b2b group 8_can_hewlett packard

8/3/2019 B2B Group 8_CAN_Hewlett Packard

1/12

5/2/12 Business to BusinessMarketing Group 5

Click to edit Master subtitle style

Business to BusinessMarketing Group 11

Hewlett Packard ComputerSystems Organization: Selling

to Enterprise Customers

Group 8:Chetan KrishnaVeer KorraPrachi ChouhanPrasoon

Mazumdar


2/12



Case overview

Timeline


3/12


Problem Statement

The case has stressed two main problems for

CSO:1.Sales processes and sales support systemare lagging present sales strategy.

2.Sales department organisational structure

is not designed to look for opportunities.


4/12


Review Aspects

From managing accounts to managing aportfolios of sales opportunities

From viewing the sales process from theinside out to viewing it from the customerin

From trying to grow sales by adding salesactivities to accelerating sales growth byimproving the efficiency and effectivenessof the sales process.


5/12


Business to BusinessMarketing Group 5 55

Fact File


6/12


The findings from Robert Dudley are consistentbut these suggestions may lead up to higherincremental cost

Sales representatives require a total structuralchange in terms of their training andremuneration to improve motivation to achieve

The selling staff should be trained to be able toapproach bigger clients instead of just restrictingit to meager accounts

Paretos priciple: Top 5% customers are 40%revenues


Q.1: Is this the time for HP-CSO to institute morechanges? What are your recommendations to Diaz?


7/12


Unfocused in selling instruments and focused on a

small number of industries for selling computers

Value for customers: Through differentiation inselling instruments and through services offeringand customer relationship in selling computers

Distribution channel

Direct for instruments

Indirect for computers

Customization: High degree of customization in

computers but remain absent in the instrumentsBusiness to BusinessMarketing Group 77

Q.2.1: How is selling instruments (HPs traditionalbusiness) different from selling computer systems?


8/12


The major implication is that it becomes a cost

reduction activity rather than a revenue earinghead

Costs are very easy to measure, in particular bybenchmarking with the standard cost

It is important to try to achieve the goal of

reducing the expenses to industry average. Those changes dont have to impact on the

service quality.


Q.2.2: Why does HP treat its sales force as a costcenter? What are the implications of such a

structure?


9/12


HP has different enterprise customers indifferent industries

Few customers account for most of theprofits

Three teams structure: Red team has

industry wise focus, Green team dealswith channel partners, Blue team focuson Tvsales and geographically organizedaccounts.


Q.3.1: What is HP- CSOs approach tobuilding relationships with enterprise

customers?


10/12



Q3.2: What are its strengths and weaknesses?


11/12


There are different points of accordance with theconsultants recommendations:

- The compensation plan is not enough motivating

sales Reps because its not following the companyschanges.

- The sales department is not actively looking foropportunities

- The brand equity is well established and thecustomers know it and appreciate the fact that thecompany is putting so much effort to improve theperformances.

- The new approach is working both downstream byBusiness to BusinessMarketing Group 1111

Q.4: Do you agree with the findings of the two audits as wellas the consultants recommendations? How is the newapproach different from HP-CSO current approach to

managing enterprise customers?


12/12



Thank you

b2b group 8_can_hewlett packard

Documents