Perspectives: Business Performance (Front-office)

This posting focuses on "Front-office" business perspectives which deal with marketing, sales and customer service. In today's volatile business environments, front-office departments (business units) must have a "top-line focus on incremental gains in sales, revenue and profit while working together to deliver customer value in all phases of their life cycle.
1. Marketing centers - Company and offering marketing – Top of mind awareness
2. Sales centers - Offering sales – Selection preference
(New, transition and aftermarket sales)
3. Customer service centers – Retain customers and leverage circle of influence


Today there are two basic organizational and planning cultures prevalent today.

Established Business Development CultureEstablished hierarchy (silo) type business infrastructures can generally be identified with these three characteristics.
1. Inward focused (company friendly) hierarchy organizational structures
2. Production, product or selling focused planning culture
3. Traditional business development (decentralized/departmental) planning process
Yesterday’s decentralized (business development) planning process is structured around these traditional strategies or principles developed in the 1940's
Strategy 1: Pushing Strategy
Strategy 2: Pulling
Principle 1: Place
Principle 2: Price
Principle 3: Product
Principle 4: Promotion

Emerging Business Performance CultureEmerging virtual (dynamic) business environments can generally be identified with these three characteristics.
1. Outward focused (market/consumer friendly) virtual organizational structures
2. Consumer and/or market focused planning culture
3. Contemporary business performance (centralized/collaborative) planning process

Business Performance Planning Process
The business performance planning process integrates (focusing of resources) front-office business units (marketing, sales and service) into a cohesive unit focused on driving sales, revenue and profits. Outlined here are the key steps in the business performance planning process.
1. Identify (Plan)
2. Prioritize
3. Budget
4. Create (Innovate)
5. Produce
6. Implement (Empower)
7. Measure
8. Modify

Business Performance Plan Model – Our business performance (centralized/collaborative) planning process integrates proven (traditional) planning elements with new (First in the 1990's and again in the 2000's) marketing, sales and customer service initiatives into six key elements.
1. In-sync – Culture and environment
2. In-focus – Current situation analysis
3. On-target – Market segmentation - Positioning strategies (Marketplace and consumer)
4. In-demand – Go to market - Pushing strategies
5. In-play – Motivate the customer - Pulling strategies
6. With-passion – Point of contact - Influencing strategies

Section 1: In Sync – Performance Environment
Refer to business development vs. business performance culture definitions above
Establishing and maintaining the right culture and planning process for your business is the key to creating a business mentality that is "in-sync" with your industry, marketplace and consumers.

Section 2: In-Focus – Current situation analysis
There are four basic elements of the situation analysis
1. Historical Perspectives - Review period
Historical financial performance (Sales, revenue, profit, share)
2. Current Position – Reporting period (Year-to-date financial results)
Internal business assumptions (Internal insights)
3. Existing conditions - External business conditions (External perspectives)
4. Planned Performance – Forecasting period (Planned goals, objectives and results)

Section 3: On Target – Market Segmentation (Positioning Strategies)On-target depends on having a detailed understanding and responding to your targeted markets and customer profiles. There are two key positioning strategies
A. Focused Business Intelligence
B. Market segmentation and buyer profiling begins with two broad segments
1. Marketing level - B to B market segmentation (Segment profiles)
Selling level - Buying team profiles (Individual team buyers)
Commercial sales – New system buyers
Relationship sales – Existing system buyers

2. Marketing level - B to C market segmentation (Segment profiles)
Selling level - Individual buyer profiles
Commercial sales – New system buyers
Relationship sales – Existing system buyers

Section 4: On Demand – Go to market (Pushing strategies)There are five elements that make up the On-Demand section of the business performance plan
1. Market Demand Offerings (4 P’s – Products)
2. Dynamic Distribution Channels (4 P’s – Place)
3. Influential Public Relations (4 P’s – Promotions)
4. Performance Incentives (4 P’s – Promotions)
5. Supply Side Business Support

Section 5: In-play – Motivate Customers - Pulling Strategies
There are five elements that make up the In-Play section of the business performance plan.
1. Profitable Pricing Schemes (4 P’s = Pricing)
2. Marketplace Leadership Branding (4 P’s = Promotion)
3. Mass Consumer Advertising (4 P’s = Promotion)
4. Interactive Consumer Communications (4 P’s = Promotion)
5. Demand Side Promotions (4 P’s = Promotion)

Section 6: With Passion – Point of Contact (Influencing Strategies)There are five elements that make up the With Passion section of the business performance plan.
1. Point of Contact Resources (4 P’s = Promotion)
2. Event Experiences (4 P’s = Promotion)
3. Targeted Direct Marketing (4 P’s = Promotion)
4. Winning Sales Approaches (4 P’s = Promotion)
5. Demand Side Support (4 P’s = Promotion)