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Advantech’s Channel Strategy & Business Program
Stefanie ChangManager, Advantech Global Business Operation
December 6, 2019
Transformation of Advantech Channel Management
Channel Positioning Classification
Global Channel Management Policy
Regional Channel Management HQ
Worldwide unified channel classification structure, conducting auditing
& certification mechanism.
Establish disciplined, legislative and systematic channel policy applying for global channel management.
Empower & Authorization to regional cross-sector channel management HQ and align to global policy with solid execution.
Channel Management 2.0
Key Initiatives of Channel Management 2.0
Channel Positioning, Authorization and Pricing Strategy
Channel Mindshare Objectives and Business Programs
Channel Performance Assessment, Auditing and Re-position
Advantech Worldwide Channel Positioning Classification
GBO v.201912
Dealer Dealer, VAR
PCPPremier Channel
Partner(PCP)
Alliance Premier Channel
Partner (APCP)
CP
Master Fulfillment
CP (MFCP)
Online CP
(ONCP)
Focus CP (FCP)
Authorized CP (ACP)
Regular
Gold
Sliver
Regular
Gold
Sliver
ONCP are
online/eCommerce partners,
dedicate to develop the business through
eCommerce platform only. The threshold
of contract quota is $100K.
MFCP <China special> operating in
box-moving volume distribution,
require safety stock to serve as the
fulfillment partner to customers (general
accounts/ key accounts/ channel partners/…)
depending on business scenarios.
ACP/G,S,R are channel partners
with no obvious sector focus and serving
the general distribution to industrial customers. Three
classes by Regular($100K), Silver($300K),
Gold($500K) taking required product
training from Advantech.
FCP/G,S,R are product focused or design-in focused partners (phase-1);
or DFSI/SRP developer (phase-2). Shall
take the mandatory technical certification from Advantech. Define by 3-
classe: Regular ($100K), Silver ($300K), Gold
($500K). Require 40% quota of focus sales and
KPIs of focus business.
PCP are the channels performing
sustainable volume revenue(>$1M or >$3M in big region) and reach
required technical and
organizational capabilities.
Dealer is the tier-N indirect customers, shall be referred to a
specific CP/PCP for fulfillment service but still be engaged with Advantech
for development plan and sales support.
APCP are selective PCPs who
presenting close engagement and alignment
with Advantech; will collaborate with
strategic co-investment activities
and business alliance programs.
Advantech Channel Partner Development withMindshare Objectives & Pricing Strategy
CP
ONCP
•Revenue growth w/ Profit generation
•eCommerce Biz with digital tools & program
•Component business promotion
MFCP
•Revenue growth
•Volume disty master region distribution
• Safety Stock and Fulfillment Service
ACP
•Revenue growth, Territory/Coverage expansion
•Dealerships network development
•Advantech branding awareness & promotion
FCP
•Revenue growth, Targeted Sector KA development
• Focused product promotion (Phase I)
•Domain Focus SI/SRP (Phase II) Resources Injection
PCP
PCP• Strategic Business Breakthrough•Resources of Technical & Organization •Conditional Exclusivity (sector/territory)
APCP• Strategic alliance•Co-investment• Joint venture: CCJV, JVCP
Advantech Channel Partner Development withMindshare Objectives & Pricing Strategy
CP
ONCP
•Revenue growth w/ Profit generation
•eCommerce Biz with digital tools & program
•Component business promotion
MFCP
•Revenue growth
•Volume disty master region distribution
• Safety Stock and Fulfillment Service
ACP
•Revenue growth, Territory/Coverage expansion
•Dealerships network development
•Advantech branding awareness & promotion
FCP
•Revenue growth, Targeted Sector KA development
• Focused product promotion (Phase I)
•Domain Focus SI/SRP (Phase II) Resources Injection
PCP
PCP• Strategic Business Breakthrough•Resources of Technical & Organization •Conditional Exclusivity (sector/territory)
APCP• Strategic alliance•Co-investment• Joint venture: CCJV, JVCP
Mindshare Objectives of Strategic / Focused Business Collaboration
Biz
Gro
win
g w
ith
Min
dsh
are
Mindshare
Advantech Channel Partner Development withMindshare Objectives & Pricing Strategy
CP
ONCP
•Revenue growth w/ Profit generation
•eCommerce Biz with digital tools & program
•Component business promotion
MFCP
•Revenue growth
•Volume disty master region distribution
• Safety Stock and Fulfillment Service
ACP
•Revenue growth, Territory/Coverage expansion
•Dealerships network development
•Advantech branding awareness & promotion
FCP
•Revenue growth, Targeted Sector KA development
• Focused product promotion (Phase I)
•Domain Focus SI/SRP (Phase II) Resources Injection
PCP
PCP• Strategic Business Breakthrough•Resources of Technical & Organization •Conditional Exclusivity (sector/territory)
APCP• Strategic alliance•Co-investment• Joint venture: CCJV, JVCP
Mindshare Objectives of Strategic / Focused Business Collaboration
Biz
Gro
win
g w
ith
Min
dsh
are
Mindshare
Pri
cin
g St
rate
gy b
y P
osi
tio
n L
eve
l
Pricing Strategy by Strategic / Focused Business Development PlanPricing
Global Practices of Mindshare Business Program
Territorial Expansion JVCP
Dealer Program or Leads
Generation & Fulfillment
Organization Co-Investment
(dedicated force)
WISE-PaaS VAR & DFSI CCJV
Device Promotion &
Stock Program
eCommerce Platform & Franchise
eStore
Vietnam,
Turkey,
LATAM
Philippine,
India
Ukraine,
ASEAN,
S.Africa
ASEAN,
ME&A,
Russia
Japan,
Europe
Dubai,
Singapore,
Malaysia
Resources Injection to
Focus Sector Biz project
Russia,
India
Global Practices of Mindshare Business Program
Territorial Expansion JVCP
Dealer Program or Leads
Generation & Fulfillment
Organization Co-Investment
(dedicated force)
WISE-PaaS VAR & DFSI CCJV
Device Promotion &
Stock Program
eCommerce Platform & Franchise
eStore
Vietnam,
Turkey,
LATAM
Philippine,
India
Ukraine,
ASEAN,
S.Africa
ASEAN,
ME&A,
Russia
Japan,
Europe
Dubai,
Singapore,
Malaysia
Resources Injection to
Focus Sector Biz project
Russia,
India
……
……
……
Regional Cross-sectorChannel Management HQ
Channel Management 2.0 Operation Structure
Sector BDM
SBG SectorEIoT SIoT IIoT
AOnline/IoTMart
Sector-Lead CSF organizationSector Business Development
Special Resources empowermentAccount/Project Co-Development
Special Resources empowermentBusiness Strategy Collaboration
Channel Sales Force
DirectCSF
RBUCSF
Sector-Lead Regional Channel Strategy Business Plan & Marketing Plan with Channel
Sales Activity & Marketing Promotion Partnership & Mindshare Development
Channel Support & Service
Channel Marketing Support & Program Technical Support, Training & Certification
Sales Operation Support (inside sales)
Common Sector General Channel
Defined Region by General Selling revenue Development Defined CP with General Distribution Sales
Channel ProgramChannel Positioning & Pricing Strategy
Mindshare Program & Conflict ManagementChannel Management Platform & System
Channel Auditing Channel Authorization & Contract Review
Channel Performance Assessment (CPA) Incentive/Rebate/JMF Review
Price Administration
Region RLP & Price Grade Management Channel System Price Review Gatekeeper
Global Channel Strategy & Policy
Corp. Channel Classification PolicySector Price Authorization PolicyPerformance Assessment PolicyGeneral Management Policy Strategic Alliance ProgramGlobal Conflict Management
Corporate Global Business Operation
Channel Performance Assessment Criteria
QualificationBaseline
Basic Quota Achievement
Channel Contract Completion & Validation
Business Plan and Marketing Plan Submission
Collaboration Performance
Quota Achievement of total Revenue
Quota/KPI Achievement on Focused Area
Deliverables of Co-Branding Event & Marketing KPIs
Organization Resources for Advantech Team
Completion of Technical Training & Certification
Performance/Deliverables of Channel Program
Alignment & Compliance
Business Engagement and Strategy Alignment with Advantech
Accordance with Advantech Channel Management Policy
Partnering for Success
EngagementStickiness
Creation
Collaborative contributions to create new value together
Co-involvement of business development with resource supports
Mindshare
Mutual commitment to business breakthrough with strategic objectives
Grow trust and connection with long term partnership
Co-Creating the Futureof the IoT World
Co-Creating the Futureof the IoT World