What Sis Strategic Account Management

In: Business and Management

Submitted By adit2351
Words 499
Pages 2
1. What is Strategic Account Management? * Strategic account management is a systemic process for managing key interactions and relationships with critical accounts * 20% of customers generate 80% of the revenue/profit * Strategic accounts tend to provide a disproportionate share of a firm’s revenue/profit * Must manage account relationships, and be accountable for ongoing and long-term financial growth

2.

3. What are the benefits of Strategic Account Management? * Strategic account management can offer a competitive advantage, the key to greater loyalty, and the road to higher profitability * A well-designed and well executed strategic account management program can minimize, or in some cases, eliminate competition

4. What are the challenges of implementing Strategic Account Management? * Programs falter when firms underestimate the time, resource requirements, and complexity of rolling out the program * Creating a systemic way to manage strategic accounts is a little like putting down the road as you’re driving on it * You must maintain your firm’s financial performance while reinventing the way it serves its most critical customers. This is perhaps the greatest challenge in implementing strategic account management.

5. Create cross-functional executive leadership * This leadership helps create and communicate the urgency that ensures organizational commitment to strategic account management * These cross-functional meetings help sales and other departments arrive at shared priorities and alignment * Alignment also means that multiple departments working together can deliver solutions much more quickly * Executive groups continue to meet regularly as a steering committee for the strategic account program

6. Strategic account management must know * The customer’s organization…...

Similar Documents

What Is Strategic Management, and Why Is It Critical to the Success of an Organization in Meeting Its Goals and Mission?

...APPLE, Inc. What is Strategic Management, and why is it critical to the success of an organization in meeting its goals and mission? What is Strategic Management? The concept of "strategy" is based in a war scenario, the constant fights and battles over the centuries have caused the military to start thinking before you act- the battles are analyzed and planned in advance. In General Sun Tzu’s words: “The general who wins a battle makes many calculations in his temple ere the battle is fought.” When translating it to today’s Strategic Management’s words, it means: “Those companies and individuals who win in the business world make much calculation, planning and deliberations on their strategy and plans. Those who plan less have lower chance of success, much less those who don’t plan anything at all.” (Soo, 2011). Developing a Strategic Planning increases the likelihood that in the future, the organization will be in the right place at the right time. Strategic Management collects all activities and processes utilized by an organization in order to align resources and actions with mission, vision and strategy throughout the organization. When applied correctly, strategic management activities transform the vision into performance and enable the plan to evolve and grow as requirements and other circumstances change. Apple – Both sides of the fruit The right side In researching the Apple’s success, we can find a myriad of reports appreciating this fact....

Words: 1406 - Pages: 6

Management Accounts

...7,000 units Projected direct manufacturing labour requirements and rates for 2011 are as follows: Product Hours Per Unit Rate per Hour Mountain High Coffee 2 $12 Mountain High Beans 3 $16 Manufacturing overhead is allocated at the rate of $20 per direct manufacturing labour-hour. Required: Based on the preceding projections and budget requirements for Mountain High Coffee and Mountain High Beans, a) Prepare the following budgets for 2011: i. Production budget (in units) ii. Direct materials purchases budget (in dollars) iii. Direct manufacturing labour budget (in dollars) (18 Marks) b) What are the main objectives of budgetary control? (7 marks) Total 25 marks Mountain High Coffee Company (I) REVENUE BUDGET UNITS PRICE VALUE $ Mountain High Coffee 60,000 $165.00 9,900,000 Mountain High Beans 40,000 $250.00 10,000,000 TOTAL BUDGETED REVENUE 19,900,000 (II) PRODUCTION BUDGET (6 marks) Mountain Coffee Mountain Beans SALES UNITS 60,000 40,000 CLOSING INVENTORY OF FG 25,000 9,000 FG UNITS REQUIREMENT 85,000 49,000 LESS OPENING INVENTORY 20,000 8,000 PRODUCTION UNITS 65,000 41,000 (III) DIRECT MATERIALS PURCHASES BUDGET (6 marks) Amount A Amount ...

Words: 604 - Pages: 3

Strategic Management

...Strategic Planning for Kohinoor Chemicals Submitted to A.S.M. Ashif Senior Lecturer Department of Business Administration, East West University MGT 480: Strategic Management, Section : 03 Submitted By Quazi Aritra Reyan 2010-1-10-145 Nayeem Hossain 2010-1-10-149 Fuad Ibne Ahmed 2010-1-10-003 Ananta kishor Chanda 2010-1-10-028 Saiful Islam 2009-3-13-027 16th December, 2013 ------------------------------------------------- ------------------------------------------------- Letter of Transmittal 16th December, 2013 A.S.M. Ashif Senior Lecturer Department of Business Administration East West University Submission of term paper Dear Sir, It is a great pleasure for us to have the opportunity to submit term paper on “Strategic Planning for Kohinoor Chemicals”. This had been a great experience for us to analyze such a practical strategic planning issue. We tried utmost to make and look like a professional one. Our efforts will be valued if this report can serve for what it’s been meant for and our assistance will be there for any queries. Sincerely yours, Quazi Aritra Reyan 2010-1-10-145 Ananta Kishor Chanda 2010-1-10-028 Nayeem Hossain 2010-1-10-149 Fuad Ibn Ahmed 2010-1-10-003 Saiful Islam ......

Words: 6500 - Pages: 26

What Is Strategic Management Really

...What Is Strategic Management, Really? Inductive Derivation of a Consensus Definition of the Field Rajiv Nag Department of Management WCOB468 Sam Walton College of Business University of Arkansas Fayetteville, AR, 72701 Tel: (479) 575-6650 Fax: (479) 575-3241 Email: Rnag@walton.uark.edu Donald C. Hambrick The Pennsylvania State University Smeal College of Business 414 Business Building University Park, PA 16802 (814) 863-0917 Fax: (814) 863-7261 dch14@psu.edu Ming-Jer Chen University of Virginia The Darden School Charlottesville, VA 22906-6550 (434) 924-7260 Fax: (434) 243-7678 chenm@darden.virginia.edu October 18, 2006 (Strategic Management Journal, forthcoming) Acknowledgements: The authors are indebted to all those individuals who participated in the survey. The authors thank Hao-Chieh Lin for his help in the early stages of this research. We acknowledge financial support from the Batten Institute and the Darden Foundation, University of Virginia. A note of thanks to Tim Pollock, Wenpin Tsai, and two anonymous reviewers for their extremely useful comments on earlier versions of this manuscript. Keywords: Strategic Management, Academic Communities, Linguistics. 1 What Is Strategic Management, Really? Inductive Derivation of a Consensus Definition of the Field ABSTRACT It is commonly asserted that the field of strategic management is fragmented and lacks a coherent identity. This skepticism, however, is paradoxically at odds with the great success that......

Words: 3424 - Pages: 14

Strategic Management

...1 STRATEGIC MANAGEMENT Exercise 1 TTA-62036 Strategic Management 2 TABLE OF CONTENTS TABLE OF CONTENTS .................................................................. 2 1. DEFINITION OF STRATEGIC MANAGEMENT .......................... 3 2. BENEFITS OF STRATEGIC MANAGEMENT ............................ 4 3. STRATEGIC MANAGEMENT IN DIFFERENT ORGANIZATIONS 6 4. MEANING OF THE TERM ”STRATEGIC MANAGEMENT” ....... 8 5. BIBLIOGRAPHY ......................................................................... 9 3 1. DEFINITION OF STRATEGIC MANAGEMENT If one wants to answer questions like “What benefits strategic management has?” or “Does role of strategic management vary across industries?”, should first be discussed that what is actually meant by strategic management. Business strategy can be determined as a “set of managerial decisions and actions that determines the long run performance of a corporation” or as a ”theory about how to gain competitive advantages” (Nokelainen 2013). This text will be concentrating on business strategies so these determinations are usable. Strategic management is done in long time range. Therefore, strategic managament can be separated from operative management which is done in shorter time range. Strategic management can be divided to four different steps: planning, organizing, implementation and control. (Haverila et al. 2009). With this determination strategic management reveals as a broad phenomenon. On the other hand,......

Words: 1658 - Pages: 7

Management Account

...Management Accounting Costing and Budgeting Introduction: Management accounting is the most vital part of accounting process. The function of this department is increasing day by day. Because in the present world many company are rising very quickly. The function of management accounting is to manage the process of accounting department. It is very essential for manage all kinds of this activity. There are various functions in accounting. Management accounting remotes all the functions of accounting department. Managers have to evaluate the genuine results of function to budgeted data to evaluate the presentation of the business. They use managerial accounting practice such as measure to evaluate the routine of explicit departments. They then make required adjustments in those departments which are not the stage on form. The manners management accountants supply general of forecasting and planning, performing discrepancy analysis, reconsidering and monitoring costs innate in the business are ones that have double liability to both finance and the business panel. Examples of errands where accountability may be more consequential to the business management team vs. the business finance department are the expansion of new product costing, operations research, business driver metrics, sales management achieve carding, and client prosperity analysis. Equally, the research of certain financial reports, reconciliations of the financial data to basis structures, risk and......

Words: 809 - Pages: 4

Key Account Management

...perfect example for micromarketing. (Barrett, 1986) Introduction: Key Account Management (popularly known as KAM) is an organizational form emphasizes partnerships and strategic alliances with customers and suppliers, and focus on relationship building through repetitive, rather than single, sales transactions. It involves the sales and marketing process like customer selection, customer satisfaction, channel management, relationship management, etc. in building long-term relationships creating competitive advantage for the organization. It improves performance, which leads to shareholder value creation (Gosseling & Bauwen, 2006). This reports discusses the briefly the business of company B and its relevance to KAM, and then looks into problems which the company B is facing in terms KAM. The issues are analysed using various frameworks and recommendations made in the research articles on the topic and identifies the ways to tackle these problems. Recommendations are made for improving the status quo in terms of KAM. The real problem The company B which is being referred is into manufacturing of industrial pressure relieving devices which are used in petrochemicals, refineries, pharmaceuticals, chemicals, food, cement and power plants. The sales forces is responsible for generating MRO (Maintenance, Repair and Overhaul) businesses, following new projects in the region and handling KA (Key Accounts), which are majorly OEMs (Original Equipment Manufacturers). The......

Words: 2766 - Pages: 12

Account Management

...creative team is a duo comprised of an art director and a copywriter. A creative director or associate creative director—who makes the final creative decisions about the concept, approach, copywriting, and art direction—supervises the creative team before the work is presented to the client. Some agencies prefer interdisciplinary creative teams or brand teams with several additional members, which might include an account manager, an information technology (IT) expert, an interactive designer, and a marketing expert, among others. Teams generate ideas. Once an idea is chosen, the art director is responsible for the art direction (the overall look and feel, the visual style, and the selection of photographer or illustrator) and the visualization and design, and the copywriter is responsible for the writing.. Any good art director should be able to write copy, and any good copywriter should be able to think visually. Besides the traditional creative team of art director and copywriter, advertising depends upon other professionals, including strategic planners, account and marketing managers, programmers, and interactive designers or agencies. When dealing with screen-based media, there are also unconventional marketing agencies, media planners, commercial directors, producers, production and postproduction agencies, talent (actor, musicians, photographers, and illustrators), casting directors, and location scouts, among others. Now technology (iMovie, digital video......

Words: 1807 - Pages: 8

Key Account Management

...Rethinking Key Account Management: adapting and refining your Sales organization’s response to the new realities Managing the future Most executives recognize that the real assets of a company are embedded in the quality of the relationships between the company and its most important stakeholders, such as clients or customers, employees and suppliers. Developing strategic relationships with customers should therefore be a central issue on the CSO’s agenda moreover in current context. Key Account Management is a systematic process for managing key interactions and relationships with most valuable customers. It focuses on the creation, implementation, execution and evaluation of an overall plan to guide the account team in developing new relationships at the C-level, aligning the best resources to the most profitable opportunities and delivering what was promised. Everybody would agree on the strategy, even more when you know that the Pareto principle applies here also with 20% of the customers generating 80% of the revenue/profit. However when looking at our recent CSO Insights’ study, execution seems different: 51% More than half of the companies recognize that they need improvement in selecting key accounts 60% CSO interviewed understand they lose deals because their competitors have established a better relationship with their customer 52% Also recognize their Key Account plan need improvment 2 Why Key Account Management has become increasingly......

Words: 2504 - Pages: 11

Laudato Si: What It Means for the Philippines

..."Quo nomine vis vocari?” (By what name do you wish to be called?). “Francis” then became the new pope, inheriting a spiritual responsibility that traces back to Saint Peter. He had chosen the papal name in honor of Saint Francis of Assisi, who is known as the patron saint of animals and the environment. Thus, it was no surprise that Pope Francis would come up with the unprecedented encyclical on the environment. ‘Laudato Si: On the care for our common home’ had been heralded for many months and was eagerly anticipated by people from different creeds and leanings. Now that it has been published, the question is whether the encyclical retains its weight as an important Church document that speaks courageously about the glaring environmental crisis of our world, or does it join the countless exhortations of the religious leaders and political declarations of world leaders gathering cobwebs on some forgotten shelf in some forgotten room? But how important is an encyclical, by the way? An encyclical is a church document – a letter sent to bishops – that has such a high standing that it ranks second only to the highest-ranking document currently published by any sitting pope, which is the Apostolic Constitution. In many senses, it is a very authoritative document and can be seen as the basis of actions that the Church will take regarding the specific issues dealt with by the letter. Meaning “Praise be to You” in English, Laudato Si, the title of this newest......

Words: 1378 - Pages: 6

Strategic Management

...Success The Basic Framework for Strategy Analysis A Brief History of Business Strategy Strategy Today How Is Strategy Made? The Strategy Process Strategic Management of Not-For-Profit Organizations 3 8 10 13 19 21 Part 2: THE TOOLS OF STRATEGY ANALYSIS 2 2.1 2.2 2.3 2.4 3 3.1 3.2 3.3 3.4 3.5 3.6 4 4.1 4.2 4.3 5 5.1 5.2 5.3 5.4 6 6.1 6.2 6.3 Goals, Values, and Performance Strategy as a Quest for Value Putting Performance Analysis into Practice Beyond Profit: Values and Corporate Social Responsibility Beyond Profit: Strategy and Real Options Industry Analysis: The Fundamentals From Environmental Analysis to Industry Analysis Analyzing Industry Attractiveness Applying Industry Analysis to Forecasting Industry Profitability Using Industry Analysis to Develop Strategy Defining Industries: Where to Draw the Boundaries From Industry Attractiveness to Competitive Advantage: Identifying Key Success Factors Further Topics in Industry and Competitive Analysis Extending the Five Forces Framework Dynamic Competition: Hypercompetition, Game Theory, and Competitor Analysis Segmentation and Strategic Groups Analyzing Resources and Capabilities The Role of Resources and Capabilities in Strategy Formulation Identifying Resources and Capabilities Appraising Resources and Capabilities Developing Strategy Implications Organization Structure and Management Systems: The Fundamentals of Strategy Implementation From Strategy to Execution Organizational Design: The Fundamentals of......

Words: 357444 - Pages: 1430

Strategic Management

...1 INTRODUCTION Strategic management as a form of study has vastly improved over recent years, this is mainly due to the dynamic environments that organisations have to cope with in order to effectively distribute and sell their products and services in. With these markets forever changing and evolving the managers of the organisations must constantly be forecasting and predicting what the markets might be doing in the future through past and current market trends to maximise competitive advantage and provide above average returns (Jarzabkowski, Balogun & Seidl 2007:5–7) as well as to understand the difference between discontinues and incremental change. According to Jarzabkowski et al (2007:5–7) In order for organisations to succeed within these markets and to have strategic success the hierarchy of the organisation must formulate and implement a strategy which looks to identify and explore the fundamental aspects in relation to how the organisation is going to succeed and obtain a competitive advantage within their market with in the assignment the focus will be on the inside-out and outside-in perspectives (Louw and Venter, 2013: 10). These fundamentals being what must be done in order to attract and meet the needs of customers, have the ability to compete within the market successfully, develop dynamic capabilities, grow the organisation either nationally or internationally, effectively manage the organisational architecture and achieve the set goals and targets......

Words: 2697 - Pages: 11

Strategic Management and Strategic Competitiveness

...Assignment 1: Strategic Management and Strategic Competitiveness Student’s name: Professor’s name: Course title: BUS 499 (Business Admin and Capstone) Date: Introduction When we talk about the largest coffeehouse company, the first thing that comes to your mind is Starbucks. Starbucks Corporation was launched in 1971, it corporation is based in Seattle, Washington and has more than 16,000 outlets all over the world. Starbucks always believe that serving the best coffee is there aim, there coffee beans are grown under highest quality standards and sourced using ethical practices. Starbucks s not only limited to selling coffee but also sells verity of products, viz. coffee (more than 30 blends and single origin premium coffees), handcrafted beverages (Frappuccino, smoothies, Tazo tea, fresh brewed coffee), Merchandise (coffee and tea brewing equipment, mugs and accessories, packaged goods, music, books and gifts), Fresh Food (Baked pastries, sandwiches, salads, oatmeal, yogurt parfaits and fruit cups) and Consumer Products (coffee and tea, ready to drink products and ice-creams). They also carry other brands under their trademark Starbucks Coffee, Seattle’s Best Coffee, Tazo Tea, Evolution Fresh, La Boulange and Torrefazione Italia Coffee (Starbucks, 2012). Impact of Globalization and Technology The corporation I researched was Starbucks. Starbucks is a worldwide corporation that operates in around 62 countries around the world. Just like every other corporation......

Words: 1942 - Pages: 8

What Is Strategic Management

...Running Head: UNIT 2 ASSIGNMENT 1 Geraldine Spinner January 16, 2012 Management Policy and Strategy MT460-01 Unit 2 Introduction to Strategic Management UNIT 2 ASSIGNMENT 2 Strategic management is the set of decision and actions that result in the formulation and implementation of plans designed to achieve a company’s objectives (Pearce, 2010). The concept of the strategic management process is screening ideas, development of mission and setting of objectives, the SWOT analysis, and selection of the best alternative, strategy formulation, Implementation, and lastly control. Strategic is the direction and scope of the organization over the long term. They will achieve advantage for the organization through its configuration of sources within a challenging environment so they will be able to meet the expectation of the stockholders and the demands of the market. Strategy is very important because it helps in establishing objectives after analyzing the internal and external environment. It will also help focus on the aspects that will make the organization able to achieve a competitive edge. When it come to competitive advantages it’ an organizations ability to transform input into goods and services at a maximum profit on a sustained......

Words: 648 - Pages: 3

In What Ways Can Strategic Human Resource Management Contribute to the Success of an Organisation?

...Introduction The aim of strategic orientated HRM is the creation of competition advantages by integrated measures in the areas of selection, use, cooperation, remuneration systems, education and further education as well as the motivation of the executives and employees. Strategic orientated HRM comprise not only the selection and development of persons, also the arrangement of an organisation and the corporate culture in accordance with the corporate policy and the strategy from the corporation (Schumacher, 2009). Very important for a good convert of a strategy is a good top management. Which can keep down the strategy to the line managers and normal employees. The strategic management process is typically broken down in five steps as you can see above. The first step in the model begins with senior managers evaluating their position in relation to the organisations current mission and goals. The mission describes the organisations values and aspirations. It indicates the direction senior management is going. A goal is a desired future state that the organisation attempts to realize. The second step the environmental analysis looks at the internal organisational strengths and weaknesses and the external environment for opportunities and threats. The factors which are most important to the organisations future are referred to as strategic factors and are summarized with the acronym SWOT (strength, weaknesses, opportunities and threats). The third step the strategic......

Words: 2836 - Pages: 12