Meaning: We are targeting an existing distributor to verify the existing Exclusivity Agreements and fulfilling the terms of the signed Manufacturing Agreement on an annual basis. This way we can correct the targets for the customer to meet expected KPIs.
I. Exclusivity Terms Verification
Salesperson assigned to this account will receive a notification in Odoo inbox to check an existing granted exclusivity. As exclusivity terms are granted based on the upon-agreed projections, we want to come back to the distributor and verify that the terms are being fulfilled. The event notifications are set for “year + 4 months” and “year + 10 months”. The goal is to inform the customer of the current status on how it is being fulfilled and correct the procurement process in the way that it can be met.
Check the exclusivity agreement and provide the data to the customer.
2.1. Sales Manager checks the received notification for checking the Exclusivity and checks the current terms.
2.2. Sales Manager sets an activity to AM to check on the current status of the yearly orders to see if it is being met in the same task. The deadline for this activity depends on the amount of the products needed to be checked and can be from 3 to 10 days.
2.3. Within the set deadline, each Salesperson is to check on under what terms the Exclusivity Rights were granted.
Check EL to see if the distributor imports products only from AC or there are other manufacturers with China and India origins.
EL Filter:
- By customer
Save the received information under the Distributor Folder:
Z:\Shared drives\AdvaCare Distributors Control\[DISTRIBUTOR FOLDER] and send a task to Sales Manager, BD Specialist (if applicable), Sales Director and Director to approve keeping the Exclusivity Rights with the customer for another year or to approve granting the rights with the basis of the gathered information.
II. Manufacturing Agreement Verification + APO Excel history + Active CPRs
The process is being handled on a project basis.
Sales Manager assigns 1 or 2 distributors accounts on bi-weekly basis to AM depending on the volumes of the distributor and how time consuming the customer is during bi-weekly sprint session. To track the progress, following the Agile structure for projects, a sub-project is created for the assigned accounts.
Note: Once the customer is assigned to AM Specialist, Sales Manager sends a task in the sub-project to BD Specialist assigned to this account (if applicable) and BD Dept. Manager. It is important to check with BD Department if the distributor can undergo the evaluation process now without contraindications from BD Department. Also, BD Department can share useful information and insights on handling the project.
Salesperson checks the records of the ordered products in the APO Excel and Odoo and compares them to the terms in MA. The prefilled file with the gathered data [Customer Code] Product Status is to be sent to the customer.
After receiving the filled file, Salesperson sends a task under the current sub-project with the link to the saved file filled by customer:
If the actions need to be taken and the terms of MA are not met, APO has products that were “lost” and we have registered products with valid CPR that are not being reordered, Salesperson provides a suggestion on the action plan and sends a task to Sales Manager. Distributor Development: Working with Product Range This SOP explains how to work on the existing products rehabilitation.
Sales Manager corrects the plan, provides suggestions and checks if this plan is sufficient as the corrective measure to meet the target KPIs and submits it to the Sales Director. As this part is quite tailor-made, it will require an individual approach to each account.
The following criterias must be met before submitting the action plan to Sales Director:
(In some cases, customers would only reply by email giving some ideas on what blocks them from the projected volumes, reordering products, etc without sending back the file. In this case, the Salesperson needs to add this information by themselves in the file so we have it recorded for future reference. This file will be reused on an annual basis by creating a new tab with [YEAR].
Understanding of market of distribution:
As the market and competition are changing factors, we need to see if the projection we expect still makes sense. Some MAs are very old. Some products lost demand as there are more new and improved ones in the market. Our requests need to be reasonable.
Other external factors:
Other distributors and competitors, economical and political situation must be taken into consideration
The actual “problem” was determined correctly:
Make sure that the customer understands exactly what is making it difficult to move the product. For example, if they say the reason is “high competition level” this is an incorrect requirement to work on as we cannot control market penetration by other manufacturers. We need to dig deeper to see if the problem is the unit price or lack of marketing strategy and so on.
Suggested action plan targets the right “problem”. If, for instance, we are working on getting lower prices as this is what the customer complaints about and it does not increase sales and the customer still finds excuses, we need to come back to find the real root causing the problem.
Sales Director checks the submitted action plan and approves/makes revisions/sets other requirements.
Sales Manager breaks down the action plan in steps that are moved through Agile and sets the deadlines for each step.
The status is checked bi-weekly on AM Dept. Sprint Meetings.