Stacci Barosso

Owen Fayer

Ilango Gopalan

Vicky Patzer

Holly Weston

David Wroth

Prepared for:Visutha Vorasucha, Director – Tycoon Medical10 March 2010

Company Overview

• Mission: Providing quality medical products and superior medical engineering services

• Distributor of medical equipment and supplies– 160M ฿ Sales Turnover (US$5M)– 50 employees, Founded 2000– ~200 Customers– Only serving the Thai market

Supplies; 30%Equip;

70%

Bangkok UpCountry0%

10%20%30%40%50%60%70%

60%40%

Sales Volume

Product Mix

Incentive Spirometer

Laryngoscope

Operating Room TableModular Operating Theatre

Nebulizer and Compressor

Market/Industry Trends

Universal Health Care• Free Access for all Thai Citizens• Public Hospitals Struggling to Cope

Influx of Medical Tourism• United States• Europe

Sophistication of Devices• Disposable Products• Increasingly Complex

SWOT Analysis

StrengthsSynergistic Portfolio

Superior Customer Service Staff Experience

WeaknessesLimited Product Line

CommunicationLimited Trend Analysis

ThreatsCompetitors’ Broader Product

LineGovernment Restrictions

New Entrants

Opportunities

Enhance Product LineSales Lead TrackingEmployee Retention

Website/Co-op Advertising

TYCOON MEDICAL

CO., LTD

Sales Organization Dilemma

Diverse Products &

Sales Techniques

Sales, General Administration Expenses & Coordination

Bangkok Sales Team (Existing)

Sales ManagerBkk Metropolitan

Area

Product Specialist

SalesPublic Hp = 10Private Hp = 25

SalesPublic Hp = 10Private Hp = 25

SalesPublic Hp = 10Private Hp = 25

SalesPublic Hp = 10Private Hp = 25

* Private Hospital >50 Beds *

Potential Sales Structures

Territory

Product

Hospital Size / Type Hyb

rid M

odel

s

Account Exec

Product Spec

Inside Sales

Post Sales

Support

Bangkok Sales Team (Proposed)

TopCustomers

Mid –Tier Customers

All Others

Inside Sales

Sales PipelineSystem

Account Team

Sales Tracking & Follow UpSalesperson calls or faxes

lead

Sales Coordinator

enters data into database

Periodic Reports to Sales Manager

Sales manager contacts

salesperson

Salesperson follows up with lead

Salesperson informs sales coordinator of

result

Sales Coordinator

Updates database

2.00

4.00

6.00

8.00

10.0

012

.00

฿0.00

฿5,000.00

฿10,000.00

฿15,000.00

฿20,000.00

฿25,000.00

฿30,000.00

Incremental Margin

Number of Incremental OrdersM

on

thly

Mar

gin

/Co

sts

Breakeven Analysis

• 200 quotes/month• Average size of Quote

– Supplies (฿15K)– Equipment (฿700K)

• Incremental Conversion Ratio (<10%)

• Gross Margin @15%

LESS

• Cost of the additional resources (฿200K annual)

Timeline

JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

Sales Tracking Pipeline

Pilot Account Team

Trial Period Review

Implement Account Teams

Implement InsideSales Teams

Year End Sales Review

Initial MetricsIn Place

Metrics

Opportunities Quotes Orders Sales# of Opportunities # of Quotes # of Orders Total ฿ Value

Average Value Average Value Average Value Average Value

By Qualification Aging Conversion Ratio By Customer

By Product By Product By Product By Product

By Salesperson By Salesperson By Salesperson By Salesperson

A sales metrics scorecard will assist Tycoon Medical to drive sales growth

Conclusion

• Focus on top Tier Customers to drive growth through account teams– University Medical Centers– Private Hospitals catering to “medical tourists”

• Sales pipeline system to measure and improve opportunity-to-order efficiency

• Inside Sales organization to drive repeat business in the medical supplies area

Stacci Barosso

Owen Fayer

Ilango Gopalan

Vicky Patzer

Holly Weston

David Wroth

Prepared for:Visutha Vorasucha, Director – Tycoon Medical10 March 2010

APPENDIXBackup Information

Bangkok Sales Structure

Existing • Territory based • Sales Exec manages

prospects• Product Specialist• Sales Admin• Only 10% follow up• Coordination Issues• Increasing complexity will

exacerbate problem• Equipment Team not meeting

sales targets

Recommendation• Account Team for top tier

customers– Sales executive– Product Specialist– Inside sales person– Post sales support rep

• Mid to low level customers move to inside sales team

• Improve tracking and follow-up process

Sales Support and Compensation

• Structured compensation for In-House Coordinator• Incentive Program based on company performance

– Tiered system– Operating focus targets specific to job– Profit Sharing

Implementation

1. Sales Tracking and Coordinatora) Sales Metrics

b) Result- Improved follow up rate

2. Pilot Account Team for One Top Tier Customera) Three Person Team handles all aspects of the relationship

b) Result – Proof of Concept forAccount Team

3. Expand Account Team and Implement Inside Sales

a) Account teams for all “Top Tier” Customers

b) Inside Sales Team handles other customerswith Priority to Supply Business

c) Result – Increased sales and profits

Increase sales communication through widespread cell phone coverage3G cell site network deployment growth driven primarily by Asia

China, India, and Southeast Asia are big components of this growth

Better cell phone coverage enables improvement in sales communicationSMS-based communication enables 2-way access to/from headquarters and/or

database link

Asia 3G cell site deployment is

the biggest component of

growth

Kimberly Clark Customer Oriented Sales Plan

Position

The Call

Determine Customer Objectives

Propose an Action

Plan

Get an Agreement

Follow Up

- Understand the customers needs, goals, issues before introducing your product - Fit the product to the customer, not the customer to the product.

- Follow the process - don't cut corners

- Work multiple opportunities at different stages of the sales cycle

- Maximize time when in accounts

- Have group meetings - plan/execute/follow-up

- Find internal champions

- Introduce the product portfolio and prioritize products based on customer's initiatives

- Ask the right questions of the right person

- Test assumptions by asking questions

- Touch everyone involved in the sales process

- Keep Materials Mgmt. in the loop

- Leverage/neutralize the distribution rep and/or mfg. rep.

- Determine the meaning of success when selling and ensure compliance.