Evolve Your Services Business

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Evolve Your Services Business. Richard Horsfield June 19, 2013. Evolve Your Services Business. We Are On a Journey What is Evolve and Optimize? Why Services? Strategy and Planning Building Services Marketing Selling Next Steps. Cisco Is On a Journey . and we want - PowerPoint PPT Presentation

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Evolve Your Services BusinessRichard HorsfieldJune 19, 2013Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#COVER SLIDE

Guidance to the presenter:

The target audience for this presentation are C-Level contacts responsible for business decisions at Cisco channel partner companies who want to evolve and grow their services business to achieve significant profit impact. It enables a business discussion.

The overall intent is to provide the partner executive with a pathway or roadmap that will show them the key steps that need to be taken to establish their own branded professional services offers, support service offers, or managed service offers, and that will show them where Cisco services such as CPS, SNTC and SC fit into the picture.

Key Messages:There is a very good opportunity for partners to create their own brand of professional, product support, and managed servicesThe Cisco portfolio of collaborative and support services can be leveraged to help establish partner branded offersThe Cisco smart services can help partners deliver their own brand of professional, product support, and managed services with improved profitability

Evolve Your Services BusinessWe Are On a JourneyWhat is Evolve and Optimize?Why Services?Strategy and PlanningBuilding ServicesMarketingSellingNext StepsConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Cisco Is On a Journey

Customer & Market Trends

Cisco Journey

Future Vision 3 to 5 years: The Internet of EverythingIndustry Trends 1 to 3 yearsNowCisco Campaigns

MobilityCloudSDN/Open NetworkingInternet of Things (Verticals)Customer ExperienceSecurity: Evolving LandscapeData in Motion

Partner Journeyand we want Partners to join usConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Keep imagery Fix fontWhat is Evolve and Optimize?Attach, Renew and Migrate more through automation, upsell and effective installed base managementIncrease your value add by delivering more services and software powered by smart capabilitiesReduces costs, increases attach and renew. Increases renew, creates opportunity to turn base, increases account controlGain market share, create unique value, maximize profitabilityIncrease differentiation, Build and grow recurring revenue stream, increase profitability and provide greater account controlNew solutions, new business modelsEvolve EngineOptimize EngineInnovate EngineConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Colors are significantTie 3 pillars to other slide content

What Were Doing to HelpWhat + WhyPrograms + OffersResources + IncentivesWhat to SellIncrease services revenues(Leveraging Smart capabilities) Move up the decision tree to transformation opportunitiesEvolveWhere to Sell ItMaximize your installed base (Opportunity Development with IBLM)Reduce operational costs and create space to transformOptimizeWhere Were GoingCreate new profit centers(Partner of the Future)Take advantage of future opportunities TransformWhat Services?Product Support Managed Services Professional ServicesWhat Solutions?Cloud Mobility AppsLeading PracticesIncentives (DIY)Services/Plays (Outsource)Leading PracticesIncentives (DIY)Services/Plays (Outsource)Leading PracticesIncentives (DIY)Services/Plays (Outsource)Renewal Engine Migration EngineAttachRenewCoverRefreshConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#CPAI Cisco Partner Annuity IncentiveLDOS Last Day of SupportIBLM Installed Base Management Lifecycle

EVOLVECreate value with Customers (Leveraging Smart capabilities) Move up the decision tree to open transformation opportunities

OPTIMIZEControl your installed base (Opportunity Development with IBLM)Reduce operational costs and create space to transform

TRANSFORMEstablish new profit centers for your business (Partner of the Future)Take advantage of future opportunities (and Cisco investment to get there)

5Best-in-Class Approach

Whatever your business modelSelling services is an opportunity to boost your bottom lineOptimize Your Profitability Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Doesnt matter what type of partner were working with , the best way to opt bottom lineImplementing services businessHelp partners to get to BIC

No matter what Predominant Business Model you are, the clearest opportunity to positively impact the Bottom Line (EBITDA) is through ServicesThus, the goal is help you to get to Best In Class to optimize your overall profitability

Talking Points: Customers have business and technology needs You offer them things today that they purchase from you You want to maximize wallet share and customer control The things you want to add are enabled by services You need to determine how to add these services to your business

How Does Smart Help?Services that havewhich collectwhich is analyzed and compared toto provideCISCO INTELLECTUAL CAPITAL+Automated Software-EnabledCapabilities

Network DiagnosticData

Actionable Insight

Ciscos Intellectual Capital

+90K+technical documents6M annual customer interactions50Minstalled devices25networkinginnovation leadershipyearsConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Utilizing intell within environments

Standard Cisco slide Can change font Keep icons Strategy and Planning Building Services with CiscoConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#

Managed ServicesService Desk Stewardship Remote Backup Contract Management Remote Monitoring and Management Pre-Paid Professional Services Optimization Operations Management Solution SupportProfessional ServicesStrategy and Analysis Assessment Design Validation Deployment Migration Product Support Solution Support Operations Management OptimizationWhat Services Are There?PlanBuildManageProduct Support ServicesCore Product Support Repair and Replacement Alerting, Patching and Updating Installed Base Management Contract ManagementConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Partners to determ what sort of svcs bus they areShow pbm as 3 lifecycle phases

What to Where these Colors are only significan in that we want to connect cat in the next slide

Emphasize Plan Build Manage Turn them into arrow No sign to the background graphics

The Path to a Services PracticeStrategy + PlanningWhat do we sell, and why?

MarketingHow do we create demand and discover opportunities?

SellingHow do we position and close deals?

Building Service OffersHow do we establish and deliver these solutions?

Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Journey we want partners to go on

S&P Next 3 stages Preserve images

STRATEGY AND PLANNINGWhat do we sell, and why?Cisco brand, or Partner brand? Product services? Managed? Professional Services?

BUILDING SERVICE OFFERSHow do we establish and deliver these solutions?

MARKETINGHow do we create demand and discover opportunities?

SELLINGHow do we position and close deals?

Key Service Practice Ingredients Partner ResourcesPartner InvestmentPartner StrategyLeading Practices(Process, Methodology, Tools)Cisco Services(Cisco Branded Resale, Collaborative Services, Data Collection)Standardized Architectures(Smart Business Architecture)Increased Services Sales ProfitsReduce CostSpeed to MarketReduce Risk+=Cisco-Branded Resale Services Enabled Partner Services OffersImprovedDifferentiation Customer SatisfactionConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Approach to Building Services with CiscoKey Ingredients

What Cisco and Ingram can provide to the partnersHave assets Colors not significant but would like to maintain the sequence of the green boxes.No problem changing boxes shapesMaturity Level = Better Profits

Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#LEADING PRACTICES

Important Direct link between their maturity level and their profitability.

Properly implemented services can: Reduce costs Increase profitability Increase wallet share Provide valuable differentiation Evolve your business Enable long term relationships with customers

Standardized Architectures

Tested and Validated Solutions Work Together

Comprehensive Architectural Solutions

Modular, Systematic ApproachReduces risksRemoves complexityAccelerates pre-sales cycleSpeeds deploymentReduces / Eliminates post-sales issuesCost benefits / savingsTrusted adviser relationshipProtects investmentsMore service selling timeFuture services and solutionsConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#STANDARDIZED ARCHITECTURES

What is it?A series of modular blueprints that provides step-by-step recommendations for a phased approach to building a network architecture.Tested, validated way to deploy complete Cisco networks with minimal risk.

Why is it important?

How does it help?Reduced RisksAccelerated pre-sales cycleReduction or elimination of post-sale issuesEnhanced ability to build trusted-advisor relationshipsMore time to focus on selling servicesSimplifies ComplexitySpeeds DeploymentOperational and Economic BenefitsProtects IT investmentsHelps pave the way for support of future services and solutions

Resell or Build? Which is Best?ResellBuildHybrid

CustomerSolution Provider PartnerCisco or 3rd Party Provider

CustomerSolution Provider Partner

CustomerSolution Provider PartnerCisco or 3rd Party Provider

Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Create or Resell

Colors are not sigificant other than to show the diff between entities

You have choices to resell, build, or establish a hybrid delivery capability. All three approaches are viable and can be profitable. Selection depends on your preferences and current state.

Services business models can be categorized by delivery capability. Partners have choices to buy, build, or establish a hybrid delivery capability. All three approaches are viable and can be profitable. Selection depends on your preferences and current state. These three approaches are represented in the following figure.

These business models provide partners with the ability to build their managed services business incrementally and allows for investments to be spread over time.

Reference: Growing a Managed Services Practice with Cisco Leading Practice Guide.

Customer Needs / Services LifecyclePlanBuildManageCisco ServicesEnable Services OfferingsCisco ServiceCisco Smart ServiceCisco-Branded Services(Cisco Delivers)SMARTnetSmart Net Total CareCollaborative Services(Partner Delivers)Smart CarePartner Support ServiceCollaborative Professional Services

Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Take concept of 3 service offerings that a partner can createWay deliver to customer

Colors not significant Use from earlier slideBuildingService OffersEstablishing + Delivering SolutionsConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Professional ServicesServices + Support Building Blocks Services Delivery Skill Building and AllocationProject Management FrameworkProject Handover and ClosureDiscovery/Readiness FrameworkDesign FrameworkImplementation FrameworkEngagement Quality Assurance and BenchmarkingCustomer Satisfaction Surveys and ReferencesSupport Services Skill Building and AllocationHelp Desk and Adv. Tech Support ServicesOnsite Support ServicesFunctional Knowledge TransferNetwork MonitoringOperations FrameworkTechnical Account ManagementLong Term Support ServicesOptimization FrameworkReference: Cisco Partner Field GuideSupport and Managed ServicesConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Refer to the Cisco Partner Field Guide for more details.

Not a trivial exercise to set up or branch outBig things to take into considerationClear link between the 3 Cant do one and not the others

MarketingCreating Demand for Your ServicesConfidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#Confidential and proprietary information of Ingram Micro Inc. Do not distribute or duplicate without Ingram Micro's express written permission.120309_#

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