Post on 13-Dec-2015
Pyramid
Situation
ARDEX is a provider and producer of high quality specialist construction materials that are sold through various channels to several different market segments.
Complication
Growth is slowing in the commercial construction industry in the HK region.
Question
How can ARDEX Hong Kong increase sales and profits through its sales strategy?
Recommendations
In order to increase profits and sales ARDEX HK should: - Focus primarily on the hotel and (TBD) segments as the
preferred project types - Eliminate sales process inefficiencies
Rationale for Market Segment Recommendation
• Sales within the hotel and X segments generate the highest average
profits per project• Sales within the hotel and X segments require the lowest average man
hours per deal• The hotel and X segments are projected to have the highest growth
within the construction industry in HK/Macau
Rationale for Sales Process Recommendation
• Current manual processes are substantially more time consuming than
suggested automated processes• Eliminating redundant steps in the sales process will allow sales people
to devote more time to client relationship management
Source: XYZ
Market Segment Mix By Project Type (1st half 2009)
Sales in the hotel segment bring in the most average profit per project
Source: XYZ
Segment profits and resource usage (By Project Type)
Sales in the hotel segment achieve the highest profits per man-hour
Industry Growth by Project Type
The hotel segment is projected to have the highest growth within the construction industry in HK/Macau
# of projects
Rationale for Modifying the Sales Process
• Improve hand offs to minimize miscommunication • Remove sales task redundancies within the sales team - savings of
x hours• Establish approval thresholds to decrease hold ups in the sales
process• Reduce the turnaround time by x days for contractual review and
approval
Establish areas where greater efficiency can be achieved:
Source: Interviews & Sales Log
Source: Interviews & Sales Process
Eliminate redundant steps in the sales process
Inefficiencies in sales processes
Current manual processes are time consuming which can be resolved through automation
Time spent on manual processes in the sales lifecycle (hours/week)
Source: Interviews & Sales Process
Automate the Sales Processes
List of solutions that can reduce time spent on manual tasks and assist sales team to manage day-to-day responsibilities:
Source: Interviews & Sales Log
Solution Description Benefits
CRM
Document Management
Workplan
Issue Hypothesis Analysis Data Sources Task Owner Due date Status
Project Kick-off Project kick-off will level set the expectations and objective of the project between the team and the client.
Client Jana 26-Sep Complete
Assess Market Channels Ardex can increase sales by 5% by selling directly to customer.
research on market channels that are available and which are better sources for product awareness and distribution
manager, salesperson, customer, documentation, industry best practices
Conduct interviews, gather data, analyze data
Fabrizio 14-Oct In Progress
Assess Market Segments Ardex can increase sales by 5% by selling through partners.
research market segments that are growing over the next 5-10 years
manager, salesperson, customer, documentation, industry best practices
Conduct interviews, gather data, analyze data
Jana/Craig 14-Oct In Progress
Assess Current Sales Processes Ardex can increase sales by 5% by focusing on single type of developer
analyze the current process. Check for manual processes, redundancies,
manager, salesperson, customer, documentation, industry best practices
Conduct interviews, gather data, analyze data
Jen 14-Oct In Progress
Assess HR impact Better HR recruiting and rewards to sales team will increase sales performance by 5%
High level review of compensation. Compare to other sales models in the same industry
manager, salesperson, customer, documentation, industry best practices
Conduct interviews, gather data, analyze data
JT 14-Oct In Progress
Analyze Future State Recommendation Using current state findings, create a list of recommendations and prioritize that will help Ardex increase sales by 5%
current state findings Create a list of the recommendations for Ardex
Team 14-Oct In Progress
Build Future State Recommendation Using future state design, build the recommendation that will help Ardex increase sales by 5%
current state findings Select the recommended actions Ardex should implement
Team 20-Oct In Progress
Present recommendation Recommendation will offer prioritized actions for increasing sales by 5%
current state findings Create ppt deliverable Team 21-Oct Open