© Vlerick Business SchoolOrganization structures for SCM 1

VLERICK SALES CLUB SUMMARIES DEVA RANGARAJAN

© Vlerick Business School LIST OF SESSIONS  Steps in strategic selling  What are the different roles in strategic selling  Sales and Marketing?  Merchandizing  Building a Planogram  Key account management  Category Management  Shopper based design  CRM Usage  Ethical Issues 3

© Vlerick Business School KEY LEARNINGS SESSION 3: SALES AND MARKETING INTERFACE IN FMCG MARKETING  Long term focus  Brand focus  Budget control  Assortment/company focus  Pricing responsibility (shared) SALES  Short term focus  Category focus  Budget control  Client focus  Pricing responsibility (shared) 4

© Vlerick Business School KEY LEARNINGS SESSION 3: SALES AND MARKETING INTERFACE IN FMCG  In FMCG companies, there usually are two kinds of teams: Business execution teams and Customer Teams  Business Execution Teams (BET) consists of cross functional team members comprising of sales, marketing, finance, category management, supply chain.  The BETs are responsible for INDIVIDUAL CATEGORIES of products. So if a company has multiple brands/categories there are multiple BETs  They are vertically organized 5

© Vlerick Business School KEY LEARNINGS SESSION 3: SALES AND MARKETING INTERFACE IN FMCG  The Customer team usually is a predominantly sales oriented team  Is organized by type of customers so is horizontal  You will have specific Customer teams for Carrefour, Delhaize, Colruyt, etc.  Customer Team consists of sales profiles like Key account Manager, Sales director, field sales reps, merchandizing teams, finance, logistics, etc.  The Customer team are responsible for INDIVIDUAL CUSTOMERS. So if a company has multiple customers there are multiple Customer Teams  They are horizontally organized 6

© Vlerick Business School KEY LEARNINGS SESSION 3: SALES AND MARKETING INTERFACE IN FMCG  Sales and marketing interface at at least three different levels: 1) day to day business, 2) Integrated business planning, 3) customer negotiations  The key for success here is three levels of alignment that needs to be achieved:  Category Alignment, Brand Alignment, Cust. Alignment  The main purpose is to be customer centric 7

© Vlerick Business School KEY LEARNINGS SESSION 3: SALES AND MARKETING INTERFACE IN FMCG  Integrated Business Planning: An internal process that involves the coming together of the Business Execution Teams and the Customer Teams  Usually begins with a Marketing Audit and then is followed by a Sales Audit from the customers.  The results are discussed in a workshop format  The participants in the workshop are usually cross functional. 8

© Vlerick Business School KEY LEARNINGS SESSION 3: SALES AND MARKETING INTERFACE IN FMCG  Integrated Business Planning  Marketing Audit Input: Market Dynamics, Buying Behaviors of Customers, Brand Levers  Sales Input: Specific Customer Audit including shopper insights, category sales, customer sales, etc.  The Marketing Audit comes first, followed by the Sales Audit, followed up by Joint Business Plans made to specific customers like Delhaize, Carrefour, etc.  The last quarter of the year is mainly dedicated to negotiations of the Customer Teams with the customer. 9

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