Showing posts with label Career. Show all posts
Showing posts with label Career. Show all posts

Tuesday, 5 December 2017

Crafting a Successful B2B Marketing Strategy

For many B2B marketers, the traditional marketing funnel that motivates prospects to self-identify and then move to a sales funnel, is ingrained in our minds. However, in the Age of the Customer, Forrester Research's phrase for a customer-driven marketing landscape, the funnel has evolved to reflect a new customer expectation requiring sales and marketing to work in tandem.

With this in mind, B2B marketers must evaluate how their current B2B marketing strategy is aligned with the psychology of their buyer journey. In other words, B2B marketers must know how to craft a marketing strategy based on the predominance of the customer.

So, we have outlined a series of steps to follow when crafting a customer-centric B2B marketing strategy. Ask yourself and your team, "have we checked the following boxes when crafting our B2B marketing strategy?"

IDENTIFY TARGET PERSONAS IN YOUR B2B MARKETING STRATEGY

Going through the exercise to develop personas based on market and customer research is fundamental to understanding not only who is your audience but how to engage them in the buyer journey. Incorporating marketing personas makes websites two to five times more effective and easier to use by targeted users. However, only 44% of B2B marketers use buyer personas. So, ensure your B2B marketing strategy includes persona-based experiences that moves buyers forward in their journey with your brand.

MAP A PERSONA-BASED CUSTOMER JOURNEY TO DRIVE YOUR B2B MARKETING STRATEGY

Building out your influencer and decision personas to understand your target audience is only part of the process of laying a customer-centric foundation for your strategy. Next is to map the touch points of your buyer journey through all buyer stages. In order to close the loop from awareness to revenue it's critical to know the touch points along the journey that are motivators and detractors in order to influence all parts of the customer experience. When developing your B2B marketing strategy answer the following, "How do I craft a strategy with the framework that aligns with your customer's journey to gain clarity and define priority?"

Crafting a Successful B2B Marketing Strategy
Crafting a Successful B2B Marketing Strategy


DEFINE AND MEASURE B2B MARKETING STRATEGY GOALS & METRICS

Perhaps a no-brainer for a data-driven B2B marketer is clearly-defined metrics for success. With a heightened emphasis on personalization and customer experience (CX), B2B marketing goals and metrics must be established to measure the success of the marketing efforts supporting a customer's progression through the buyer journey. Your B2B marketing strategy must outline how it will create direct contribution to revenue with a return and fuel high growth.

A recent case study example from one of our technology platform and services clients is Viewpointe, a leading private cloud managed services provider. Viewpointe was challenged with continuing to engage customers over the course of a 6+ month sales cycle. After clearly defining their B2B marketing goals, they aligned their content marketing plan with their persona-based customer journey. As a result, Viewpointe stayed engaged with their customers throughout the buyer journey and closed more deals. One way Viewpointe measured customer engagement lift was a 52% increase in persona aligned website content and 164% increase in blog content engagement from organic search referrals.

YOUR B2B MARKETING STRATEGY INCORPORATES ACTIONABLE INSIGHTS WITH SALES

Referring back to our earlier customer funnel illustration, the traditional hand-off from marketing to sales, with no feedback loop when a lead is "flipped over the fence to sales", causing misalignment between B2B marketing and sales teams. In fact, 25% of B2B marketers have no idea what is their customer conversion rate. In the Age of the Customer, your marketing strategy should outline how to rip out the proverbial fence and instead encourage inter-team collaboration. Ensuring this marketing and sales alignment is crucial to creating a consistent customer experience along a buyer's journey. Being intentional about sharing insights between teams is one way to encourage broad acceptance of a successful B2B marketing strategy execution.

YOUR NEXT STEP

With only 45% of B2B marketers confident that they have decent, if not high, levels of customer centricity, the time to is now to author your new B2B marketing strategy that elevates you above your competition.

Monday, 4 December 2017

5 Business Tips Every Business Person Should Know

There are a lot of business tips that are written, published and told to bring us success in business and in entrepreneurship. Some of them may work for you, but others may not. So you should be wise to choose and use what will bring you the best results. The business world is just like any world - a place yet to be fully discovered. The market seems to be crowded, but the actual market can actually be a place with many empty spaces. The following are five secret business tips you should know in doing business and getting its real success.

1. The market is too wide to focus on competition.
In business, you can't be too greedy. The market is so wide to share with others. There are still many untapped markets that we need to explore. So instead of focusing on how to beat your business competitors, you can rather concentrate on exploring your mind and imagination. You just need to be creative to discover the several unexploited markets and opportunities out there. Doing business is not all about winning against your competitors, but it's all about winning your customers, your people and yourself. You can do that by always being the best of yourself at your service.

2. You can lose business even before starting it.
Holding and not quitting on your business is one of the most important secrets of business success. That is why before you start any business, you should assure that it is strategically planned, well assessed and backed up with all the quantitative (money and time) and qualitative (skills, manpower, passion, etc.,) resources. If you cannot do that, you are just like a soldier who has already lost the war even before going to the battle.

5 Business Tips Every Business Person Should Know
5 Business Tips Every Business Person Should Know


3. It's not all about passion.
Business success doesn't equals passion. The formula to success includes many qualities that should be added to your passion. One of these qualities is your intention and action to help and make your costumers satisfied. Passion can't be the only ingredient to any business triumph because it only involves your own happiness. You need to ask and determine what makes your customers happy, and then provide them those things even if it means sacrificing your own enthusiasm. Take note that it's more important to give passion rather than to indulge it on your own.

4. Business development should start on your personal development
You can't develop your business if you can't develop yourself. The reason is that a developed business is one that can develop the lives of its consumers. Thus, it takes a lot of personal development and self growth to develop a business. This includes devoting oneself to quality, integrity, honesty and usability. Remember that greed, lack of self-control, deceit, indolence and procrastination cannot help a business to succeed.

5. You can't always charge it all to your experience.
I heard many people saying it's just okay to make mistakes. The truth is it's surely okay to learn from mistakes, but not seems to be okay to just make mistakes. Besides, we do not only acquire lessons from our mistakes, but we can also learn even without committing them. Business errors can be so risky and destructive to the extent that you cannot already recover your lost business. Moreover, many business mistakes are only discovered when it's already too late to save your business. That is why it is very essential that an entrepreneur should always exercise prudence to commit these kinds of mistakes. You cannot charge all your mistakes to your experience. Experience is not only a room for all your mistakes; it is also a room for accurate experiences.

Sunday, 3 December 2017

Best Marketing Tips For Business Marketers 2018

No matter how passionate someone may be about something, the end result will still meet with a major exchange and/or sacrifice. For the average Joe.. well, that might be a little hard to swallow but it makes scientific sense. Don't worry though, I won't get too crazy on you with algebraic formulas with glass beaks.. but for sure this science will make sense.

Let's start with this marketing tip... In order to receive you must give; now chances are when you are dealing with a business & want to make a strong investment into marketing tips & information, the exchange of money for information has to take place.

You know something, I once stepped into network marketing, very shy of the blind truth behind the industry that produces the most wealthiest 6 figure & 7 figure earners Ever! So what makes these marketing Guru's so wealthy in the network marketing industry? Well let's just stay tuned for the best marketing tips.

Marketing Tips That Have To Be Taken Into Serious Consideration

Now we can actually start narrowing down some marketing tips that will help you in the long journey to prosperity. Everyone has this theory of making money for free, I honestly have to agree with a few of them, because here is the deal.. The truth is freedom doesn't start until you are willing to invest into yourself.

When talking about investing into you, don't use a lot of short-cut terms.. think about some very broad connections with the right type of tools. If you are looking for proper leadership & that particular person calling themselves a "Marketing Coach" tells you that you don't need to make any type of purchases and/or invest into proper marketing tools.. you should run away very fast.

Here's some "I heard it all before" marketing tips that will awake your nerves a little bit, You have to spend money in order to make money & wait here's a good one.. You get out what you put in. Now let's elaborate on these moral marketing tips just a tiny bit ok.. you can't expect the best when you don't put in the best; See i told you it was only a tiny bit. Make sure you head over to the bank & put those marketing tips in a saving account forever because trust and believe they will always be needed for emergency purposes.

Marketing Tips Broken Down To A Science

I will break down the science behind the best marketing tips when it comes down to finding out what is necessary in regards to applying proper business marketing investments.. Alright so here it goes:

1). Always be prepared to make financial business investments- Remember my friend.. this is business, a business does not operate without the proper tools to produce revenue(money). So the truth behind the hype of not needing financial commodities for exchange of marketing tools is a Big fat lie. So make sure you have your head on straight when it comes to having the proper mindset for a business to properly establish itself.

Best Marketing Tips For Business Marketers 2018
Best Marketing Tips For Business Marketers 2018


2). Seek mind-set improvement material- I can't stress to you how important the asset of the mind is when it comes to becoming successful at anything you do in life. You have to be willing to invest into personal development material that will help you keep your mind sharp for progression. The reality behind it all is that you must experience failure in order to become successful, You can minimize your bad ways of thinking when troubled times arouse & convert those negative thoughts into positive thoughts. Your mind & your way of thinking will determine the type of results you produce externally from within yourself for your business.. and that's real.

3). Have a consistent motive with no excuses- So listen my friend... here's the bigger picture of the marketing tips: Do what it takes to make it happen without making excuses about things not happening in you business. Be willing to invest the time when it comes down to your market & business venture. Another reality is that you won't put in the time to see the results that you dream of if you are not passionate about your investment.

Tuesday, 21 November 2017

Defining the Six Sigma Infrastructure

Any major change initiative requires a clearly defined supporting infrastructure to drive the program. Infrastructure is defined as the underlying foundation and basic framework of personnel and supporting systems needed to support Six Sigma deployment activities. Because every part of a company participates in Six Sigma activities, the infrastructure must be clear, consistent, and comprehensive.

An effective infrastructure facilitates the development of the core competency that will establish and link Six Sigma project teams to (1) projects, (2) financial targets, and (3) the strategic plan. These project teams will be multifunctional and will need multi-functional support to execute the projects.

If Six Sigma has any chance of being successful, the infrastructure will span from the CEO and his leadership team to business leaders and to people executing the projects. Remember we learned earlier that one of Kotter's eight stages of leader change is "Create a Guiding Coalition." Thus, there is the goal of the Six Sigma infrastructure.

The infrastructure creates a strong network among the Executive Team, the Six Sigma Champions, the Belts, and the functions and businesses. This makes sense because the CEO's leadership team holds the accountability for executing the corporate strategic plan, and Six Sigma projects are instrumental in moving along the strategic plan.

One learning challenge of a Six Sigma deployment involves training the Six Sigma project teams. The human resources on these teams must learn how to work as a Six Sigma team. A new roadmap and a new set of tools, plus a more distinct focus on project accountability, add to the changes confronted by an organization when creating a Six Sigma environment.

Equally more important and complex is the learning challenge of the senior executives. Teaching the leadership team to learn how to lead a team-based organization is essential to strategic and long-term success. Because executing the strategy is a clear responsibility to which the senior executives are accountable, it follows that becoming a dynamic team leader within the Six Sigma deployment will support the strategic efforts.

Executing a good strategic plan entails the coordination of multifunctional internal activities. Senior executives must learn to deal with a multifunctional arena rather than the traditional functions. Hundreds of Six Sigma teams launched simultaneously is the outcome of an exemplary deployment of Six Sigma. Each of these teams need at minimum

1. Clear purpose for the Six Sigma team structure.

2. Clear Six Sigma program expectations.

3. Six Sigma project charters.

4. Six Sigma infrastructure tracking the number of teams.

5. Centralized repository for project results.

6. Six Sigma team goals.

7. Six Sigma team reporting mechanism.

8. Rewards and recognition alignment.

9. Six Sigma training and development plan.

10. Six Sigma team performance measures.

11. Deployment management of Six Sigma teams.

To accomplish all of the preceding requirements demands an extensive infrastructure with supporting systems. Preexisting resources are largely used to staff this infrastructure. Deploying a Six Sigma program, however, does not assume a requirement to add outside resources in a lot of new positions. The additional costs will usually have to do with the external consulting group you hire.


Defining the Six Sigma Infrastructure
Defining the Six Sigma Infrastructure

For example, the only resource that Larry Bossidy added when he launched Six Sigma into Allied Signal was a corporate program leader. Larry brought in Richard Schroeder from ABB to drive the program. All the other resources for AlliedSignal's Six Sigma program already existed within the company. A small number of additional resources were added by the businesses as needed.

Because accountability represents the hallmark of successful Six Sigma deployments, defining the Six Sigma infrastructure and staffing and training the infrastructure players should happen very early in the Six Sigma deployment. Training is essential since, as Larry Bossidy has advised in his book, Confronting Reality, you must "Learn the guts of the initiative." He also adds that key members of the leadership team should learn the guts of the initiative. Early leadership training becomes a natural part of Six Sigma deployments to allow the program leaders to learn the guts of Six Sigma before the program gets too far along.

Defining the Six Sigma infrastructure is a little tricky. There should be a small centralized unit to ensure consistency and cost effectiveness of Six Sigma activities across the businesses and functions. There should also be a decentralized process that allows each business and function to tailor the Six Sigma deployment to its special needs. There is a big difference in deploying Six Sigma into the Human Resources function when compared to deploying into product development and R&D. So, our recommended infrastructure has both centralized and decentralized elements in it.

Supplier Performance and Supplier Information Are Useful to Save Businesses Money

Businesses are always looking to increase revenue from sales. Thus, they advertise to increase customers and sales to achieve this. Actions like this often result in increased site traffic and profit.

However, many businesses neglect to evaluate their spending. Spending on supplies, products, services, and other things add up. This is another place businesses can save money for their company.

This area is only neglected because the usual focus is on sales. Many firms online specialize in financial management solutions. One of these solutions is supplier performance to help save money.

Supplier performance solutions continuously evaluate performance. They also identify risks in supplier chains and places to improve. Supplier performance solutions offer customers wonderful results.

Supplier performance evaluates purchasing standards with suppliers. These are helpful in identifying worst case purchasing scenarios. Additionally, supplier performance identifies potential new suppliers.

Potential new suppliers may help a business lower cost on purchases. This can save a business a lot of money which is useful elsewhere. Saved capital may be reinvested or put into additional advertising.

In addition to supplier performance there is supplier information. Supplier information also helps save money on the purchase side. This is where solution monitors and uses information from suppliers.

Supplier information solutions consolidate a lot of information. The information consolidated is on contract agreements and purchases. This solution identifies when a supplier charges a different amount.

Identifying an increase in a charge is vital to saving money. Supplier information solutions help to settle this charge dispute. It allows a business to question a supplier on this increased cost.


Supplier Performance and Supplier Information Are Useful to Save Businesses Money
Supplier Performance and Supplier Information Are Useful to Save Businesses Money

Supplier information is also useful in identifying supply ability. It pinpoints suppliers who fail to deliver regularly and timely. This allows firms to look at potential suppliers in the industry.

Supplier information and performance are all part of analysis. This is spend analysis which evaluates all company spending. Spend analysis offers detailed reporting on all ways to spend money.

Spend analysis is vital to know exactly how much one spends. This is vital to identify new saving opportunities available. A detailed opportunity assessment is possible with analysis.

Spend analysis is very detailed with supplier data in categories. This analysis is useful to spend one's time on useful actions. This means strategic activities which automates spend classification.

Spend analysis solutions are available to companies everywhere. Financial firms offer spend analysis solutions on a global level. The return on investment for spend analysis is quite high for clients.

How I Make 40$ Daily Working With 30 Minutes By Get Traffic From US Or Canada

10 Powerful Ways to Drive Targeted Traffic to Your Web Site

A while back, I started a web site to promote games based on the Android operating system. It had all the bells and whistles: lots of articles, pictures, affiliate promotions, and it looked cool. I was told that to get traffic to the site I would need to optimize it so search engines could find it and send me tons of traffic. So I optimized it. I figured out what key words were the best fit for my site, I shortened my URL structure, made sure my image alt tags were correct, created a site map and lots of other stuff. It was confusing, time-consuming, frustrating, but I did it anyway because I thought it would bring the traffic that I knew my site deserved; my beautiful baby.

So what's a proud parent to do?


Let me suggest to 10 very powerful tools that you can use to quickly drive traffic to your site; and I mean seeing increased targeted traffic within 24 hours.

Purchase Targeted Traffic - O.K., I know what you're thinking. I go to "Guido" of "ShadyTraffic4U", hand over my hard-earned money and end up with thousands of people from countries that don't even speak my language coming to my site. Or worse, a bunch of "robots", not even real people, come visit my site...can robots buy stuff? Well that's not what I mean. Look for companies that will guarantee you traffic from countries that you want, or better yet, from areas of the country that you want. Further, make sure they can also send you people who are interested in the products that you are promoting. For example, I want 100,000 people from the western part of the U.S. that are interested in photography to come to my site. Yes, these services do exist. This will drive a boatload (big boat) of targeted customers to your site right away. And remember, this is a "numbers" game. You may get 0.1 to 0.5% conversion (1 to 5 paying customers for every 1,000 visits) depending on how desirable your product, or service, is. If you find the right traffic provider you should be able to get 100,000 visitors for under $200. That's 100 to 500 paying customers for a measly 200 bucks. If your profit margin on your products averages $10 then you can potentially pocket a nice sum.

Guaranteed Sign-Ups - Is your business model based upon how many people you can get to give you their names, email addresses and phone numbers? Well there are services available to help you with that too. The key here is to look for companies that will guarantee that their sign-ups are from people who are genuinely interested in learning more about your product or service - once again "Targeted" traffic. You also want to make sure that emails submitted are real and 100% fully deliverable. If any are not real, then you should get a credit for them. Finally, make sure you get a tool that gives you statistics on how many sign-ups have been submitted to your site. Expect to pay around $1 for each guaranteed sign up.


Facebook Fans - Everyone has heard of Facebook, right? It's the largest social networking site in the world. With over 80 million active users and an estimated value of over $16 billion, it has become one of the hottest ways to reach the targeted niche groups of people who you can freely market to each and every day. The concept is simple enough for anyone to understand, but in order to make it work, you need fans. LOTS of fans. To do this right you have to find a marketing company that only uses "White Hat" Methods. White Hat methods are those that conform to the guidelines of major search engines and avoid things like spamming and other forms of deception. You also want to make sure fans are delivered quickly, within 4-6 hours, instead of days or weeks. Make sure you can specify where your targeted audience is from, like USA and Canada. Finally you want to make sure you get a guarantee that includes a refund of your money if you don't get the promised fans. You'll find prices around $100 for 1,000 fans.

Facebook Friends - So what's the difference between Facebook Fans and Friends? Good question. Facebook fans are associated with your Facebook business pages and are pretty much unlimited. Facebook Friends are associated into your personal group and are currently limited to 5,000 friends. Fan pages are visible to everyone (unregistered users) and have good visitor tracking tools. Friends groups are invited individuals and have the ability to spread information faster through viral marketing. That is, they talk to their friends, who talk to their friends and so on and so on. If you want to expand your circle of friends to quickly get the word out on your products or services then there are many companies out there that can help you do that. Once again, make sure they use reputable means, you don't want to be kicked off of Facebook due to "Black Hat" methods. You'll find places selling you Facebook Friends for around $1 per friend.

Google Plus 1 - We all know that Google is the number 1 search engine out there. Anything we can do to convince Google that your site is respected by the rest of the world will result in more traffic being sent to you (I know, this sounds like SEO stuff, but just hold on). Google recently released their Google+ 1 button which is very similar to the Facebook Like button but with a major difference. Google is holding the cards when it comes to placement of your website in their search engine. Plus 1 will become an integral part of the overall ranking process as time moves forward. Facebook Likes don't hold a candle to Plus 1 in this regard. So, my suggestion is to find a reputable company to provide you with Plus 1 traffic without being flagged by Google as using "Black Hat" methods and thus risk being kicked off the proverbial Google Island. Find a company that doesn't use automated scripts from bogus accounts. Also look for a company that provides you traffic from people who are actually interested in your business. Look for pricing of around $150 for 5,000 Plus 1 votes.

Twitter Followers - You've seen all the movie stars do it, they Tweet about every little thing that is going on in their lives. And millions of people love it! If you have a site that would benefit from having thousands of Twitter followers then this is another great way to grow your business. But you need to make sure that your Tweets contain content that will keep them coming back. Paying for followers is easy. However, you need to make sure you work with a company that won't get your account suspended or banned. The companies you're looking for don't use spam and are very careful in how they deliver followers to you. You'll find good companies selling you followers for under $50 per 1000.



YouTube Views - If a picture is worth a thousand words then a video is worth a million. Promote your business on YouTube. It's free and if you get the right marketing partner you can have thousands of people watch your videos. Also, the more people who come to view your video the higher your ranking with YouTube which will in-turn result in even more videos being sent to you. What a great deal! You can contract with a company to send you videos for around $100 for 10,000 views. Again, make sure you partner with a company that is legit and does not use robots.

Write Articles - Writing articles on a subject related to your business can be another effective way to drive traffic to your site. You write multiple articles so you begin to look like a subject expert, you post them in various reputable e-zine sites and sit back and wait for the customers to pour in. Right? Not so easy. Writing articles is time-consuming, frustrating, tiring, and did I say time-consuming? Yup. So, get someone else to write your articles. You can find sites that will write you a 500 word article for around $30. However, be very careful. Make sure that the writers can write magazine quality articles. Make sure they use professional writers. Make sure that it's written in native content, with no added fluff. Expect to pay more if you want medical journal caliber writing.

Targeted email - I read at least 50 emails a day. Some of it promotes products and services but most of it is work related. I hate it when I get unsolicited spam mail, as I'm sure you do too. The only time I'm o.k. with receiving mail from businesses is when I've said it was o.k. Also, I expect to have the option to "opt-out" of getting future emails from that vendor if it's something I'm not interested in. "Opt-in" means that people signed up from various sources on the internet to receive offers of interest through email newsletters. These email addresses are confirmed twice before added to a list. Members have the choice to remove themselves by clicking a simple link. Opt-In Email is the safest way to email on the internet, it is 100% Spam free and there is no risk involved. Additionally, make sure your service provider can target your emails to only people who are interested in the product/service you're selling. This improves your conversion rate and prevents recipients from getting emails on subjects they don't care about. For a quality provider of email services expect to pay around $100 for 50,000 targeted emails.

Press Releases - Press Releases are a great way to let the world know about your business. Done right, you can get a large amount of visibility in a very short amount of time. I would strongly recommend hiring a professional writer (American writer if you're in the US) that has extensive experience doing this sort of thing. It's a real art and you have to convey a compelling message with minimal writing. Partner with a company that can not only write your release but also has a broad network of news sites, newspapers, publications as well as TV and radio stations. There are options out there where you can get all this done for under $200.

Well there you have it. You now are well equipped to lift your baby over your head and have the world flock to you in droves to admire it. Always remember, however, that your success is going to be, in large part, based upon the integrity and capability of your marketing partner. There are thousands out there eager to take your money so shop around and select wisely.


How To Find Los Angeles Web Hosting:

Are you looking to find a great host for your web site? There are many factors affecting that choice. The most obvious ones are things such as cost, space and bandwidth. Another factor I personally find important is the quality of customer support.

Then there's another aspect that I've noticed many people look for: they want a web host which is physically located close to where they live. Personally, I don't think that is at all important but I can imagine it feels better for some folks to know they can actually go visit the office of their web hosting provider.

Suppose I would like to find a web host close to where I live. How, then, do I most easily find one? Here is one method which I find convenient.

For example: if I live in the sunny Los Angeles area on the US west coast, then I can simply go to Google and type in the search phrase "Los Angeles web hosting" (or "web hosting Los Angeles"). Then, at the top of the results page I should get a neat little map of the LA area - provided by Google Maps - where a bunch of Los Angeles web hosting companies are shown by little red pointers. Beside the map there's information on each of those hosting companies.

When I did that search I got several pages of such mapped results. Of course, depending on where you live you may not get that many. It so happens that there are many web hosting companies in California in general, and especially around the greater Los Angeles area.

If you happen to live in an area where there are very few web hosting companies, your choices will be very limited. In that case, I do not recommend choosing your web host primarily because it is located close to where you are located. Personally, I live in Europe but I use web hosting providers in the US. This is because I generally get better deals there, plus I have an enormous number of hosting companies to choose between. Actually, several of the web hosts I am using are located in southern California!

Finally, I'd like to emphasize the key factor I personally look for when choosing a web host: customer service quality! And how do you find out about that before committing yourself? Well, I recommend you do a search using search phrases like "[host name] + reviews". For a well-known web hosting company, this can bring up dozens of interesting results.


There is a saying that claims we teach people how to treat us both in our personal and well as in our professional lives. For that reason, smart professionals know that to achieve and sustain world-class supplier performance, we each must take an active role in asking for what we need and want. In other words, when we get involved in the process by truthfully sharing our needs regarding supplier performance, we open the way towards realizing a more successful business. If on the other hand, you're not getting what you want and you do nothing to explain your needs, you are actually teaching the supplier that it doesn't matter. Plain and simple, it's up to you to take responsibility for excellent supplier performance by asking for what you want.

Improve Levels of Supplier Performance!

Based on my many years as a senior supply chain executive, business owner and consultant, I have discovered that there are specific ways to improve levels of supplier performance and one of those is using an effective supplier rating system. Without a good system in place, supplier performance is difficult to improve. Founded on that premise, not only have I achieved and sustained a great deal of improved supplier performance, but I feel safe in stating that using a rating system has proven to enhance levels of supplier performance significantly. In fact, my experience has led to the creation of a ten-step process that I use faithfully, and which has been instrumental in my consistently reaching upwards of 20% improvement in supplier performance.

Achieve Upwards of 20% Improvement!

In support of your efforts in achieving improvement in supplier performance, I am about to share this ten-step process, which will help in sustaining world-class supplier performance as well as achieving upwards of 20% improvement. But before presenting the ten-step process, I want to suggest that improving sustainable supplier performance takes more than just having the tools and strategies; it takes the application of an established and disciplined approach. Anyone can use maximum purchasing leverage or even twist the arms of suppliers in an effort to gain improved performance, but that isn't the way to go and it's certainly not a means of sustaining excellent performance. In short, achieving consistent performance in delivery, price, quality and other areas requires diligence and consistency along with a well thought out strategy. The ten-step process I have outlined below will work as you diligently apply the principles.

The Ten Step Process To Sustainable Supplier Performance Improvement

o Step 1. Involve Senior Management in the Process!

The first and one of the most important steps in the process is to involve Senior Management. What that entails is aligning supplier performance targets with total corporate targets within your business plan. In short, your goals can be centered on cost containment, new technology development, new markets, cost of quality and productivity, but approach Senior Management first, prepared with an initial plan to obtain their support in going forward. If and when Senior Management is involved, they are more likely to assist in resource allocation, thereby assuring that targets are achieved.

o Step 2. Develop a Daily Measurement System!

The most powerful opportunities come about by communicating the standards expected, as well as conveying the achievement expected towards those standards every day. Based on this premise, when suppliers realize that you are tracking them on a daily basis, they respond with greater urgency. You know that old saying: "It's the squeaky wheel that gets the grease." Well, a sound rating system that is monitored both by you and your suppliers can definitely lead to at least a 10% improvement, even if you do nothing else. And that can be achieved in one to two years at the most. Improving long-term supplier performance comes about through a clear, easy to understand daily dashboard with just a few key performance indicators, (KPI's). Instead of measuring ten to twenty things a day, pick a few basic areas such as delivery or quality and display them for all suppliers to see. Keep in mind that it is the rare supplier who can focus all their energy on just one or two customers. Suppliers usually have many customers to keep happy so the customer who communicates their standards, and tracks them each day gets the suppliers undivided attention. With those in place, you're on your way to improving long-term supplier performance.

o Step 3. Know What You Want in Supplier Performance & Then Communicate It!

My recommendation is that suppliers be given an annual scorecard. This scorecard should cover all critical areas of importance such as responsiveness, service, product management and sales support. The primary key is telling the supplier exactly what makes you happy and what you want and require in reference to supplier performance. I suggest developing a set of unique requirements for each supplier, rather than blanket type scoreboards. It may take a little more work, but in the long run, the effectiveness more than doubles that of traditional annual supplier report cards. I also recommend that the target for the following year be given along with the trend the supplier has been on for the last two or three years. In addition, blend numeric ratings and targets with written text describing your issues and requirements to the individual supplier. For example, many companies issue blanket statements or proclamations on targets such as "cost savings of 5% are required for next year." Most suppliers file these away and don't take them very seriously! The bottom line is to make the scoreboard personal. In my experience suppliers find it harder to disassociate themselves when the targets are personalized! The scorecard works with the daily dashboard as they drive home clear standards and accountabilities.

o Step 4. Develop a Total Gap Analysis of your Purchasing and Supply Chain Management Practices!

A true gap analysis will focus on known strengths and weaknesses thereby identifying the organizational changes needed to close the gaps. To get the most out of a gap analysis it should be thorough, candid, honest, and realistic. Never compare yourself to the big guys like Wal-Mart or Dell's logistic system, particularly if you are a mid-market company. Instead, compare yourself with other companies that are in your competitive league. Plain and simple, benchmark your organization with other similar operations and look for areas of complacency, stagnation, and opportunities for improvement. And if you really want unbiased assessment, consider outside help.


How to Achieve and Sustain World-Class Supplier Performance
How to Achieve and Sustain World-Class Supplier Performance

o Step 5. Develop a Commodity Team Approach to Supplier Management!

When using a commodity team concept, all functional areas responsible for various aspects of supplier performance are brought together under somewhat of a matrix work structure. In such teams, the buyers are usually the team leaders. Depending on how large and complex the supply chain is, quality, logistics / planning, engineering and other groups are all brought into the commodity team structure. To work well, these teams must have staying power. In short, this is not a temporary assignment to meet and work on a short-term set of goals, but instead commodity team members share in supplier management goals and plans. In other words, the members learn and act together to drive supplier improvement. An effective commodity team approach must become a way of life and become ingrained in daily management so as to drive supplier performance over the long term. The complexity of modern supply chains requires more resources than most purchasing organizations possess, but the gains I have personally seen from commodity teams have been enormous.

o Step 6. Training, Training and more Training!

As a Consultant, I am often asked to evaluate a purchasing organization or total supply chain system. What I find is that basic training on internal systems, practices and long-term supplier improvement strategies, as well as the most minimum of industry standards, are usually missing. This translates into a loss of efficiency. Inefficiencies are tough to quantify, but my general experience shows that buyers and supply chain staff are on average 30-50% less efficient than their well-trained counterparts. Buyers need basic reviews on best practices and negotiations training and these should be centered on their supply base, not on some "off the shelf" course. Remember, improving supplier performance means knowing how to reach out to suppliers, showing understanding about their operations, their systems, their practices and helping them to reach new levels of achievement. Training must be centered on what you need from a supplier and how to get it!

o Step 7. Know Your Key Suppliers Well!

When I say know your key suppliers well, I don't mean to audit a supplier and file the paperwork once every year or two. Your commodity teams must visit, and they must visit often. The more they know about the supplier and what goes into the supplier's process, the greater the chances of identifying further efficiencies in cost, quality, delivery, new product development and sustainable supply chain performance. I often find buyers conducting what I have coined as lobby supplier management. This type of buyer never really leaves his desk except to visit the lobby when the supplier comes in for a meeting. This is the closest the buyer gets towards understanding his supplier partner! For greater efficiency, buyers should be encouraged to travel and conduct a hands-on supplier management!

o Step 8. Develop Best Practices Policies Among Suppliers!

Look for good ideas and spread them among the rest of the supply base! I have worked and lived in Asia and managed large supply chain operations and what I discovered is that Asian companies simply make it their business to know who has a better process. It is a standard practice among some of the best Asian companies around the globe and once they glean that information, they use it to learn and improve the rest of the supply base! Obviously, one must stay away from proprietary practices, but the concept is well known. I have to remind supply chain professionals that it is not always how well their internal systems perform; the highest priority is how well the supplier's systems perform!

o Step 9. Align the Number of Suppliers You Manage to your Resources!

The one area I invariably find seriously out of alignment, even in very large multi-national corporations, is the number of suppliers used to manage resources. You can only effectively manage a finite number of suppliers with a significant hands-on approach. To manage suppliers productively, I would recommend the following. Either have enough staff in possession of modern performance measurement tools and resources from other areas, or shrink the supply base to a manageable level, making sure it fits your available capabilities!

o Step 10. Consolidate All of the Above Steps into an Executed Roadmap Document!

A road map of this nature outlines all the steps that will and should take place. This road map must demonstrate who will do what, when and how, and with what resources. It should list the responsibilities, interim goals and targets along with the processes and systems that will be utilized. Most important, it should develop and describe in detail what the desired end state of supplier performance will look like along with all the steps and processes it will take to achieve. In short, involve everyone in the development of this document and then be sure to live by it!