Tbk Book 001

8/18/2019 Tbk Book 001

1/56

Strategic Planning andBudgeting Guidelines forIndependent Software

Vendors

A practical and lean approach to

strategic planning and budgeting forIndependent Software Vendors in “lowvisibility situations.”

eBook from TBK Consult

Hans Peter Bech, MA (Econ.), Group CEO at TBK Consult.

8/18/2019 Tbk Book 001

2/56

© Hans Peter Bech 2012

First edition

Unless otherwise indicated, all materials on these pages arecopyrighted by Hans Peter Bech. All rights reserved. No part ofthese pages, either text or image may be used for any purpose otherthan personal use. Therefore, reproduction, modi cation, storage ina retrieval system or retransmission, in any form or by any means,electronic, mechanical or otherwise, for reasons other than personal

use, is strictly prohibited without prior written permission.

First published by TBK Consult in 2012 in electronic format only:TBK Consult ApSLeerbjerg Lod 113400 HillerødDenmark

CVR: DK30485270

ISBN 978-87-995228-0-4

8/18/2019 Tbk Book 001

3/56

3Strategic Planning and Budgeting Guidelines

for Independent Software Vendors

w w w . t b

k c o n s u l t

. c o m

Targeted audience

This eBook has been written for the CEO and the board ofdirectors of Independent Software Vendors (ISV) who are alreadyworking internationally or are about to embark on an internationalendeavor.

AbstractThe eBook proposes a procedure for the annual planning and

budgeting in “low visibility” situations. Such situations occur whennew products are launched and/or new international markets areapproached.

The eBook addresses the issues associated with major uncertaintyon the top line of the budget. How much revenue will a newactivity generate? How soon? What do we do if reality differs

substantially from our expectations?

The content of the eBook was originally published as a series ofposts on the TBK Consult blog under the headline “Ready for2012?” The objective of the posts was to outline a best practiceannual “preparation process” for Independent Software Vendorsleading to a plan and a budget, which is a stepping stone to a

position as the global market leader and where all stakeholdersare 100% aligned and committed to execute the plan and deliverthe numbers.

AcknowledgementsDesign and lay-out: Flier Disainistuudio, Tallinn, Estonia,www. ier.ee

Proof reading: Emma Crabtree, TBK Consult; Michele Rempel,Mediavinemarketing

8/18/2019 Tbk Book 001

4/56



w w w . t b

k c o n s u l t

. c o m

Introduction 5 Ambition & Mission: #1 worldwide! 5The preparation process 6

Alignment & Identi cation 7Who should be involved? 8

Corporate Health 9Why check alignment and identi cation? 9

Sandbagging 10

ValuePerform 11The Questionnaire 12Mapping the alignment 13On the same page 14

The revenue challenge 15The famous hockey stick 15

The revenue model 18Improving the process 19

The Fundamentals 20Customer Value Proposition 20

Value Chain 23Ideal Customer Pro le 23The Go-To-Market plan 23Partner Value Proposition 24Partner Program 25Conclusion on the fundamentals 25 The fast track 26

Mitigating risk and exploiting opportunity 28The struggle with reality 28The bene ts of the 7-step process 30

Table of contents:

8/18/2019 Tbk Book 001

5/56



w w w . t b

k c o n s u l t

. c o m

Mission/Vision and the 3-5 year perspective 31Next year - the next step 32

What comes rst, the plan or the budget? 33The Process Schedule 33

A. Budget and Planning Guidelines 34 Excel? - No! 35 B. This Year Forecast 36

C. Next Year Budget Key Targets 36D. Submit Budget and Plan 1 (BP-1) 37E. BP-1 Review 37F. Submit Budget and Plan 2 (BP-2) 38G. BP-2 Review 38H. Submit Final Budget & Plan 38I. Final Budget/Plan Release 39J. Associated Frameworks 39

K. Kick-off 39

Your budget, your plan and the KPI’s 41R&D 41Sales 43Organizational health 44KPI's 44Too much too fast 45

The people on the bus 46The small versus the large organization 48"Der Fisch stinkt vom Kopf" 49

Adizes Corporate Lifecycle 50Manning the bus 51

Avoid 53

About the author 55

8/18/2019 Tbk Book 001

6/56



w w w . t b

k c o n s u l t

. c o m

Introduction:We are all spending considerable time with managing the annual“preparation process.”

Do we apply a “same procedure as last year” typex

exercise?

Or are we going to do it differently next time?x

Do you want next year’s achievements to be veryx

different from your achievements last year?

In this eBook we will provide some best practice guidelinesfor organizing and executing the budget and the businessplanning process for a situation involving the penetration of newinternational markets. The penetration of new markets is alwaysassociated with considerable risk. The investments required andthe revenue ow is highly unpredictable. We say such situationshave "low visibility".

Ambition & Mission: #1 worldwide!OK, these may not be best-practice hints for everybody.

The hints are meant for ISV’s (Independent Software Vendors) whohave ambitions of becoming the global leader in their eld.

This may not happen this year. But if this year is not a step onthe path to global market leadership, the probability for “Mission

Accomplishment” will be smaller next year. Now is the time to getstarted on the journey.

8/18/2019 Tbk Book 001

7/56



w w w . t b

k c o n s u l t

. c o m

If you have already set your mind on a global leadership position,you most likely also have substantial growth rates for next year in

mind. What are your ambitions? 25% - 50% - 75% - 100% - more?What should grow? Pro t, revenue, market share, gross margin,cash in hand, number of customers, number of resellers, return onassets, valuation, staff?

The preparation processWe are deliberately using the term “preparation process” to avoidthe terms strategy, plan, budget, KPI’s etc. at this stage. We willget to that, but let’s keep the process open for now.

Preparing for the next scal year is an exercise undertaken by mostcompanies. However, if you are on the path to global leadership,one issue is more crucial than any other:

Will all stakeholders be executing according to the fnal plan?

Achieving maximum thrust with the resources that you haveavailable requires all stakeholders are pulling and pushing in the

same direction. How can you orchestrate your preparation processensuring that, as of the rst day of your scal year, all forces areworking towards the same objectives and that those objectives areyour objectives?

Achieving alignment and identi cation for your annual plan iscrucial for gaining maximum (revenue, gross margin, market

share, pro t) impact for each € spent on the cost side.

It is not as dif cult as you may think. There is a way and it is

8/18/2019 Tbk Book 001

8/56



w w w . t b

k c o n s u l t

. c o m

fairly simple 1.

Alignment & Identication As stressed above, achieving alignmentand identi cation for your plan is crucialfor gaining maximum (revenue, grossmargin, market share, pro t, number ofcustomers, number of resellers, valuation,cash at hand or whatever metric you areusing) impact for each € spent on the costside.

Alignment is the assurance that all stakeholders have a commoninterpretation of the plan. Yes, this is the plan!

Identifcation is the buy-in from each of the stakeholders to theplan. Yes, this is my plan!

1 Are you running several lines of businesses? If you are, you must replicate the planningprocess for each line of business. Each line of business needs its own mission, vision,strategy, customer value proposition, value chain, ideal customer pro le, Go-To-Marketapproach, execution team, etc.

Are you operating in several geographies? If you are, you must replicate the planningprocess for each geography. Each geography needs its own P&L and execution team.In the situations described above you need a coordination team to set the directions, overseethe process, review the outcome and consolidate the nal plans.This eBook on the annual planning process is primarily addressing the individualbusiness unit.

8/18/2019 Tbk Book 001

9/56



w w w . t b

k c o n s u l t

. c o m

Who should be involved?

Alignment and identi cation requiresinvolvement in the planning process fromthe very start. You can forget all aboutthe traditional approach of doing theannual plan in the executive lounges andpresent it to the staff at a 1-day kick-offwith an external keynote speaker 2

months into the scal year. Big companieswith high momentum may get away with

this approach (for some time), but not the small and mid-sizedISV's with two digit growth rate ambitions.

Identify the key stakeholders in the execution of the plan and getthem involved from the very start.

Are you relying on resellers for revenue generation and marketshare growth? How will you ensure their alignment andidenti cation? Get them involved from the very start.

But won't that make the group of people involved with the annualplanning process rather large?!

Yes, it will. But you are not going to beat the market withoutall your key stakeholders pushing and pulling in the samedirection. Identify the key stakeholders and get them in the same"room" before you start the planning process. Only through theinvolvement of all key stakeholders can you achieve the alignmentand identi cation required for preparing and executing the annualplan successfully.

8/18/2019 Tbk Book 001

10/56



w w w . t b

k c o n s u l t

. c o m

Corporate Health Alignment and identi cation is a key component of "corporatehealth". When your ambition is to make it to global leadership,corporate health is fundamental. You may perform well for acouple of years focusing on nancial performance only, but you arenot going to get the momentum required to make it to the top andstay there.

"Health is the ability of an organization to align,execute and renew itself faster than the competitionso that it can achieve and sustain exceptional

performance over time 2 ".

Before you get started on the annual preparation process do ahealth check on your planning team. Check the current degree ofalignment and identi cation. Are you already on the same page orare you miles apart?

Why check alignment and identication?Have you ever been involved in, or maybe even responsible for,driving a planning and budgeting process? How much time didyou spend on de ning and managing the process? How much timedid you spend on semantic discussions around fundamental issuessuch as strategy, vision, mission, customer value proposition, Go-To-Market strategy and who's-responsible-for-what? How often didyou have to cut through the red tape and dictate a nal budget?Did you deliver on that plan and that budget?

2 Quotation inspired by the book "Beyond Performance: How Great Organizations BuildUltimate Competitive Advantage" by Scott Keller and Colin Price.

8/18/2019 Tbk Book 001

11/56



w w w . t b

k c o n s u l t

. c o m

Sandbagging

Have you ever heard of sandbagging? Thisis the common approach used by anysavvy business unit manager and seniorsales executive with a big enterprisebackground. Sandbagging is the "nobleart" of ghting like crazy to get the

revenue objectives minimized while maintaining or increasing the

cost base. This is the ne art of sub-optimizing. Sandbagging ispursuing personal objectives which are not aligned with companyobjectives. Sandbagging is what happens when you are notaligned.

Are you the CEO of an ambitious company and do you want tobe the global market leader within the next 5-10 years? Then you

must ensure that all your key stakeholders are on the same pageBEFORE you start the plan/budget exercise.

You cannot second-guess if they are on the same page; you mustverify that they are. We recommend using the ValuePerformmethod for this veri cation.

8/18/2019 Tbk Book 001

12/56



w w w . t b

k c o n s u l t

. c o m

ValuePerform ValuePerform is a tool designed to do alignment & identi cationchecks in an organization. It doesn't require any speci cprerequisites. It can be accomplished within a week or two anddoes not require the participants to be present at the same placeat the same time for more than 1 day.

Figure 1:Customer Value Proposition

Through the ranking of 36 statements ValuePerform will mapyour current and your future customer Value Proposition.

ValuePerform uses the generic 3 value creating types:

Product Leadership1.Operational Excellence2.Customer Intimacy3.

Whether you already have a well-de ned Customer ValueProposition or not, ValuePerform will identify the DNA of youbusiness.

Based on 6 questions, ValuePerform will identify your mainsources of future nancial performance. Using 4 questions it willdetermine your competitive situation.

8/18/2019 Tbk Book 001

13/56



w w w . t b

k c o n s u l t

. c o m

The Questionnaire

A questionnaire is now generated for your speci c situation andsubmitted to all the stakeholders. Through 70 questions andratings, ValuePerform captures the stakeholders' scoring ofimportance and performance on 15 management areas dividedinto 5 perspectives:

The Financial PerspectiveFinancial performance1.

The Management PerspectiveSetting objectives1.De ning strategy2.Taking action3.Management skills and competencies4.

The Customer PerspectiveThe Product/service (Customer Value Proposition)1.The customer relationship2.The image3.

The Internal Processes PerspectiveOperations1.Regulatory & Environment2.Customer Management3.Innovation4.

The Learning/Growth PerspectiveOrganization Capital1.Information Capital2.Human Capital3.

8/18/2019 Tbk Book 001

14/56



w w w . t b

k c o n s u l t

. c o m

Mapping the alignment

ValuePerform now produces a set of maps illustrating the degreeof alignment in your planning team. ValuePerform also showshow well your current prioritization and performance correspondsto your Value Proposition, your competitive environment and howyou expect to generate the nancial performance.

Figure 2: Alignment Map

Importance averageIdeal curve

8/18/2019 Tbk Book 001

15/56



w w w . t b

k c o n s u l t

. c o m

If you haven't performed an alignment check within the last 6months, we can guarantee that in 98% of all cases the normalized

degree of misalignment will be larger than 50%. This means thatthere are more areas where the team disagrees than where theyagree. There will also be more than a 50% difference in what theteam nds important and how they rate actual performance.

On the same pagePerforming a ValuePerform alignment & identi cation checkbefore embarking on the annual planning process will bring theplanning team onto the same page. It will enable managementto ensure alignment and make potential adjustments to the teamand the strategy. ValuePerform also facilitates the de nition ofthe most important strategic enablers, which must be covered in

the plan.

A ValuePerform alignment & identi cation check can be completedwithin one or two calendar weeks.

8/18/2019 Tbk Book 001

16/56



w w w . t b

k c o n s u l t

. c o m

The revenue challengeIf you have done the alignment & identi cation check recommendedabove, you have also ranked these 6 sources of economic growth:

Revenue growth in new markets

Revenue growth from new customers

Revenue growth from new products

Revenue growths from existing customers

Optimize asset utilization

Reduce the cost base

A.

B.

C.

D.

E.

F.

Few growing software companies are concerned about E andF (they should be! more about that later). Most are workingin a scenario where the lion’s share of the revenue is comingfrom a combination of A and B, which also implies C; if you are

taking your current product to new customers in a new market(internationalization), these customers will consider you and yourproduct new as well.

The famous hockey stick

Let's imagine that a really big portion of next year ’s revenue isgoing to come from A, B and "C". How are you going to make anambitious yet realistic revenue budget?

8/18/2019 Tbk Book 001

17/56



w w w . t b

k c o n s u l t

. c o m

Let's also assume that you need some of the gross margin earnedin 1H to fund the revenue generation in 2H. How exposed are you

now?

Figure 3:The Revenue Hockey Stick

Let's assume you expect to make revenue of 2,000 this year andthis is 100% more than in the previous year. You want to make4,000 next year. You will probably come out of Q4/this year with875 so you are a little cautious for Q1/next year. Q1 is alwaysslower than Q4. Q2 is usually picking up before the holidays. Q3 isa nightmare (in Europe). From the end of June to mid-Septemberpeople are on holiday (those who are not have plenty of time =good time for prospecting!). Q4 is hectic, but short (December isChristmas time).

Your revenue budget will look something like this (the famoushockey stick).

8/18/2019 Tbk Book 001

18/56



w w w . t b

k c o n s u l t

. c o m

You risk being exposed to the illusion of the perspective: Thechallenges look smaller when they are far away!

Is the main portion of the Q4 target supposed to come from the A-B-C combination?

8/18/2019 Tbk Book 001

19/56



w w w . t b

k c o n s u l t

. c o m

The revenue modelBefore you make the nal "save" to a budget with a hockey stickrevenue pro le, you must verify the feasibility against a revenuemodel. A revenue model is a realistic replication of the sales andimplementation processes portions of your value chain - typicallyin a spreadsheet. It is based on the fundamental metrics of howmuch time (man and calendar) each step of the marketing/sales/implementation process requires, the size of the average order andyour hit rate. The revenue model will calculate the order entryand cash you can "produce" with the resources you have available- provided the new markets and the new customers behave likeyour current customers!

Figure 4:

Sample Value Chain

Do not forget to add the learning curve if some of therevenue is going to be produced by people you have nothired or signed up yet.

You may also want to be more conservative with your revenue

model if you are applying it to A-B-C situations, where yourknowledge about the new market and the new customers is limitedor non-existent.

8/18/2019 Tbk Book 001

20/56



w w w . t b

k c o n s u l t

. c o m

Improving the process

Now let's assume that we want market penetration next year tobe more productive, thus improving the probability of achievingthe 2,000 in Q4. What should we change to make this happen?Order size? Volume of leads? Sharper market segmentation?Sales tools? Shorter sales cycles (how?)? Sales skills? Changes inimplementation? Changes in the products?

In order to justify that we can produce more with less, we mustbe able to explain the cause-effect relationships and how we willimplement the changes, the investment required, the criticalsuccess factors of the undertaking and KPI's telling us if we are onthe right track to achieving the improvements we expected.

Be careful with changing the revenue budget spreadsheet

anticipating that things will improve by themselves! Doing so isplaying on the "Luck" factor. It's like playing the lottery. You maywin, but the probability is very, very small.

8/18/2019 Tbk Book 001

21/56



w w w . t b

k c o n s u l t

. c o m

The FundamentalsWe have written this eBook with the ambitious software companyin mind. The software companies with the aspirations of becomingglobal market leaders in their respective segments.

Such a journey requires a tremendous amount of energy anddedication on a road which is winding, bumpy, steep andunmapped. We have explained how you could achieve alignment

and ensure that all energy is focused on pushing and pulling in thesame direction. Alignment directs the energy of the organizationin the one and same direction.

Describing the direction, the playing eld and "the way we dothings" in your company (so that everybody is on the same page)requires 4-6 fundamental frameworks to be in place:

Customer Value Proposition1.

Value Chain2.

Ideal Customer Pro le3.

Go-To-Market plan4.

If you are operating a major portion of your value chain though"partners" you will also need:

Partner Value Proposition1.

Partner Program2.

Customer Value PropositionThe concept of a Customer Value Proposition is not new. But howdo we de ne, test, maintain and document the Customer Value

8/18/2019 Tbk Book 001

22/56



w w w . t b

k c o n s u l t

. c o m

Proposition?

We recommend using the NABC approach3

.

The NABC approach provides a pragmatic de nition frameworkand a process.

3 The NABC approach was developed by Stanford Research Institute and is well documentedin the book "Innovation: The Five Disciplines for Creating What Customers Want “by CurtisCarlson & William Wilmot.

8/18/2019 Tbk Book 001

23/56



w w w . t b

k c o n s u l t

. c o m

Needs An attractive Customer Value Propositionmust address compelling and criticalcustomer pains for which the customer

is prepared to allocate resources.Identifying needs involves industry and/or domain segmentation, understandingthe purchasing process and buying centeridenti cation, where such needs areeasily related to the value proposition.Because these needs differ signi cantlydepending on customer characteristics,this framework element also assists withmarket segmentation. An importantcomponent of the needs de nition is theidenti cation of the “Ideal CustomerPro le”.

Approach A Customer Value Proposition must

de ne the solution componentsaddressing the “whole product”

challenge as well as two major partsof the value chain: the sales processand the delivery process. Thus the

de nition of the Value Chain is a partof the approach de nition. When the

Value Chain involves third partiesparticipating in the sales or the

implementation process we must alsodevelop a distinct Value Proposition for

these players.

CompetitionThe Customer Value Proposition mustexplain why and how the solution issuperior to competitive alternativesavailable to the customers.

Keep in mind that most customerswill rate the risk associated with your"newness" higher that the technicalsuperiority of your solution. Focus onhow you can minimize the risk for yourpotential customers.

Prepare to compete with the "0 option."The "0 option" is when the customerdecides to do nothing. If you are providing

something new for which there is nobudget, the "0 option" is your toughestcompetitor.

Bene ts A Customer Value Proposition must

explain how the bene ts of the solutiondelivered exceed the total cost involved

with migrating to and/or utilizing thesolution. The more tangible and speci c

the bene t/cost ratio is de ned, themore impact it will have on the market.If we are bringing a new product to

the market and/or if we ourselves area new player in the market, we must

consider the risk mitigation issue. Thecustomer will consider our “newness”

an additional risk = additional cost, forwhich we must compensate if we are to

win the deal.

8/18/2019 Tbk Book 001

24/56

8/18/2019 Tbk Book 001

25/56



w w w . t b

k c o n s u l t

. c o m

implementation of your Go-To-Market plan 6.

Partner Value PropositionUsing a channel of independent companies to resell, implementand/or service your customers has been a long tradition in thehistory of the software industry. For some software companiesthe channel has been a major contributor to global success, but

for most software companies making it work is a depressing andconstant struggle.

A channel partner has his own DNA. The DNA of a channelpartner is very different from the DNA of an IndependentSoftware Vendor. The channel partner is running a different typeof business, with a different Customer Value Proposition and a

different set of management priorities than the ISV7

.

Working through a channel does not make market penetration easyand fast! Working through a channel is an additional complicatingfactor. Only by facing this fact can you master the channel. Whenyou master the channel you then have a formidable multiplicationcapacity.

The Partner Value Proposition addresses the needs of the channelpartner. You can use the NABC approach only when you arefocusing on the partner. Your Customer Value Proposition nowserves as a subset of your Partner Value Proposition 8.

6 Read more about Go-To-Market planning in the whitepaper “Designing SuccessfulInternational Go-To-Market Strategies.”7 You can read more about the partner/ISV challenge in the whitepaper "DesigningSuccessful International Go-To-Market Strategies.”8 You can read more about the Partner Value Proposition in the TBK whitepaper "Growththrough partners."

8/18/2019 Tbk Book 001

26/56



w w w . t b

k c o n s u l t

. c o m

Partner Program

The Partner Program is the headline for the tools and services youprovide your partners AND the corresponding requirements youask the partners to ful ll.

There are basically two approaches to channel development:

A: Recruit as many as you can and see who survives

B: Be very selective and invest in the partnerships

We would say that "B" works best when you are building a channel."A" may work when you are expanding your channel. However,poor performing partners may be a drain on your resources and atthe same time damage your market reputation. Be careful withthis approach until you have consolidated your market position! 9

Conclusion on the fundamentalsIs it really necessary with all these concepts and frameworks?

If you are a small company where you know each other very

well, you are located in the same building and you control all theprocesses to/with your customers, then you can probably run abusiness without any of these frameworks. You simply attend tothe issues as they appear. You make quick decisions and changethem when they prove wrong. We actually believe that mostbusinesses are taking this approach.

The issue is that such businesses are not scalable.

9 You can nd more about building Partner Program in the FactSheet "Partner ChannelRecruitment" from the TBK Consult web site.

8/18/2019 Tbk Book 001

27/56



w w w . t b

k c o n s u l t

. c o m

The fast trackIf you have the ambition of growing your business and becomingthe global market leader in your segment, then you must havethe basic frameworks in place. So what do you do if you have thegrowth ambitions, but none of the concepts are in place?

Start with the alignment & identi cation check! It can be1.done in less than a week or two and ensures that you areall looking in the same general direction.

Then build your Customer Value Proposition. Bring2.together your key people and get something down onpaper. Spend 1-2 weeks on the effort - not more. Then goand test it with your current and your potential customers.

All the other frameworks will automatically ow from theCustomer Value Proposition.

Getting in front of customers as soon as possible (and remainthere ever after) is probably the most important element of anyframework development. De ning the frameworks is not anacademic exercise. It is a process where we document how we aredoing things and test that it actually works. We do so for threemain reasons:

We all work according to the same concepts. We waste no1.time discussing every single business issue all the time.From time to time we meet and improve the frameworks.

We shorten the learning curve of new staff members and2.new partners. We don't need to reinvent the wheel over

and over again and we ensure that every one is telling thesame story.

8/18/2019 Tbk Book 001

28/56



w w w . t b

k c o n s u l t

. c o m

We stay aligned - all energy is moving us in the same3.direction.

You can only manage what you can measure. You canonly measure what you can describe. You can only

describe what you can understand.

8/18/2019 Tbk Book 001

29/56



w w w . t b

k c o n s u l t

. c o m

Mitigating risk and exploiting

opportunityOne of the major differences between academia and business isthat proving something wrong in academia can get you the NobelPrize. That is seldom the case in business.

If you are preparing for next year and you believe that yourbusiness could grow 100%, what happens if it doesn’t? Knowingwhat you know for sure and knowing what just are assumptionsis crucial to identify the critical success factors of your plan forthe next 12 months. It will help you identify the Key PerformanceIndicators and early warning signals that will enable you to cutback or accelerate as early as possible.

The struggle with reality You can never be certain. You never have so much informationthat decisions are making themselves. You can spend too muchtime and too much money on trying to be certain. When spendingtime and money on trying to be certain, the marginal bene t ofthe additional insight may be lower than the insight from simplytrying. You derive maximum insight out of “trying” when you havede ned a set of cause-effect and correlation presumptions rst.This is an exercise where business can learn a lot from academia.

The 7-step process At TBK Consult we recommend using a 7-step process to stay intune with reality, distinguish between genuine knowledge andprejudices and learn from our experience (the trying).

8/18/2019 Tbk Book 001

30/56



w w w . t b

k c o n s u l t

. c o m

The 7-step process is an iterative process that can be applied onthe micro level as well as the macro level. The process is illustrated

in g. 6.

Figure 6:

The 7-step process

“Insight” is the raw data. In this step you document what youknow and gather more raw data.

“Analysis” is leading to conclusions based on the data andpresumptions, which are based on interpretation of data plus your

hunches.

“Objectives” are determining what you believe you can achievebased on your conclusions including your presumptions.

“Strategy” is the overall approach for meeting the objectives.

“Plan” is the step where you de ne who should do what, and bywhen, to achieve the objectives.

“Execution” is the step of doing what you planned.

8/18/2019 Tbk Book 001

31/56



w w w . t b

k c o n s u l t

. c o m

“Measure” is where you compare the results with your conclusionsand presumptions. The “Measure” is adding to your pool of Insight

and you can repeat the 7-step process knowing more than youknew before.

The benets of the 7-step processThe 7-step process is not rocket science, but it helps you organize

team work by keeping all team members synchronized on whereyou are in the decision-making or execution process. It alsohelps distinguish between what you know and what you assume/presume, decide if you know enough to set objectives, set objectivesbased on a documented foundation, and execute and learn, learn,learn.

Small companies should typically make a lot of small 7-stepprocesses. They cannot afford huge Insight projects. Learning bydoing is more effective.

Bigger companies can afford to have bigger processes. Launchingan iPhone or an iPad type product obviously cannot be a smallproject.

Improvement of current processes can be managed with manysmaller 7-step processes. Disruptive innovation requires morepreparation before hitting reality.

We hope you will become more effective, have better results andhave more fun using the 7-step process as opposed to what you dotoday.

8/18/2019 Tbk Book 001

32/56



w w w . t b

k c o n s u l t

. c o m

Mission/Vision and the 3-5 year

perspective Your company most likely has a Mission and a Vision. How doesnext year t into this picture? While the Mission and the Visionhelp your people and stakeholders understand why they areworking for your company and where you are heading, it is oftenvery dif cult to keep in mind that the plan/budget for the coming

year is the next logical step towards realizing your vision andliving your mission.

Most stakeholders have a hard time comprehending anythingbeyond the 3-5 year perspective. If you are a small local playertoday it may be tough for your stakeholders to comprehend yourvision of being a leading global player in the future. Being the

global player may mean that you will grow from your current50 people to 5,000 people, from your current 100 customers to 2million customers and from one of ce in one country to 25 of cesin 15 countries. As business leaders we nd this exciting andchallenging. We are sitting on the "bridge" and are steering theship through the unchartered waters. The folks on and under thedeck see things differently. They want to know when we dock in

the next harbor, so that they can have some fun.

The 3-5 year perspective should be fairly precise in terms of marketposition, market coverage, number of customers, people, of ces,revenue, pro t and other tangible measures that are meaningfulfor your business. Meeting the 3-5 year ambition should be alogical tangible milestone in ful lling your vision.

8/18/2019 Tbk Book 001

33/56



w w w . t b

k c o n s u l t

. c o m

Next year - the next step

Although we need missions/visions, 3-5 year perspective executionis done one day at a time. The budget and the positions we reachby the end of next year is what we can expect people to relate tohere and now. The annual plan will spell out what each personshould do every day, week and month to make sure we all meet orexceed the objectives by the end of next year.

There is a need for a 3-5 year perspective as a milestone towardsthe grand vision.

8/18/2019 Tbk Book 001

34/56



w w w . t b

k c o n s u l t

. c o m

What comes first, the plan or the

budget?To make the budget come true, you need a plan. To execute theplan you need resources, which are allocated through the budget.Plan and budget go hand in hand.

That may not always be the case in real life. Have you everreceived a budget that says: 'Increase revenue with 15%, improvethe gross margin with 6% and reduce your operating expenseswith 5%.' Your job is to execute within this framework. You haveto make and execute a plan, but you cannot in uence the budget(accept it or quit).

As an Independent Software Vendor I assume you are controllingthe planning and budgeting process yourself. Some corporateexecutives sitting 5,000 miles away and protected by layers ofcorporate middle management do not dictate to you any budgetobjectives and framework.

The Process ScheduleI assume you want the budget, the plan and all associatedframeworks (commission plans, marketing plans, hiring plans, etc.)to be ready before the end of the current scal year. Depending onthe size of your organization this means that you will have to startthe planning process in FQ3.

The planning process is obviously an additional operationalburden on the organization at a time where the closing of year-endis already a stress factor. Knowing the schedule well in advanceand having it integrated as a part of your operational framework

8/18/2019 Tbk Book 001

35/56

8/18/2019 Tbk Book 001

36/56



w w w . t b

k c o n s u l t

. c o m

format and the level of documentation to each participant. Onthe other hand you must give the participants ample time and

information to learn how to operate within the given guidelines.

Your CFO will most likely assume the role as“the budget engineer” and he will also providemajor portions of the data on cost of goodssold (COGS) and operational expenses(OPEX). There is no need to ask the P&L

(and cost center) managers for data thatalready resides with the CFO.

I strongly recommend starting your next year planning processde ning the format and level of documentation you will requirefrom the parties involved. I also recommend being quite thoroughdocumenting all lines in your budget. It should be possible for

someone, who was not involved in the budgeting process, toreconstruct each budget line. Ensure that each budget line isassigned to an individual.

For some reasons it seems to be dif cult for people to write down inplain text why a number in a budget line is as it is. Be persistent.

Ask for plain text explanations.

Excel? - No!Unless you are a very small company and one person has thefull overview, Excel is not the budgeting tool of choice. Find andimplement a genuine budgeting software framework.

You can nd an en excellent review of the issues related tobudgeting in the IBM whitepaper “Best-practice Budgeting”.The whitepaper is written for larger companies, but most of theconsiderations apply to SMB companies as well.

8/18/2019 Tbk Book 001

37/56



w w w . t b

k c o n s u l t

. c o m

B. This Year Forecast

In the next year budget and budget review process, you will wantto compare it with this year. I recommend making a “this year”forecast, which is the one used during the budget and planningprocess. Most of the operational expenses (OPEX) will be quiteeasy to forecast while revenue (REV) and cost of goods sold (COGS)may be more dif cult. You always have the option of adjustingyour “this year” forecast during the planning period if the outlook

changes.

C. Next Year Budget Key TargetsThere may be situations where you want to set the key targets fornext year before the detailed budgeting and planning commences.

Let’s assume you are operating in a market with an expected 6%growth next year. You believe your value proposition is strongenough to justify growing revenue 50% and you want the sales andmarketing staff working on initiatives and plans make it happen.

You want them to prepare the penetration of international marketsand you want to remain cash positive throughout the year.

It is tempting for any CEO to ask the staff to come back fromthe budgeting and planning exercise with something matchingcompany ambitions. However, it is also dangerous.

Commitment and ownership to a budget and a plan is crucial.Never give anybody the opportunity to claim that the budget andthe plan is not theirs. Over-achievement is seldom a major issue,but under-achievement always requires an explanation. The rstexcuse someone will look for is: “This is not my budget/plan”.

8/18/2019 Tbk Book 001

38/56



w w w . t b

k c o n s u l t

. c o m

This doesn’t mean that you can only work bottom-up and that youwill have to accept anything which is being brought forward. But

it does mean that you will have to do your selling and take theghts up front, when major differences occur.

D. Submit Budget and Plan 1 (BP-1)BP-1 is the rst iteration. P&L (and cost center) managers are

submitting their budgets and their plans. Management canconsolidate the budgets and review the plans. The documentationdelivered with BP-1 should be adequate for management to justifyif the budget/plan is suf ciently solid and balanced.

E. BP-1 ReviewThe budget and plan reviews are “workshops” where the consistencyand the alignment with overall objectives and guidelines areveri ed. P&L managers are making their presentations andexecutive management is giving them a “hard time”.

The term “review” certainly has a negative connotation for many

people. Although many consider a “review” a “hostile” type ofget-together, there is no way around it. Predicting and makingthe future, as a market leader, requires a frank discussion ofambitions, opportunities, approaches, resources and so on.

By the end of the review P&L managers as well as executivemanagement will go back and adjust the budget and plan

preparing for a second iteration10

.

10 If you do not enjoy and see the bene t of the budget and plan reviews, you may be in thewrong place. It is an integrated discipline in any management position.

8/18/2019 Tbk Book 001

39/56



w w w . t b

k c o n s u l t

. c o m

F. Submit Budget and Plan 2 (BP-2)

BP-2 is the second iteration. P&L managers are submitting theirrevised budgets and their plans. Management can consolidatethe adjusted budgets and review the adjusted plans. Thedocumentation delivered with BP-2 should be adequate formanagement to nalize a preliminary budget/plan.

G. BP-2 Review A new round of budget/plan workshops are performed.

By the end of the 2nd review, P&L managers as well as executivemanagement will go back and adjust the budget and plan thepreparation for the last iteration.

You may need several iterations before you can nalize thebudget, but be careful. Although the devil lies in the details, thereis no point in ghting over the peanuts. It’s better for executivemanagement to accept budgets and plans, which are “owned” bythe P&L managers, than to dictate the numbers. If too big a gapexists by the end of iteration 2, something or someone is wrong,and you are facing a fundamental management challenge which isnot related to the budget.

H. Submit Final Budget & PlanThe changes and adjustments agreed to during the BP-2 reviewsare submitted and consolidated. Final corrections are made andagreed to.

8/18/2019 Tbk Book 001

40/56



w w w . t b

k c o n s u l t

. c o m

I. Final Budget/Plan Release

I have performed consulting with many companies where there wasconfusion about what the nal budget actually was. This shouldnever be the case. Depending on the underlying IT platform thebudget will be uploaded to the reporting system and used for allreporting of actuals versus budget. The associated documentationis made available to the respective P&L managers and will serveas a great support tool next time you need to revise the budget/

plan.

J. Associated FrameworksThere are a number of associated frameworks which cannot becompleted before the budget and the plan have been nalized. The

two most prominent are:KPI’s1.Compensation plans2.

KPI’s are de ned to serve as early warning “traf c lights”.Responding to actual versus budget gures makes your ability toreact much too slow. You must react when you can foresee that you

will not meet the budget or that you can outperform the budget.

Compensation plans should be tied to KPI’s as well asperformance.

K. Kick-o ff Communicating the nal budget and the nal plans to the entireorganization is a must. The entire management team should maketheir contributions, but again a warning:

8/18/2019 Tbk Book 001

41/56



w w w . t b

k c o n s u l t

. c o m

Staff are normally not interested in the budget details. Presentingslides with numbers make people disconnect.

PAINT THE BIG PICTURE AND FOCUS ON THOSEELEMENTS, WHICH AFFECT EVERYBODY.

Focus on the vision, the mission, the ambition, the 3-5 yearperspective and the implications for the entire organization.Demonstrate a united management team passionately committed

to the course, the plan and the objectives. Make it a fun andentertaining experience.

And a nal note: Don’t bring in an external keynote speakerto cheer up the crowd 11 . The kick-off is an internal event andmanagement must sell the messages and create the enthusiasmand the winning spirit themselves.

11 You can use external help arranging and executing the event.

8/18/2019 Tbk Book 001

42/56



w w w . t b

k c o n s u l t

. c o m

Your budget, your plan and

the KPI’sIf you are running a fast growing business and your ambition isto become the global market leader in your market segment, youneed KPI’s. Having a budget and a plan is not enough.

Your budget is not your plan. The budget is all the results whichyou expect to achieve as an outcome of your activities = executingyour plan. How big is the delay between your activities and thenumbers in your budget? In most software businesses they arequite substantial.

Let’s pick a few examples.

R&D You have a roadmap for your product development. According tothe roadmap, you must release 3 additional modules in Q2, releaseintegration to two third party systems in Q3 and release a newversion of your software in Q4 with improved performance, severalnew features, an improved API and facilities for managing localmarket and language requirements. According to the companystrategy, you will start penetrating the German market next yearand need a German version of your Q4 release. You must alsorelease services packs as required depending on the bugs reportedand patches on a case-by-case basis.

The critical path will provide the KPI's.

You have a plan in place for delivering. The plan calls for trainingyour current staff in various new tools, adding 5 new developers

8/18/2019 Tbk Book 001

43/56



w w w . t b

k c o n s u l t

. c o m

in Q4, 5 in Q1 and 5 in Q2. You must engage a translation agencyand someone to assist with making the software platform capable

of supporting local market versions. You also have plans foradding people in the 2H but they have no impact on next year'sroadmap. You currently have 3 open positions, which should havebeen lled in Q3.

Q1 Q2 Q3 Q4

Module A

Module B

Module C

Integration to X

Integration to Y

Version 8.0

Version 8.0 German

I assume you have laid out the critical path for delivering on your

plan and commitments. However, reality already differs from yourplan. Some of you key people resign, you cannot hire the peopleyou have planned (lack of quali ed candidates) and those youeventually hire don’t have the skills you expected. The software tomanage your local versions doesn’t behave quite as you thought.

What can you do to compensate and still deliver according to your

roadmap? When do you know that your only option is to adjust theroadmap?

We must assume that there is a relationship between the roadmapand the revenue potential of your company 12 . The sales peoplemust do whatever they can to keep up sales compensating forthe delays, but it is hard to compensate 100% and you cannot

compensate forever. Expecting the sales department to keep up100% may be unrealistic and even demotivating for morale.

12 This statement will come as a surprise to many software companies!

8/18/2019 Tbk Book 001

44/56



w w w . t b

k c o n s u l t

. c o m

Delays in product roadmaps are critical to any company, but theearlier you know the better chances management has for dealing

with the challenges.

SalesThe funnel/pipeline de nitions will provide the KPI's.

Your current average sales cycle is 9months, the average order size is €200,000 and your hit rate is 25% ofquali ed prospects. Average number ofdebtor days is 45. In the next year budget/plan you have initiated activities whichshould reduce the sales cycle to 8 months

in Q1, 7 months in Q2-3, and 6 months isQ4. You have also initiated activitieswhich will improve prospecting, ensuringthat you always have a pipeline value of 5

times that of your order entry budget. You have taken steps toreduce debtor days to 30. You have only included 50% of theimprovements in your order entry, revenue and cash ow budget.

Your current customer satisfaction level is 85%, which you considertoo low. Your churn rate is 10%. You have started initiatives toimprove customer satisfaction to 90% and expect this will reducethe churn rate to 5% through the coming year. You have alsoinitiated up- and cross sales initiatives, which should increaseorder entry from the installed base with 15% next year compared

to this year.

How soon will you know if you are on or off track?

8/18/2019 Tbk Book 001

45/56



w w w . t b

k c o n s u l t

. c o m

Organizational health

Your most recent internal employee satisfaction survey showedlow levels of satisfaction in the areas of Autonomy, ManagementStyle, Engagement and Life Balance. The YTD attrition rate is>8%.

You have included activities in your next year budget/plan toimprove on the problem areas and expect to reduce attrition to

8/18/2019 Tbk Book 001

46/56



w w w . t b

k c o n s u l t

. c o m

KPI’s help us to stay on top of the initiatives we have started.

Reality and plans never match; corrective actions are alwaysrequired.

Having the KPI's in place, we must implement a system which canpresent the KPI's on a regular basis, in an intuitive way and ondemand. There are numerous platforms available for making thepresentation, but the data must be provided from your operational

systems.

Too much too fast You may have gotten a little breathless reading through theexamples above. So many initiatives!

You don’t have forever. The market is changing, the technologyis changing, the hype is changing and the vibes are changing.That being said, there is a limit to how much you should changesimultaneously. You can certainly start too much, and when youdo so the risk is high.

Rule of thumb is: Prioritize. Only start what you canmanage. Fill up as you release capacity. But keep ahigh pace and maintain the sense of urgency. Go, go,

go.

8/18/2019 Tbk Book 001

47/56



w w w . t b

k c o n s u l t

. c o m

The people on the busDid you ever get the opportunity to read “Good to Great” by JimCollins?

Jim Collins published his “Good to Great” bestseller in 2001.Jim Collins spent the 5 years researching why some companiessuddenly broke out from their peer group and continued to perform3 times better than their peers for 15 consecutive years.

Figure 7:Jim Collins: From good to great

He extracts 6 principles, or“modes of operation,” which allgreat-performing companies seemto share and which good-performing companies seem tolack.

The rst principle:

First who… Then what!

"We expected that good-to-greatleaders would be setting a newvision and strategy. We foundinstead that they rst got theright people on the bus, the wrong

people off the bus, and the right people in the right seats – andthen gured out where to drive

it. The old adage “People are your most important asset” turns out

to be wrong. People are not your most important asset. The right people are 13 ."

13 Page 13

8/18/2019 Tbk Book 001

48/56



w w w . t b

k c o n s u l t

. c o m

Does the “people on the bus” principle also apply to IndependentSoftware Vendors?

Yes, I personally believe this principle is universal. My personal"research 14" reveals the exact same ndings. Getting the wrongpeople “off the bus” can release tremendous amounts of energy.Getting the right people in the business makes a dramaticdifference.

14 Before making it into management consulting I worked for 2 government institutions,taught at 2 Universities, worked as a salary man for 11 private companies of which 3were start-ups and 2 were US multinationals, co-owned 3 companies and served as a non-executive member on three boards of directors. As a management consultant, I have workedfor numerous companies. In each and all of these companies and institutions you could havereplaced 90-99% of the people with no negative impact on the performance. In fact you couldeasily have dismissed some and experienced an immediate improvement in performance

8/18/2019 Tbk Book 001

49/56



w w w . t b

k c o n s u l t

. c o m

The small versus the large organization

Jim Collins writes about “large” organizations. He is studyingestablished and listed companies. The bus he is referring to is the“top executive bus.”

What about smaller organizations? The < 1,000 peopleorganizations?

As this eBook is targeted at the ISV (Independent Software Vendor) with aspirations for becoming the new market leader, wewill focus on what the “people bus” principles mean to them.

The larger the organization the smaller is the percentage of peoplewho make a difference. Procedures, infrastructure and inertia takeover. It is easier to nd replacements for routine jobs and thereis a large pool to source from. I am not saying that people don’tmatter in large organizations. I am just saying that you cannotexpect to have 100,000 “exceptional” people in a 100,000 peopleorganization. Large organizations need exceptional managementto organize and motivate ordinary people to deliver exceptionalresults.

The smaller the organization the greater the percentage of peoplewho make a big difference:

The degree of specialization is smaller; you need people1.who can cover multiple disciplines.

Your installed customer base is still small, you need2.people who can sell to new accounts and compensate for

your lack of image and reputation.

You need to manage the Value Chain much faster,3.

8/18/2019 Tbk Book 001

50/56



w w w . t b

k c o n s u l t

. c o m

adapting to the needs of your customers and defeatingyour competitors.

The internal procedures are still being de ned; you need4.people who can think and act on their feet.

Lack of market share, procedures, infrastructure and inertiarequires leadership, initiative, social skills, courage andout-of-the box thinking and behavior. It is dif cult to nd

replacements for such people and there is only a small pool tosource from.

"Der Fisch stinkt vom Kopf"15The “ultimate, #1 top challenge for most small organizationsis executive management. Executive management in smallorganizations is mostly founders/owners. If executive managementshouldn't be on the bus, then we certainly have a challenge.

According to Jim Collins' ndings, great companies all have level 5leaders and level 5 leadership cultures:

Great top leaders are passionate and strong willed, but1.they are not big egos, tyrannical or charismatic. Theylisten well and have an integrating leadership style.

They are focused on the success of the company and the2.team and not on their own success.

They understand how to attract the right people and3.move/get rid of the wrong people.

The want and can face brutal facts.4.

15 “The sh smells from the head”

8/18/2019 Tbk Book 001

51/56



w w w . t b

k c o n s u l t

. c o m

They are looking for a market/segment/concept where the5.company can become a clear #1.

If you are a top executive by default because you are the owner ofthe company, you must look yourself in the mirror and ask, "DoI have these qualities?" If not, you may serve your own interestsbetter by stepping aside. Leave the bridge to one who has theseattributes.

Adizes Corporate Lifecycle 16

This is one of the most dif cult undertakings in the life of anycompany. Adizes calls this issue the Founder or Family Trap. If you are involved with startups and companies in the Infancy,Go-Go and Adolescence stages you see this issue all the time. It ishard to replace the passion of the founder, yet he/she is a bottleneck

for growth. You also see them in large organizations where a new

16 There may be more than one founder/owner working in the company. Let's just focus onthe top man/woman for now.

8/18/2019 Tbk Book 001

52/56



w w w . t b

k c o n s u l t

. c o m

generation of family members lack the qualities required to leadthe organization.

The issue is two-sided:

You need the founder to step aside, take another seat on1.the bus or leave the bus.

You must nd a CEO who can work with the founder if he2.remains on the bus.

Being a CEO in a company where the founder 17 is still on the busrequires that the CEO becomes co-owner. It is highly unlikelythat the day-to-day teamwork can survive a CEO as a mere salaryman. Finding a CEO who can replace a founder is a real challenge.It's beyond the scope of this paper to dig into this issue, but we dorecommend getting help from executive search professionals.

Manning the busWith the right CEO in place the rest of the bus can be organized.How do you apply the "First who… Then what" principle in a smalland medium sized ISV company?

Following our recommendation described above you can performan alignment check. An alignment check will show to whichdegree your current team share the same perception of thefundamentals: the customer value proposition, the growth strategyand importance of the 15 key management areas. The alignment

17 There may be more than one founder/owner working in the company. Let's just focus onthe top man/woman for now.

8/18/2019 Tbk Book 001

53/56



w w w . t b

k c o n s u l t

. c o m

check 18 will indicate if you all want to take the company in thesame direction. However, the alignment check will not reveal if

the individual team member has the pro le for executing yourstrategy and plans.

We recommend using the following priorities in reviewing yourcurrent team members and in searching and selecting the "right"people for your ISV bus 19 .

Specialists: You need people with outstanding technical skillsand people with outstanding domain knowledge. In addition theyneed to develop management capabilities. Growing from yourcurrent local position to global leadership requires an outstandingproduct offering 20 .

Flexibility: Look for people who have the skills required, but who

are not afraid of covering all the other bases, when needed.

Energy level and adaptability: Look for people with driveand passion. Maybe they will drive too fast at times, but youcan manage that. Maybe they will yell at each other, but you canmoderate that. Having a bunch of people being nice and polite toeach other doesn't get you moving. They must respect each other,

but they should be prepared to take a friendly ght now and then.

Social skills: Teamwork can create massive results. Thechallenge is to nd those who apply the social energy on company

18 How often should you perform an alignment check? We recommended performing analignment check no less than twice a year and no less than 100 days after adding newpeople to your management team.19 We are talking about the 5-10% of the staff including the management team. It is thisgroup who will drive the growth and development of the company.20 We are talking about the whole product here. All parts of the whole product must beoutstanding and extremely competitive. Only the market leader may survive with amediocre product for some time. The challenger must be superior in several key areas.

8/18/2019 Tbk Book 001

54/56



w w w . t b

k c o n s u l t

. c o m

issues rather than on everything else. These days teamwork canbe virtual!! People don't need to be in the same room all the time

to release social energy.

Growth opportunity: Look for someone to whom this challengerepresents an opportunity for personal growth. You cannot affordgreen rookies, but choose ambition over experience.

Two-way assessment center: Don't rely on interviews only. Use

personality tests and preferably “the two-way assessment center21

”

Avoid Avoid people from big companies who areused to all types of support functions andprestige artifacts. You may be impressedwith someone who has worked for a largerecognized company. Don't ever make thatmistake. You cannot transfer the brandvalue of a great company to an individualwho worked there. You should in general

always disregard whom they worked for. Look at who they are,what they have done and the results they have achieved.

21 To select and uncover who possesses the right, often holistic, qualities is particularlydif cult. General psychological tests, list of quali cations, scrutiny of CVs and references,supplemented by interviews can reveal if the candidate has the potential to be an immediatesuccess in a well-described job. But whether personality, values, social skills, energy,communication skills, shared chemistry and business acumen match the requirementsare best tested in a simulated reality. The two-way assessment center is a 3-hour sessionwhere the candidate is asked to respond to a certain challenge (maybe provided inadvance). During his presentation he is confronted with a series of additional questions andinformation, which represents the "brutal facts" of the state of the company. The two wayassessment center always changes the ranking of the candidates and often even (on paper)top quali ed candidates fail to act on their feet and simply disqualify themselves.

8/18/2019 Tbk Book 001

55/56



w w w . t b

k c o n s u l t

. c o m

Avoid political creatures. They are dif cult to spot. People whohave survived in the top of large organizations are often (but not

always) political creatures. You nd them everywhere. They suckthe energy out of you and the organization. "Political ability 22" canbe a true asset in dealing with external stakeholders (customers,vendors etc.), but never internally.

22 Political behavior is based on making rational calculations of other people's power andacting accordingly.

8/18/2019 Tbk Book 001

56/56



w w w . t b

k c o n s u l t

. c o m

Hans Peter BechHans Peter Bech has more than 25years of experience with internationalsales & marketing of ITC products,services and solutions. Hans Peters’ corecompetencies are:

Enterprise B2B business process software solutions, ERP/x

ERM/CRM solutions and software engineering (bespokedevelopment).Go-to-market strategy/program development andx

implementation, including reference client recruitment,recruitment of reseller and distributor channels and settingup new subsidiaries.Extensive experience with and personal network inx

Scandinavia, Eastern and Western Europe, Russia, North America, Australasia and South Africa.

From 1998 to 2001 Hans Peter lived in Stuttgart, Germany andwas responsible for building the partner channel for Damgaard/Navision (later acquired by Microsoft) in Germany, Austria andSwitzerland.

Hans Peter speaks Danish, English and German.

Hans Peter holds a M.A. in macroeconomics and political sciencefrom the University of Copenhagen.

As a sales person Hans Peter quali ed more than 15 times for

Tbk Book 001

Documents

Transcript of Tbk Book 001