L’Association de Management des Compte Clés Salle 1435 Kedge Business School Cours de la Libération 33405 Talence CedexNo: W332018834
• Different because: • Collaborative development of KAM industry standards • Establish recognised qualifications for key account managers at Diploma (done) and Master levels (future) • Define the competency profile of key account managers and impartially accredit development programs against that profile. • Built a mixed community of practitioners and researchers/ experts engaged in KAM in direct contact with each other • Gain greater benefit for practitioners from real, researched knowledge of KAM • Involve a geographically/culturally wider membership • Offer opportunities to influence AKAM’s direction AKAM is different…
Agenda
Agenda
ALIMENTATION COUCHE-TARD INC. CHALLENGING YOUR CUSTOMERS Chris Gregers Senior KAM, Circle K Norge AS Oslo, 22.09.2016
Circle K - Our global footprint
Circle K Norge AS 7
History in Norge goes back to Norsk Brændselolje in 1920. In 1976 Norol was established after Norsk Brændselolje, Norske OK and Norsk Hydros divisions merged. Statoil took over Norol in 1991 and established the daughter company Statoil Norge, which ran a network of Statoil-branded fuel stations and sales of oil-products in Norway. The Canadian company Alimentation Couche-Tard (ACT) bought the company in in 2012, of which the 54 % of the shares that Statoil ASA owned. The change of owners led to the start of rebranding the stations to the Circle K logo in May 2016. 8
Circle K Norge AS – a part of Circle K AS Totalt ca. 2.800 stasjoner, derav ca. 1.700 i Scandinavia og ca. 1.000 i sentral- og Øst Europa (inkl. oppkjøp av Topaz i Irland).
KAM / Marine Kjetil R. Bang Sjef KAM & Marine Arvid Husebø Chris Gregers Regionssjef Sjef Key Account Marine Sales Sales Ellen Mikalsen Turid Larsen Runar Moe Brigt Helgeland Sigurd Lindahl Tor Ivar Iversen Frank R. Brakstad Bent Giskeødegård Elin S. Kristoffersen Christian Holter Roar Fjeld
Basic Sales Oversimplified: – «Demand driven» – Matching the customers requirements – Some advantages «on the side?»
Value based Sales • Defining the needs of the customers • Identifying added values • Convincing the customer – selling
Relations based Sales • Offer not just a commodity • Relations emphasized and valued • Developing joint values • Offer often developed in cooperation with customers
Challenger Sales • Sales Executive Council • Being an industry expert • Challenge your customers • Take control over the process
Tenders - trends • More complex, costly and time consuming • Hired Professionals - not the customer • Purchase organizations/cooperations • Increasing value for the customer or just increasing his costs? • Focus on price, not total cost
Challenge: How can the customer obtain the lowest cost when he is comparing the lowest price?
Change in Public Procurement the Role of KAM Dr Kevin Wilson
The Role of KAM in Public Procurement Objectives: Review the European directive on public procurement (2014) Key Issues: The changing focus of public procurement Implications for KAM Supplier-Client Relationship Management
Public Procurement • Around the world PP accounts for between 12%- 24% of GDP (€1.3 Trillion) • EU is different from many other jurisdictions, encouraging intra-community trade, rather than erecting barriers to foreign suppliers • http://www.tradingeconomics.com/european-union/gdp
PP as % of GDP selected countries Country PP Expenditure % GDP Norway 12% Sweden 17% Denmark 15% Finland 18% United Kingdom 14% France 15% Netherlands (Highest) 21% Mexico (Lowest) 5% OECD (Average of 35 member states) 12% Source: OECD
European PP Spending 14% of GDP ec.europa.eu European GDP The latest reported value for - European Union GDP - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. European Union GDP - actual data, historical chart and calendar of releases - was last updated on September of 2016. Actual Previous Highest Lowest Dates Units Frequen cy 16229 18516 19029 358 1960- US$ Yearly Current (2015) (2014) (2008) (1960) 2015 US$ bn http://www.tradingeconomics.com/european-union/gdp EU Public Procurement Spend 2015 = US$2,272bn
Public Procurement in Europe • Legislation in Europe relating to public procurement aims: • Reduce barriers to intra-union trade • Foster freedom in product and service provision • To create savings through open competition • Achieve transparency • Militate against corruption • Achieve social and economic goals of the Union Source: Europa
What do they spend it on? • Public works – Major contracts relate to infrastructure such as buildings, roads, hospitals, schools etc • Products – Supply contracts are for the procurement of goods or products, and may include siting, installation, or other related services. These can be for the purchase, lease, rental, or hire purchase of products. • Service s - Services contracts are awarded for services of every description, examples of which are: Advertising, Catering, Computer support, Engineering, Financial services, Maintenance and repair, Management consultancy, , Market research, Office cleaning, Publishing and printing, Security http://etenders.gov.ie/Media/Default/SiteContent/LegislationGuides/GuidetoTenderingforPublicSectorContractsinIrlandUK2004.pdf
Process • Above an EU prescribed cost threshold a common EU tendering process • Contracting authority develops tender document specifying their needs, conditions under which bids may be made, criteria used to reach a decision • This is published in the Official Journal as an “open” or “restricted” tender opportunity. If open anyone can tender, if restricted only those invited (qualified) to tender may do so. • Tenders are received and must be accepted or rejected on the basis of the criteria established in the tender document • No dialogue may occur between the contracting authority and the suppliers making bids (this was the case with all contracts prior to 2004)
Process Tenders below the thresholds - Only those contracts exceeding the thresholds are administered under EU directives, others may be administered under national government regulations, so long as they conform to the core EU principles of transparency, equal treatment, open competition, sound procedural management, free flow of goods and freedom of trade within the union. http://www.gov.scot/resource/doc/1036/0084317.pdf
Limitations • A requirement for the contracting authority to draw up the tender document focusing upon “solutions” rather than detailing the problems they wished to solve. • Missed opportunities for innovation. • Ignorance of “better” solutions available. • Sub-optimal solutions. • Lowest cost • Focus upon cost of acquisition rather than lifetime value. • Process difficult for SMEs to participate in.
New Regulations for Procurement • New EU Directives on public procurement 2014 requiring conformance by April 2016 • Public Procurement Regulations Document published by UK Gov. 2015 • European Single Procurement Doc available online 2018
The (New) Public Contract Regulations Guide to key changes, Eversheds • Procurement within the meaning of PCR 2015 is now expressly defined as “the acquisition by means of a public contract of works, supplies or services by one or more contracting authorities from economic operators chosen by those contracting authorities, whether or not the works, supplies or services are intended for a public purpose”. http://www.eversheds.com/documents/sectors/tmt/The-Public-Contracts-Regulations-2015- Unravelling-the-key-changes.pdf
The (New) Public Contract Regulations • New regulations thresholds • Works £4.32m • Goods and services £111,676/£172,514 • Light touch services £625,050 – Light touch services: Health, social and related services, Administrative social, educational, healthcare and cultural services, Compulsory social security services, Benefit services, Other community, social and personal services including services furnished by trade unions, political organisations, youth associations and other membership organisation services, Religious services, Hotel and restaurant services, Legal services, to the extent not excluded by regulation 10(1)(d), Other administrative services and government services , Provision of services to the community, Prison related services, public security and rescue services to the extent not excluded by regulation 10(1)(h) , Investigation and security services http://www.legislation.gov.uk/uksi/2015/102/pdfs/uksi_20150102_en.pdf
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