One of the most significant challenges for key account managers and strategic planning executives alike is finding the time to invest in key account planning. However, you can’t leave the opportunity to drive revenue growth
and increase your competitive advantage to chance. That’s why we’ve created a 7-step guide to leveraging the key account planning process, including a key account planning template you can swipe and use today! Also read: Key account management refers to a
long-term strategy of delivering significant value over time to your “key accounts”. In other words, it is a systematic approach to managing, retaining and growing your organisation’s most valuable customers with the focus of maximising mutual value alongside achieving mutually beneficial goals. A key account plan is your roadmap to strategic success. It’s your guide to knowing where your most valuable client
is today, where they want to be and how you’re going to get there on mutually beneficial terms. It’s also a tool for identifying gaps or possible risks to account retention alongside a helpful method for spotting valuable opportunities to drive additional revenue. The key account planning process often consists of 7-steps: Revenue generation is the lifeblood of any organisation, which is why successful key account managers consistently increase revenue by retaining top-earning
accounts. Moreover, KAM’s importance is linked to the 80–20 Principle, which suggests that 20% of your accounts are responsible for 80% of the outcome (revenue) – true for most companies. However, there are a lot more reasons to focus on key account planning; discover the benefits below:
We’ve already quickly outlined each step in the key account planning process, but now let’s delve into each in detail: 1. Account OverviewThe first step for beginning the key account planning process is to state the basic information about your key client:
2. ObjectivesThe next step is finding out precisely what your key client wants to achieve. The fastest way to do so is simply to set up a call to discuss the following points:
By asking these four questions, you should uncover some valuable opportunities to include in your key account plan. If not, it may be worth considering that this contact isn’t the right one to grow, and you may need to find an alternative. 3. SolutionNow that you have a vision of exactly what your key client wants to achieve, it’s time to determine what potential solutions you can offer them. To do so, ask yourself these following questions:
4. Action planWe’re halfway through the account planning process. At this point, you know what the problem is and the solution – now you just have to determine how you’ll make it transpire into tangible outcomes for your key client. To achieve a robust action plan for your clients, you’ll need to:
Moreover, at this stage, you’ll want to consider what data you can bring to help your client understand the impact of your action plan. Here are four of the best ways to measure success that will show an impact you can quantify with data:
5. Change managementBefore committing to your action plan, you need to gather support from other stakeholders. To do this, you need to consider whether the pain of change is worth it and inspire action. To get the answers to these questions, you can use Kurt Lewin’s Force Field Analysis. The analysis model uses Newton’s law of gravity that there is an equal and opposite reaction for every action. In simple terms, the benefits of taking action have to outweigh the risks of doing nothing. For this stage, take your action plan and create two columns; 1. why change is good, and 2. why change is bad. Below each, write down all your proposed actions’ positive and negative consequences and assign a strength score to total them up. Once you have the totals, subtract the good score from the bad score. Ultimately, if the overall score is greater than zero, your key account plan has a good chance of success. However, if it’s zero or less, your key account plan is likely to fail. 6. ImplementationTime for the fun part! It’s time to bring your key account plan to life and achieve your client’s objective. However, first, you must gain some form of accountability, so ask your client to agree to:
7. ReviewLastly, how often will you review the overall key account plan? We all know things change over time, and adjustments will be needed as you learn new information about your client or new valuable opportunities arise. Consider using this review schedule when it comes to evaluating your key account plan:
Also read: How to Work with Channel Partners to Maximise Sales Volume Grow valuable accounts to protect your competitive market advantage with SOCO®Key Account Management training supports account managers to develop the application skills needed to systematically review and grow their most valuable accounts. While also helping them create actionable plans to grow long-term relationships as trusted advisors who provide immediate, measurable, sustainable business results to key clients. What are the key points of planning?Read ahead to learn more about the six vital elements of strategic planning: vision, mission, objectives, strategy, approach, and tactics.. Define your vision.. Create your mission. ... . Set your objectives. ... . Develop your strategy. ... . Outline your approach. ... . Get down to tactics.. Why is planning a key?In particular, planning helps to critically assess the goal to see if it's realistic. It facilitates decision making and allows setting a time frame by predicting when the company can achieve its goal. It also defines how to measure performance against the set goals and whose responsibility it will be.
Which are the five key areas of planning?5 Key Components of a Powerful Strategic Plan. New entrepreneurs have a lot of details to think about, including crafting a strategic plan. ... . Mission, vision, and aspirations. ... . Core values. ... . Strengths, weaknesses, opportunities, and threats. ... . Objectives, strategies, and operational tactics. ... . Measurements and funding streams.. What are the key management functions?At the most fundamental level, management is a discipline that consists of a set of five general functions: planning, organizing, staffing, leading and controlling. These five functions are part of a body of practices and theories on how to be a successful manager.
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