Distributor Best Practice Sharing - Cummins.com
Distributor Best Practice Sharing - Cummins.com
Distributor Best Practice Sharing - Cummins.com
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
K. C. Hall<br />
<strong>Cummins</strong> <strong>Distributor</strong><br />
Success & <strong>Best</strong> <strong>Practice</strong><br />
<strong>Sharing</strong> Process
<strong>Distributor</strong> <strong>Best</strong> <strong>Practice</strong> <strong>Sharing</strong><br />
Objective:<br />
Improve the process for sharing successful filtration sales<br />
initiatives from nonexistent to an average of 5 <strong>Cummins</strong><br />
<strong>Distributor</strong>s learning a best practice each month, without adding<br />
support headcount.<br />
Major Improvement:<br />
Tools, templates and repeatable methods were developed and<br />
documented which enable prioritization and facilitation of<br />
<strong>Cummins</strong> <strong>Distributor</strong>s sharing their sales successes with other<br />
distributors. The process defines an approach to share high<br />
yield, proven, "turn key" initiatives and defines methods to<br />
encourage implementation and monitor feedback to snowball<br />
results of broader execution.<br />
2
<strong>Best</strong> <strong>Practice</strong> <strong>Sharing</strong> – Team<br />
Russ Bretell<br />
Mark Creasy<br />
Kent MacCarl<br />
K. C. Hall Dewayne Jenkins Jeff Whiteaker<br />
3
<strong>Best</strong> <strong>Practice</strong> <strong>Sharing</strong> Process<br />
Potential<br />
<strong>Best</strong> <strong>Practice</strong><br />
Identified<br />
Anyone<br />
Possible<br />
<strong>Best</strong><br />
<strong>Practice</strong> List<br />
Complete <strong>Best</strong><br />
<strong>Practice</strong><br />
Information Form<br />
<strong>Distributor</strong><br />
Hopper<br />
List<br />
Assess<br />
&<br />
Prioritize<br />
Schedule<br />
Share<br />
date<br />
Steering<br />
Comm.<br />
Prepare<br />
the<br />
Presentation<br />
Share the BP<br />
=========<br />
Quarterly<br />
Reward<br />
<strong>Distributor</strong><br />
Monitor<br />
List<br />
Update<br />
Info<br />
Terr Mgr<br />
CD Team<br />
<strong>Distributor</strong><br />
w/ CF assist<br />
<strong>Distributor</strong>;<br />
CF mtg lead<br />
Load<br />
Database<br />
Mktg rep<br />
4
MSA Study & Capability Analysis<br />
Today, I hear about other distributor's filtration sales best practices through: (circle all that apply)<br />
I don't Word of mouth 6 Database 1 Reports I ask 5<br />
Today, I would rate the effectiveness of distributor sharing of filtration sales best practices as:<br />
Non-existent 3 Not effective 4 Somewhat 2 Very effective Extremely<br />
How important do you think it is that we find a way to share filtration sales best practices<br />
Not at all Could be important Somewhat Very important 4 Extremely 5<br />
While <strong>Distributor</strong>s felt that it was important<br />
to share filtration sales best practices,<br />
there was not an effective process being used<br />
and people relied on word of mouth.<br />
5
Bottom 2<br />
Middle<br />
6<br />
Top 2<br />
Voice of the Customer (<strong>Distributor</strong>)<br />
Bottom 2<br />
Importance of Information to share<br />
Middle<br />
100%<br />
80%<br />
60%<br />
40%<br />
20%<br />
0%<br />
Top 2<br />
Profit & Margin<br />
Dist. Benefits<br />
Payback Time<br />
Headcount Req'd<br />
Sales Growth<br />
Mkt/Cust specifics<br />
Dist. Challenges<br />
Lessons learned<br />
Investment Req'd<br />
Time to implement<br />
Detailed step-step<br />
Examples, pics<br />
Ongoing costs<br />
Product specifics<br />
Importance of <strong>Distributor</strong> support elements<br />
100%<br />
80%<br />
60%<br />
40%<br />
20%<br />
0%<br />
Present Template Info Checklist Fianance Template Time Template Facilitator
Data Collection: VOC – “KJ Lite”<br />
Process needs to be effective with execution of:<br />
– Quarterly <strong>Best</strong> <strong>Practice</strong> sharing session<br />
... with user-friendly interface, good <strong>com</strong>puter connection,<br />
strong facilitation, distributor presenter preparation<br />
– Standard presentation format<br />
... that addresses key data needs (profit, sales growth,<br />
benefits, resources, payback) plus other key information<br />
– Communication before the sharing event<br />
... to drive interest and get the key people involved<br />
– Storage of information for future reference<br />
... including presentation materials, session Q&A,<br />
on-going distributor implementation results status<br />
– Training for effective facilitation & execution<br />
... internal personnel and sub-process owners to<br />
drive clear expectations of work and flow<br />
7
Kano<br />
“Surprise &<br />
Delighters”<br />
(Nee d is no t met )<br />
Wall-Street Journal<br />
approach<br />
Effective Quarterly<br />
<strong>Sharing</strong> Session<br />
Link to Filtration<br />
Excellence Program<br />
Sa tis fied<br />
Fe eling<br />
☺<br />
"O n e -Di m e n s i o n a l" Qu a li t y<br />
User-friendly<br />
database<br />
<strong>Sharing</strong> <strong>Distributor</strong><br />
gets a Reward<br />
Turnkey Program<br />
Proven, valuable<br />
Projects<br />
Effective Presentation<br />
Format & Content<br />
Simple and usefull<br />
overall process<br />
Advance<br />
notice<br />
Solid results - high benefit<br />
for low investment<br />
Forward looking<br />
schedule<br />
Presentation & presentor<br />
well prepared<br />
Effective<br />
Facilitator<br />
“Competitive” the<br />
more the better<br />
Regular CF TM<br />
engagement & support<br />
<strong>Distributor</strong> results<br />
updated regularly<br />
Phy s ic all y<br />
Ful fi lled<br />
Co ndit io n<br />
(Nee d is m e t)<br />
Projects stored for future<br />
reference<br />
Presentation template<br />
not time-consumming to<br />
<strong>com</strong>plete<br />
Di ss a tis fied<br />
Fe eli ng<br />
Good systems &<br />
teleconference connections<br />
“Taken for<br />
Granted"<br />
8
Communication Timeline Guidelines<br />
Generic Communication Roadmap for Quarterly <strong>Best</strong> <strong>Practice</strong> <strong>Sharing</strong> Sessions<br />
Notes: 1. schedule below assumes 4 weeks per month … actual calendar will allow an extra week at times<br />
2. monthly TM's & <strong>Cummins</strong> Team should identify possible <strong>Best</strong> <strong>Practice</strong>s for the hopper<br />
3. monthly BP Steering Committee meetings (3rd Thursday) to review hopper and info sheets<br />
4. the scheduled <strong>Best</strong> <strong>Practice</strong> <strong>Sharing</strong> Sessions will be the 2nd Thursday of Feb, May, Aug, Nov.<br />
month 2 months before<br />
1 month before<br />
BP <strong>Sharing</strong> Month<br />
weeks -9 -8 -7 -6 -5 -4 -3 -2 -1 Session +1 +2<br />
Repeat … every quarter ...<br />
Identify possible BP's to get info sheet on<br />
Send BP Info sheet to distributor requesting to fill out<br />
Follow up phone call with distributor champ/PFC<br />
Reminder announcement to all distributors of up<strong>com</strong>ing session in 6 weeks<br />
Send presentation templates to presenting distributors<br />
Follow up phone call with presenting distributors<br />
Firm up BP sharing session & projects to be shared<br />
Send notification to all distributors of up<strong>com</strong>ing session & specifics<br />
Call/email key attendees desired to confirm attendance<br />
Conduct Session - Document Q&A and Interest<br />
Load presentation (W/ Q&A and interest) in databases<br />
Announce in CF database in monthly notice<br />
9
<strong>Best</strong> <strong>Practice</strong> Submissions<br />
<strong>Sharing</strong> Successful Filtration Sales Approaches among <strong>Distributor</strong>s.<br />
Initial information Form for possible <strong>Best</strong> <strong>Practice</strong> to be shared with <strong>Cummins</strong> <strong>Distributor</strong>s<br />
Title:<br />
<strong>Distributor</strong>:<br />
Description:<br />
Dist Champion: Today's Date: mm/dd/yy<br />
General information<br />
Financial information<br />
Launch Date: When was the program launched mm/yy Sales: What annualized sales are you realizing $k<br />
If less than a year, how much sales since launch $k<br />
Prep Time: How many months did it take to get ready to launch # Margin: What % net margins are you realizing xx%<br />
Factory support: Did you require any support from the factory yes/no On-going costs: What on-going expenses are there $k<br />
If yes, what Support item 1 … List: item 1 $k<br />
support item 2 … item 2 $k<br />
support item 3 … item 3 $k<br />
Markets: What markets/customers are involved Investment: Any capital required (what How much $) $k<br />
xxx markets item 1 $k<br />
xxx customers item 2 $k<br />
Products: What products are involved Manpower/people required prior to launch # - mo.<br />
xxx products<br />
(how many / % of people time for how many months<br />
Benefits: What key benefits have you seen What non-people expenses were needed $k<br />
benefit 1 … item 1 $k<br />
benefit 2 … item 2 $k<br />
benefit 3 … item 3 $k<br />
Challenges: What challenges did you over<strong>com</strong>e Payback: What was your expected payback time in months #<br />
challenge 1 …<br />
challenge 2 … What was your actual payback time in months #<br />
challenge 3 …<br />
Applicability:<br />
State reasons why other distributors should, or may not, see the same benefits. (focus, structure, environment, etc)<br />
Other:<br />
Any other information you believe is important to understand about this program<br />
10
Prioritization Process & Criteria<br />
Category Weight Score Definition (1-10 scale)<br />
Annual Sales realized 10 1 for every $10k (ex - $20k = 2; $100k+ = 10)<br />
Margin / net profit 10 1 for every point over 10% (ex - 12% = 2; 20%+ = 10)<br />
Implementation time 7 10 minus # months (ex - 1 mo. = 9; 6 mo. = 4)<br />
Payback time 10 same as implementation time<br />
Investment required - capital 7 Annual margin minus capital spend (10 max)<br />
Investment required - people 10 10 minus #peopleXimplementation months<br />
applicability to other distributors 10 # of distributors (ex - 2 = 2; 10+ = 10)<br />
Difficulty 8 subjective: 10 = super simple; 1 = very difficult (avg. votes in room)<br />
Alignment with CFBU strategy 7 subjective: 10 = direct hit; 1 = stretch to connect (avg. votes in room)<br />
Factory support needed 7 10 minus $10k needed per distributor<br />
Proven-ness 8 # of months worth of demonstrated results (10 max)<br />
TOTAL<br />
Highest priority projects will be those<br />
that have proven to yield high results<br />
with minimal investment or rapid payback.<br />
11
<strong>Best</strong> <strong>Practice</strong> <strong>Sharing</strong> Presentation<br />
(Summary – see separate Power Point template)<br />
12<br />
Description # slides Content<br />
Project title 1 <strong>Distributor</strong>, Title, document author, distributor expert<br />
Summary 1 Financial summary, Time/Resource to implement, Investment, Payback, Benefits<br />
Situation 1 Environment - why was this done, distributor needs, customer needs<br />
Description 1 High level bullet point description of project, program, key elements<br />
Lessons Learned 1 What went well What did not If did over again, what would you change<br />
Closing 1 Next steps at distributor, who to contact for more info<br />
Interest Question 1 Which distributors think they want to do this - get count/names; other updates<br />
7<br />
Start Appendix here<br />
Supporting Info up to 5 Pictures, documents, tools, materials, photos, etc.<br />
Timeline 1 Key steps, tasks, milestones, decision points<br />
Keys to success 1 List the key ingredients or reasons for this program/project being a success<br />
Customer benefits 1 Customer benefits demonstrated (tangible, intangible)<br />
<strong>Distributor</strong> benefits 1 <strong>Distributor</strong> benefits demonstrated (tangible, intangible)<br />
Challenges 1 Key challenges/obstacles over<strong>com</strong>e - how Challenges/obstacles that still exist.<br />
Financials 2 Justification, P&L, Cashflow, sales/margin mo. Trends, investment/payback ROI<br />
Open Advice 1 Open - what would you advise other distributors on this project<br />
Other Appendix as need Open - whatever other info would be helpful to include in the package<br />
Q&A Capture as many as needed Scribe to capture slide #, question, and answer from discussion.<br />
Q&A slides are for retention & reference purposes only - not part of presentation.<br />
Total = 20<br />
Power Point presentation template is<br />
available to ease the preparation burden.<br />
Most information <strong>com</strong>es from initial submission.
Tool for On-Going Monitoring of Status<br />
after <strong>Best</strong> <strong>Practice</strong>s Have Been Shared<br />
<strong>Cummins</strong> Filtration - <strong>Distributor</strong> Successes and <strong>Best</strong> <strong>Practice</strong> Implementation Summary<br />
Pilot<br />
<strong>Distributor</strong> Atlantic Bridgeway Cal Pacific Central Pwr Crosspoint<br />
Status Status Status Status Status<br />
BP # Title <strong>Distributor</strong> Expert 1 2 3 4 5 6 1 2 3 4 5 6 1 2 3 4 5 6 1 2 3 4 5 6 1 2 3 4 5 6<br />
Dealer Fill-In Power Systems Kibler/Schultz<br />
1 &<br />
West<br />
Maher<br />
x x x x x x x x x x x<br />
Growth Program Western Canada Hazelwood<br />
2 Maintenance Kits Southern Plains Stoker, Karen<br />
Walthers<br />
x x x x<br />
3<br />
4<br />
5<br />
6<br />
Status Key:<br />
7<br />
1. Participated in BP <strong>Sharing</strong> session<br />
8<br />
2. Expressed interest in implementing<br />
9<br />
10<br />
3. In process of implementing<br />
4. Executed and Active<br />
5. Results available - R/Y/G vs expectations<br />
6. Re<strong>com</strong>mend to other distributors<br />
At each quarterly session, record attendees,<br />
expressed interest in implementing the opportunity just<br />
shared, and also record status of previous plans.<br />
13