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Making CenterPoint Energy the Network of Choice

Making CenterPoint Energy the Network of Choice. Qittitut Consulting uses a TQM Customer Satisfaction Model. Cannot satisfy external customers if all internal customers are not satisfied Leverage MASTIO Survey findings Coordinate with other Initiatives. Do we have the ability to provide it?.

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Making CenterPoint Energy the Network of Choice

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  1. Making CenterPoint Energy the Network of Choice Qittitut Consulting uses a TQM Customer Satisfaction Model • Cannot satisfy external customers if all internal customers are not satisfied • Leverage MASTIO Survey findings • Coordinate with other Initiatives Do we have the ability to provide it? What does he want? Who is the customer?

  2. External Expectations “Customer Needs” CenterPoint Internal Needs CenterPoint Capability to Provide Network of Choice – Success Model

  3. Example: View of Current Customers Varies Across Organization Who is the Customer? End-User Top Management USI’s80/20 Rule Marketing Management USI’s +Top Paper Generators Operations Management All Channel HQ’s Sales Operations Channel HQ’s +Distribution Centers Distribution Channel Locations + Regional OfficeStaff (CAM, RSA, RAM, etc.) Regional Sales Office Dealers Service Field / Territory Marketing Support End-User

  4. External Expectations “Customer Needs” CenterPoint Internal Needs CenterPoint Capability to Provide Key Factors Impacting Success Examples: • Results of DealerNet Forums: • Accurate, timely information on orders is highest priority. • Spring Meeting Channel Data: • Previous data has focused only on a transaction approach independent of strategy. • Channel HQ Input: • Channels are much better prepared for electronic communication. • Channels are committed to new approach. • Company is behind competitors. Key Customer Need “I want my product!”

  5. External Expectations “Customer Needs” CenterPoint Internal Needs CenterPoint Capability to Provide Key Factors Impacting Success Examples: • Channel Rating and Ranking: • Sales Revenue and Sales Volume is most important. Within company, the importance of individual Channels is fairly consistent. • Information Needs: • Most of the data to be created and obtained could utilize the DealerNet hub concept. There is a hierarchy of data required that impacts almost every area of company administration. • Survey Results: • Internal “needs” and their priority has driven many independent projects to give or receive information to Channels. The prioritized “needs” are often strategic and cannot be addressed within a transaction approach. Key Company Need “Sales-out data is the most important information we could get from the dealers.”

  6. External Expectations “Customer Needs” CenterPoint Internal Needs CenterPoint Capability to Provide Key Factors Impacting Success Examples: • Organizational Model: • Information that is critical to company and the Channels involves many players • Information Flow: • The “weakest link” theory frequently applies in the information exchanged. • Discoveries: • “Useful” information is well defined in many instances, but unattainable because of many interdependencies. • Internal company staff are aware that short term solutions must be part of a comprehensive strategic framework. • Competition is making considerable investments to satisfy Channel needs. Information quality of company is behind competitors. • Benefit Accruals: • Initiatives that cover the widest number of areas are naturally the most costly and difficult to implement. Key Assessment of Capabilities “Forget what information do I need from our customers… what information can I provide to improve customer service.” (WCDS Interview)

  7. Example: A High Level Business Model • Wholesale high-valued sale • Complex structure on both sides • Multiple interfaces to company Within Company “Corporate” Structure Outside Company Purchasing MRP Factory Schedule Build Plan Master Schedule Demand System Company Regional Offices Channel Head-quarters Channel Dealers & Franchises Product End User Customer Base Distribution Sales, Marketing, and Order Support Distribution System Options and Parts Service Requests Salespaq

  8. Example: Aligned Interview Matrix Information Intent Company Out Customer Back Purchasing Manufacturing Demand Sales / Marketing Regional Offices Channel • Purchasing • Factory Systems Integration • CPU Business Planning • Materials Operations • Inventory Control • Demand Forecasting • Forecast / Sales Analysis • Sales Administration & Support • Project Planning / Marketing • Channel Analysis • Sales Education • Product Management • Dealer Development • Service Order Administration • Sales Promotions • Sales Requirements • Field Sales Planning • Sales Operations • Public Relations • New York • Chicago • Atlanta • Dallas • Pleasanton • McLean • Costa Mesa • A • B • C • D • E Distribution • Distribution / shipping 27 Interviews (45 people) Finance 7 Regional Office Interview (26 people) 5 Channel Visits (15 People) • Credit / Accounting • Salespaq IT Support Manufacturing Systems World Class Demand System Auto Scheduling DealerNet Support Electronic Communication System Integration

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