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Politics In Corporate Account
by
Julian Hutabarat
Commercial IT
BASIC ACCOUNT MANAGEMENT
A Commonsense Framework for Managing the Client Relationship
Objectives
Contrast the formal and informal organization Identify the buying roles, orientation, and status of
the people who affect or are effected by this decision
Map the Political Structure and Inner Circle for the current decision
Introduction
Organizational
Structure
Political
Structure
FORMAL
DE JURE / EX OFFICIO
(LEGAL DISTRIBUTION OF AUTHORITY)
APPARENT
NECESSARY
INFORMAL
DE FACTO
SUBTLE
REALITY
Mapping the Organization
Senior VP
Director of
Sales and
Marketing
Director of
Sales and
Marketing
Director of
Engineering
Director of
Information
Services
Sales
Manager
Product
Marketing
Manager
R&D
Manager
Mfg.
Manager
Systems
Manager
Operations
Manager
Formal Roles in the Buying Process
Evaluators are responsible for analyzing your product, service or
proposal, comparing it to pre-defined criteria, and making a
recommendation to management. Often management will form a
committee to conduct the evaluation. There can be product, purchasing,
and legal evaluators.
After analyzing the evaluation results and listening to recommendations,
the Decision-Maker will make the commitment. Typically, the Decision-
Maker has been officially chartered with responsibility and accountability
for accomplishing a specific set of objectives.
a high-ranking person who retains the right to review, approve or veto to
lower-level decisions. Decisions by sub-ordinates with credibility or a
proven track record are routinely approved. Less experienced or
unproven Decision-Makers often have to run a more difficult course of
formal and informal approvals. Often, dollar thresholds are sent to
delineate this approval process.
Someone who will directly use your product or service.
Users will often play other roles in the buying process
Evaluator
E
D
A
U
Decision-Maker
Approver
User
Formal Roles in the Buying Process
Senior VP
A
Director of
Engineering
D
Director of
Information Services
Operations
Manager
Systems
Manager
E
Sales
Manager
Product
Marketing
Manager
E
Manufacturing
Manager
E/U
R&D
Manager
E/U
Director of
Sales & Marketing
Buying Orientation
Technical
T
Financial
$
Relationship
R
Business
B
This person's primary focus is product functionality and technical
capability. They are often analytical and detail oriented. Product
demonstrations, benchmarks, and careful deliberation will be key
This person's primary focus is price, cost, and economics.
While your product must be viable, numbers and negotiations will be key.
This person believes they are forming a business partner- ship and their
focus is the people and company that will be serving their organization.
While your product must be viable, support, trust, effort, and
responsiveness will be key
This person sees the big picture and overall impact your product or
proposal will have on their company's present and future. This person can
properly balance the technical, financial, and relationship issues. Their
vision often extends beyond their company to include their customers,
their competition, and their community. Industry know-ledge and
articulating business vs. product value will be key
Buying Orientation
Director of
Engineering
Operations
Manager
Senior VP
A B
Director of
Sales and
Marketing
B D T
Director of
Information
Services
Sales
Manager
Product
Marketing
Manager
E R
R&D
Manager
B E
U
Mfg.
Manager
T E
U
Systems
Manager
R E
Time Spent
Contact Meeting In-Depth
Status
A person who believes that your success is critical to their company or to
them personally. A mentor will work to help you win by giving feedback,
guidance, political, insight, or competitive information. A mentor takes a
personal interest in your success and will sell in your absence
Coach
*
A person who prefers your solution and thinks that you should win. A
supporter will typically provide you information or assistance, if you request.
However, they may not be vocal in their support.
Supporter
+
A person who shows no preference. They could be ambiv - anent, or they
may have chosen not to display their true feelings. They may not have
decided, or you may not have demonstrated sufficient value to gain their
support.
Neutral
=
A person who believes you shouldn't win and/or prefers an alternative to
your solution : your competitor, an internal solution, or nothing at all.
Non-Supporter
-
A person who believes that your success will hurt their company or them
personally. An enemy will make a special effort to cause you to lose. They
may be a mentor or supporter your competition.
Enemy
x
Your Status in the Sales Campaign
Sales
Manager
Product Marketing Manager
E R +
R&D
Manager
E/U B =
Mfg.
Manager
E/U T X
Systems
Manager
E R =
Operations
Manager
Director of
Sales and
Marketing
B =
Director of
Information
Services
Senior
VP
B = A
Director of
Engineering
T D
Rank vs. Influence - Example RR
Control
what
happens
Ronald Reagan BC Bill Clinton
ON Oliver North NR Nancy
Reagen
Political
Structure Inner Circle
MAKE THINGS
HAPPENS
WATCH WHAT
HAPPENS
4
2
5
3
1
1 2 3 4 5
Rank
influence
WONDER WHAT
HAPPENED
BC .
. ON
. NR
Formal
informal
Mapping The Organization
Apparent Authority Actual Influence
Pres
VP VP VP VP
Pres
VP VP VP
Political Structure
Political
Inner
Circle
Structure
Principles
In every company there is an organizational structure and a
political structure
You can deny the legitimacy of politics, but you cannot deny its
existence.
No one is saying that you have to play the game, but recognize
that a game is being played whether you like it or not.
In every complex buying process, there are multiple buying roles,
formal and informal.
A person's buying information is more a function of style than of
formal responsibility.
Sample
PT Danamon Usaha Lestari - BOD
Bank Danamon Group of Companies DanamonBank, Danamon Insurance, Danamon Finance, Danamon
Securities E N D U S E R S
Zeng De Jesus Frans Moeliono
TECHNICAL
Hardware testing, benchmarking
& assembly
Muchamad Munir Technical Manager
Hengky Hermansyah Engineer
Henrico Engineer
LOGISTIC
Shipment to non Jakarta
branches
VENDOR RELATIONS
Specification and quotation
request. PO Administration
Yap Siauw Ling Person In Charge
E EVALUATOR
D DECISION
A APPROVER
U USER
$ FINANCIAL
T TECHNICAL MAKER
R RELATIONSHIP
B BUSINESS
* MENTOR
+ SUPPORTER
= NEUTRAL
CONTRACT
MEETING
IN-DEPTH
- ENEMY x
NON-SUPPORTER
ROLES IN THE BUYING PROCESS DECISION ORIENTATION Y O U R S T A T U S TIME SPENT
E T
E T -
=
T E JATIS IE ASABA
Supplier Supplier Supplier
A B = D T
D $
President Director Director
Supplier
CONTRACT
Bank Danamon Board of Commissioners
Bank Danamon Group of Companies DanamonBank, Danamon Insurance, Danamon Finance, Danamon
Securities E N D U S E R S
Ms.Augustina Admadjaja & Mr. Okkie Sugiri
PT. DANAMON USAHA LESTARI [DUL] x 35
H/W,S/W Renting & Purchasing EU Call Centre, Payroll
DM. De Jesus
(Zeng) PRESIDENT
DIRECTOR
Frans Moeliono DIRECTOR
George
Gandasubrata DIRECTOR
PT. DANAMON EDS
Tech.Services [DETS] x 500
Main Banking Applications, Data Centre & Credit Card
Operation
George Pawlysin PRESIDENT
DIRECTOR
Hadiyanto Budisetyo DIRECTOR
Yunita Setiarini (Nina)
Secretary
PT. DANAMON SANATEL x 10
Network Integrator VSAT, Transponder Mgmt
Frans Moeliono PRESIDENT
DIRECTOR
Marcell Setiawan DIRECTOR
T
E EVALUATOR
D DECISION
A APPROVER
U USER
$ FINANCIAL
T TECHNICAL MAKER
R RELATIONSHIP
B BUSINESS
* MENTOR
+ SUPPORTER
= NEUTRAL
MEETING
IN-DEPTH
- ENEMY x
NON-SUPPORTER
ROLES IN THE BUYING PROCESS DECISION ORIENTATION Y O U R S T A T U S TIME SPENT
Bank Danamon Board of Commissioners
Bank Danamon Group of Companies
DanamonBank, Danamon Insurance, Danamon Finance, Danamon Securities
E N D U S E R S
Ms.Augustina Admadjaja & Mr. Okkie Sugiri
PT. DANAMON USAHA LESTARI [DUL] x 35
H/W,S/W Renting & Purchasing EU Call Centre, Payroll
George Gandasubrata DIRECTOR
PT. DANAMON EDS Tech.Services [DETS] x 500
Main Banking Applications, Data Centre & Credit Card Operation
George Pawlysin
PRESIDENT DIRECTOR
Hadiyanto Budisetyo
DIRECTOR
Yunita Setiarini (Nina)
Secretary
PT. DANAMON SANATEL x 10
Network Integrator VSAT, Transponder Mgmt
Frans Moeliono
PRESIDENT DIRECTOR
Marcell Setiawan
DIRECTOR
T
Frans Moeliono DIRECTOR
DM. De Jesus (Zeng) PRESIDENT DIRECTOR
