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Author:Diesen, Rasmus
Title:Incentive measures in a solution-oriented sales organization
Prestationsmätare i en lösningsinriktad försäljningsorganisation
Publication type:Master's thesis
Publication year:2009
Pages:xii + 95 s. + liitt. 22      Language:   eng
Department/School:Tietoliikenne- ja tietoverkkotekniikan laitos
Main subject:Tietoverkkotekniikka   (S-38)
Supervisor:Hämmäinen, Heikki
Instructor:Cedercreuz, Carl-Magnus
Digitized copy: https://aaltodoc.aalto.fi/handle/123456789/97005
OEVS:
Digitized archive copy is available in Aaltodoc
Location:P1 Ark TKK  384   | Archive
Keywords:incentive measure
solution
customer value
customer perceived value
prestationsmätare
lösning
kundvärde
kundens uppfattade värde
Abstract (eng): The case company, a large multinational vendor in the ICT industry, is facing increasing pressure from its customers and competitors.
Old merits as being a reliable product provider are not enough in the current business environment.
To succeed the target company must become a true partner.
It needs to engage with the customers and develop solutions to their business challenges.
New incentive measures must be developed and aligned with the needs of a solution-oriented sales organization.
The target company has recognized the above needs and defined the objectives of the thesis as follows: "To gain extended understanding regarding incentive measures in a solution-oriented organization and provide managerial recommendations for the target company."

The thesis was carried out in two parts.
First, a critical literature review was conducted.
Second, a case study was done by interviewing sales personnel the target company as well as interviewing three external organizations and three academic experts.
The findings from the thesis include a framework for designing incentive measures and managerial recommendations with a focus on issues relevant for the target company at its current transformation phase to become a solution-oriented company.
The key attributes of an incentive system in a solution-oriented sales organization are: Focus on the customer, and focus on the long-term performance and long-term customer relationships.

The recommendations provided to the case company are derived from the key attributes.
By introducing account-based measurement in all measures the existing silo-thinking mode of operation can be transformed towards a mode of operation that enables focus on the customer.
Transforming the focus of the measures from a financial to a non-financial viewpoint also achieves a customer-oriented mode of operation.
The case company needs to introduce new incentive measures that are focused on customers and long-term performance, such as opportunity management.
Finally, the case company needs to execute with a group of customers a set of pilot projects that will explore the use of customer perceived value measures as part of an incentive measure structure.
ED:2010-01-13
INSSI record number: 38729
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