3 wo-men

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3 wo-men
How to respond to increased business complexity
Maurizio Ammannato
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Change Acceleration
Everything is accelerating at astonishing speed
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Change Acceleration
COMMUNICATION Years to reach 50 million
users 1450 Print 200 years 1876 Telephone
60 years 1895 Radio 40
years 1930 TV 20 years 1993
Internet 5 years
Everything is accelerating at astonishing speed
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Change Acceleration
TRANSPORTATION Speed of vehicles -6000 Camels
8 km/h 1785 Coach
10 km/h 1825 Steam Engine
20 km/h 1925 Screw Engine
150 km/h 1940 Jet 650 km/h 1960
Missile 3000 km/h
8.000 years to increase speed by 2 km/hour
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Change Acceleration
KNOWLEDGE In -6.000 1 Unit of knowledge In 1500
2 Units (7.500 years to double knowledge) In
1750 4 Units ( 250 years from 2 to 4
units) In 1900 8 Units (150 years from 4 to 8
units) As per today global knowledge doubles
each 2 years 1 Unit global human knowledge
Knowledge doubles each 2 years
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Business Complexity
Sales People External Relations

1. SALES
2. Clients
3. Agents
4. Distributors
5. OEM
6. Local Competitors
7. CIN.DIA
8. Internet

8 Nodes 56 Relations N(N-1)
Sales People Internal Relations
8 Nodes 56 Relations N(N-1)

1. SALES
2. Marketing
3. Finance
4. Legal
5. Production
6. Delivery
7. Suppliers
8. I.T.

Mutual Relations increase too
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Business Complexity
Sales people with their Internal External
Relations
16 Nods 240 Relations N(N-1)
Out of Control Process !
Mutual Relations increase too
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Business Complexity
Real organization relations straight/dashed/poin
ted lines
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B a c k !
Back to Basics
..means..
back to Clients
Clients Clients Clients Clients Clients Clients
Clients Clients Clients
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Client Driven Company
What Clients Want

• That their inquiries be well managed
• That proposals be presented on time and well
  prepared
• That Orders be correctly received and confirmed

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2

• Goods manufactured with quality and consistent
  with proposal
• Goods shipped on-time
• Goods installed and properly working

• They want their strategic suppliers have always
  up-to-date products
• That they bring to them innovation and
  competitive advantage

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Clients see you ORIZZONTALLY (by processes)
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Client Driven Company
Your Answer?

• You are organized by FUNCTIONS
• Each function sees only part of clients
  requirements
• Each function is not focused on global client
  needs
• Each function works as a company by its own

You are organized VERTICALLY (by Functions)
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Client Driven Company
What Clients Want
New Product Introduction (NPI)
Inquiry To Order (ITO)
Order To Remittance (OTR)
Suppliers
Purchase
Manufacture
Client
Sales
Marketing
What You Offer
Disconnection!
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Pareto
20 of people have 80 of the wealth 20 of the
sales force makes 80 of the sales 20 of
criminals commit 80 of the crimes 20 of the
carpet gets 80 of the wear and tear 20 of the
products account for 80 of the profits 20 of
the defects cause 80 of the problems 20 of the
suppliers provide 80 of the stock 20 of the
stock fills 80 of the warehouse 20 of the staff
causes 80 of the problems 20 of the project
takes 80 of the time resources
The 20/80 theory
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3 wo-men
May we say that you can get the 90 control of
your company, keeping under control just only 3
processes?
The 3 Processes
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3 wo-men
Only 3 Processes
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ITO

• Clients inquiries to be well managed
• Proposals presented on time and well prepared
• Orders confirmed

2
OTR

• Goods manufactured with quality and consistent
  with proposal
• Goods shipped on-time
• Goods installed and properly working

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NPI

• Their strategic suppliers always with up-to-date
  products
• Innovative and giving them competitive advantage

From Client needs to 3 Processes answer
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I T O
1 Manager for ITO (Inquiry To Order)
Responsible to generate client inquiries, to
replay with proposals, up to received client
orders

• Direct Sales
• Indirect Channels
• Operative Marketing
• Sales Support
• Sales Consultant
• Finance for Sales
• Legal for Sales
• Marketing Communication
• Customer Care

Getting Orders
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O T R
2 Manager for OTR (Order To Remittance)
Responsible for client order production, for
client goods delivery and to collect money back

• Technical Design
• Production
• Purchasing
• Stocks management
• Transportation
• Finance
• Credit Collection

Getting Money
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N P I
3 Manager for NPI (New Product Introduction)
Responsible to bring new products to the market
(the future of the company)

• Strategic Marketing
• R D
• Product Marketing
• Communication

Assuring Future
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3 Processes
To Organization Simplicity
From growing Complexity
3 Process 3 Wo-Men 90 under control
Solution
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The End
Thank you!