Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_1
Ingram Micro Service
Advantage Program
James SkeltonDecember 11th 2013
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_2
Agenda
Program Overview
Why Service Advantage?
Service Advantage Process Outline
Next StepsConfidential 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_3
Service Advantage Vision
To create a high-value experience for select partners currently engaging with Ingram Micro for Cisco Services
Jointly develop and deliver goal-oriented plans to grow Cisco Services Business based on metrics, best practices and business tools.
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_4
Service Advantage Program Overview
YOU
CISCO
INGRAM
MICRO
For Ingram Micro’s mosthighly-engaged partners
An Exclusive Program
In-depth analysis of your current Cisco business
Understand your direction and goals
Provide a prescription for services-led growth
Give you the tools to execute on the plan and move your business forward
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_5
Benefits …By the Numbers
Partners that have engaged directly with Cisco have realized
61%YoY Services Growth
24%YoY Product Growth
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_6
Service Advantage Process
1 Collaborative program review with partner executive management
2 Authorize Cisco to share services business data with Ingram Micro. Discovery call with Ingram Micro.
3 Ingram Micro will create and present findings, goals, and plans to grow services business
4Regular engagement to execute plan, monitor progress, and measure results
Program Introduction
Discovery & Metrics
Build Custom Plan
Deliver Plan
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_7
Discovery
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
Understanding your approach to Services Attach and Renew
Review of Performance Metric Data
Understanding roles
and responsibilities
How soon do you
quote service
renewals?
Using contract data for
upsell and refresh?
What Tools
Do You Use?
Current Attach and
Renew Rates?
Smart Services?
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_8
Baseline Metrics
YoY Revenue
Current Attach Rate
Current Renewal Rate
Goals
YoY Revenue Growth
Attach Rates Growth
Renewal Rates Growth
Incentive Opportunity
$1,500 Per Quarter for Goal AttainmentConfidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
Custom Plan
Setting Achievable Goals againstKey Performance Metrics:
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_9
1. Comprehensive Review of Services Installed Base
2. Determine Customer threshold for Automation
3. Assign responsibility for Renewals
4. E-Consulting Review and Analysis
5. Schedule Monthly call to review opportunities
Custom Plan
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_10
E-ConsultingOverall Rebates Summary QTD
Month End Metrics: November 2013
Maximize your Sales Performance Rebate by taking action on missed opportunities.
Sales Performance and Rebate
Metric Service Coverage Service Opportunity Metric ValueProjected Rebate
*
Consolidated Attach Rate (LLW Adj) $502,204 $567,991 88.4% 2.84%
Renewal Rate - SE QTD $493,042 $1,006,357 49.0% 0.00%
Current Projected Sales Rebate FQTD 2.84%
Premium Services Rebate* 1.00%
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_11
E-ConsultingTop 20 Attach Opportunities Last 12 Months
Top 20 Indirect Attach (LLW Adj)1 Opportunities
Install-Site Name Total Opportunities (USD)
Service Covered (USD)
Remaining Opportunities (USD)
Attach Rate
XXXXXXXXXXXX $36,663 $15,327 $21,336 41.8%
XXXXXXXXXXXX $21,804 $5,400 $16,404 24.8%
XXXXXXXXXXXX $10,475 $4,312 $6,163 41.2%
XXXXXXXXXXXX $25,668 $20,675 $4,993 80.5%
XXXXXXXXXXXX $13,782 $10,806 $2,976 78.4%
XXXXXXXXXXXX $2,578 $460 $2,118 17.8%
XXXXXXXXXXXX $4,807 $3,421 $1,386 71.2%
XXXXXXXXXXXX $1,414 $156 $1,258 11.0%
XXXXXXXXXXXX $1,797 $599 $1,198 33.3%
XXXXXXXXXXXX $12,771 $11,600 $1,171 90.8%
XXXXXXXXXXXX $5,860 $4,790 $1,070 81.7%
XXXXXXXXXXXX $4,890 $4,094 $796 83.7%
XXXXXXXXXXXX $2,202 $1,516 $686 68.8%
XXXXXXXXXXXX $1,766 $1,118 $648 63.3%
XXXXXXXXXXXX $620 $12 $608 1.9%
XXXXXXXXXXXX $1,734 $1,342 $392 77.4%
XXXXXXXXXXXX $1,956 $1,618 $338 82.7%
XXXXXXXXXXXX $213 $0 $213 0.0%
XXXXXXXXXXXX $180 $0 $180 0.0%
XXXXXXXXXXXX $142 $0 $142 0.0%
Total $151,322 $87,246 $64,076 57.7%
Month End Metrics: November 2013
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_12
E-ConsultingFindings and Recommendations: Attach Rate
Month End Metrics: November 2013
FindingOptimize your Services Attach Rate to receive a higher rebate.
DiagnosisPartner Type = Tier 2 and 80% <= AR < 90%
RecommendationOptimize your Services Attach Rate and consistency of your services offering by considering the following:1. Implement a sales governance process that ensures that all efforts have been made to attach services at the point of sale.2. Create sales process paths that lead the sales resources to logical attach opportunities.3. Monitor each order so that any order with less than three items on the invoice needs management approval.4. Know how to focus on the individual customer's need and the services they can attach that will be most effective to meet those needs.5. Set a goal to raise your Attach Rate higher to receive a greater rebate.
6. Provide incentives for sales to attain a higher Attach Rate goal with a compensation plan that rewards performance.
For more information, refer to:1. Selling Cisco Services: Moving Beyond the Fundamentals to Accelerate Growth in the Leading Practices for Partners section in Steps to Success.2. The services sales training provided by the Cisco Services Accelerate Program on training review.3. Account manager training.4. Cisco Services Partner Program Performance Management Appendix for 2-Tier Partners.5. CSPP Road to Services Rebates for 2-Tier Partners.
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_13
E-ConsultingRenewal Rate Details FYTD
Month End Metrics: November 2013Estimated Renewal Opportunities FY14 to Date:
Estimated Actual Renewal FY14 to Date:
Estimated Multi-year Contracts:
Estimated Missed Renewal Opportunity FY14 to Date:
Estimated Missed Renewal Opportunity FY14 to Date (overdue – still available for renewal):
Indication of potential FY-end RR Result (based on performance FY14 To Date):
$ 0.376M
$ 0.272M
$ 0.090M
$ 0.104M
$ 0.012M
77.7%
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_14
E-ConsultingTop 20 Un-Renewed Opportunities FYTD
Month End Metrics: November 2013
Estimated Total Un-Renewed Opportunities FYTD: $104,206
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_15
E-ConsultingFindings and Recommendations: Renewal Rate
Month End Metrics: November 2013
Finding
Current Services Renewal Rate is below the minimum threshold to receive a rebate.
Diagnosis
Partner Type = Tier 2 and RR < 75%
Recommendation
Your current Renewal Rate is below the minimum threshold to receive a rebate for the Cisco Services Partner Program. Improve your
services Renewal Rates by considering the following:
1. Establish a structured renewal process and timeline.
2. Most partners quote service at the point of sale. Twelve months later, when the contract is due to expire, the issue of service renewal
can sometimes be overlooked. Cisco provides you with an online, rolling window for all contracts associated with your company. This
includes contracts that are 60 days past due, as well as those contracts that are due to expire within 90 days. This tool may be used to
track all maintenance renewals and is located within the Cisco Service Contract Center in the Renewal Business Summary.
3. Use Cisco Service Contract Center to create service renewal quotes and place orders.
4. Optimize the use of your current sales resources by directing outside sales to look for new service sales opportunities and inside sales
to maintain and renew current service contracts.
5. Place ownership on inside sales to manage low dollar value contract renewals, uncovered equipment opportunities, and small
contract extensions.
6. Enable your sales resources to work collectively by implementing a customer relationship management system.
7. Motivate your sales team to work to the goal of achieving the minimum Renewal Rate to qualify for a Rebate from the Cisco Services
Partner Program.
For more information, refer to:
1. Selling Cisco Services: Attach Rate and Renewal Rate Fundamentals which provides guidance on how to optimize your conversion rate
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_16
Deliver on PlanReview Performance
Tracking against metrics
Monthly progress report
Quarterly Business ReviewDemonstrate how program is
driving business results
Yearly Re-Evaluation
How has the engagement impacted the areas of focus?
Realignment of objectives to meet the changing direction
of your business
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_17
Deliver on PlanOpportunity
Management
Single Point of Contact
Customized
Renewal and
Unattached
Reporting
Services
Best Practices
Training
Demand Generation Programs
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
Automation
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_18
Next Steps
Engage with your Ingram Cisco Services Channel Account
Specialist
Authorize Cisco to share your Services Data with Ingram and Schedule a
Discovery CallConfidential 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_19
Thank You
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 120309_20
Ingram Micro Cisco Services Team
Smart Services – All US
Mark UtzigMarket Development Specialist(800)456-8000 ext. [email protected]