service attach best practice for distributors - pdf

5-Apr-2016

Service Attach Best Practice for Distributors

Cisco Confidential – For Cisco Field and Reseller Use Only. Do Not Distribute.

Overview of Today’s session

Selling Cisco Technical Services

Available resources for distributors: E-consulting tools

Services Best Practices: The Business Value of Attach

Peter Berriman

Director, Services Sales

Global Partner Organisation

The Business Value of Attaching Services

Services Best Practices


Services are the Key to sustainable business success

• The continued commoditization of products erodes selling price and reduces a company’s ability to maintain profitability and growth.

• Services are recognized globally as the key to companies success in face of ever increasing competition and globalization.

• Services, which can easily be packaged to avoid direct comparison with competitors, gives companies the opportunity to sell total business solutions thus maintaining their unique benefits and protecting margins and revenue growth.


Services fit in the business lifecycle

Coordinated

Planning and Strategy

Make Sound Financial Decisions

Prepare

Assess Readiness

Can Your Network Support

the Proposed System?

Plan

Maintain Network Health

Manage, Resolve,

Repair, Replace

Operate

Implement the Solution

Integrate Without Disruption

or Causing Vulnerability

Implement

Design the Solution

Products, Service, Support

Aligned to Requirements

Design

Operational Excellence

Adapt to Changing

Business Requirements

OptimizeL

E

A

R

N

S

E

L

L

OPPORTUNITY IDENTIFICATION


Warranty versus Service Agreement


Differentiation benefits from services

• Service relationships offer unique opportunity to differentiate you from competitors

• Demonstrable value to your Customer

• Greater exposure to reinforce your value

• Less comparable competition for differentiated service offerings e.g. Managed Services, SLA based services, pre-emptive services, Advanced Services

• True business-partner relationship with your Customer assuring their infrastructure continuity builds loyalty and increases ‘stickiness’


Opportunity generation

• Enhances ‘networking’ opportunities for influence

• Greater visibility of Customer needs

• Improved knowledge of planning cycles and process

• Relationships are stronger building greater trust and sharing of business challenges and opportunities


Internal Sales and Service collaboration

• Essential to maximise the opportunity

• Free exchange of strategies, plans, targets and partner knowledge

• Recognition for lead generation resulting in sales

• Guidance to service staff for identification of useful information

• A broader network to acquire knowledge of your Customer


Contract Management

• Automated renewals alerting to sales 3 months ahead of contract anniversary – leverage Cisco E-Consulting for Partners

• Establish Sales quotas for services

• Keep correspondence relating to previously delivered services to reinforce value for renewal – testimonials, other records.

• Consider linking commission to profit (not revenue).


Case Study

• Customer is a large trans-national Service Provider

• Established Customer of significant Australian based vendor

• Network is mature and facing competition form new technologies but still key to SP’s operations.

• Established support contract under threat of price reduction or even cancellation

• Data collected for one year protects revenue and strengthens knowledge to identify new product and service opportunity


Situation

• Year 5 of established support contract in Banking sector

• Customer signals replacement imminent

• Customer signals all support contracts are being subject to review and 10-15% price reduction


Complication

• The network is old technology and any perception of poor value to the Customer will hasten replacement

• Poor service availability would also jeopardize opportunity to win replacement hardware


Implication

• There will not be an automatic renewal of the support contract

• “I may miss my P&L target and have to reduce staff”


Action

• Rally service staff to assure excellent support service quality

• Capture all examples and value of services delivered

• Flag impending increased support price

• Prepare business case for renewal

• Plan walk away position and negotiation strategy


Benefit

• Collected data on pro-active and rapid reactive service and quantified the value of protecting Customer’s business continuity

• Demonstrated continuing value of both the network and the support service contract

• Outcome :

• Renewed contract at existing price

• Confirmed ongoing value and dedication to reinforce relationship with Customer

• Partner admitted to bid for other networks and associated support services


Summary

• Think of services as part of the whole business mix

• Services provide differentiation and increased competitive advantage

• Service exposure strengthens relationships

• Service Contracts assure annuity revenue

• Don’t confuse warranty (LLW) with Service Agreements

• Services deliver higher margins

Hui Ann Zhao

Business Development Manager, Services Sales

Global Partner Organisation

E-Consulting Tools for Partners



Data InputsContinuous

MeasurementsActionable Opportunities

Partner Data

Cisco Experiences

What is Cisco E-Consulting for Partners?Sales Productivity Tool

Contextually-relevant

Enablement Assets

Dashboard

Partner Business Reports

Findings & Recommendations

Disti & Reseller Collaboration

(Click-to-View)

www.cisco.com/go/econsulting


Cisco E-Consulting for PartnersPartner Homepage

The Partner homepage is the

default page for Cisco®

E-Consulting for Partners and

provides quick access to your

Dashboard, Partner

Performance Tracker, Findings

& Recommendations and

Partner Reports


Partner Profile Highlights

•Partner Name

•Service Program

•Certification

The Partner Dashboard gives you a holistic

view into your services performance,

including sales, delivery, and product

indicators, rebate capability as well as any

resulting strengths or areas for

improvement

3.

8.

Based on performance information,

trending, product mix, and Cisco®

best practices, you are provided with

your current performance standing

and links to actionable information

to help grow your business


The Partner Dashboard gives you a one-stop,

holistic business view of your Cisco services and

product business, including services sales,

services delivery, and product sales performance

indicators with trending graphs

3.

8.


The Partner Dashboard includes potential

missed opportunities with one-click access for

immediate action


The Partner Dashboard includes interactive

rebate modeling capability. Understand what

service metric percentage is required to meet or

exceed your program incentives.


Partners current performance from

Cisco® Performance Metrics Central (PMC)

updated weekly with color coding based on

rebate threshold requirements

Toggle to view

previous years

Rebate threshold

range for the partner’s

subregion

Easy visibility of partner’s standing and areas of

focus to achieve rebatesSingle view of rebate

performance for the entire

fiscal year New tab


www.cisco.com/go/econsulting

Custom views based on

the partner’s profile

Estimate of partner’s cumulative performance YTD

calculated by Cisco® E-Consulting for Partners

and updated weekly with color coding based on eligibility

threshold requirements

Eligibility threshold

range for the partner’s

subregion

Single view of PSS

performance for the entire

fiscal year

Final cumulative

performance for the

fiscal year


Findings

Strength or Improvement

1

Example of a Finding:

“Current Services

Renewal Rate is below

the minimum threshold to

receive a rebate”

Findings Diagnosis Recommendations

If you want to see what the

recommendations are for

improving your key

performance indicators, click on

the Findings &

Recommendations tab.


Cisco E-Consulting for PartnersPartner Business Review Reports

The Partner Business Review Reports are

on-demand power point reports that can be

accessed via the Partner Reports tab. The

PBR’s include extensive summary and detailed

analysis reports, such as: the program metrics

summary, services opportunities, operational

indicators, high level recommendations and year-

to-date data.


Cisco E-Consulting for PartnersIn Summary

For more details, including user materials: www.cisco.com/go/e-consulting

Request an individualized session with the team: [email protected]

Cisco E-Consulting for Partners

Key Highlights:

A look at your actionable customer sales

opportunities

A holistic view of your Cisco services and products

business

Interactive rebate modeling capability

A list of strengths and weaknesses and associated

recommendations for improvement

In-depth business review reports on-demand

Comprehensive view of your current Cisco

Services Partner Program performance

measurements against program eligibility

requirements

Cisco® E-Consulting for Partners is a powerful business intelligence platform

that combines services metrics and Cisco experience to help you manage, grow,

and optimize your services and technology practice, maximizing your Cisco

Services Partner Program rebate

http://www.cisco.com/go/e-consulting

mailto:[email protected]

Sean Soh

Partner Offer Specialist, Service Enablement

Technical Services

Selling Cisco Technical Services



Extensive online resources and global support community

Advance hardware replacement options

Latest operating system software updates and upgrades

Proactive device diagnostics and alerts

Install base and service coverage management

What Cisco Technical Service Provides

Access to specialized engineers in the Cisco Technical Assistance Center (TAC)


No eligibility requirements * beyond maintaining Cisco contractual relationship

* Certain Advanced Services may require technology specific ATPs

Partner Sells+Cisco Delivers

What You Can SellCisco Branded Services


Offer specific eligibility requirements; certification, specializations, performance metrics


Partner incorporates as an ingredient, then builds upon, sells and delivers +

Partner purchases Cisco intellectual capital and services infrastructure

What You Can SellCisco Collaborative Services


What You Can Sell


Cisco Branded Services

• Ready-for-resale offers that speed time

to market, increase technology and

geographic reach

• Partners resell to customers, while

Cisco delivers the service.

• Examples: Smart Net Total Care, Cisco

Software Support Service, Cisco

Solution Support


• Provides foundational technical services, device diagnostics, and alerts

• Comprehensive inventory and contract management

• Proactive maintenance package

• Allows customers to improve risk management, resolve problems quickly, and reduce operating expenses

• Typical customer has a large, complex or dynamically changing installed base of Cisco products

Cisco Smart Net Total Care

Technical Services


Offers foundational software application

support in one single offering that is easy

to transact, manage and renew

Cisco Software Support Service

Technical Services

• Key to unlocking software license portability

• Right to Support via 24x7 Global TAC, CCO access & Cisco Support Community

• Right to Major Upgrades and Updates (minor and maintenance) for SW features

• Required per Cisco ONE Software Suite (1st year)

• Partner Support Service (PSS) for collaborative delivery support

http://www.cisco.com/c/en/us/products/collateral/software/one-software/q-and-a-c67-732981.html


Cisco Solution Support

Accountability for centralized,

coordinated management and

resolution for any issue with

Cisco and key products within

your multi-vendor solution.

CiscoSolution Support

Primary Point of Contact

Solution Focused Expertise

Coordinates Between Key

Vendors

ManagesCase to

Resolution

Cisco Solution Support

Technical Services


What You Can Sell


Collaborative Services

• A business-to-business offer

• Combines Cisco services capabilities, with

partner resources to create compelling

solutions to customer

• Partner owns not only the sales relationship

but the delivery relationship as well

• Examples: Partner

Support Service

• Provides qualified Cisco channel partners the tools and assets to build a range of new services to help profitably expand your business

• Combines Cisco foundational capabilities with software-based smart capabilities for you to incorporate into your collaborative delivery service offers.

• Smart capabilities provide visibility to end-customer devices and networks, enabling actionable insight

• Can support large and complex networks

Cisco Partner Support Service*

* Please review the eligibility requirements for your region.

Collaborative Technical Support


For further questions, please reach out to below alias;

• Partner TS Core Sales Acceleration team [email protected]

• TS Service

[email protected]

Contact Alias




Common Belief

• I can’t book service because product has just been purchased and there is no PID SN yet

• Service start date effective immediately


I can’t book service because product has just been purchased and there is no PID SN yet


Create quote: uncovered product information is known; request nonstandard discounts/duration — Create a quote and identify uncovered products to attach services; convert quote to an order. No need to map services back to quote or creating a standalone order.

In Cisco Commerce (CCW), you can create a service-only order by either converting an approved quote to an order


I can get RMA support immediate after attaching service


Dead-on-Arrival Warranty Advance HW

Replacement

Pre-requisite - - Active service contract

Definition - New product that fails at initial power-up

within 1st 90 days.

- Separate from warranty & service contrac

t (Service level don’t apply)

Product that fails during warranty period* Product that fails during service contract

coverage period

Replacement Brand new part (made-to-order) New or as new New or as new

Source Manufacturing plant US depot/manufacturing Local depot

Delivery Manufacturing lead time** Ships within 10 Business Days** 8x5xNBD, 8x5x4, 24x7x4, 24x7x2 (Optional

Onsite)

Entitled party Customer/Partner who

purchased directly with Cisco

Customer/Partner who purchased

directly with Cisco

Service Contract owner (Customer)

. Cisco.com ID association to servic

e contract is required.

Customs Taxes &

Duties

Consignee Consignee Cisco

New Service Contract SupportAny new service contract or renewed service contract after the expire of contract may takes up to 30 days for the contract database to be updated to drive the inventory sparing in the local depot .


• You CAN book service in CCW even though there is no PID SN

• You CAN’T get RMA support immediate after attaching service

Summary

Thank You

service attach best practice for distributors - pdf

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