Partner Engagement Process

Partner

Assessment1 Partner-led

offer2 P&L Impact3Partner

Planning

WB4 Business

Plan Dev.5

Existing Revenue StreamsGross Revenue

($)Gross Margin (%)

Professional Services, Project Based (one-time) $5,324,000 35.0%

Reselling - Microsoft Software (one-time) $665,500 15.0%

Managed Services - Contracted Support (recurring) $133,100 45.0%

n/a $0 0.0%

n/a $0 0.0%

n/a $0 0.0%

n/a $0 0.0%

sub totals/averages $6,122,600 33.0%

New Revenue Streams

Reselling - Microsoft Subscriptions (recurring) $300,000 20.0%

Own IP Licenses - Cloud Subscriptions (recurring) $200,000 70.0%

Managed Services - Contracted Support (recurring) $100,000 45.0%

sub totals/averages $600,000 40.8%

Total Revenue $6,722,600 33.7%

COGS $4,454,480

Operating Expenses $

Sales $450,000

Marketing $350,000

R&D $150,000

G&A $690,000

Total Operating Expenses $1,640,000

EBITDA ($) $628,120

EBITDA (%) 9.3%

Tomorrow

Based on your Business Plan, what do you expect your revenue composition and

margin structure to look like in 3 year's time?

Interpreting the Partner

Profile Assessment

Understanding the

Economic Model

Building Partner-Led Offers Partner Planning

Whiteboard

Next Steps….

Our Focus….

Changing Buyer Behavior Partner Marketing &

Messaging Assessment

Adjusting the Sales Motion

Workshop Objectives…

Primary Challenges…

ExerciseExercise

Top 3 Objectives

http://neuralimpact.ca/pdm-marketing-content/

Workshop Files

IP Staircase

Labeled

bundles

Full functional

solutionsPackaged

extensions

Full vertical

solutions

Complexity/Cost/Revenue Potential

Diffe

rentiatio

n/C

ust

om

er

Valu

e/U

sag

e

POTENTIAL ISV PARTNERING

Partner Progression – Labelled Bundle

IT Support

IT Consulting

Office 365, SharePoint

Online, EMS, Delve

Financial Impact – Labelled Bundle

39.7%

23.5%

Average Gross Margin Average Annual Revenue Growth

Source is CloudSpeed Realities on the Ground Study 2017

Managed

Services

(Contracted

Support)

Traditional

Professional

Services (Project

Based)

Cloud

Subscription

Reselling

Partner Progression – Packaged Extension

Unlimited Support Services for

Cost-Effective IT Management

Connectors to outside

databases, and Industry-

specific Dashboards

Office 365, Power BI,

Azure

Financial Impact – Packaged Extension

Managed

Services

(Contracted

Support)

Partner Own IP

Subscriptions

Traditional

Professional

Services (Project

Based)

Cloud

Subscription

Reselling

40.6%

24.3%

Average Gross Margin Average Annual Revenue Growth

Source is CloudSpeed Realities on the Ground Study 2017

Partner Progression – Functional Solution

CRM Online Sales Methodology

to Ensure Timely Lead Transfer

and Disposition

Standardized, Cloud-Based Content Repository and Workflows to Automatically Tailor RFP and Proposal Content

Office 365,

CRMOL, SP Online

Financial Impact – Functional Solution

44.1%

27.6%

Average Gross Margin Average Annual Revenue Growth

Source is CloudSpeed Realities on the Ground Study 2017

Managed

Services

(Contracted

Support)Partner Own

IP

Subscriptions

Traditional

Professional

Services (Project

Based)

Cloud

Subscription

Reselling

Partner Progression – Vertical Solution

Training videos and support

Re-useable code “library” derived from past projects, Nintex workflows, AI bot

Office 365, Power BI,

Yammer

Financial Impact – Vertical Solution

48.6%

31.6%

Average Gross Margin Average Annual Revenue Growth

Source is CloudSpeed Realities on the Ground Study 2017

Managed

Services

(Contracted

Support)

Partner Own

IP

Subscriptions

Traditional

Professional

Services (Project

Based)

Cloud

Subscription

Reselling

Place each of your managed partners into one of the five IP staircase steps.

ExerciseExercise

IP Staircase Segmentation

Growth Strategy Options

Current Offering New Offering

Current Market

Further Market Penetration

Product/ServiceDevelopment

New Market

Market Development Diversification

External

Industry Drivers

(Why)

Business

Challenge

($/Risk=Why)

Operational

Limitation

(How)

New Capability

(How)

Solution

Elements &

Service

Offering (What)

Professional Services Solution Matrix

Industry DriverBusiness

Challenge

Operational

LimitationNew Capability

Microsoft Cloud

Solution Set

Growing Economy:

Private sector funding

large capital projects.

Managing larger,

more complex

projects. Greater

project risk.

Sharing and editing

critical project

documentation

across large,

geographically

diverse project teams.

Project documentation stored

on a shared project site.

Whiteboard with Skype for

project solutioning.

Approvals workflow for

estimates, change orders.

Online RFP, project plan and

estimate review.

Office 365

SharePoint for

Engineering

(partner IP)

Skype for

Business

Document

version control.

Document

management

assessment.

Industry Solution Matrix

Industry DriverBusiness

Challenge

Operational

LimitationNew Capability

Partner Cloud

Solution

Economy

Regulatory

Suppliers

Competitors

Customers

Customers’

Customers

Exercise

IP Staircase Segmentation

Team Creation:

Organize into teams of four (maximum) based on partner focus:

P&L Impact

Lunch

Behavioral Economics

Primacy AnchoringPrematureCognitive

Commitment

ConfirmationBias

ConsistencyPrinciple

Recency

Marketing Assessment

Buyer 2.0

Get Found Convert NurtureTriage

Industry Focus

Thought Leadership

SEO, SEM, Social

Digital Engagement

Calls-to-Action

High Value Offers

Deliver Value

Engagement

Communications

Build Relevance

Remain in Conscience

CRM/Automation

Four Marketing Disciplines….

Tribal Engagement

Content needs to be specific & relevant to the individual

Persona Engagement

Greater productivity

Improve customer satisfaction

Better visibility

Scalable

Manageable

Reliable

Powerful

Easy to use

Dynamic

Business software

World leader

Market leader

Best-in-class

Best-of breed

Cost effective

End-to-end solution

Increase revenues

Reduce costs

Competitive

advantage

Mission critical

Award winning

Value add

Best

Unique

Great

Innovative

Exclusive

Business solutions

Collaboration

Language Engagement

Emotional Engagement

Emotional Engagement

70% of the population is primarily visual

Moving pictures evoke emotions.

25% of brain activity is involved in visual processing

70% of the body’s sense receptors are in the eyes

Visual Engagement

What is the cloud? Where is the cloud? Are we in the cloud now? These are all

questions you've probably heard or even asked yourself. The term "cloud

computing" is everywhere.

In the simplest terms, cloud computing means storing and accessing data and

programs over the Internet instead of on your computer's hard drive. The cloud is

just a metaphor for the Internet. It goes back to the days of flowcharts and

presentations that would depict the gigantic server-farm infrastructure of the

Internet as nothing but a puffy, white cumulonimbus cloud, accepting connections

and doling out information as it floats.

What cloud computing is not about is your hard drive. When you store data on or

run programs from the hard drive, that's called local storage and computing.

Everything you need is physically close to you, which means accessing your data is

fast and easy for that one computer or others on the local network. Working off

your hard drive is how the computer industry functioned for decades; some would

argue it's still superior to cloud computing, for reasons I'll explain shortly.

The cloud is also not about having a dedicated network attached storage (NAS)

hardware or server in residence. Storing data on a home or office network does not

count as utilizing the cloud. (However, some NAS will let you remotely access things

over the Internet.

Simplicity

Digital Engagement Gap:

Review the website of your most industry-focused managed partner.

Identify evidence of tribal, persona and emotional engagement.

Tribal Engagement

Persona Engagement

Language Engagement

Emotional Engagement

Visual Engagement

Simplicity

ExerciseWorkbook Exercise

Digital Engagement Gap

Emotional Website Audit

www.neuralimpact.ca/mini-audit

Interactivity drives engagement - PowerPoints?Extends interaction time

Engages the limbic/emotional brain

Picture superiority effect10% recall after 1 week (auditory delivery)

65% to 70% recall with visual image

88% of executive prefer dialogue to PP (Forrester)

Reading & listening creates confusion

Visual channel > auditory channel

Progressive DisclosureSurprise = Novelty

Brains are drawn to Novelty (survival mechanism)

Stimulates: attention, emotion, reward circuits (embeds memory)

Why Whiteboard

FY18 Partner Business

Plan Template

Contoso Systems Inc.

Apps and Infrastructure

Practice/

SolutionPractice building blocks

Cloud

Infrastructure

and

Management

Hybrid Networking

Hybrid Storage

High Performance Computing

Data Center Transformation

Windows Server Apps on Azure

Extending Azure with

Azure Stack

Development and Test +

DevOps

SAP on Azure

Red Hat on Azure

Hybrid Infrastructure Security

and Management

Backup, Archive, and DR

Application

Innovation

DevOps

Customer Facing – Digital

Marketing

Customer Facing – Mobile

Customer Facing –

Transactional

Apps/eCommerce

Customer Facing – Gaming

Customer Facing – Media

App Modernization and

Integration

Modern Workplace

Practice/

SolutionPractice building blocks

Collaboration

Modern Collaboration and

Effective Teamwork

Employee Engagement and

Empowerment

First Line Workers

Modern

Desktop

Modern Desktop Deployment

Modern Desktop Managed

Services

Security and

Compliance

Enterprise-level Identity

protection

Control and protect

information

Regulatory compliance

Proactive attack detection and

prevention

Cloud Voice

Meetings with PSTN dial-in

Cloud PBX enablement

Business Applications

Practice/

SolutionPractice building blocks

Customer

Engagement

Customer Service

Field Service

Project Service Automation

Sales

Operations

Talent Management

Retail

Finance and Operations

Business Apps

Finance and Operations

Sales

Marketing

Data and AI

Practice/

SolutionPractice building blocks

Data Platform

and Analytics

Data Platform Modernization

and Mission Critical

Applications

Oracle Migration to SQL/Azure

Data Warehousing and Big

Data

Business Analytics and AI

Modern Business Intelligence

IoT PaaS Solutions

IoT SaaS Solutions

Practices/Solutions and Building Blocks

Industry/Horizontal Solutions

Build-With Plan

Solution Areas Practices

Modern

Workplace

Business

Applications

Apps & Infra

Data & AI

Collaboration

Modern Desktop

Security and compliance

Cloud Voice

Customer Engagement

Operations

Business Apps

Cloud Infrastructure and Management

Application Innovation

Data Platform & Analytics

KEY SOLUTIONS/ PLAYS INVESTMENTS

Modern Collaboration & Effective Teamwork: Records Management

(existing)

Modern Desktop Managed Service (existing)

Security & Compliance: Regulatory Compliance: Compliance & Security

Suite for Manufacturing (new)

1. Partner Gives: $135,000

2. CIF: $5,000

3. MDF: $12,000

N/A

Hybrid Storage: (existing)

Data Center Transformation: (existing)

Extending Azure with Azure Stack: (existing)

1. Partner Gives: CSA Resource FTE

2. CIF: $0

3. MDF: $15,000

Oracle Migration to SQL/Azure (existing)

IoT PaaS Solutions: IoT Remote Monitoring & IoT Predictive

Maintenance: Silent Witness Remote Monitoring (new)

1. Partner Gives: $100,000

2. CIF: $5000

3. MDF: $15,000

Joint Priorities and Big BetsPriority / Big Bet Description Expected Outcome &

Business Impact

Key Milestones

Timeline

(Month/Quarter)

Investments & Resources

Needed

4 new customer adds in

FY18 with average deals

size of $125K services

and $10K MRR.

Beta release to

foundation customer

11/17

GA release 01/18

Food & Beverage

version GA in FY19

Partner: Dedicated product

manager (contract)

PTS to confirm architecture.

Partner: $1M marketing budget

$145K website budget

MSFT: PMA to confirm/support

industry messaging.

2 new customer adds in

FY18 with average deals

size of $100K services

and $12K MRR.

Beta release to

foundation customer

11/17

GA release 02/18

Partner : IoT specialist FTE

MSFT: Advanced Analytics TSP to

validate architecture.

Review your Partner Profiling Assessment Identify current solution & practice portfolio Brainstorm new “safe” and “stretch” cloud practices

Determine joint investments & impact metrics

Brainstorm recommended marketing, sales and resource investments.

45 minutes to prepare….

One team from each partner profile delivers a planning whiteboards to the leadership team

30 minutes to facilitate

ExerciseTeam Exercise

Partner Planning WB

https://ubcbusiness.qualtrics.com/jfe/form/SV_0jpFp9OrLjjKWcB

• Expedite partner time to building profitable cloud practices

• Drive Cloud Platform consumption

By providing a step-by-step journey to start, grow or optimize a profitable practice

Download all of the playbooks and research findings at https://aka.ms/practiceplaybooks

aka.ms/cloudsecurityplaybook aka.ms/dataplatformplaybook

aka.ms/cloudappdevplaybook aka.ms/cloudinfraplaybook

Change Is Hard

What ‘landed’ today?

Take AwaysExercise

Key Learning Elements