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1© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
May 5, 2008
Building a Professional Building a Professional Services Sales OrganizationServices Sales Organizationto Accelerate Revenue Growthto Accelerate Revenue GrowthBob VissatSales DirectorAvaya Consulting & Systems Integration
2© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Today’s Agenda
Opening Comments
Business Problem Addressed
Proposed Solution
Key Positions and Staffing
Cross-functional linkages
Performance Metrics
Senior Management Endorsement
Key Success Ingredients
Benefits Realized
Q&A
3© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Business Problem AddressedWhat Drove the Need for aNew Avaya Professional Services Sales Organization?
Inadequate Focus
On Professional
Services Business
Process To
ComplexFor sales to access
various resources in
Professional Services
No Emphasis on
New OfferingsNeed to be successful
to gain market traction
Unsatisfactory
Revenue Growth
And Attach Rates
Lack of Product
Sales Mindshare
Lack of Sales
ManagementAttention and commitment
to Professional Services
4© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Proposed SolutionNew Dedicated Professional Services Sales Organization
NA SVP Funded New Professional Services Sales Team– Support a portion of sales organization– 2 key positions
• Business Development Manager (Sales Rep)• Engagement Manager (Technical Sales Engineer)
– Variable compensated positions– Organizational success tied to revenue
Based on Success/Traction of New Team– Organization expanded the
next fiscal year– Support all sales sectors
5© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Professional Services SalesOrganization Structure
Vice President
Sales & Business
Development
Professional Services
Vice President
Professional Services
Vice President
North American Sales
Director
Sales & Business
Development
Professional Services
Director
Engagement Management
Global Accounts
Professional Services
Director
New Business Development
Professional Services
Director
Offer Management
Professional Services
Engagement Manager
Territory 1
Professional Services
Engagement Manager
Territory 2
Professional Services
Engagement Manager
Territory 3
Professional Services
Engagement Manager
Territory 1
Professional Services
Engagement Manager
Territory 2
Professional Services
Engagement Manager
Territory 3
Professional Services
BD Manager
Territory 1
Professional Services
Offer Manager
Territory 1
Professional ServicesBD Manager
Territory 2
Professional Services
BD Manager
Territory 2
Professional Services
Offer Manager
Territory 2
Professional Services
Offer Manager
Territory 2
Professional Services
6© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Professional Services Sales TeamNamed, Territory & Federal
West
BDM: Mike Smith, [email protected] 913-266-8535
West - ROW West - Cali
Sales Mgrs: Arellano, Harrison, Kruesel
Sales Mgrs: Kraus, Spurlock, Crespin
(SLE), Hart
PSEM: Steven Hughes PSEM: John [email protected] [email protected]
503-331-5726 720-444-5076
Central
BDM: Susan Powell [email protected]
615-377-2662Central - South Central - North
Sales Mgrs: Matson, Bailey, Ferrell
Sales Mgrs: DeSantis, Blair, Tatum (SLE)
PSEM: Bill Blattman PSEM: Sheila [email protected] [email protected]
720-444-3730 720-444-2859
Northeast
BDM: Glenn Bloom [email protected] 978-677-5228
NE - Upper NE - LowerSM: Smith, Kiel, Jacob (SLE) Sales Mgrs: Riehl, Franks, May
PSEM: George Janart PSEM: Susan [email protected] [email protected]
720-444-8123 732-852-3941
South Central
BDM: Chris Hunady [email protected]
703-376-2104 South Central – W South Central – E
Sales Mgrs: Courtright, Sullivan, Jacomino
Sales Mgrs: Hagan, Wallace, Crane, Wharton
(SLE)
PSEM: Todd Doane PSEM: Charles [email protected] [email protected]
727-217-1331 678-421-5477
Canada
BDM: Susan Borenstein, [email protected], 905-474-6020
PSEM: Sylvie Saint-Onge [email protected], 905-474-6452
Federal
BDM: Eric Younkin [email protected], 732-852-5045
PSEM: Maricia Coleman [email protected] 905-474-6452
Vertical/CEBP/GSSVEC BDM: Pat Carey [email protected] , 860-290-6040CEBP BDM: Shawn Jean [email protected], 908-953-8595
7© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
PSEMBill Ladas
Org AlignmentArnold Hinshaw,
Hilda Kwa
PSEMWilliam Fong:
Org Alignment Jeff Boyce
PSEMDoug Lindroos:
Org Alignment Mike Gargiulo
BDMTerry Healy
[email protected],757-357-5535
PSEMBruce Gelert
Org AlignmentCathy Lippard
Global Industries
PSEMArsalan Elley,
Org AlignmentMike Allison
PSEMJoel Lechter
Org AlignmentChris Hand
PSEMMike Shindler
Org AlignmentMatt Burger
BDMBob Vaughn
PSEMKent West
Org AlignmentDan Van Dixhorn
Global Financials
PSEM Anthony Luciani
Org AlignmentJohn Fiorendio
PSEMMasheed Morrison
Org AlignmentDavid Stearns
PSEMRobert Suhre
Org AlignmentKeenan, Kapralos
BDMFred Ricles
[email protected] 720-444-3045
PSEMTed Zwiebel
Org AlignmentEgan, Gowl, Lynch
SISP
Professional Services Sales TeamGlobal Accounts
8© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
• Works with Sales on New Deals– Position appropriate professional services
• Develops and Closes New Services Deals– In strategic/emerging services areas
• Promotes Professional Services– Internally/externally with Marketing
• Acts as Single Point of Contact for Sales
• Escalation Point for CSI operations Issues
• Provides Feedback To– Offer Management– Marketing– For new offer and promotion creation
• Responsible for Attainment ofRevenue Plan
Professional Services SalesKey Positions – Business Development Manager
9© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
• On Qualified and Designated Opportunities– Acts a single point of contact– To prepare technical services solution,
statement of work, pricing and contract
• Prepares Proposal– Based on direct technical knowledge– Through interaction with CSI practices
• Directly Interfaces to Client– Gain knowledge and build credibility
• Possess “Expert” Knowledge – Avaya CSI solutions
• Provides Feedback to BDM– Issues regarding revenue recognition
• Uses Their Knowledge – Be a key stakeholder– In overall professional services
work quality delivered to client
Professional Services SalesKey Positions – The Engagement Manager
10© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Staffing ProfileNew Positions Hired to Back-Fill
New Positions– Filled with combination of internal and external people
Strong Sales Backgrounds– Successful track records for business development roles– Looked for consultative/solutions selling experience
Strong Technical Background– Telecommunication products/services– Deal crafting experience for Engagement Manager positions
Hiring More Senior Level Individuals– Strong communications skills– Influence management abilities
11© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Important Cross Functional Linkages
BALANCE
DeliverySales
Business Development
Manager
CompetitivePricing/Discounts
Fast Response
Flexible Delivery
Response AvailabilityPre & Post Sales
Investments in“Free” Service
P&L
Resource Utilization
Quality of Work
Customer Satisfaction
Requests for“Free” Work
12© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Important Cross Functional Linkages
Business Development
Manager• Drive Market
• Traction with MoreSolutions Combining Avaya/Partner Content
Offer Managers
Solution Partners
Channel Partners
Marketing
• Support in DrivingNew Offers
• Field Input onNew Offers
• Recommendations
• Deal Support
• Education
• Assist onDelivery Issues
• Customer Reference Program
• Input on New Marketing Materials, Sales Tools
• Customer Event / Trade Show Support
13© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Key Performance MetricsAttainment of Revenue Plan
Attainment of Revenue Plan– Strategic/Emerging Services
Support to Sales– Set feedback processes
# of Business Development Activities
Quality of Sales Funnel
Revenue Forecast Accuracy
Quality of Technical SOW– Services solutions– Pricing– Proposals
14© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Senior Management Endorsement
ENDORSEMENTENDORSEMENT
UNDERSTANDINGUNDERSTANDING
SUPPORT &SUPPORT &
LINKAGESLINKAGES
Professional Services Senior Management– Buy-In and Endorsement is Critical
Sales Management – Clearly understand roles– Of new professional services sales team
Professional Services Delivery Management– Support new organization– Understand roles and linkages
15© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Benefits RealizedProfessional Services Year-Over-Year Revenue Growth
– 2006 = 40%– 2007 = 26%– 2008 = 20%
55% Growth in Professional Services Product
– Attach rates in last (3) years• 16.6% in 2006…now 25.8%
Improved Mindshare ofProfessional Services in Sales
Improved Working Relationshipswith Sales
Improved Results– Gaining market traction faster– With new professional services offers
16© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Recent ChangesIncreased Focus On
– Driving new professional services offerings– Emerging areas
Compensation Plan Modified– Incent proper behavior– Centered on key target service areas
New “Specialist” Positions Created– Provide increased focus– Select emerging technology
and vertical markets
17© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA
Ingredients for Success!
Ensure Clarity of Roles– Sales/business development
versus technical support
Flexible Organization Structure
– To meet business needs– changing priorities
New Team Members– Must build strong working
relationships with sales– At all levels
Appropriate Staffing toSupport Business Volumes
– Alignment with sales org structure is ideal
Proper Balance– Between sales and
delivery interests
Measure and Reporton Results
Variable Compensation Plan Implemented
– Tied with sales thinking
New Hires– Properly skilled– Flexible, to drive success
18© 2007 Avaya Inc. All rights reserved. Avaya – Proprietary & Confidential. Under NDA 18© 2008 Avaya Inc. All rights reserved.
This is Avaya …. How can we help you?
Improved
Customer Service
Customer
Contact
Worker
Productivity
Unified
Communication
Reliable
Multi-Modal
Communication
Converged
Communication
Business
Efficiency
Communications
Enabled Business
Processes
