7 ways of reducing tpm cost

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• Fifth level7 Ways to Break the TPM Cost Barrier




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Meet the Expert

PresenterRob BoisDirector of Product MarketingMEI Computer Technology Group

ModeratorLindsay JakabMarketing ManagerMEI Computer Technology Group




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Agenda

1

2

3

Who is MEI

State of the Market

4

7 Ways to Break the Costs

Q&A




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Who is MEI?

A leading developer of trade promotion

management software for the Consumer Packaged

Goods (CPG) industry

Offers a complete and proven solution that enables consumer packaged goods CPG companies to successfully plan, execute and analyze all aspects of the trade promotion management cycle

Established in 1983

Over 40 Employees with Offices throughout North America

Client base is made up 50 clients ranging from

$30M to $3B in sales

Headquartered in Montreal, Canada




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Trade Promotion Management




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CPG Faces Unique Technology Challenges

They spend less on IT

Risk averse culture

Not early adopters

Slow to change




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New Technology Investments in CPG

Decrease a lot

Don't know

Decrease a little

Stay the same

Increase a lot

Increase a little

2.83%

0.94%

5.66%

29.25%

18.87%

42.45%

0.00%

2.83%

7.55%

19.81%

26.42%

43.40%

Projection

2012

2010

Source: CGT Tech Trends, 2010




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Technology Adoption Profile

18%

40%

42%

Aggressive (willing to adopt technologies while relatively new and risky)Conservative (adopt only proven technologies)

Mainstream (adopt maturing technologies with manageable risk)





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Barriers to Packaged TPM Adoption

0%

10%

20%

30%

40%

50%

60%

70%

SMB FirmsLarge Firms

Source: MEI/CGT 2010 TPM Survey




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The Keys to Reducing Cost

Excess Software Cost is Usually Due to:




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#1 – Follow the Excel Tracks

• Excel is a wonderful personal productivity tool• Excel is terrible for collaborative process• Inventory all the places critical business

process is being managed by Excel




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#2 – Be Realistic about Implementation

• Identify where greatest inefficiencies lie• Target process improvement• Augment with technology where it makes

sense• Plan software implementations for 2-6

months, not 9-12




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#3 – Find a Gracious Host

• Pay as you go• No annual maintenance• No license charge• No infrastructure• No upgrade fees• User-focused design• Phased, lower-risk deployment




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Source of New Software Investments

Other

Open Source

SaaS or Cloud

Managed Service

Hosted

On-premise

Source

Last 3 Years

Next 3 Years





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#4 – Build Real Metrics

• Identify realistic business goals• Make sure you can measure them• Be diligent in actually tracking them

− Most companies build the metrics but never follow through on tracking them post-implementation

• Set goals for continuous improvement




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#5 – Learn from Best Practices

• Most companies wish they had done less customization or configuration

• CPG firms believe their processes are more unique than they really are

• Consider there is a “price” for any customization or configuration




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#6 – Don’t Re-create the Wheel

• Software vendors can provide a good customer community resource

• Collaborate with those that have already implemented TPM− Learn from the mistakes of the past




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#7 – Be Proactive

• The more history you can capture, the more value you will get from TPM

• Don’t assume TPM is out of reach for your firm

• Without TPM, you don’t even know what you don’t know




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Conclusion

Think of the big picture, but roll out technology in manageable phases

Look for technology providers that share risk

Manual process is not always less complex

Always look for ways to reduce risk and complexity




• Fifth levelQ&ARob BoisDirector, Product [email protected]: cpgchatter.comTwitter: robboiswww.meicpg.com




• Fifth levelCPGchatter.com

7 ways of reducing tpm cost

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