Developing Multichannel Strategy

Developing Multi-Channel Strategy Dr Stan Maklan and Dr Hugh Wilson Cranfield Customer Management Forum in collaboration with IBM Business Consulting Services Contents A strategic approach to channels †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 1 Process overview†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 2 Step 1 Identify problems and opportunities†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 4 Cost reduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Improved customer experience †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 4 Improved access †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 5 Steps 2 and 3 Current and future state analysis †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 6 Define the marketing context †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ . 6 Sales complexity matrix †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Product coverage map – current and future state †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 8 Building alternate channel chains †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 10 Step 4 Assess alternatives and choose†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 13 Channel curves – how customers value alternatives â₠¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 13 Cost analysis †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 4 Prioritisation matrix †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 15 Step 5 Implementation†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 18 Metrics†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 18 Testing new channel chains†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 19 Customer research cannot predict outcomes †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 9 Experimental design helps†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã ¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 19 Roll out†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 20 People must support new ways of working†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 20 Management, not technology, guides channel innovation †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 21 Summary comments †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 3 Step 1: Identify the nature of the problem or opportunity †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 23 Step 2: Conduct a current state analysis †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 23 Step 3: Create a future state Product Coverage Map †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 23 Step 4: Evaluate potential new channel chains †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 23 Step 5: Pilot priority new channel chains and roll out successful pilots. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 3 Appe ndix 1 Directional policy matrix †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 24 1 Cranfield Customer Management Forum in collaboration with IBM Business Consulting Services Figures Figure 1: Process Overview †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 2 Figure 2: Analysis and Generating Alternatives †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 6 Figure 3: Sales Complexity Factors and Weightings †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 7 Figure 4: Sales Complexity Score †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Figure 5: Current Coverage Map – IT Services Provider †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 9 Figure 6: Redrawn Coverage Map (Future)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 10 Figure 7: Current Field Sales Led Combinations†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 11 Figure 8: Alternate Channel Chain †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 12 Figure 9: Channel Curve †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 13 Figure 10: Cost Comparison – Field Only versus Multi-Channel†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 14 Figure 11: Prioritisation Matrix†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 6 Figure 12: Example of Prior itisation Matrix†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 17 Figure 13: Directional Policy Matrix†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 24 2 Developing multi-channel strategy A strategic approach to channels Distribution and channel-to-market strategy used to be an afterthought for most marketers. Once the difficult judgements about product range, price and promotion were made, channel strategy was determined by objective economic and logistic factors, such as minimum order size and shipping costs.The internet, coupled with a proliferation of complex global supply chains, has elevated channel choice to the pantheon of critical marketing issues. Customers make channel choices alongside their product-service choices and expect suppliers to offer sales, marketing and service across multiple channels – online, telephone and physical presence. Offering all channel choices to all customers across all products and services is too costly for most companies. For many companies, channel strategy is now every bit as critical to their success, as are brand and product range policies.Companies must now determine how to serve different customers through a combination of channels that meets customer needs at a competitive cost. The strategic marketer wants to move the discussion of channel strategy beyond distribution costs and efficient order sizes by determining how channel strategy creates product-service innovations, reduces cost and improves customer loyalty. A successful channel strategy delivers differentiated solutions to different customer segments whilst meeting the marketing, sales and service requirements particular to each productservice.Balancing the needs of customers and the characteristics of individual products and services, identifying trade-offs, identifiable costs to be borne by each chan nel and creating customer value through channel innovation are the marketing challenges companies face. 1 Developing multi-channel strategy Process overview Channel strategy typically develops in an ad-hoc manner. Analysing a company’s channel policies is sometimes akin to an archaeological expedition: one digs through time discovering layers of historical decisions, sales partnerships and customer deals.We believe that there is great benefit for most companies in treating channel strategy development as a process. Just as strategic marketing planning revolutionised the way marketing plans were developed, a systematic approach to channels will improve companies’ chances of accomplishing their strategic channel objectives. We have developed a simple process framework to help marketers meet these channel challenges (Figure 1). Figure 1: Process Overview Step 1: Problem Opportunity Step 2: Current State Analysis Step 3: Future State Analysis Step 4: Choose Step 5: Impleme nt Cost Experience AccessMarketing Context Channel Coverage Maps Channel Chain Development Channel Curve Prioritisation Matrix Customer experience People Metrics Step 1 – Identify problems and opportunities: The process begins with the organisation identifying problems and or opportunities. We categorise these into three types: cost reduction, improvement of customer experience and improving customer access. Often companies are faced with a need to do a combination of these three. Steps 2 & 3 – Current and future state analysis: These stages make extensive use of tools developed by the Cranfield Customer Management Forum.Step 2 begins with traditional market place analysis; identification of customer segments and priority product (service) offers. These offers and customer segments are grouped in a channel coverage map – current and future. The map identifies logical bundles or groups of solutions and customers which form the basis for development of separate ch annel chains, combinations of channels that serve the customer at each point in the purchase and service process. Step 4 – Choose: Evaluates each channel chain for its cost and ability to generate customer value.The latter is estimated through channel curves, a research based technique that evaluates customer preference for each channel at each point in the purchase and service process. Finally, a prioritisation matrix is developed that identifies the most important channel investments to be made. 2 Developing multi-channel strategy Step 5 – Implement: Implementation is a critical element of channel marketing. Channel innovation is challenging for organisations because of the people issues involved – customers and sales people.This section of the report illustrates the importance of test marketing channel innovation, aligning compensation plans to desired behaviour and ensuring the new channel system is able to â€Å"learn† from customer experience, and a dapt as it is rolled out. 3 Developing multi-channel strategy Step 1 Identify problems and opportunities There are a limited number of famous examples of reinventing industries through channel innovation: E-Bay and Amazon spring to mind immediately. Those companies started from the â€Å"white sheet of paper† or the third process stage of the above model.The firms participating in our collaborative research project are all established players in their markets with existing channel structures. They may be responding to low cost, internet pure play competitors. For established companies embarking on channel strategy development, it is worthwhile to engage senior management in a discussion about the objectives of channel policies. Our experience suggests that it is useful to frame the discussion around a limited number of strategic objectives: cost reduction, improved customer experience and better customer access to the company (e. g. overage). Cost reduction Cost reduction is self explanatory. Many established firms face the twin challenges of customers expecting their traditional personal (expensive) sales and service whilst willing to pay only at prices charged by new competitors operating, for example, only via the internet. BT’s Major Business unit, dedicated to serving its largest customers, faced just such a challenge. Traditional telephony revenues were flat or declining as costs fell throughout the industry. Growth was generated through increased sales of IT related solutions such as routers and servers.Margins are lower in IT versus telephony and the channel â€Å"norm† was different indirect channels and self service over the internet. BT could not profitably compete in the new areas whilst retaining its channel structure and cost. By allocating sales tasks sensibly between field sales, desk based sales and the internet, BT reduced costs as a percentage of revenue through channel strategy – whilst increasing market coverage . Improved customer experience Improved customer experience is linked with customer retention and increased recommendation.Companies normally measure key indicators of their customer processes (e. g. telephone answering, complete orders on time, resolution of customer problem with first phone call) to illustrate the efficiency of their customer management but they measure their effectiveness with customer satisfaction scores. There are very few executives today that fail to espouse their need for improved customer satisfaction – this is rapidly becoming the motherhood and apple pie of boardroom conversation. But improving customer experience normally entails costs – better people, better systems, more capacity.Of course, every company wants improved customer experience at lower cost per customer, but this is rarely possible. Often the strategy is to â€Å"encourage† 4 Developing multi-channel strategy self ordering and service online and convincing oneself that customers really prefer this experience. This is not always true, nor is measuring customer satisfaction always instructive. Increased customer satisfaction does not necessarily change customers’ buying behaviour and customers defect to competitors for different reasons than they remain loyal. The message is clear.Customer experience is an essential part of marketing and customer retention, particularly in the services sectors. But companies cannot invest on the basis of â€Å"more is better†. Companies need to understand how customers value each element of the package of benefits they receive and how they make trade offs between them; how much experience would a customer sacrifice for lower prices online? How will improved customer experience lead to business outcomes? Land’s End, a successful mail order clothing retailer, embraced the internet early on.It understood selling clothes to people not able to try them on in a shop, so the addition of the online chan nel to its traditional telephone-catalogue one, was not too difficult. It uses the internet to extend and enhance its customer experience by providing complementary services. For example, one can design and dress up a virtual personal model to sample clothing virtually. Nonetheless, Land’s End displays prominently its toll free number so that online customers can immediately access helpful call centre staff.It also offers real time chat and personal assistance. Land’s End’s investment in the online channel was not justified by reduced call centre costs – it is there to provide a better customer experience. Improved access Finally, improving customers’ access to your products and services is a basic tenet of good business and a traditional channel strategy objective. With new technology, companies can offer unprecedented access to sales, service and customer data ubiquitously. Companies can now access customer segments hitherto unreachable or unprof itable to serve.BT’s Major Business Unit’s channel innovations not only reduced its costs, but allowed BT to increase account penetration. For example, a BT Account Director might negotiate the right to sell leased lines (typically low value items) to each branch of a national financial services company. Whilst the deal is negotiated with the customer’s head office, it is sold branch by branch with a desk-based telephone channel. Previously, the Account Director would have had to organise field sales people to call on each branch – uneconomical. Improved access increased sales.Many estate agents offer online services to improve customer access to their databases of properties and, more importantly, improve access to updates in property details. Whereas, previously, potential buyers would need to call agents regularly and receive posted updates of properties, changes in prices or competing bids, now they can be notified online or via SMS messages. 5 Develo ping multi-channel strategy Steps 2 and 3 Current and future state analysis Strategic alternatives can be developed through analysis of current channel combinations and generating imaginative new ones.See Figure 2. The tools used for analysing the current state and determining the future state are identical so these steps are discussed together. Figure 2: Analysis and Generating Alternatives Define the Market Context Define the market Determine customer segments Determine product-service priorities Generate Channel Strategy Alternatives Sales complexity Matrix -product complexity and customer value 2. Product coverage map -current state analysis 4. Generate alternative channel chains 3.Future coverage map – Create productcustomer combinations Define the marketing context Whilst the focus of this paper is channel strategy, the framework illustrates that channel strategy should be considered in the context of the company’s product (service) strategy. The salient aspects are: †¢ Agreeing the market definition as consumers or end customers would define it. Mapping the flow of goods and services through to the end customer to determine who buys what from whom. Segmenting the market into distinct, needs based customer segments.Setting appropriate investment strategies for each productservice market on the basis of your competitiveness in the market and the market’s inherent attractiveness. Normally, this is done with the Directional Policy Matrix, a strategic marketing planning tool described in Appendix 1. †¢ †¢ The market context illustrates the major market segments and the strength of existing distribution networks from suppliers through intermediaries (hereafter the channel chain). It also determines the priority productsservices for channel investment. It provides the necessary background 6Developing multi-channel strategy data for analysing current channel policy and generating alternatives for the future. Sales complexity matrix The first step in the analysis of the current state is to determine the sales complexity for each of the priority offers (combinations of product and or service) determined above. The more complex a product (service) is to sale and service, the more complex, personal and interactive the effort required by the company. Conversely, buying low cost, low risk, easy to configure products can often be done directly by customers online.Most often a sale, even for complex solutions, is made through a combination of channels, but one channel is designated as the lead or prime channel. Sales complexity is one of two prime determinants of the dominant channel: the other is how important the customer. Sales complexity can be estimated as a weighted average of scores for each of the key components of sales complexity. Let us take the case of an IT service provider. It provides three types of services: computer installation, configuration of sales and marketing software applications and ma rketing consulting.Under each of these three service headings there are three to five more specific service offers. For example, the software configuration services comprise the installation of complex front office solutions, databases, data mining tools, sales force automation systems and simple contact management systems. The company determines factors that comprise sales complexity and then determines a weighting for each factor to arrive at the following list and weightings (Figure 3): Figure 3: Sales Complexity Factors and Weightings Complexity FactorOrder size – the bigger the order, the more complex Limited customer knowledge of the product or service – less customer knowledge creates more complexity Length of the sales cycle – long sales cycles increase complexity Difficulty configuring – installing – the more difficult to configure, the more complex the sale Training – the greater the requirement to train customers in the use of the application/equipment, the more complex After sales service – the more service required, the more complex the sale Weighting .15 . 25 . 10 . 20 . 20 . 10Against each of the services offered, the company scores each of the complexity factors from one to ten in order to create a weighted average score for each line of service (Figure 4). 7 Developing multi-channel strategy Figure 4: Sales Complexity Score Order size Limited Customer knowledge Sales cycle Configuration Training Service Sales Complexity Score Weighting Application Configuration Front Office Database Data Mining Tools Sales Force Automation Contact Management Hardware Deployment Desktop Mobile phone PDA Laptop Consulting Service DB management Sales Network Customer strategy 0. 5 10 7 3 5 2 8 6 4 7 5 5 3 0. 25 7 6 9 5 2 2 5 7 3 5 7 10 0. 1 7 6 3 5 2 2 5 7 2 7 7 7 0. 2 7 9 5 7 2 3 6 7 3 8 8 6 0. 2 7 8 9 6 2 3 4 5 3 6 6 NA 0. 1 4 3 5 4 2 3 4 4 4 7 7 NA 7. 15 6. 85 6. 3 5. 5 2 3. 4 5. 05 5. 85 3. 6 6. 2 6. 7 7. 3 Pro duct coverage map – current and future state The product coverage map identifies how we wish to reach our customers as a function of the complexity of the product-services that we sell to them and the attractiveness of the customer. It determines the lead channel for combinations of customer segments and product-services from the perspective of the company’s strategy.The customer perspective is developed in the next phase (channel chains) and overlaid onto the coverage map to provide a balance between company and customer agendas. The coverage map is constructed sequentially from the following: †¢ Sales complexity scores on agreed dimensions to generate a continuum from simple to highly complex. The products and services considered in this phase are normally those identified as important from the Directional Policy Matrix. Major customer segments ideally defined in the first stage (Marketing Context). Developing ontiguous blocks of customer-complexity service spac e. †¢ †¢ The company in this example identifies its priority customer segments from the market context and they are listed below in reverse order: †¢ †¢ †¢ Owner managed businesses Mid sized retail financial services providers Large professional services companies Figure 5 illustrates two axes of the coverage map: (1) customer segments (prioritised) and (2) product-services ranked in order of complexity. 8 Developing multi-channel strategy The middle of the matrix describes how the company sells each productservice to each customer.These are, in order of INCREASING cost: customer self-service on the net (I), desk-based sales conducted by telephone (T), distribution partners (D)1, and field-based account managers (FS). Figure 5: Current Coverage Map – IT Services Provider High Complexity product-service Sales Force Automation Appl. Low Complexity product-service Consumer Strategy Owner Managed Businesses Medium Retail Financial Services Large Professio nal Services Front Office Application Database Application Sales Data Mining Network Mgt Tools Database Mgt PDA Deployment Laptop Deployment Desktop Deployment Contact Mgt Application FS FS T I I FS D FSD D T FS D FS I T I D FS T T I FS FS D D T T FS FS FS FS FS I = self service over the internet, T = Deskbased account managers D = Third party distribution partners FS = Field sales – account management There are obvious anomalies in the coverage map illustrated in Figure 5. Expensive field account managers sell some very simple products-services: perhaps there is a culture that an account manager handles 100% of the customer’s requirements. Distributors sell the company’s complex database applications and sales networks to very large companies for historical reasons; does the company lack sales expertise in these areas?However, the distributors may dis-intermediate the company and take control of key accounts, so is this a wise policy? To owner managed businesse s, some of these complex services are sold via the internet which has a low success probability. Even smaller, owner managed businesses need some help to understand these services. Figure 6 illustrates how the company assigned a â€Å"lead† channel for each product-service and customer segment combination to reflect the selling demands of the product-service and the size of the sales opportunity.These new contiguous blocks of customer-solution become the unit of analysis for the next stage of the process: building combinations of channels to serve each block (channel chains). Such distribution partners are often known in the IT industry as VARs or Value Added Resellers. They are often small to medium sized IT services firms that provide specialist industry or application expertise. 1 9 Developing multi-channel strategy Figure 6: Redrawn Coverage Map (Future) High Complexity product-service Low Complexity product-service Sales Force PDA Automation Laptop Desktop Contact Mgt De ployment Appl.Deployment Deployment Application Consumer Strategy Owner Managed Businesses Medium Retail Financial Services Large Professional Services Front Office Database Sales Data Mining Application Application Network Mgt Tools Database Mgt D D D D T T T T I I I FS FS FS D D D T T T T I FS FS FS FS FS FS T T T T I I = self service over the internet, T = Deskbased account managers D = Third party distribution partners FS = Field sales – account management The redrawn coverage map focuses vital field sales resources on selling large, complex solutions to the biggest, priority customer segment.Distributors sell large, complex solutions to smaller, lower priority segments. Desk-based sales teams handle the middle ground: modest complexity across customer segments. Self service over the internet is reserved for the simple products-services and lower priority customers who are considered to buy largely on price and for whom a lower cost sales model is needed in order to be co mpetitive. This exercise puts some structure on the channel strategy but it is not realistic in the modern world for one channel to manage an opportunity through the sales and service cycle.Whilst the company now has a lead channel for each opportunity, it needs to build secondary channels to reflect customer segment preferences and manage scarce resources optimally. Building alternate channel chains The channel chain maps out how we can reach the contiguous groups identified in the redrawn product coverage map. If the product coverage map allows the company to find a rationale for how it wishes to serve customers, the channel chain analysis encourages the company to think about creating customer value through channel innovation.Different customers have different needs for information, counselling and support at different stages of the sales, service and customer development cycle. For reasons of simplicity and accountability, many companies insist that one person (or team) take com plete responsibility for all communications with a customer at all stages of the cycle. This may be a luxury few firms can afford today. Additionally, many customers wish to supplement their traditional customer managers with immediate answers online whilst their account manager is otherwise occupied.Failure to provide a mix of channels can frustrate clients and drain valuable business development from account managers. Channel chains allow companies to think creatively about how to engage with a customer in the manner most 10 Developing multi-channel strategy valued by the customer whilst allocating customer management resources optimally. Figure 6 identifies four contiguous blocks of channel lead and productservice solution: field sales, distributor, desk-based and internet.Each of these blocks should be analysed further to create business rules for the management of opportunities through the sales, service and customer development cycle. Figure 7 illustrates the current channel c hain for the contiguous block of selling complex applications to large customers. There are a number of shortcomings with the current channel chain from the perspective of the company. The limited field sales resource is stretched by taking full responsibility at all stages of the customer engagement cycle.Whilst customers appreciate this simple and personal service, sales people do not have sufficient time to focus on developing big opportunities. During the early stages of a customer engagement, the channels operate in separate silos largely and respond to enquiries that come to them instead of operating to a set of business rules that determine where the opportunity is best handled. Figure 7: Current Field Sales Led Combinations Marketing activities Deskbased (telephone) Internet Distributor Field sales Operations Stage Lead generation Inquiry Qualify lead Proposal Follow up Close Implementation Assess new customer needs Customer developmentFigure 8 illustrates the result of the creative process that generated a framework for team based selling: integrating a number of channels that aligns the appropriate channel to the different tasks. Valuable field resources are focused upon the tasks for which they are uniquely and best suited: generating compelling sales proposals and closing the sale. Integrating the internet and desk-based channels into the process under the leadership of the field sales force, qualifies out poor leads quickly and therefore allows the company to pursue more sales leads.The teambased selling approach provides better response to customer queries 11 Developing multi-channel strategy throughout the selling engagement and reduces the cost of sale to the company. So the alternate channel chain increases the number of sales opportunities, reduces the cost of sale and increases the sales success rate. Figure 8: Alternate Channel Chain Marketing activities Internet Deskbased (telephone) Distributor Field sales Operations Stage Lead generation Inquiry Qualify lead Proposal Follow up Close Implementation Assess new customer needs Customer developmentSimilar channel chain reengineering is done for all four coverage map blocks identified in Figure 6 to generate strategies for improving sales effectiveness and increasing sales coverage. It remains to assess the impact of alternate channel chains on the target customer and develop a full costing for each to ensure that channel strategy maximises customer value as well as company efficiency. 12 Developing multi-channel strategy Step 4 Assess alternatives and choose The assessment of alternate channel chains is based upon two criteria: cost and customer value. Channel curves – how customers value alternativesCustomers have their own criteria for assessing how well a company manages the supplier-customer relationship. Channel curves assess how well different channel chains deliver against customers’ key criteria. Customer research generates a list of key criteria a nd the weighting of each criterion in the customers’ total assessment of a supplier. Judgement and research suggest how each chain delivers against each criterion on a one to ten scale. The result is a weighted average utility score for alternate chains. Figure 9 illustrates this for our case example: how large professional services firms assess IT suppliers’ channel chains.The new, mixed channel chain generates a slightly higher weighted average customer utility score but the difference is likely within the margin of error of the method. The extensive personal contact of the traditional channel chain generates small advantages for the most important customer criteria but this is offset by a mixed chain’s ability to respond very quickly to simple requests and greater access to technical resources 24/7 because field sales people do not have the deep technical know-how that is available via the desk and online channels. Figure 9: Channel Curve Weights 10 3 . 18 . 17 . 15 . 10 . 08 . 02 Traditional chain (Weighted Ave . 66) Alternate chain (Weighted Ave . 69) 5 1 le op pe of es ie y e er liit q qu na e so pll er Pe s sim tto se a al on o os sp o op re pr d id e ap at R ur cc ac e,, ett pl m se om tis C C er xp le s ca n ni m em c ch bl T Te ro pr off p h hi rs ce ic ne r rv wn s se O ed iis s om es st iin us us C bu y m m n nd U ds an s st er The channel curve analysis reassures the company that the mixed channel chain is no less preferred than its traditional approach and 13 Developing multi-channel strategy enerates a list of key issues that the mixed chain must address – intimate knowledge of the customer business for example. These can be translated into key metrics against which to assess the new chain. Cost analysis Cost reduction is always of interest to companies designing their channel policy and in this illustration, necessary for the company to remain competitive. Other companies might find that overall customer utility fall s with some new channel chains and they would expect a significant cost reduction in order to compensate for potential lost business.Conversely, some firms may design more expensive channel chains that are highly valued by customers and they need to know how much incremental cost will be generated. Costing channel chains is a matter of detailed estimation of the degree to which different customer groups will use different channels and each channel’s effectiveness at converting inquiries into sales. The exercise generates metrics for efficiency (cost) and effectiveness (conversion or attainment of other objectives) that will enable managers to assess channel policy continually.In this case, the IT services provider compared the cost of traditional field sales force against a team-based multi-channel approach as illustrated by Figure 7 and Figure 8. In this illustration, revenue increases 50% whilst costs decrease so that the cost per order falls by almost 3%. This results in s ales costs, as a percentage of total revenue falling from 23% to 15. 6%. Figure 10: Cost Comparison – Field Only versus Multi-Channel Field Only Sales process Inquiries Qualify Proposal Follow up Close Assess new opportunities Customer development Revenue Total cost Cost per order Cost ? 000 2000 3500 4000 2000 200 Cost per process ? 0000 50000 100000 200000 20000 Multi-Channel Cost ? 000 1200 3000 4000 3000 240 Cost per process ? 10000 30500 80000 200000 10600 Customers 100 100 70 40 10 10 Customers 120 120 85 50 15 15 10 50M 200 11900 20000 15 75M 240 11680 10600 1190 1160 14 Developing multi-channel strategy The sales processes above are taken directly from Figure 7 and Figure 8. Lead generation and implementation costs are not affected by the channel chain in this case example so they are excluded from the cost analysis. For purposes of presentation, we assume that the current channel chain generates sales of ? 0M through 100 orders. The new channel chain will allow more inquiries to be processed but there is no difference in the percentage of inquiries that pass through to proposal and are followed up. The closing success rate is slightly higher in the new channel chain because field sales people are focused on critical junctures of the sales process. The big difference is in the costs of qualifying each lead, generating a proposal and following it up. Prioritisation matrix The generation of alternate channel chains is both a rational and creative exercise.In the examples we present, some channel chain innovations are obvious – this is for presentation purposes. Some of the most exciting marketing developments over the past decade have resulted from very radical approaches to channels. The use of a comprehensive set of tools and frameworks should not diminish the creativity of managers in thinking about novel ways to meet customer needs. For example, online betting exchanges, such as Betfair (www. betfair. com), reduce customers’ cost , improve their access to betting occasions and for the first time, allow them to back and lay bets.The incumbent fixed odds, high street betting shops are responding but the online new entrants generated this innovation. Thinking creatively about channel chains for each contiguous block of customer-solutions will create a number of channel chain combinations that customers will value and may be cost effective. Few organisations, if any, can implement many channel chains simultaneously due to the complexity involved: implementation is discussed in the next section of this paper. A simple means of setting priorities amongst channel combinations is suggested – the prioritisation matrix illustrated in Figure 11.This matrix is defined by two axes: attractiveness of the channel chain to the organisation and attractiveness to the customer. It results in four solutions and attendant generic strategies for each. 15 Developing multi-channel strategy Figure 11: Prioritisation Matrix At tractiveness to organisation High Attractive to organisation †¢ †¢ †¢ †¢ †¢ †¢ Revenue potential Increased coverage Margin improvement Reduced complexity Fit to strategy Ease of implementation Selective trials with consumers Priority investments Attractive to customer †¢ †¢ †¢ †¢ †¢ †¢ Convenience Cost Speed of response Availability Product information Ease of useLow priority investments Partner Break into stages Gain experience Watch and prepare Low Low High Attractiveness to customer Much of the analysis required to complete the prioritisation matrix has already been done. Understanding the attractiveness to the customer and key dimensions of attractiveness are generated by the channel curve analysis. The attractiveness to the organisation is largely done; the prioritisation matrix adds some new dimensions, such as ease with which the company can implement the solution, fit to overall strategy and ability to reduce sales complexity in the organisation.The four generic strategies corresponding to the boxes of the matrix are: †¢ Invest: The channel chain is attractive to both customers and the organisation so it is a win:win. †¢ Selective trials: The channel chain is attractive to the organisation but not to the customer. Here judgement is needed. Is the potential gain, for example in cost, worth the loss of customer satisfaction? Will customers learn to accept the new channel chain? Will they defect if unhappy? Will competitors follow our lead so that this channel chain becomes the industry norm? Can some negatives with the new chain be overcome?Find â€Å"clever† solutions: These options are highly valued by customers but not by the organisation. Perhaps they are too costly, too difficult to implement or operate or do not fit with the overall strategy. Can you partner with another firm to reduce the cost and complexity? Can the new chain break the solution into smaller, more managea ble pieces or be implemented in stages? Perhaps you can trial the new chain and learn how to implement it at lower cost. At least, one needs to keep a watching brief on these channel combinations lest competitors implement them first and take valuable customers.Low priorities: These are valued neither by the organisation, nor its customers, so are generally not done. †¢ †¢ 16 Developing multi-channel strategy The organisation must agree a scale on which to grade high-low on the two axes and normally this is done on a scale between one and ten. The matrix itself is populated with channel chain investment options illustrated by circles and the size of each circle can be scaled to reflect the cost or potential revenue benefit. This is illustrated for our IT services company in Figure 12 below.Each channel chain investment is described by its chief characteristic; for example one says â€Å"field sales automation† and that is the channel chain that essentially enhances the productivity of the current field sales chain. The diameter of the circles represents the investment being made by the company in channel innovations. Figure 12: Example of Prioritisation Matrix Attractiveness to organisation †¢ †¢ †¢ †¢ †¢ †¢ Revenue potential Increased coverage Margin improvement Reduced complexity Fit to strategy Ease of implementation High Attractive to organisation Distributor extranet Field sales automation Desk based sales Customer portalAttractive to customer †¢ †¢ †¢ †¢ †¢ †¢ Convenience Cost Speed of response Availability Product information Ease of use Low Field sales Low High Attractiveness to customer In this example, we can see that the largest channel investments are in chains and solutions that are least attractive to customers. The channel investment most valued by customers (more field sales people) is unattractive to the company and not receiving a lot of investment. Perhaps this is t he most attractive to customers because they are not used to team based, multi channel selling from the company.Perhaps they are not convinced that the company can implement it effectively and are worried that service levels will fall. The two projects that are in the top right quadrant receive the smallest investment. The prioritisation matrix suggests that the company should increase investment in the portal and extranet. Field sales automation is not what customers value so that might be implemented selectively. Desk based sales might be critical to making team selling work but it seems to dominate the investment portfolio. Perhaps it could be introduced more slowly to allow funding to be redirected to projects of higher customer priority.Field sales investment is valued by customers but is not attractive to the company; can investment be more selective until other channels demonstrate their value to customers? 17 Developing multi-channel strategy Step 5 Implementation Developing new channel chains is a change programme and most managers have first hand experience of change. This white paper does not wish to summarise the vast literature and experience of change management in its final section. We will highlight some unique aspects of channel chain change programmes that merit attention.This section discusses: †¢ †¢ †¢ Design of metrics Piloting channel chains with customers Rolling out new channel chains and ongoing development thereof Metrics The prime metrics for assessing and managing the development of channel chains are illustrated by Figure 10, the cost and conversion analysis. Ultimately, the organisation wishes to sell more at lower cost per sale. Alternate chains are developed and their efficiency and effectiveness are measured. Achieving the targeted ROI for such investments is usually contingent upon a few key conversion and cost estimates.However the role of channels in marketing strategy goes beyond sales and most companies adop t a balanced scorecard type approach comprising: †¢ Financial measures such as costs per sale, sales costs as a percentage of revenue, number of sales, average order size, conversion from inquiry to sale and repeat purchase rates. Reputation measures the impact of alternate channel strategies on customers’ perception of the organisation – modernity, professionalism, value for money, value for time, knows-mybusiness, easy to do business with and other relevant measures.Relationship measures include the number of senior level contacts with a client per annum, the breadth of those contacts (in the case of the IT company it might measure marketing director contacts), frequency of customer interaction, customer satisfaction, customer willingness to recommend our company. Knowledge tries to measure how much we know about each customer’s behaviour, attitude and purchase process. People looks at the extent to which our own customer facing people are satisfied, enga ged, productive, supportive of the business’ overall goals, feeling confident about their customer management competencies. †¢ †¢ †¢ 18 Developing multi-channel strategy For a comprehensive review of metrics see the Customer Management Forum white paper ‘Measuring multi-channel effectiveness using the balanced scorecard’. Testing new channel chains Channel chain innovation represents two challenges: 1. Channel innovations are complex change programmes that require sales people to embrace new ways of working and are often accompanied by complex new technology. Unlike backoffice automation, channel chain mistakes impact customers and there are few â€Å"second chances† if customer service levels erode as new ways of working bed down in the organisation.The business case is normally â€Å"theoretical† and assumptive. We have described the stages of developing new channel chains and highlighted the need to seek customer research at key in tervals. Where the brief is cost reduction, savings can be forecasted. However, where the brief is to enhance customer experience and extend the offer, it is difficult to be sure to what extent improved customer experience leads to changes in customer behaviour. It is intuitively appealing to assume that a better experience improves customer satisfaction and that higher levels of satisfaction generate more purchases.Intuitive yes, but often wrong. Regrettably, proving empirically the relationship between customer satisfaction and behaviour is fraught and companies must test this in their own specific context. 2. Customer research cannot predict outcomes Whilst the process outlines some of the customer research activities that can be undertaken during the development of new channel chains, research experts have long realised that customers cannot predict how they will react to situations that they have yet to experience.So extensive surveys, observation of customer behaviour in resea rch laboratories and even examples from other industries do not predict behaviour. This is not to say that research is a wasted effort, only to suggest that research does not substitute for testing channel innovation on a small scale before proceeding to reorganise one’s entire channel strategy. Experimental design helps Given the difficulties identified above, companies need to prove channel innovation in the marketplace with real customers. However this process must be managed carefully in order not to damage vital customer relationships.We recommend that companies create an experiment where a small, but sufficient number of customers are exposed to the new channel chain. Key metrics, discussed above, are determined in advance of the experiment and they can be assessed in-market. 19 Developing multi-channel strategy On the basis of observed changes in customer behaviour, Sales ability to work in the new channel chains and the ability of the company’s processes to sup port the channel innovation, a company can invest with much greater confidence. Roll outSome of the case studies produced by the Cranfield Customer Management Forum illustrate how a successful pilot improves the chances for a successful roll out. With hard evidence of the benefit, people are more willing to support the changes required to scale the pilot into a full channel programme. People must support new ways of working The channel innovations we have seen at the Cranfield Customer Management Forum typically involve a company moving from a very dominant single channel (e. g. field sales) to a broad, team-based multichannel strategy.Case histories explored by the Forum illustrate a number of issues: †¢ Field sales forces feel threatened over their ability to control the customer experience (who is saying what to MY customers? ) and a potential reduction in status. There is often the unstated worry that senior management is evaluating critically individuals’ operationa l performance and ready to micro manage customers from head office. Finally, and perhaps most importantly, there are worries over compensation. Introducing team based selling with a view to reducing sales osts is often interpreted as a threat to sales peoples’ current compensation structure. How will sales incentives be shared between the channels? Managers of new channels, such as desk-based sales and the internet, do not know how to integrate with field sales operations. They are not sure how to measure success; what is their contribution to an overall sales target perhaps under the control of a field sales director? Their teams tend to be remote from the customer and field sales so personal relationships and trust are hard to develop.Companies do not know how to compensate each channel. During the introduction phase, management wishes to reassure the field that its compensation will not be reduced so that incentives for new channels represent added cost. This is not sustai nable. Team based selling often requires new technology and that entails risks of the technology not working, or people not operating the new technology properly. Customer facing technology is particularly risky as valuable customers experience your teething problems. †¢ †¢ †¢ 20 Developing multi-channel strategyThe Cranfield Customer Management Forum has documented successful channel innovation in such circumstances. The elements common in such cases are: †¢ The implementation of the channel innovation is not rushed. There is adequate time to consult with sales people, train people in ways of working, build teams between the old and new people and just get used to the idea of change. It is not uncommon for channel change programmes to last for three to four years. Of course, throughout that period, innovations are being introduced but at a pace that the organisation can manage.The customer relationship manager remains in control of the overall engagement with hi s or her customer. The relationship manager is fully aware of the activities of other channels with his or her account and can override the policies and recommendations of the â€Å"system†, retaining full control over the customer experience. Software is tried and tested thoroughly by live sales teams before large scale rollout. Support for changes in working practices are severely undermined when promised technology that makes â€Å"it all work† disappoints its users.People feel let down by the company and distrust the motives behind the changes. There is a frank and open discussion about compensation. Companies cannot be expected to fund double or triple compensation for the sake of harmony. However, the compensation system must encourage team selling. In the BT example of selling leased lines to bank branch offices, desk based sales people receive bonuses for each sale made. At the same time, the national account (field sales) manager for that bank is credited with the sales made by desk based sales against his or her overall target with the bank for the year.The relationship manager is therefore rewarded for the successful desk based sales campaign. In this way, there is alignment between the channels’ compensation plans. †¢ †¢ †¢ Management, not technology, guides channel innovation In all the cases of successful channel innovation reviewed by the Cranfield Customer Management Forum, we found that CRM technology played an essential role in enabling new ways of working to be managed at a large scale consistently. However, successful companies did not begin by picking an application and then building processes that embed the application in their organisation.They started with a clear view of what they were trying to accomplish and used approaches akin to channel mapping and channel chain development to achieve it. 21 Developing multi-channel strategy Once they understood the channel chains that they were trying to implem ent, they built a comprehensive set of business rules around each chain. This allowed the company to have rules for such events as major customers making enquiries online, telephone based sales campaigns to major customers and avoiding conflicts with distributors’ sales campaigns.These rules took time to develop and often were built with the help of outside consultants. The rules are managed by very senior sales managers as they represent the underlying logic of the channel strategy. For successful companies, the allocation of sales complexity scores to products and services is a top management issue as is the process by which various channels will work together. In order for the rules to be dynamically updated, there are important governance structures established for team based selling.Each company finds its own way to integrate the policies, investment, people development and compensation of its channels. However these policies are not developed in isolation of the overall customer relationship strategies. Resource owners are not free to do as they please; senior managers must live the team-based values that they espouse. 22 Developing multi-channel strategy Summary comments Traditionally, â€Å"channel† was a poor relation to other elements of the marketing mix.New technology and business models have changed this 180 degrees: scholarship and managerial practice are catching up to this new reality. We develop a systematic five step plan for companies to develop their channel strategy. Step 1: Identify the nature of the problem or opportunity Is the motivation for channel innovation cost, improving customer experience, increasing customer access or a mix of the above? Step 2: Conduct a current state analysis First look at the market context: define the market, determine and establish priorities between customer segments and inally determine and set priorities between product-service offers. Then determine the complexity of each priority product service offer and rank the offers in order of complexity. Using the Product Coverage Map, identify the lead channel for each priority customer segment along that ranked order of complexity. Identify anomalies. Step 3: Create a future state Product Coverage Map To address these anomalies, identify major groupings of offer-customer with lead channels. Draw channel chains for each grouping.Enter into a creative exercise to develop better channel chains for each grouping. Step 4: Evaluate potential new channel chains Evaluate in consideration of customer preference (Channel Curve analysis) and cost. Set priorities between alternatives. Step 5: Pilot priority new channel chains and roll out successful pilots. Consider that channel innovation is a major change process. Research and adoption of â€Å"best practice† alone will not provide the leadership necessary for successful channel innovation. Customers cannot evaluate that which they have not experienced.Best practice fails to account for the context-specific nature of each company’s customers, ways of working, established Sales practices and information technology expertise. In implementation it is important to ensure that customer-facing people support new ways of working, implementation is not rushed to meet artificial schedules, customer managers retain control of the process and act as guardians of the customer experience and there is effective feedback between those leading the change and those affected by it.Despite the difficulties in channel innovation, for many companies it is a must-do activity. Since best practice is very emergent, there are opportunities for companies to generate real competitive advantage through channel strategies. 23 Developing multi-channel strategy Appendix 1 Directional policy matrix The Directional Policy Matrix (DPM) is a strategic marketing planning tool that allows managers to make investment decisions across a portfolio of opportunities. Figure 13: Direction al Policy Matrix MARKET SEGMENT

How personal and societal values Essay

(How personal and societal values can influence ethical decision-making) Nurses may be faced with ethical conflicts. As nurses we must examine our own beliefs and feelings regarding ethical issues and not impose our own values on any patient or caregiver. At the same time, it is our duty to also support appropriate behavior and to protect our patients from harm. Ethical issues involve the good and bad of moral duty and moral obligations. Nursing can be considered an ethical nterprise since it often involves an alternative action when providing care (Gilliland, 2010). It concerns doing well and avoiding harm. The nursing code of ethics is a great resource to follow when faced with ethical dilemmas. In the Marianne case study, it states that â€Å"she has no advance directives, but her husband wants to try everything† and the children believe that Marianne â€Å"would not want to undergo surgery only to be kept alive with poor quality of life. † An advice that nurse may give to Marianne’s family is to help them be aware of the result of the medical procedures. Marianne’s husband needs to know that once she undergoes surgery there is a good chance that they will need to have some lifestyle changes. As nurses, we should be able to provide the family with an objective view of the importance of each action as well as provide some emotional support that Marianne’s family need to deal with to their current situation. In the second case, with Nurse Jane having witnessed acts of negligence from her olleague, there may be things to consider that might make Nurse Jane’s decision.

A Study of Career Plateau in Education Sector Essay

If Employee’s jobs are filled with routine and boring tasks or if desired promotions are blocked in the organization, then they are likely to feel an intrinsic sense of loss and become skeptical about findings fulfillment in their careers Career plateau employees are likely to have demotivation and higher labour turnover because they want to advance their careers elsewhere in the environment Researcher find out the causes, difference of career plateau among the Admin Staffs, Support Staffs, Teaching Staffs, Technical Staffs in education sector, its effects and strategies to remove the career plateau. The Major finding of this study is that career plateau is a major contributing factor of employees dissatisfaction, organization commitment and employee turnover. Technical staffs have more career plateau. Management and other stakeholder to develop the best strategies to manage career plateau in the organization. Keywords: Career Plateau, Strategies, Employee turnover, Dissatisfa ction 1. Introduction Career plateau is not a new phenomenon, but there is a worrying situation about the rate at which it is becoming increasingly widespread in various organizations (Yama- moto, 2006; Lee, 2003). Many scholars on organizational careers’ have suggested that plateau is fast becoming a critical managerial and organizational issue which needs to be managed properly to avoid employee’s discontent (Burke and Mikkelsen, 2006; Tremblay and Roger, 2004; Tremblay et al., 1995). Career plateau is defined as the point where employees like hood of additional hierarchical promotion is very low. International Journal of Business and Management Tomorrow   Employees who have experienced career plateau would think that their employers have forsaken their careers (Lee, 2003). Career plateau has been used as antecedent to many undesirable work outcomes such as low satisfaction, high stress, poor performance and other withdrawal symptoms (Yamamoto, 2006; Lee, 2003; Choy and Savery, 1998). Career plateau has the potential to cause discomfort among the employees because lack of continued upward progression is considered as a yardstick to measure employee’s performance. Thus career plateau leads to poor performance. In any organizations upward movement in terms of promotion of employees is accompanied by increase in salary, power and status (Lee, 2003). Plateau employees are likely to have higher labour turnover because they want to advance their careers elsewhere in the environment. For many employees, the time comes when all career movement ceases. Some feel unchallenged, while others simply don’t have the motivation to move upward. It is management’s responsibility to pull the best from staff members at such times. Fortunately, this isn’t difficult when you are prepared with a game plan and a little understanding. * Definitions. Plateaued employees, one observer has written, are those who reach their promotional ceiling long before they retire. Structural plateauing occurs when opportunities for promotions end. The hierarchy in most institutions is designed like a pyramid, leaving room for only a select few at the top. Therefore, everyone eventually plateaus. The inabilit y to climb the career ladder is an emerging concern for employees in the 1990’s. With aging of the baby boom generation and shrinking of middle management positions brought about by recession, improvements in office technology, and mergers and acquisitions, there are fewer opportunities for advancements in office technology, and mergers and acquisitions, there are fewer opportunities for advancement (Weiner, Remer, & Remer, 1992). One significant vocational effect is plateauing, â€Å"a unique form of career stall† (milstein, 1990b p, 325) which can result in a feeling of malaise on the part of upwardly mobile individuals. This phenomenon is labeled plateauing because it resembles a long flat uninterrupted expanse with minimal contours and a sameness that stretches endlessly. If people’s jobs are filled with routine and boring tasks or if desired promotions are blocked, then they are likely to feel an intrinsic sense of loss and become skeptical about findings fulfillment in their careers. (Milstein, 1990a, P48) 2. Examine the causes of career plateau Examine the difference in plateauing among the various levels of staffs in education sector. Examine the effect of career plateau in the organization. Give suggestions to manage career plateau effectively to minimize employee intention to quit. 3. In the subsequent pages, an attempt is made to review the literature pertaining to career plateaus of the employees. The literature of these studies has been collected through various magazines, journal, website and other published sources. 3.1 Various types of career plateaus are being experienced by the employees in organization. According to Bardwick (1986), there are three types of career plateau which are very common in organizations and there are: Structural Plateaus:- represents occupational situations where advancement is unavailable due primarily to the pyramidal nature of organization hierarchies. Content Plateaus: – When no challenge remains in their job. Tasks have been mastered and little new or exciting remains to be learned. Life plateauing:-occurs when individuals believe they are trapped in their ongoing everyday routines, cycles, obligations, and relationships. They may lead them to have â€Å"the sense that there’s little fulfillment left in any area of life. As per Rita M. Choy, Lawson K. Savery, (1998). Organizations are under pressure to cope with factors such as resource scarcity, increased competition, slow economic growth, increased utilization of technology and an increase in acquisitions and/or mergers. All these can lead to downsizing of the workforce. Many organizations believe downsizing can reduce costs and increase competitiveness. However, flattening structures reduces the number of people needed in organizations and such practices escalate the plateauing ISSN. International Journal of Business and Management Tomorrow The present study explores the relationship between job satisfaction, organizational commitment and the plateauing phenomenon. Non-plateaued workers seem to have a better relationship with their organization and find coaching new staff more rewarding than plateauing workers. This finding is important because trainers must hold positive attitudes toward the company and this seems more likely when the person is not plateaued. Non-plateaued employees are also more likely to view the organization as encouraging job performance – another issue of importance to managers of organizations. Susir Kumar – CEO, Intelenet Global Services expresses, â€Å"In spite of all the buzz and hype progressive HRM creates, career plateau remains a regular phenomenon and a problem that HR managers across industries and organizations have to grapple with. It can be defined as reaching a level of complacency, in many cases leading to employee burnout. It is not that such employees are incompetent; however, there is a general feeling of ‘being stuck’. Such employees often harbour an illusion, that they have nothing more to achieve.† Sharing his opinion on the organizational ailment that is a stagnant employee, Aleem Merchant, director, Synapse Marketing Consultancy Pvt. Ltd says, â€Å"Employee plateauing is a disease that hampers almost every organization, big or small and today, this malady is threatening the very potential and future of the corporate world as fast as most lifestyle diseases. This too needs expert treatment and its own set of managerial medications.† In order to analyze this plague, we must dissect it to get to the root of the problem. â€Å"Plateaued employees could stem from boredom of routine work or just plain complacency. Very often, external stimulators such as excitement of new work or a hard reality session can help yank the employee out of his stupor,† reasons G Ravindran, CEO, and MD- SHRM India.   Potter, author of â€Å"Overcoming Job Burnout: How to Renewing Enthusiasm for Work†, contends that often plateauing exists in the minds of employees. â€Å"In many cases it may be an illusion.† she said. According to Potter, employees also can imagine themselves plateaued with they fail to adapt to the changing employment picture. â€Å"Sometimes the person is not blocked; they just don’t understand the rules of the game have changed.† she said. Some workers are frustrated trying to climb the corporate ladder, Potter said, unaware that the old traditional hierarchical construction no longer exists. Another cause of the illusory plateau, Potter said, is a worker who is â€Å"actually chronically depressed.† She explains that for a depressed individual, a new job acts as a â€Å"sort of self-medication,† giving the person a temporary high. However, Potter said, once that boost wears off, the employee goes back to feeling depressed and might be inclined to blame this condition on a lack of job satisfaction. â€Å"It’s another kind of unrealistic expectation.† When employees feel plateaued, Potter said, â€Å"They can start getting into this problem of burnout†Ã¢â‚¬â€a loss of motivation that can leave workers feeling helpless. She warned that burnout can lead to chronic absenteeism, anger, thievery, and substance abuse. Potter warned that any attempts at curbing burnout can be too little too late, because losing one’s motivation is akin to losing one’s spirit. â€Å"When that gets damages, it just doesn’t bounce back, † she said. Study Design and Methodology 100 samples selected from various education society of Pune by using the convenient sampling method. The following categories/Levels of employees are selected as respondents.   Teacher   Admin staffs (4.3) Professional /Technical staffs (4.4) Support staffs. 25 respondents from each category are selected from for the research. The Instrument, containing 50 items and 29 attributes, each query is ranked by the respondents according to a five point Likert scale.

Rock Ideology

Does popular music equate to commercial success? Is mass appeal enough to describe popular music? The answers to these questions may not come in handy. Oftentimes, what are considered to be popular music are the ones that are often played in the radio or promoted through various television shows and programs. Record sales and concert attendance are also important factors in determining (popular music). Yet, if one has to take a closer look, the above-given considerations can be summed up in achieving commercial triumph. However, for experts, there is a thing line that demarcates popular music from those that have emerged victorious from the economy of music making. Through the years, various musical genres have emerged. Their existence can be attributed for several reasons. First, music goes through a series of changes and transformations. Each and every generation of musicians and artists are on a constant experiment on how to create new sounds that can possible exceed the expectations of their predecessors. The other reason stems from the fact that the audience’s musical needs vary from time to time. Like food, music is a media commodity that must be constantly consumed by its specific target market or audience. But the moment wherein the peaks of satiety levels have been already reached, there is a strong tendency for an individual to look or crave for another media commodity that can attend to his or her demands. If music is viewed both as a commodity and a form of expression, then there is no doubt that being popular is also relative to being commercially triumphant. However, this generic notion tends to abolish music’s true meaning, essence, value and social significance. Commercial success, if such will be used as framework for what accounts as popular music stripped off the latter’s intrinsic and intangible characteristics and features. Each musical genre goes through such concerns. Musicians and artists alike are trapped within the norms of creating music for profit and at the same time maintaining their musical integrity and artistry. With regards to categorizing popular music, it is apparent that Rock and Roll often finds itself as the center of argument between music scholars and expert. Many Rock and Roll bands have managed to become commercially efficient, yet some stress that the lack of musical authenticity deprives them from being considered as popular music. On the other hand, it cannot be denied that there are some Rock and Roll bands which have remained popular only to a few selective audiences, their commercial appeal is not highlighted, yet they are often tagged as popular music. This discussion aims to tackle how Rock and Roll struggles to balance its profit-based orientation and at the same time preserve the pure and unadulterated nature of its music. The paper will also deal with rock ideology, its effect on the music’s fan base and youth culture and on the overall nature of Rock and Roll per se. Rockin the Youth Culture Beebe, Fullbrook and Saunders (2002) explained that Rock and Roll and youth culture are interrelated to each other. The two readily share a special relationship. Rock and Roll is the youth and the youth is Rock and Roll. The two seem to find it hard to be separated from each other. For one reason, a number of youth groups are able to relate to the themes perpetuated by Rock and Roll. The music became the youth’s language in articulating their own concerns and issues that cannot be overtly expressed through direct communication or confrontational scenarios. As Epstein (1998) emphasized, rock music played an important role within many youth subcultural groups wherein musical tastes and preferences provide a sense of belongingness and togetherness. Rock and Roll allowed these youngsters to relate and identify themselves to the youth’s basic needs and demands (Epstein, 1998). Gillet (1996) explained that Rock music is able to provide pleasure—the kind of satisfaction that no other musical genres can provide. But of course, this is something that extends beyond entertainment purposes. Through co-optation, as Grossberg (1997) maintains, the intersection of youth culture and Rock and Roll is preserved and sustained. Rock and Roll and Popular Music Kellog (2003) discussed that popular music is a representation or reflection of the cultural facets of society wherein it emanates. He added that the evolution of Rock and Roll is heavily influenced by the post-war era. In a time wherein a nation is trying to recover from war’s damages, the seemingly antagonistic and hostile nature of rock and roll would not really come as a surprise. It is not uncommon for such music to tackle social dilemmas that are experienced by the community. This is most especially felt during the times wherein Rock and Roll is on the process of growth and development. In Latin America for example, rock music functioned for propaganda purposes (Hernandez, L’Hoeste   & Zolov, 2004). Going back, it can be seen that such music is not merely used for entertainment activities. To give pleasure and at the same time take into consideration society’s critical issues transformed rock music into something that is revolutionary in nature. Commercially Popular Sterns (2001) emphasized that Rock and Roll is â€Å"eminently commercial.† The glitter and glamour that is associated with it is a concrete sign of a consumer-oriented music. There is the desire to garner mass appeal which is nonetheless avoided by those individuals that belong to the counter-culture (Sterns, 2001). Placing too much importance on form over substance makes Rock music prone to being a â€Å"consumer item (Sterns, 2001).† However, Hernandez, L’Hoeste and Zolov (2004) mentioned that under the circumstances wherein Rock music strayed from entertainment function, Rock and Roll as popular music has now differentiated itself from music that are commercially produced, this is of course in reference to the Latin American Rock music scene. Rock as popular music in contrast to rock as consumer item can be differentiated into four different ways. The latter’s differences are deeply characterized by its content and social function. First of all, rock as popular music possesses â€Å"intrinsic intent† which is to promote awareness to social and political issues (Hernandez, L’Hoeste & Zolov, 2004). Secondly, it breaks free from â€Å"bodily gratifications, wherein Rock is produced as something worth listening since it embodies the Pan Latin-American dream (Hernandez, L’Hoeste & Zolov, 2004). The lat but definitely not the least is that Rock has revolutionized the term â€Å"popular† wherein it previously refer to music created via the use of indigenous instruments (Hernandez, L’Hoeste & Zolov, 2004). In the meantime, going against commerciality, most especially as for the case of Rock and Roll bands may seem too complicated. This stems from the fact that these musicians earn their bread and butter from this industry. Yet, in as much as musical authenticity and artistry is concerned in popular music, Marshall (2005) explained that popular music must adhere to the canons of music making in the Romantic period. During those times, music creation was focused on maintaining the â€Å"truth† in artist and music’s intention, regardless of whether it would be socially accepted or not by many (Marshall, 2005). Rock Ideology In order to preserve authenticity in rock music, may bands have successfully practiced the so-called rock ideology (Frith, 2007). Rock ideology purports that the music has an exclusive   fan base or community that highlights their individualistic approach and orientations (Frith, 2007). This is in stark contrast to pop icons and celebrities whose popularities are attained through excessive media hype and exaggeration. In other words, rock to maintain its ideology must create music that is not present in other genres and would cater to a specific set of audience. In this aspect, rock and roll is famous but its scope and coverage is far by more limited and narrow. It can be categorized as popular music but only within smaller groups, compared to music that follows a certain kind of formula. Once and for all, rock as popular music is something that cannot be readily digested and appreciated by everybody else. And so through following its ideological threshold, the genre qualifies into the context of popular music—something that is worth listening and packed with cultural and social significance. References Beebe, R.; Fullbrook, D and Saunders, B. (2002) Rock Over the Edge: Transformation in   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Popular Music Culture.   USA: Duke University Press Epstein, J. (1998). Youth Culture: Identity in a Postmodern World. Massachusetts:   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Blackwell Publishing Frith, S. (2007). Taking Popular Music Seriously: Selected Essays. Hampshire, England:  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Ashgate Publishing Gillett, C. (1996). The Sound of the City: The Rise of Rock and Roll. USA: Da Capo Press Grossberg, L. (1997). Dancing in Spite of Myself: Essays on Popular Culture. USA: Duke   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   University Press Hernandez, D; L’Hoeste, H and Zolov, E. (2004). Rockin’ Las Americas: The Global Politics   Ã‚   of Rock in Latin/o America. Pittsbyurgh, USA: University of Pittsburgh Press Kellog, W. (2003). American History The Easy Way. New York: Barron’s Online Bookstore Marshall, L. (2005). Bootlegging: Romanticism and Copyright in the Music Industry.   Ã‚  Ã‚  Ã‚  Ã‚   London: Sage Publications Sterns, P (2001). Consumerism in World History: The Global Transformation of Desire. London: Routledge

Refugees and Migrants Essay Example | Topics and Well Written Essays - 1500 words

Refugees and Migrants - Essay Example It is the differences in leaving one’s country which makes a person labeled as a refugee, migrant, immigrant, asylum seeker, or a safe-haven seeker. But they all share one common fact. They are aliens in a foreign country and hold second class status to the people who were born in that state. We should start of first by understanding what is basically a refugee and a migrant. A refugee is defined as an individual who has forcefully been made to leave his home country due to a fear of being persecuted or feeling his life to be threatened. Refugees are often outcasts in their home country due to a difference in race, religion, nationality, or being part of a social group which is not accepted by the current government. But not all refugees are in such a state due to human influences. People escaping famines and pestilence are also included into the broad category of refugees (NCCA 2008). A migrant, however, is defined as a person who leaves his/her country in search of better jo bs (Dictionary.com 2008). They leave their country using their own discretion without any influences such as coercion or force. This can clearly give a picture between the distinction between the two groups of people. While refugees are fleeing their country to save their own lives and lives of their families, migrants basically leave their countries to find work. The difference lies in the motivation for leaving their country. Before basically delving into the argument as to why migrants and refugees should be handled differently we will try to see what arguments are placed for considering them as one and the same. Many sources, usually egalitarian in nature, argue that since both groups of people are displaced from their home countries they should be welcomed by any new society and provided support. A policy known as "non-refoulement" exists, an international policy, which aims at protecting the rights of refugees. According to this policy people who have become refugees and arrive at a new state are not to be returned back to their home states and should be openly welcomed. 140 states have signed the non-refoulement policy which makes them prime states for refugees to seek a new life in (Jose Riera). But that is one of the only few valid arguments given by anyone. Because other than that, in reality a feature noted in most developed nations is that their laws, if at best not hostile towards refugees, are often biased to the nature of being cruel. For example, in an article by amnesty international's Australian edition it states how even though Australia has signed a number of treaties which enforce it to treat refugees well but in truth these refugees are detained in places where the Australian law is not valid hence these refugees cannot even demand non-refoulement since the policy is not valid in that area (Mark 2007). The reason why we such instances in newspapers of people being detained and arrested when trying to cross the border into another country is that it is becoming more and more difficult for the host country's to manage the inflow of these immigrants/refugees. The sheer volume of the incoming people is a burden on most countries who now, not only have to meet the needs of their own citizens but must also take care of these new people who are not always productive factors for the country. The refugees require lodging, sustenance and shelter which are costs the host country must bear. Not only that, but finding new jobs and work opportunities for these new people is also a taxing job for the government. In recent years there is also a security risk in permitting foreign individuals with no proper documentation and records into

Families Essay Example | Topics and Well Written Essays - 250 words

Families - Essay Example Whereas fifty years ago divorce was rare, and homosexuality invisible, nowadays these features are common in society. If individuals want to create their own type of family according to their own values and ideals, then there is an opportunity to explore this in new ways. There is conflict between restrictive but stable traditional models, and freer but potentially less stable modern alternatives. Immigrant families have the benefit of at least two cultural heritages, and this enriches their life experience. It can also cause tensions when adapting to new contexts and sometimes clashes with expectations of the culture of origin. Often children feel caught between the old and the new, and it takes generations for families to be fully at ease in both cultures. Another advantage of immigrant families is that people often have the opportunity to speak more than one language. This has useful career implications but above all it enables people to see the world more openly and be accepting of differences without judging one or the other. White American families who only speak English are at a disadvantage because they are tempted to hold narrow views, and find it harder to think in concepts outside their own ethnic group norms. Latinos, African Americans, Asians and other minority groups in America can suffer prejudice and misunderstanding which adds stress to their lives. Families who find themselves victims of racism will stick together more closely, but there are disadvantages in accessing full citizenship benefits if resentment builds up inside the family and opportunities are blocked in society outside the family. This can be a vicious circle which is hard to break. Similar scenarios can develop within gay and lesbian families. Multi-generational families are the norm in some societies, notably African and Asian

The UK National Curriculum Essay Example | Topics and Well Written Essays - 2000 words

The UK National Curriculum - Essay Example For the essay to critically analyze the National Curriculum, it will try to elaborate why the curriculum was deemed necessary, examine the different negative and positive consequences related with the curriculum implementation since 1988. Outline of the UK National Curriculum According to National Curriculum Council (1991), the National Curriculum was adopted with the main purpose to standardize the content that is taught in State Schools. This was meant to enable assessment which consequently will enable the league table compilation. The league table details the statistics of assessment for each school. Moreover, league tables combined with the provision for a choice to parents in assigning schools for their children were created with the main intention for free market encouragement. This allowed parents to choose schools for their children based on the ability to teach the National Curriculum (National Curriculum Council (Great Britain) 1989). The UK National Curriculum was structu red in key stages and based on subjects. This covered the core subjects such as mathematics, English and science and the foundation subjects such as Geography, Art, Music, History, Technology and Physical Education. Moreover, the subjects were being studied from 5 to 16 years of age (Great Britain 1997). It was mandatory for each school to teach Religious Studies and other areas such as health, personal and social education. When and why the curriculum developed The department of science and education issued a consultation document that outlines the national curriculum. After consultation, the parliament passed the education reform act of 1988 which established the National Curriculum framework. The implementation of the curriculum commenced in 1989 and continued till mid 1990s (Walker & Soltis 2004). Great Britain (1999) points out that the first phase of the four key stages testing was finished in 1991. In addition, the school inspection responsibility was transferred from the ins pectors of her majesty and the inspection teams of the local authority in 1993 to inspection of independent teams. The new work was to be coordinated by the new depart of state. According to Wales (2001), the documentation of the National Curriculum outlines the two main aims for the development of the National Curriculum. The first aim was that the school curriculum should strive to give all pupils opportunities to learn and excel (Great Britain 1997). National Curriculum Council (Great Britain) elaborates the aim that the schools are entitled to develop commitment to, enjoyment and learning as a mode of stimulating and encouraging the best progress possible and the best pupil’s attainment. Moreover, the curriculum should build interests, strengths and experience of the pupils and develop to their capacity their confidence to enable the pupils learn and independently work in collaboration. The curriculum is also intended to equip the pupils with learning skills which are ess ential such as numeracy, literacy and information and communication technology and lastly to promote an inquisitive mind and capacity to rationally think (Duckett, Sixsmith & Kagan 2008). National Curriculum Council (Great Britain) (1991) points out that the school curriculum should help the pupil’s development of sense of identity through understanding and knowledge of the spiritual, social, moral and cultural heritages of the diverse society of