier to demonstrate they can provide a better solution and/or service than their competitors. More innovative and focussed thinking is required from the supplier. Consalia offers two key workshops that can help you change the thinking of your salespeople, be they account managers or sales directors. Both these workshops provide an innovative approach to selling complex solutions.

Winning Value Proposition Who It’s For  

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Senior Relationship Leaders Key Account Managers, Strategic Account Managers, Global Account Managers Project Director and key players from the bid/sales pursuit team. Key individuals who can contribute knowledge and information to the team and assist in generating creative ideas. (eg R&D, Supply Chain) Sales Directors

Background It is imperative for companies to maximise conversion rates on large deals. The Winning Value Proposition (WVP) Workshop leads participants through a structured approach that encourages “outside the box” thinking. This approach enables participants to identify innovative and creative solutions that will benefit the customer. Solutions identified and developed in the workshop are in addition to providing the core solution and will give an edge against competitors. Live bids are used for this two day workshop. Participants first analyse the customer’s industry, business and market forces before identifying solutions. The emphasis is on developing creative solutions that will add real value to the customers business.

Workshop Goals On completion of the Workshop participants will have: 1. Identified the customer’s key business drivers, major issues they are facing, strategic initiatives, key projects and areas of concern. 2. Identified creative solutions that will help the customer meet their strategic initiatives and add real value to their business.

3. Developed “Win Themes” around the identified solutions, in order to focus solutions on areas that the customer cares about. 4. Reviewed the robustness of the solutions against competitors. 5. Developed a strategy to take the ideas forward and include in the proposal where appropriate.

Workshop Length Two days.

Workshop Synopsis 1. Customer Research What are the qualities that a senior executive looks for in a salesperson? How do senior executives want to be sold to? How effective are most salespeople? These questions are addressed in this first module. Consalia has undertaken considerable research with customers at senior levels, including video interviews. This research forms the basis of the session, which aims to convey the relationships that customers want with salespeople. 2. Third Perspective Thinking Model This Module is key to the whole workshop and explains the operation of the Third Perspective Thinking model. A real case is used to help participants think about what companies are trying to achieve for themselves and what they are trying to achieve for their customers. 3. Focusing on the Customer’s Business In order to develop appropriate solutions it is essential to have a good understanding of the customer’s business. In this module

participants look closely at the customer’s business and what they are trying to achieve. What are the competitive forces acting on the business? What are key issues in the industry? What are their key business drivers? What keeps them awake at night? What are their strategic initiatives? What are their key projects? Involvement from Industry Analysts provides valuable insights into the customer’s organisation and industry. 4. Third Perspective Thinking Solutions Now that participants have a good understanding of their customer they can apply the Third Perspective Thinking model. What value is the company trying to create for itself? What value are they trying to create for their customer? What do you have that could impact on the things the customer cares about? By the end of this module participants will have produced a list of creative ideas for added value solutions. The ideas will be organised into “Win Themes” and then analysed for feasibility, value to the customer and value to the participants’ organisation. 5. Competitor Analysis The first check for the ideas created is to analyse how they stand up against the competition. In this module key competitors are identified and each is analysed in turn. What are the chief advantages of this competitor? What does the customer need that cannot easily be obtained from this competitor? What would it take to persuade the customer to buy from you what they now buy from this competitor? Each solution is checked against each competitor.

6. Value Propositions The importance of writing focussed Value Propositions and Executive Summaries is covered as well as what should be contained in the statements. Discussion includes the importance of proving what is stated, such as using quantifiable data, stating for whom this has been done before and what were the results. Validating ideas with the customer is also discussed. 7. Develop a Commercial Strategy The purpose of this final module is to ensure that plans are put into place to take forward the good ideas and solutions developed over the two days. Actions for further development of the Win Themes and solutions are discussed and specified. Responsibility is allocated for each of the specified actions, to ensure that all appropriate creative ideas are included in the bid proposal.

It is important that when a yes/no decision is reached a meeting is held to analyse why the bid was or was not successful. Discussion is held regarding how individuals and the organisation can learn from each bid and how this knowledge can be captured to assist with future bids.

Proof that it works Consalia has now run WVP workshops on live bids for many clients. The combined conversion ratios of deals using the Workshop

achieved a massive 77% win rate. Over $5 billion in total contract value has been secured. Organisations such as Hewlett Packard, Logica, SAP, T Systems, Wipro and ATOS Origin have used Consalia’s WVP methodology to help secure large deals. The extraordinary success of this programme has resulted in published papers and the winning of National Training Awards. More information is available on our web site www.consalia.com. Other benefits of the WVP workshop included:  The Cost of Sale decreased between 20% and 30% per deal.  The unexpected benefit of saving money by withdrawing from the bid pursuit. After completing the WVP workshops the company decided not to pursue the bid further on four separate occasions. The analysis and discussion on the workshop led them to make the decision that it was not worth their investment. These decisions, in effect, meant not throwing good money after bad and saved millions of dollars.

Options After the proven success of the WVP programme Consalia developed another level to an already unique workshop. Prior to a WVP workshop Consalia can conduct interviews with key people in your target organisation. This helps to identify exactly what value they are looking for â&#x20AC;&#x201C; for both themselves and their clients. If your organisation is already the incumbent the feedback can be invaluable for ensuring contract renewal. Also, we have found that customers really appreciate the effort made to better understand their needs and opinions. This approach has enabled Consaliaâ&#x20AC;&#x2122;s clients to win new contracts as well as renew existing contracts.

Facilitator Subject Matter Expertise Dr Philip Squire has been working for many years helping global organisations to win large and/or complex deals. Much of the research on which this workshop has been based was conducted by Philip as part of his doctoral research project. Consalia has also certified a range of senior level consultants all with extensive large account and live deal coaching expertise across the different geographic locations.

National Training Awards ď Ž

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In 2009 Consalia was awarded a National Training Award for the London Region for the proven success of this programme. In 2010 Consalia was again awarded a Regional National Training Award for the WVP workshop combined with additional customer research.

Winning Large Deals - WVP Core Programme

Client Change Journey

Consalia Programme

Supplier Deal Journey

Procurement Understanding and Negotiation Who It’s For  

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Who It’s By Consalia has partnered with the most experienced and senior procurement experts and buyers to lead this workshop. This ensures participants are dealing with practitioners who share best practices and challenge in a realistic way. This is more about practice than theory though both are covered.

Background Procurement departments are changing to become Strategic Supplier Managers, getting involved in many different aspects of the business and often even having the responsibility for managing the relationship with suppliers. Sales and Global/Key Account Teams need to embrace these changes and find new ways of engaging with Procurement and to have a differentiating edge in negotiating with them. This workshop immerses participants in the world of Procurement to aid insight and then catapults them into the world of hostage negotiation, to stretch their thinking and capabilities in negotiations. It then takes them back into sales to apply what they have learnt. Through looking at their world in a different way the

workshop will help them to question their current work practices and reflect on how they can improve their processes and behaviours.

Programme Goals On completion of the program, participants will have: 1. Diagnosed the key performance gaps that are inhibiting achievement of their objectives with procurement understanding and negotiation 2. Adapted and applied strategic procurement practices to supplier situations. 3. Developed radically new insights and practices in negotiation through challenging role plays in a range of carefully prepared negotiation scenarios. 4. Brought together the new procurement understanding and negotiation insights and learnings into a coherent synthesis of new approaches for their accounts 5. Practised the new approaches in realistic or real life applications.

Programme Length 3- 5 days

Programme Agenda

Programme Synopsis 1. Pre-work Negotiation Diagnostics Participants will start developing insights before the programme. They will see how they compare to their peer group with respect to their negotiation capabilities and orientation, via a diagnostic. This provides a base line from which to develop specific personal development plans in negotiation. Participants also start to characterise their accounts according to a well-honed maturity spectrum for Procurement orientation and an accompanying language for understanding the implications.

2. An Introduction to Procurement Understanding In this segment of the workshop participants learn about procurement from the perspective of the buyer. A thorough and challenging exploration of the trends of procurement is undertaken. They develop an insight into the tools used in procurement and how the buyers review their business needs before moving on to how buyers motivate and engage their suppliers.

3. Diagnostic Tools for Negotiation Tactical Procurement Toolkit versus Strategic Procurement Toolkit. This section provides a detailed review of the different procurement tools used according to the different procurement philosophies. Following the review participants plot their accounts on the procurement maturity map. This tool enables sales teams to develop early thoughts as to the strategy and tactics required to be effective in negotiation. Is this a discount negotiation? Is this negotiation about price savings? Is the negotiation about cost and value?

4. What are Buyers Taught? This section covers the tools and procurement techniques that most larger organisations will have been taught. However, the level of application is varied and the seller needs to beware of the strategically aligned buyer or the tactical bully. To overcome such approaches clear strategies are required. Strategic sourcing involves buyers in conducting comprehensive market analysis and category market positioning. Based on this sellers need to carefully position their customer base. Positioning Models look at both sides of the Buyer Seller Relationship. Participants are taught how buyers analyse potential suppliers – this includes Annual Report, Cost Modelling and Supply Chain Analysis. 5. Negotiating Mindsets – Tactful Audacity and Proactive Creativity Research conducted by Consalia’s CEO, as part of a doctoral project is presented and discussed. This research resulted in the identification of Four Mindsets that buyers want in the salespeople they deal with – Authenticity, Client Centricity, Proactive Creativity and Tactful Audacity. Living these mindsets will help salespeople to maximise their effectiveness. Whilst all these mindsets are important in the negotiation process this section focuses in particular on Proactive Creativity and Tactful Audacity. The theory is then transferred to the buyers real world and teams plan a route from strategy to implementation, from the perspective of the buyer.

6. In at the Deep End! Hostage Negotiators can be considered the ultimate negotiators. Drawing upon video as well as developing techniques that hostage negotiators use provides a hugely challenging and stimulating learning environment. Participants will be quickly presented with a number of different negotiation scenarios to test how they would react. This segment explores what can be learnt from these ultimate negotiators. What are their considerations prior to a negotiation? What preparation do they do? What communication techniques do they use? How do they use this information to influence what they say and how they say it? Links are made to the process, behaviours and skills required of commercial negotiators.

7. Negotiation – Behavioural Skills This section develops key behavioural skills required for effective negotiators. It starts by addressing attitude, behaviour and both verbal and non-verbal communication. Five methods of persuasion are taught – Positive Emotion, Factual Emotion, Negative Emotion (Coercion), Tradeables and Compromise. A survey is used to map the Persuasion Style of participants. Participants then use the results of the survey to develop their personal skills in negotiation. Extensive use of role-plays with structured coaching provides a challenging and stimulating environment for all participants to develop their skills. Every participant is involved in multiple negotiation meetings. Video is used to analyse behaviours strategies and process. Each participant receives a high level of personal coaching from peer group discussions and the procurement and buyer facilitators. 8. Negotiation – Process Here participants are taught the process for negotiation in the pre Meeting, Meeting and Post Meeting Phases of the negotiation. Participants are taught where to focus their time – the importance of preparation, planning and rehearsal. How do they ensure there are no surprises in the negotiation? What should the outputs of the Preparation, Planning and Rehearsal phases of the negotiation process be? Participants complete a pre negotiation analysis template and a meeting flow plan. Participants are taught how to plan the opening, information exchange, moving towards agreement and closing phase of the

negotiation meeting. Finally they are taught how to review the process of negotiation, what went well what went badly. 9. Action Planning When people return to their job and are faced with all the work that has built up in their absence they rarely have the time to think about what they have learnt and how to apply it. This segment on action planning enables participants to review all the notes they have made throughout the workshop, during structured reflection activities, and bring all these thoughts and ideas together into a final action plan. These action plans will help to maximise behavioural changes.

Facilitator and Subject Matter Expertise Dr Rob Kennett has 13 years experience as a hostage and crisis negotiator, culminating in the position of Deputy head of the New Scotland Yard Hostage and Crisis Negotiation Unit. He currently trains hostage negotiators globally. We draw upon his experience and expertise in learning how these ultimate negotiators handle hostage negotiations and make parallels with the commercial negotiating world. His expertise enables us to help sales people use different perspectives to develop their sensitivity to what good negotiating practice looks like. Alan Cooley and Steve Mullins both have extensive experience in procurement and procurement leadership within blue chip organisations. They also have extensive experience in procurement and supply chain consulting, coaching and training for global companies. Both consult with procurement departments and advise how best to develop procurement strategies as well as training account teams globally on procurement and negotiating practices. They are probably some of Europeâ&#x20AC;&#x2122;s most experienced in their field.

Four Reasons for Choosing Consalia 1.

Uniquely positioned around mindsets.

Award winning content.

External Accreditation and Certification approach for thought leadership.

Instructional Design for blended learning solutions to maximise the learning experience.

Contact Details For more information on Consalia take a look at our website: www.consalia.com or call us.

Consalia Ltd The Glasshouse 5a Hampton Road Hampton Hill Middlesex TW12 1JN UK Tel : +44 (0)20 8977 6944 Email : psquire@consalia.com

Consalia Asia Pacific Pte Ltd 8 Temasek Boulevard #42-01 Suntec Tower Three Singapore 038988 Tel : +65 9732 3181 Email : csimm@consalia.com