Establishing value in the in-house service model

Establishing value in the in-house service model

James Grealis,Senior Director Operations,Shared Engineering Services,Symantec Corp, CA.

Oct 12th 2011

Some background• Internal Group, formed in 1992• Grown with the company• Offering localization services across all regions• Other services that came along in Corp organizational

changes & thru M&A’s• Have our own budget• We rely on a Vendor base for translations and some level

of engineering & QA services• Both FTE and Contract staff• Heavily invested in Automation• Centralized Management

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2008 Industry Landscape :• External Pressures

– Trend towards outsourcing non-core services– Growing skills in the Vendor community– Demand for more throughput– Changing technology & financial landscape

• Internal Pressures– Growth of regional requirements– Are we doing the right job?– Can we keep up with demands?– What is our real value proposition?

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Facing the reality• An internal service provider, grown over the years

thru add-on’s and M&A’s• Did a good job, but had little or no brand value• Engaging at various levels, across different Business

Units• No brand recognition [or wrong brand message]• Little effort to make a lasting marketing impression• Little feeling of a united staff across our groups• Offer a set of disparate services• Seen for its parts, [some parts were invisible]

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Sources of Reference

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Leadership positioning

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Price

Product Customer

Wal-MartRyan Air

Dyson

Apple

Southwest

ALDI

Leadership positioning

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Southwest

1.Driven from the Top with right level of commitment.

2.Correct integration of Strategy, Operations and Culture.

Successful Execution

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STRATEGYWho are our Customers?

How are we engaging with them?Do they know who we are?

OPERATIONS

In which areas do we need to excel?How can we leverage feedback?

How can we leverage technology?What organizational changes are

needed?

CULTUREWhat training is required?

How do we unite staff to the vision?What branding is required?

How do we gather & use feedback?

Customer Engagement LeadershipBehaviour Vendor In-House

Total customer management and engagement.

Offering service from a distance. Can roll out lessons from other clients. Can scale across Firms. Run as a business.

Internal service, Well positioned to engage and impress the customer base. Ample opportunity to excel, no issues around IP. Focus on shared wins.

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Customer-intimate questions

• “… Are decentralised, client driven and change orientated”– How do we stack up in this analysis?

• “Today, many firms are concentrating on their core business and want partners to take on the secondary processes, to outsource and deliver results and to increase their flexibility”– How do we use this to our advantage?

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Minimize the boundaries

• “ It’s hard if not impossible for an observer to tell where one company begins and the other leaves off”– Sounds like a role for an Account manager?– There is an advantage of being an outsider to the

teams that we support.– Our current structure is not aligned with our

customers.

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Taking on responsibility

• “Customer-intimate companies will take on responsibility for achieving results for the customer and will often put themselves at risk to further their customer’s success, take on full responsibility and deliver a guaranteed result.”– We deliver our projects, but we don’t necessarily

move the customer’s business forward.– Re-phrase our mission statement. “Our customers

see us as being critical to their success”.

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Key Questions• How can we help improve our customer’s

business?• Where can we take risks for the Corp?• What new services can we consider?• How can we get past the obvious?• How low in the Corp are we aiming our

messages?

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How we executed• Had Senior team buy-in & complete support• Re-organized our regional groups and created

solution-based roles– How can our teams can help regional revenue?

• Kicked off an “identity” project– Built up a tool box of branded messages and decks

that marketed us in our new position• Set up a Business Partner Group, co-located

with major customer groups

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Our key relationships

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We had multiple sets of potential customers, some we were working with and some we were not.

Timeline

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2009 2010 2011

Revise budgets

Help close revenue deals

Value new skills & training

Team branding

Customer forums

More re-orgs for groups missed in 1st round

Staff Relocations

Identifying new roles and org-charts

Review purpose and value of our teams

Re-organizing teams

Regional Certification Ask hard questions

Customize the products

Change management

Group Identity• Need to think like a marketing group• What is our team known for?• Is the view fragmented?• Create presentations and customer pitches• Run workshops• Socialize a consistent message across the

company• Empower our teams to run with this

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Business Partners• Set-up in Spring of 2010• Took time to clarify the role

– Localization Representative?– Go to person?

• One per each major Business Unit– New job sites and new roles– Participation with BU plans and meetings– Seeing our group from the BU perspective– Potential new career paths were open

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Extended roles for Regional Teams• Need to re-examine the regional teams

– What is the real value-added role?– How are we offering an essential services?– How well are we valued by the customer?

• Defined a new and expanded role– Customization– Certification– Localization– Deal progression

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Gaps & Changes

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Even after we rolled our plan and changed our structures.

We still find that there are new groups that we can still address.

Our structures also need to progress from today.

Challenges along the way• Change is not easy

– Leave the old role, transition, cement the new role.– Some groups did not move at same time as others– Expect resistance, breaking groups out of silo’s

• Job Clarity– New roles took time to clarify & align

• Risk of over or under selling our services– Who gets to make the call on allocation of our

resources?

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Where to next?• Job is not done yet

– Our structure does not cover all the main organizations across the company

– We can further leverage our position into areas like• Cross company certification experts• Rolling out Social CRM for the company• Build further revenue related activities

– Extend reach into Corp level activities

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What we’ve learned• Use some framework to help define your vision.• Work to take on roles and responsibilities to

move your team into the desired position• Allow time, it can take 24 months +• Don’t half commit!• More danger of under-delivering• Work on branding your team within the larger

Corp• Treat it as a learning opportunity for all• Have fun along the way.

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Thanks & Questions

[email protected] Director OperationsShared Engineering ServicesSymantec CorpMountain View, CA

Sample of our reference Materials

Source Name

The Discipline of Market leaders Treacy & Wiersema

PEEK Chip Conley

Creating Customer-Oriented Companies Marc Rubin (PDF)

Customer Intimacy Fred Wiersema

Drive Daniel Pink book and web site

The Profit Zone Slywotzky & Morrison

Our Iceberg is melting John Kotter

Predictable Success Les McKeown