Opportunity for Advanced Analytics Exists for Electrical Equipment Manufacturers

Source: http://www.flickr.com/photos/tengtan/2623144649/

The majority (86%) of electrical-equipment manufacturers rely on a combination of direct and indirect (distributors and dealers) sales channels. That’s 15% more than the composite benchmark. Yet, none of the survey participants rely on advanced analytics and lead escalation to ‘learn’ which channel partners can deliver the best sales performance by each type of lead. Instead, most (59%) rely on basic systems for tracking opportunities and responding to them, including following defined processes.

This is according to a 2009 Cincom research report based on a national survey of sales and IT executives that sheds light on how these electrical-equipment manufacturing organizations are managing their businesses for increased efficiency and effectiveness.

“Clearly multichannel management is a major issue for electrical-equipment manufacturers, and making channels effective begins with an aggressive approach to educating resellers and giving them the tools to be effective at selling,” says Columbus. “There is significant room for improvement in managing sales funnels, earning trust and creating loyal customers based on the results of our research.”

Despite the heavy use of indirect sales channels, when asked “How do you plan, manage and collaborate with the sales teams to properly direct and fulfill opportunities?” none of the surveyed electrical equipment manufacturers stated that they rely on advanced analytics and lead escalation to ‘learn’ which channel partners can deliver the best sales performance by each type of lead.

In addition, none of the survey participants have automated the critically important RFQ process nor use predictive guided selling systems.

Yet They Excel at Mixed-Mode Manufacturing
Nearly half (48%) of electrical equipment manufacturers use an automated, integrated system to manage their mixed-mode manufacturing processes. This is 18% more than the composite average of comparable industries. An automated, integrated system often results in reduced inventory cycle times and costs.

“In the face of accelerating product lifecycles compounded by a continual increase in product complexity, electrical-equipment manufacturers are finding mix-mode manufacturing strategies very effective in staying competitive,” says Louis Columbus, co-author of the Cincom report.

“Staying demand-driven, close to the customer and capable of meeting or exceeding their expectations is critically important in how competitive electrical-equipment manufacturing is becoming. Mixed-mode manufacturing gives companies the ability to flex in response to customers’ changing expectations and needs.”

When asked “How do you manage your mixed-mode manufacturing processes?” 48% of electrical equipment manufacturers said they use an automated, integrated system.

For a copy of Cincom’s “2009 Electrical Equipment Industry Survey Report,” visit http://www.cincom.com/electric.

No related posts.

Related posts brought to you by Yet Another Related Posts Plugin.