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Relationships

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Papers and articles

Looking in the mirror: Supplier Relationship Management

What do you know about your customer’s SRM approach? This article summarises the 2021 annual survey of Supplier Relationship Management from supplier management consultancy State of Flux. For example, 99% of Leaders and 87% of Fast Followers have a supplier segmentation process and use the outputs to define treatment strategies for suppliers. So do you know…

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Papers and articles

What’s the problem with strategic account plans?

Sadly, there are lots of issues with strategic account plans, according to AKAM’s Programme Director Forum. It is hard to understand why organisations with so much business vested in the these accounts can tolerate the poor quality which is so common. In fact, they often misunderstand what strategic key account plans should be like, so…

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Papers and articles

Can KAM exist in the FMCG war zone?

There is no mechanism for deciding fair shares in any market, especially FMCG. It’s a famously hostile environment where higher profits go to those who have the scale, skill and tenacity to fight hardest for it. That usually means a hostile, confrontational, competitive battle between manufacturer and retailer. How can a collaborative KAM approach survive here? Peter Reynolds…

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Papers and articles

How much is your key account worth?

Customer Lifetime Value and Customer Profitability Companies – and Key Account Managers – must consider the long term profitability of their key accounts. Anything less could be considered a dereliction of duty to their shareholders. Ability to deliver differentiated value to the customer determines how successful you will be. Because if the customer does not…

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Papers and articles

Integrating science – metrics – into the SAM/KAM process

Metrics are predictors: they provide key insights and calibrations to a cross-functional team on performance, value, adaptability, and alignment to accounts and markets. They enable organizations to take the right actions now and institutionalize excellence. In this article Denis Chapman proposes 5 key metrics and 7 tips for implementing a metric-generating approach, plus a litmus test on…

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Papers and articles

The dark side of close business relationships

Close and strong business relationships potentially have many positive effects. However, researchers Nima Hierati and Yumen Zhang of Queen Mary University London identified the possibility of forces of destruction building below the surface. This short report on their pilot study revealed alarming developments such as risky reductions in partners’ monitoring and safeguarding activities, and the dangers…

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Papers and articles

Inhuman relationships

While you should have good relationships with your customers’ people, of course, there are other kinds of relationship important in KAM: Gadde and Snehota’s research identified three layers. In this short article, Diana Woodburn argues that investment in human relationships in KAM is a means to an end, not a result itself. Good relationships can get you…

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Papers and articles

Why are senior managers (not) involved with their firm’s most important customers?

There are radically different views on whether senior management should or should not be directly concerned with key customers. Sometimes challenging issues require the authority of the CEO, and senior managers in direct customer contact are generally more sympathetic to and accommodating about their needs and expectations. Customers have a view about their position with the supplier…

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Papers and articles

Collaboration beats commoditisation

Collaborative thinking allows organisations to apply their capabilities and resources to expand propositions. But it’s not so simple. Collaboration and integrated approaches can increase customers’ perception of risk and trigger internal friction. At the same time, formal contracts often feel more like ‘contracting for failure’ and can be really divisive. But David Hawkins of the Institute for…

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Papers and articles

Why is Account-Based Marketing the hottest topic in KAM?

Research has shown that sophisticated buyers and customers tune out from everything except the most relevant messages and content. Two-thirds of senior executives don’t believe a salesperson knows enough about their business to bring value to a meeting, and only a quarter of them are prepared to take a second meeting! That means that 2 out of…

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