How To Successfully Implement Pricing Software: Creating a Revenue Generation Machine
Lydia Di Liello Capital Pricing Consultants L.L.C. Helping you achieve more profit locally and globally
How To Successfully Implement Pricing Software: A Case Study
Why Implement Pricing Software: Value Realization- what’s it worth ?
Raining money Software Results
3 Key Phases to Success
Discovery Phase
Implementation - A Brief Roadmap for Success
Minutiae matters Key participants Pricing implementations are different Vendor choice & Selection Tips Resourcing & Scope
Change Management- the KEY to success
Top down buy in
How To Successfully Implement Pricing Software: A Case Study
Success story: Pricing software implementation for a Global mid market custom packaging manufacturer
Serving a broad range of industries
Company offered a systems approach
Food-Industrial-Automotive
Machinery, Materials, Service
Products
Multi product offering Industry leader in several products Market share leader
What’s it Worth? The Software Deliverables
Transformed Pricing
Visibility and control of high value deals
Proactive Consistent Market Relevant
Consistent metrics Set expectation with executives regarding financials
Automatic approval of thousands of small deals
Automated review process Eliminated wasted time
Software Value Realization Raining Money
Double digit margin growth within 12 months of implementation Increased approval oversight by 280 % Installed on time < 1 year No additional capital required Sales embraced & utilizes the software
How DO I Get These Results
Clearly software can be worth the pain of implementing financially and operationally
The real question is how to do it cost effectively and optimize the benefits.
Following are a few slides to the lead the way….
Discovery Phase
Roll up your sleeves - dig for the details Do not ASSUME anything. PROVE everything. What your Six Sigma or ISO documents say is not what your people actually do. Spend time & effort on this phase or it will be expensive later!
Discovery Phase Continued: Pay Me Now or Pay Me Much More Later
Team continuity is critical. “Nay sayers” need to be removed.
Appoint an empowered project manager within your company Political clout and communication skills a must
Determine your data “spiritual guide” Someone who understands the project and its goals as well as understanding the data and where to find it. Note: these folks are gold! And can be hard to find…
Implementation: Pricing is Different
Comprehensive
Emotional
Pervasive opinions –Everyone believes they know the issue and how best to address it
High visibility
Impacts multiple functional areas including Finance, Customer Service, Sales, & Manufacturing
Career maker or breaker
Politically charged
Vendor Selection: How Do I Choose? Remember : It is a partnership not a one way street Confirm the vendor’s longevity in the business Does the vendor support an active customer network ? Meet your project team. The best & brightest may only be used during the sales cycle. Does the vendor have expertise in your industry?
Change Management: The Difference Between Success & Failure
Business processes, policies, and daily operations must be “changed” and completely adopted to the “new” way.
Sounds easy! Don’t kid yourself….more than 50% - 80% of all implementations FAIL due to inadequate Change Management
Change Management starts with “Top down” BELIEF in the project Actively engage “C” levels in the Software Implementation Project. A CEO’s support is crucial to success.
Change Management: The Key to the Cash
Corporate Culture
Steering Committee
Establish a formal team to guide the implementation project Include Sales from the outset - Invite senior Sales executive (Sales VP) to be part of Steering committee both for oversight and decisions
Ensure all functional departments like Customer Service and Sales are included & actively involved in the project
Utilize brief informal meetings to keep communication flowing between monthly formal meetings
Humor is the best tool you own
Tips guaranteed to save you thousands! “Requirements
Definition” phase: ensure due diligence. Not sexy but cost effective. Spend more time here and none in rework.
Data rework is costly: identify & empower a data spiritual guide to work directly with the vendor
Per hour contractual rate: remember that all additional work or rework will be charged at this rate.
Want to Learn More? Contact me at: Lydia Di Liello Capital Pricing Consultants L.L.C. Cleveland, Ohio
[email protected] Helping you achieve more profit locally & globally
