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42 TOCPA International Conference

13-16 May 2019, Johannesburg, South Africa

FLOW FOCUSED SALES SOLUTION

Konrad Bartel
OpsLogik Solutions (Pty) Ltd
South Africa
 Introduction

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 Introduction

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 Introduction

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 Conversation Flow

• The Marketing & Sales World

• Flow Focused Sales Solutions

• 5 Critical Success Factors
• Implementing the Change

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 The Marketing & Sales World…

… a TOC perspective

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 The Marketing and Sales World
High Commission
Low/No Low Basic
Commission
High Basic Features & Benefits Market In-
Internal house
Use Marketing Team
Agencies
Outsource
Present Value &
Demo
Commission and/or
its derivatives Exploit the human
Institutionalize the
capability of people
Sales Function
to sell to people

Successful Sales Solution

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 The Marketing and Sales World

If we take a look at this all overriding belief system from the perspective of the
“Necessary but not Sufficient” questions:

What is the real power of the technology?

What limitation does this technology diminish?
What rules helped accommodate the limitation?
What are the rules that should be used now?

Commission and/or
its derivatives

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 The Marketing and Sales World

Institutionalize the
Sales Function

Successful Coping
Sales Mechanism
Limitation
built into
Solution “Rules”
Exploit the human
capability of people
to sell to people

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 The Marketing and Sales World

Commission
and/or its Product
(features)
derivatives

Transferring Risk to
Sales People became

t
rke
the Coping Mechanism Business

Ma
to deal with a Model
significant Limitation

Business could simply not afford

to take the risk of aligning Midas Touch
Product and Business Model Salesperson
with finding elusive Customers
with a need for their product

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 The Marketing and Sales World

Word of
Product Market Fit Mouth
Full PMF
Innovative
Competitive Markets

Blue Ocean

Red Ocean Difficult Sale:

Huge effort
Commodities Sales team work
hard
Grudge Purchases

Effort to Sell

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 The Marketing and Sales World

Way to Cope Challenge

The “Midas Touch” Salesperson Full
Relationships and value perception Product
Market Fit
20 1 - V luti ate Syst
19 8 - S 8 - St lling
19 197 ler S
19

02
9

20 05
8
67

- C alue n / S ic Se m
20 m ing Se g

11 - B Sale Sel ork

-S

20 Rain entr mew

us Se
02 er Fr llin
an

- T as s T ling
t
o

o
-
d

he elin rai
o

Ch e nin
ll
C a
r
e

all Se g
e n llin
pin llin
g

Commodity
ic

ge g

Products
rS
e

ale

Competitive The ability to

g

Markets improve
conversion
Exploit the human capacity to sell rates
Try to do better when we don’t have
good product market fit

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 Flow Focused Sales Solution

Traditional Value definition:

Features & Benefits
Value =
Price

“Value is created by removing a significant

limitation for the customer, in a way that was
not possible before, and to the extent that no
significant competitor can deliver.” Yishai Ashlag

What should the new rules be?

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 Flow Focused Sales Solution
A Successful Flow
Focused Sales
Function Exists

The Un-Refusable
The Company adopted Offer Conversation
the TOC Marketing & Exists
Sales Solution
The Sales Process The Marketing Lead the
Deal Flow is the has been customer to
Solution Exists
Primary Redesigned value discovery
The Company
Objective The Business Un-Refusable Communicate
Subordinates to Offer Exists the results
Deal Flow (value) of the
Achieve full PMF solution
Product
Market Fit

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 Flow Focused Sales Solution

Implementing the Change

• Adaptive Change - new skill-set within a new mind-set.
• A process of continual spirals of growth

Emotion Understanding
(More and More)
and results
(More and More)

Intuition
(More and More) Be able to think clearly
Think Cause and Effect

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 Flow Focused Sales Solution

Implementing the Change:

What to What is our new What to Change to?
Change about sales goals? What is Flow based /focused
Sales? operations?

What should our new offer be?

The “product” of our ”Deal Assembly Line”

What should the new How should we manage the Flow

Sales Organization look like? Focused Sales Process?

How do we market our deals? How do we sell the value of our deals
to the customer?

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 Flow Focused Sales Solution

What to What to Change to?

Change about What is our new What is Flow based /focused
Sales? sales goals? operations?

What should our new offer be? The “product” of our

”Deal Assembly Line”

What should the new Sales Organization How should we manage the Flow
look like? Focused Sales Process?

How do we market our deals? How do we sell the value of our deals
to the customer?

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 Flow Focused Sales Solution

TOC Sales Concepts:

Customer POV

TVC
Meeting Customer Needs
Different price points meeting
different needs

Sales Volume
Supplier POV
Cost + Recovery + Margin
Sales Volume

Customer POV

Perception of Value (POV - R)

Perception of Value (POV - R)

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 Flow Focused Sales Solution

TOC Sales Concepts:

• To support people with defining the “boundaries” of the TP
analysis and build understanding of the market we develop
Buyer Personas
A persona is a composite sketch of a key
segment of your target audience, or of a
particular person that you deal with in your
sales process.

Your B2B buyer persona is a working

document.
• It is easy to understand and can be used by
anyone in your organisation - graphic
illustration.
• It must be kept up to date or you will lose the
advantage of knowing your customer.

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 Flow Focused Sales Solution

DCE & Generic Offers

1 High
Inventory Low/No
Unwanted Obsolescence
Cash
Effects
(UDEs)
Validate the
4
C-E logic

2
What ”Rules”
Price, Price, Order Large Delay
does the Market Price batches Payments
have/use to cope?

3
Core Supplier
Problem Policy

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 Flow Focused Sales Solution

Re-Designed Sales Organization - Example

High
Inventory
Unwanted Desirable Effects
Low/No
Effects Obsolescence
Cash
Low Stock
(UDEs)
No Waste

What are the new “Rules”

Core Supplier Unrefusable
Problem Policy Offer

99% Available /
99% Reliable /
Guaranteed Results

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 Flow Focused Sales Solution

Re-Designed Sales Organization - Example

Sales Manager
Market
Exploitation Planning Planning
Framework New Business Development
Marketing Selling the DCE
(Opportunity Management)
Lead
Promotion Generation Business Business
Relationship Development
Acquisition Relationship Sales Development
Management Coordination &
Opportunities
Sales Support Manager
Creating the Relationship
with the Market

Customers
Planning
Function
Internal Sales
Resources

Planning
Account Replenishment Sales Orders
Management Planning & Execution
Work Flow
Measured Flow Support delivering on the DCE
Control point
Customer Service
Time Buffer (During & After production
Prioritized

WIP Buffer
Prioritized

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 Flow Focused Sales Solution

Re-Designed Sales Organization - Example

Sales Manager
Market
Exploitation Planning Planning
Framework New Business Development
Marketing Selling the DCE
(Opportunity Management)
Lead
Promotion Generation Business Business
Relationship Development
Acquisition Relationship Sales Development
Management Coordination &
Opportunities
Sales Support Manager
Creating the Relationship
with the Market

Customers
Planning

Internal Sales

Account Replenishment Sales Orders

Management Planning & Execution

Support delivering on the DCE

Customer Service
(During & After production

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 Flow Focused Sales Solution

Sales Management
We use simple / free apps to develop and manage the new approach

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 Flow Focused Sales Solution

Sales Measurements: WIP = Lead Time x Flow Rate

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 Flow Focused Sales Solution

Sales Measurements: WIP = Lead Time x Flow Rate

www.tocpractice.com 42 TOCPA International Conference

 Flow Focused Sales Solution

Sales Measurements: WIP = Lead Time x Flow Rate

www.tocpractice.com 42 TOCPA International Conference

 Flow Focused Sales Solution

Sales Measurements: WIP = Lead Time x Flow Rate

www.tocpractice.com 42 TOCPA International Conference

 Flow Focused Sales Solution

Sales Measurements: WIP = Lead Time x Flow Rate

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 Flow Focused Sales Solution

Way to Cope Challenge Way to Expand

The “Midas Touch” Salesperson Achieving Generate the highest possible revenue
Relationships and value perception WOM Low Risk
based Stable flow – rate of sales
20 1 - V luti ate Syst
19 8 - S 8 - St lling

Sales Scalable
19 197 ler S
19

02
9

20 05
8
67

Support alignment with other business

- C alue n / S ic Se m
20 m ing Se g

11 - B Sale Sel ork

-S

20 Rain entr mew

us Se
02 er Fr llin

functions
an

- T as s T ling
t
o

o
-
d

he elin rai

Continual Productivity Improvement

o

Ch e nin
ll
C a
r
e

• The Ability to
all Se g
e n llin
pin llin

ge
g

C h le
Commodity improve
ic

ge g

Ru
an
Products
rS

10x conversion rates;

e

ale

Competitive
g

Markets • Create market

pull
Exploit the human capacity to sell Subordinate Exploit Deal
• Disrupt buying
to the Deal – Flow
process
flow based • Message the rule
sales change value

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