Transforming Operations for a Japanese Multinational Client
Our client is a prestigious Japanese multinational corporation headquartered in Tokyo, with a prominent presence in the Tokyo Stock Exchange and Nagoya Stock Exchange. Ranked 38th in the 2012 Fortune Global 500, the company empowers businesses to transition from legacy systems to the cloud seamlessly. Their comprehensive Cloud Services, aligned with managed cloud services such as Amazon Web Services and Microsoft Azure, focus on agility, optimization, and cost-effectiveness.
Transforming Operations for a Japanese Multinational Client
Our client is a prestigious Japanese multinational corporation headquartered in Tokyo, with a prominent presence in the Tokyo Stock Exchange and Nagoya Stock Exchange. Ranked 38th in the 2012 Fortune Global 500, the company empowers businesses to transition from legacy systems to the cloud seamlessly. Their comprehensive Cloud Services, aligned with managed cloud services such as Amazon Web Services and Microsoft Azure, focus on agility, optimization, and cost-effectiveness.
SITUATION
- The client encountered difficulties using their historical data to forecast and set up sales comp plans, primarily due to scattered data across systems.
- Furthermore, the lack of transparency in comp plans and computation resulted in disputes being raised by the salesforce.
- Managing these disputes manually further led to inefficiencies in their overall management processes.
- Moreover, overseeing operations in this manner led to increased turnaround time, resulting in a loss of bandwidth that could be better spent on more productive endeavors beneficial to the organization.
APPROACH
- A round of structured and well-thought-out meetings were conducted with cross-functional subject matter experts from both parties to identify challenges in the current system and understand their business requirements.
- A collective project scope by fostering mutual understanding and consensus was agreed upon.
- The Incentivate team proposed an implementation plan, which involved configuring existing compensation plans within the Incentivate platform.
- This was to be followed by phase 2, which focused on the ability of administrators to leverage existing plans, tweak parameters, simulate the plan in a model environment, and get a visual representation of the potential impact on performance and earnings at the individual level.
- We implemented an agile delivery method in phases to accommodate any changes smoothly during the implementation process.
OUTCOME
- A centralized data for simulation helped the client to make informed decisions.
- Transparency in incentive plans motivated and empowered the salesforce.
- Erroneous payouts were reduced by over 90% as it was easy to identify source issues because of integration.
- Automated dispute resolution saved approximately 600 hours monthly across the organization, equating to 6 hours of bandwidth per salesperson.
- Improved management insights helped the client in making more rational decisions regarding incentive plans.
- The turnaround time for the new incentive scheme was reduced to 2 days compared to the previous 15 days.
- Stakeholders could easily configure new changes to the current incentive plans.
PROBLEM
- The client faced challenges in utilizing historical data for accurate forecasting and simulation.
- Due to the dispersion of data sources across various systems, it required data consolidation.
- The lack of clarity in sales compensation plans resulted in decreased motivation amongst their salesforce.
- Erroneous payout distribution resulted in substantial data volumes that posed difficulties in data management.
- Managing salespeople’s disputes manually resulted in inefficiencies in the dispute resolution process.
SOLUTION
- The integration of API into Azure CRM improved the efficiency of data retrieval and provided real-time data inputs.
- Incentivate’s inbuilt dispute management system enabled sales reps to raise disputes at the transaction level.
- Furthermore, performance dashboards helped the reps evaluate their individual performance more effectively.
- Sales representatives could effortlessly validate and acknowledge their sales targets through the platform.
- Automating collection parameters, including DPD metrics, enhanced visibility into collection timelines for the salespeople.
- We rolled out an AI-driven Large Language Model (LLM) and a rep-level SWOT analysis to give managers better performance visibility and coaching insights.
- We mapped team-level data to streamline hierarchy management including sales reps, team leads, and branch managers.
- The platform’s real-time flexibility enabled administrators to easily adapt to ongoing incentive plan changes.
- The ability to handle multiple currencies ensured compliance with local regulations.
CONCLUSION
The organization transitioned from addressing day-to-day operational challenges to adopting a robust sales performance management and enablement solution. They leveraged Incentivate’s multi-tenancy functionality to roll out complex incentive plans across countries.
