“The 10 Commandments for Selling & Marketing Internal Consulting Services”

1. “The 10 Commandments for Selling & Marketing Internal Consulting Services” Mark Hordes, Partner Alexander Consulting, LLP AIMC Conference March 23, 2004

2. To help you and your organization sell and market more effectivevalue-added internal consulting services faster. Presentation Goal:

3. Concepts presented taken from our new book:

4. Alexander Consulting, LLP“A management consultancy that creates and implements strategies for professional services organizations” Services Strategy Creation Sales Effectiveness Marketing Direction Delivery Performance OPERATIONS EXCELLENCE TALENT PRODUCTIVITY

5. Education: MBA and MS in Human Behavior Graduate of the American Graduate Schoolof International Management Personal experience: Partner, Alexander Consulting Global experience in selling services to senior executives. Success in designing and delivering professional services selling training and creating services markets Hands-on experience designing and implementing services readiness assessments and best practices applications for services organizations Previous Big Five consulting partner Vice President, International Consulting, The American Productivity & Quality Center Faculty, The University of Houston Award-winning author (AFSMI Writers Award for ”Best-Day Every Day, Rules of the Road for ‘Getting to Yes’ in Professional Services Selling”) Background: Mark Hordes

6. IBM has identified the“Elevation of Services” as one of the top four “Waves of Change” impacting businesses globally. Services contribute 35% of the computer industry’s revenues and 60% of the profits. “Service is so great an opportunity for the company that our vision for the next century is that GE is a global service company that sells high-quality products.”--Jack Welch Services possess the potential to expand revenue four to five times times that of the product purchase. (“How to Make After-Sales Services Pay Off.” Bundschuh & Dezvane. McKinsey Quarterly 2003, Number 4.) Services deliver 61% gross profit margin and 30% growth rate to top-performing organizations. (The State of S-Business. James A. Alexander. 2002.) The Times They Are a Changing!

7. To Sell and Market Internal Consulting Services You Need These Four Things… Internal Marketing Best Practices Relationship Skills “Getting to Yes” Focus on Value Benefits & Offerings The 10 “C”s

8. The Three Types of Buyers (Source: Adapted from The Knowledge-Based Organization, Alexander & Lyons. 1994. Irwin Professional Publishing) “Business Impactors” Partnership Innovation Relationship “Wants” Accountability Customer Expectations Problem Solving Profit Potential Response Time “Givens” Price Delivery Quality Complexity

9. Value = perceived benefits minus anticipated costs. Value is what the customer will pay for. What is Value?

10. Know Your Offerings • Understand the features and benefits of your consulting organization. • Understand how these offerings can help solve business problems. • Be prepared to communicate the value-adding potential of these offerings in terms the client cares about.

11. Costs How Do You Create Value? Outweigh Costs By Adding Benefits Benefits • Lower Cost • Increase Output • Enhance Quality • Improve Image • Money • Time • Hassle

12. Marketing Market Message Brand Building Pricing Portfolio Management Marketing Consulting Services

13. Services Marketing Assessment SUCCESS FACTORS RATING SD SA 1. Clients have a clear perception about you. 1 2 3 4 5 2. Prospective clients have a favorable perception. 1 2 3 4 5 3. You have a reputation as a consulting leader. 1 2 3 4 5 4. Executives see your brand as a vital asset. 1 2 3 4 5 5. All consulting packaging convey the same message. 1 2 3 4 5 6. Branding campaigns are aggressively funded. 1 2 3 4 5 7. Brand awareness is tracked. 1 2 3 4 5 8. Brand quality is tracked. 1 2 3 4 5 TOTAL SCORE =

14. Aligning the Marketing Message to the Appropriate Value Proposition High Big Bang Breakthrough Total package from a reliable supplier. Game changing solutions that no one else can provide. Importance to the Customer Thought Leadership. One-Stop Shopping. Lean and Mean Niche Adequate performance, low cost, no hassle. World-class capabilities in selected area. Just As Good But Cheaper. The Experts on X. Low High Uniqueness of Offerings

15. Selling Qualifying Process Committing Process Selling Consulting Services

16. What thoughts come to mind when you hear the word “selling?” Station Break

17. The Persuasion Continuum Manipulation Professional Selling What’s in it for me? Personal reward. Slick presentation. Persuasion skills. Short-term transaction. Biggest money-maker. POINT OF VIEW FOCUS TECHNIQUES SUCCESS ANCHOR TIME HORIZON DESIRED ROLE What’s good for the client and the organization and me? Creating value. Honest dialogue. Personal integrity. Long-term relationship. Trusted advisor.

18. The 10 Commandments for Selling Consulting Services (Source: The Ten Commandments of Selling Professional Services. Alexander & Hordes. Professional Services Leadership Report, 2002.) 1. Clarifycomplex customer issues. 2. Communicate the invisible. 3. Customize each solution. 4. Commit high-level executives to action. 5. Coordinatethe selling team. 6. Compressthe cycle time of selling. 7. Concentrateon the stars. 8. Controlthe cost of sale. 9. Commercializethe sales promise. 10. Continuallylearn and grow.

19. What are the main issues you and your department are facing? Let’s take a look at ___ for a moment. Is this a nice-to-do, or something important to your organization? Sounds critical. Tell me, what is the impact of notaddressing this problem? I see. Together, can we investigate how my organization might be able to help? The Four I’s Probing Strategy Issues Importance Impact Investigate

20. Selling Is a Relationship Experience Pretend you are going to meet an internal client for the FIRST TIME. What is going on with these clients?

21. Six Elements in Building Strong Client Relationships Decorum Commonality Trust Empathy Value Credibility

22. Understanding your personal style. Working successfully with different personality styles in internal consulting sales situations. Instrument: Selling withInsight Style Inventory. Relating to Different Personalities in Business Development Situations

23. The Four Traits Influencing Others Indirect Direct Responding to People Reserved Outgoing Dealing with Details Unstructured Structured Pacing Activity Urgent Steady

24. Practice Flexing Your Style to Different Personalities People like to buy from people who are somewhat similar to themselves.

25. Genius of Einstein Vision of Jefferson Strength of Superman Patience of Gandhi Communications skills of Roosevelt Creativity of da Vinci Magnanimity of Sister Teresa Ambition of the Clintons The conviction of Churchill--never, never give up! The Internal Sales and Marketing Champion Ideal Attributes

26. Contact Information: Alexander Consulting, LLP Mark Hordes, Partner (713) 781-0251 office (713) 416-1781 mobile mark@alexanderconsultingsbiz.com www.alexanderconsultingsbiz.com Thank You for Your Participation and Attention