Avaya Case Analysis
Short Description
Analysis of Avaya Case ( Harvard Business School)...
Description
Avaya Prepared and presented by: ●
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Abhimanyu Sharma (1) Chirag Shah (9) Puravansh Sharma (24) Vivek Gupta (32)
Company
Industry
Communiation So!ution an" servies
#api" shi$t to %nternet base" tehno!ogies(%P te!ephony & vi"eo on$erening et) 'oving $rom Pro"ut ous to So!ution provi"er(ni$ie" provi"er(ni$ie" Communiation & C*+P)
Presene o$ both g!oba! an" regiona! p!ayers, #egiona! p!ayers ha" strongho!" in some !oa! markets, Absene o$ one stop so!ution provi"er g!oba!!y- 'ost p!ayers speia!i.e" a partiu!ar "omain, Ciso / #outers & Avaya / %P 0e!e et & orte! / *nterprise So!n,
2 +usiness nits GCS AGS Provi"e" 4 GCS %P 0e!ephony ni$ie" Communiation Contat Centers C*+P ea"ers in 3 o$ the 4 GCS, AGS ontrats genera!!y $!oe" $rom !ients using Avaya Pro"uts,
Problem Identified
Ambiguous re!ationship re!ationship beteen Sa!es an" 'arketing 'arketing 5epartments resu!ting in !ost sa!es ith eah "epartment b!aming the other one,
Objective
%"enti$y the reason o$ $rition beteen sa!es an" marketing "epartments an" suggest steps to a!ign the ob6etives o$ the to "epartments,
o Man!s "and
Marketing & Sales
#emand $eneration
Si!os / 7hat they say ◦
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Sa!es / 8ua!ity ea"s are !ess 'arketing / Sa!es not ab!e to onvert,
5e$inition o$ :ua!ity !ea"s; is ambiguous, (varying 0ime Perio"s), *ah "epartment e!ebrates at onveniene,
%nentives are "i$$erent!y a!igne", 'arketing / +ran" +ui!"ing & ea" generation ( east bothere" about :ua!ity) Sa!es / Sa!es i!! try to maintain high onversion ratio thereby "e!iberate!y re6eting !ea"s, ea"s Conversion #atio < ( Sa!es Generate" $rom ea"s = 0ota! 0ota! ea"s ) ◦
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Si!ene; beteen high vo!ume marketing ampaign, Sa!es might not be ab!e to han"!e,
o *>tra %nentive $or e ustomer a:uisition, Aroun" ?@ !ea" by sa!es team an" ?@ business $rom o!" ustomer ( oini"eneBB)
Sa!es 0eam might atua!!y be not giving "ue attention to !ea"s $rom 'arketing 'arketing an" might hoose to pursue on their on,
Spi!!over o$ 7ork hih as to be "one by marketing to Sa!es,
Metrics Regional Global GlobaltoSales Lead Reenues Operations Final Marketing targets EnablementCustomer ac!ieedSales Collaterals ,Intelligence and Usage of EBCs
Marketing ●
%unnels %mpressions
ea"s 8ua!i$ie" ea"s
So!iits Proposa! #espon"ers Pre-Contrat ea"s
'arketing
C!ose" Sa!es
Sa!es
Conflict of Interest Input of %unnel Output of %unnel Performance
Customer %ocus
#efinition of "ead
Marketing
Sales
%mpressions
ea"s
ea"s
C!ose" Sa!es
o, o$ ea" Generate"
Conversion o$ ea"s into C!ose" Sa!es an" meeting revenue targets
'ost!y on a:uiring ne Customers or i"enti$ying ne nee"s,
'ost!y on *>isting Customers
Potentia! ustomer o$ o$$ere" pro"uts=servies, 'ay or may not buy
Ative!y !ooking $or pro"uts=so!utions an" most !ike!y to buy in near $uture
Implications of separate %unnels
" %n or"er to reah the number & poor :ua!ity !ea"s provi"e" by marketing,
" %n mi"st o$ !ea"s; ons!aught & genuine !ea"s ou!" be over!ooke" over!ooke" by Sa!es,
"epartmen ts ausing eah other, other, " +!ame Games, +oth "epartments
" Partia! onership, 'arketing not onerne" ith sa!es !osure an" sa!es not onerne" ith improving improving !ea" :ua!ity $rom marketing,
Objectives: Marketing s' Sales 'arketing
Create touh points ith ustomers
Shoase Avaya Pro"uts
Create top o$ min" rea!!
Generate ea"s base" on ee" Ana!ysis o$ potentia! ustomers 'anage 'arketing Channe!s !ike *+Cs& *vents et,
Sa!es Convert !ea"s provi"e" by 'arketing
Generate ne !ea"s $rom $ rom ne or e>isting ustomers
%"enti$iation o$ spei$i !ient re:uirements ustomi.ations
#enea! o$ e>isting ontrats
Implementation Plan
Doint p!anning p!anning #eah #eah agree" agree" upon targets $or ea"s ea"s an" #evenue
P!an in a"vane an" keep the pipe!ine $i!!e"
8uarter!y 'onitoring o$ progress
'arketing 'anagers to partiipate in sa!es a!!s
Campaigns to be run throughout the year Enership o$ aounts(neessary $or $irst time aounts) par" an" 5onar" integration o$ metris, Conversion o$ 8ua!i$ie" ea"s ◦
Sales
#o*nstream
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#ividing Marketing ( )pstream and #o*nstream 5onstream i!! engage ith sa!es team an" take onership ti!! !osure o$ the "ea!, pstream / *ngage in onsumer sensing an" pro"ut "eve!opment,
Sales Manager vs Marketing Manager +Conversion ,atio vs o of "eads Accepted
Sa!es 'anager / ea"s ere ba", % i!! push my team to $ous on their on e$$orts to ahieve the :uota, 'arketing 'arketing 'anager / Sa!es team "i" not have the apabi!ity to $o!!o up the !ea"s % provi"e, 7i!! reah out to higher authorities, authoritie s, +oth "epartments i!! b!ame eah other, other,
Possibility of Conflict
%nrease" responsibi!ity o$ 'arketing, Sa!es team might not e!ome the inter$erene as they $e!t that they one"; severa! proesses in hih 'arketing "ept ou!" not a"" any va!ue,
Observations: En!y 2F o$ :uota o$ sa!es is $rom !ea"s generate" by 'arketing, #est F is by sa!es, 0here$ore& 0here$ore& Sa!es might not be be giving "ue attention to !ea"s $rom 'arketing 'arketing an" hoose to pursue !ea"s on their on, 5eve!oping e Customers is tougher $or Sa!es 0eam, o e>tra inentive $or the same, 0rans!ates to !ak o$ interest, 'arketing "ept "oes not have ontro! a$ter 'arketing to Sa!es !ea" trans$er proess, Possibi!ity Possibi!ity o$ Gaming the system by sa!es team, te am, +Ske*ed Compensation System #esponsibi!ity o$ smooth transition proess/ "onstream marketing person,
Sales Marketing Integration in Avaya
Mec.anism s Stru trutu ture
5ee 5een ntra tra!i. !i.atio ation( n(Co Com mmon He Hea") & C C0s & %ntegr tegra ator tor *mp!oyees ( 5onstream guys )
Proess = System
Communiation& Dob #otation %ntegrate" Goa!s an" %nentive systems,
Cu!ture
Peop!e ( untiona! %"entity)
Moderators *nvironment
nertainty
Customers
+argaining Poer=Conentration
Competitors
%ntense Competition
%n"ustry
P5s
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