Organising IPA services around investor needs Peter Collens December 2010.

Organising IPA services around investor needs Peter Collens

December 2010

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Overview

• What does “best practice” look like?• Austrade systems for handling investor inquiries • Guidelines for handling investor enquiries• Providing the information needed• CRM system

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What does “Best Practice” look like?

The World Bank identified three key capabilities that were shared by the top performing IPAs:

• A professional business service culture was fostered with a customer focused approach taken to target, influence and generate productive FDI deals that would provide economic benefit to the IPA’s domestic market.

• Knowledge management and knowledge sharing initiatives were undertaken to develop deep organisational knowledge in sectors, markets and companies.

• Systems were developed to ensure professionalism and consistency in the quality of facilitation and customer service.

They evaluated best practice in Structure, Process, People, Systems and Technology.

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Today’s Focus is on the “Process”

 Process• Make facilitation a priority*• Develop account managers into reservoirs of knowledge in particular

sectors• Coordinate facilitation with networks and partners sub nationally and

overseas

*Facilitation is defined as the provision of information and services.

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What is involved in facilitation?

Facilitation• Providing accurate and timely information• Providing specific services (FILs, Site Visits, referrals to professional

service firms etc.)• Managing the quality and efficiency of services delivered• Client management• Project management• Maintaining position of neutrality

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Investment Promotion and Attraction

Set Policy Research BenchmarkingDevelop

Promotional Campaign

Market Segmentation

Implement Campaign

Target Engagement Leads Outcome

Set direction for economic development in Australia

Source facts around industry development and company international expansion

Comparing Australian industry to global industries and trends

Identifying markets and target companies to promote Australian opportunities

Tailoring specific value proposition and market strategies for promotion

Continual promotional activities around proposition

Delivering the proposition “Why Australia”

Qualified investment projects with intent to invest

Verified productive FDI project in Australia

• Stakeholders provide direction and industry focus (DIISR, NIAB, FIRB, Commonwealth Departments)

• Conduct gap analysis

• Source evidence (historical & empirical)

• Identify Global trends

• Establish the comparative and competitive advantages of the Australian opportunity

• Identify key markets

• Identify target companies

• Emerging companies vs. mature companies

• Emerging markets vs. mature markets

• Develop sales manual

• Develop specific market propositions using capability analysis

• Conduct competitor analysis (SWOT)

• Gain stakeholder endorsement

• Identify local market considerations (culture, legal, economic)

• Learn from Case studies

• Training

• Match capability with opportunity

• Refine target list

• Allocate responsibility around contact and delivery

• Training• Create

marketing collateral

• Events• Generate

Prospects• Direct contact• PR/ Advertising• Stakeholders• Sponsorship• e-Channels

• Provision of Information around needs

• Client Management

• Manage FILs• Manage Site

Visits• Corporate

Partners• Engage

Stakeholders• Incentives • Other

Government programmes

• Measure economic and industry development impact of FDI

Feedback loop between policy, strategy and implementation

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Stages of the Investment Facilitation Process

3. Lead 4. Success

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Originating either offshore or onshore, directed to appropriate staff

Investment Qualifying Questionnaire or Investor Service Handbook to be used

Pre-qualification done on the investor to ascertain if investor is capable and committed

Provided with appropriate information or referrals.

Continued assistance provided to the investor, project seen to progress in seriousness.

Main interaction is between investor and offshore investment staff.

If information needs are quite detailed ICRs may be given or a site visit discussed.

As information needs become detailed and go beyond what is available ‘off-the-shelf’, offshore investment staff will make requests to industry teams for further information.

Project has progressed significantly, supply of tailored information to investor (eg. FIL), meetings, event involvement etc.

Lead projects are considered likely to proceed to investment success.

Investor may be planning a site visit to Australia to meet with interested or related parties and advance their planning.

The visit team, industry team and offshore investment staff will to some extent be involved in site visits.

Project has progressed significantly, such that investor is prepared to sign off on the details of their proposed Australian investment.

Investment may have already taken place and they may be signing off on the details thus far.

Target high yield reinvestment companies, or assist investors seeking help expansion pans.

Work with States & Territories on delivery.

2. Prospect 3. Lead 4. Success 5. Aftercare1. Enquiry

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• Front-desk staff are trained to respond to incoming calls by:• Understanding Austrade services across Trade and Investment• Knowing where is the most appropriate area to refer enquiries to

• Business Development staff are trained to:• Proactively target prospective investors• Qualify an investor’s capability and commitment to investing, by asking:

1. About the investor;

2. About their Australian business plans; and

3. About their information requirements.

• Project support staff are trained to:• Provide timely information that meets investor’s requirements• Develop supporting capability material• Create unique value propositions that differentiate Australia• Co-ordinate site visits and other State Government involvement

Handling incoming enquiries

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Protocols for Management of FDI with State Governments

Minimum notice period for Site Visit support

Visit details sent onshore forsupport by Visits and Industry Team

The Visits Team contacts State Government investment contacts

Debrief and follow up

The Visits Team coordinates site visit programme

Site Visit

Offshore qualification and referral to Investment Specialist

Lead sent onshore for further support by Industry Team

State Governments advise their offshore network of projects

Information provided to Investment Specialist by Industry Team

Response to investor & ongoingproject management

Industry Team engages with State Government

Investment Projects Site Visits

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Coordination Mechanisms

Protocols• Commonwealth/State guidelines, lead and site visit protocols,

MOUs• DFAT, NSW, China, Korea, Japan

Committees• Commonwealth/State: MCIT, NIAB• Commonwealth/State/industry: CMAB, CoMICTA

Training courses and workshops• Winning Investment for Australia, industry sectoral workshops

Reporting and databases• Monthly reports, successes, RMS

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• Website as broader promotional tool…• Industry capability• RSS feeds of investment stories• Case studies• Data and charts• Multimedia content (podcasts, videos,

presentations)

• But also as a lead generation tool• Provides basic investment information (visas,

taxation, licenses etc.) • Funnels more detailed investment enquiries to the

right people• Provides access point to our offshore network• Advertises events and manages registrations

Website: austrade.gov.au

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Industry Capability Reports

• Aimed at providing more flexible, more responsive system

• Provide standard info up front, through Industry Capability Reports• Use FIL system for follow-up questions, more detail or non-standard info• Maintain principle of open info sharing and coordinated responses to clients• States/Territories have input into preparation of ICRs, and can use them for own

purposes

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Foreign Investment Lead (FIL) system

Austrade Overseas post

Austrade Industry team

Austrade Industry team

Austrade Overseas post

Investor

Inquiry

FIL

Sent to all

States

States decide

whether to respond

State responses

Consolidated

response

Final

response

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Relationship Management System (RMS)

RMS tools include:• Organisation Document Libraries to upload and store client, customer and investor documents • Outlook Integration to capture email communications • Advanced Find for customising and generating reports• Lists to assist in the organisation of information

RMS is a relationship management tool that enables Austraders to build effective relationships with:

• Clients; • Customers; • Investors; • Service providers; and • Allies

Thank you

Peter Collens

National Investment Manager

T: +61 3 9648 3288 [email protected]