client relationship manager toolkits/the... · 4 client relationship manager it is widely accepted...

CLIENTRELATIONSHIPMANAGER:A Critical Conduit

Between Clients andOrganizational Departments

Paradigm Associates, LLC

2 Client Relationship Manager

Corporate Headquarters 805 Springfield AvenuePO Box 1705, Cranford, NJ 07016-5705908.276-4547 (p)908.276-8052 (f)

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BY


It is widely accepted that the function of all business is to create andmaintain customers while generating adequate profitability today and increasedprofitability in the future. To maintain loyal, satisfied customers, everyorganization must work at becoming a “partner” in the mind of its customers.

As more organizations engage in and adopt the fundamental tenets of continuousimprovement, they are going to expect (possibly demand) that the quality of theirsuppliers’ products and services keep pace with their own quality and serviceimprovement efforts.

With that expectation as a jumping-off point, the question becomes, “How doesour organization or firm need to change/adapt its style and functional structure tobecome the provider of choice for both prospects and customers within ourstrategically selected target markets?”

Part of the answer will be to ensure that the customer’s experience is as hassle-free as possible as they get their basic needs met. Just as important, though, istheir ability to secure additional services and/or information through yourcompany. The client relationship manager facilitates this and guides the customerthrough your company’s expertise and offerings, including some the client maynot be aware of. (Note that some companies refer to this position as a customerrelationship manager.)

As your organizational culture begins moving away from traditional departmentsand silos toward a culture that supports the adoption of a customer-focused,customer-centric experience, expect that your organizational structure andprocesses will have to change as well. Therefore, expect the role,responsibilities, competencies, and fundamental attitudes of a successfulclient relationship manager to change significantly.

The changes required to become more customer focused are going tonecessitate that all the front lines of the organization be more knowledgeable andsavvy than ever. Not only will client relationship managers need to be good intheir subject-matter expert role, they will need to be good businesspeople. Theywill need to ask themselves questions like “What other services can I tap into that will add value to my clients/customers and their business?” and “Whatinformation/resources should I bring to the table today to help them improve theirresults?”. They will need to act as ombudsmen on their clients’ behalf to ensurehassle-free service. The traditional definition of a manager as “someone who getsresults through others” will take on a whole new dimension of importance. Clientrelationship managers may, in fact, need to become managers.


This emphasis on becoming a customer-focused, client-needs driven organizationhas a tremendously powerful potential impact on the core business as youcurrently experience it. It means ensuring the entire array of service offerings thatthe client relationship manager can provide is flexible enough to satisfy yourcustomers’ needs at any given moment. It means that entrees within your menuof services will be changed, eliminated, or added. It means that client relationshipmanagers’ sources and/or suppliers of information or services may not be strictlyinternal to the organization. In this ever-changing, technology-driven, fast-pacedworld, your customers may be looking for change on a month-to-month basis, ifnot more frequently. This means significant changes to the role of clientrelationship manager.


To create a framework that promotes additional understanding, discussion, andthought, we will use the concepts as illustrated by the Paradigm Associates’Relationship Conduit diagram. It shows how, done well, client relationshipmanagement is a continuous exchange of information between you and yourcustomers — a seamless ebb and flow of resources and shared concerns to themutual benefit of both organizations. As the relationship progresses, the customermore easily shares information about his/her needs, and the client relationshipmanager becomes increasingly insightful about those needs and how yourcompany can fulfill them.

MANAGING BUSINESS DEVELOPMENTThe initial step or identification phase takes place before the entity is even acustomer. It begins when the organization is targeted based on criteriadetermined as part of strategic marketing goals and objectives. The appropriateindividual(s) are identified as “suspects.” After determining the tactics and mosteffective marketing methods to gain access, the client relationship manager

meets with the individual(s) to mutually share enoughinformation to determine whether they are qualifiedprospects, not just suspects. If the targetedindividual is simply a suspect, the goal of theselling process should be quickly shifted tosecuring a referral to someone who is apotential prospect. The cycle repeats itselfuntil a prospect is found.

Once the prospect is found, the clientrelationship partner or client relationship

manager must effectively manage all the steps ofthe selling/buying process over the course of the

business development cycle. Good prospects are too valuable to waste or ruindue to poor planning, less than optimal attitudes, or inattention to detail. Whendone well, not only will you see a successful outcome (a completed sale), but thesale will have been accomplished in such a fashion that from your perspective, nomoney was left on the table. The relationship will commence with a greater levelof account penetration having been achieved. In other words, the new customerhas acknowledged the potential of your company to add value to their business.

If we believe this is the essence of a successful customer/client relationship, wecan look at all the areas of competence client relationship managers must haveto be prepared for any client situation.


Some obvious examples stand out, but the list is more complex than it seems. Asorganizations attempt to get closer to their customers and organizational lines ofdemarcation become blurred through re-engineering efforts, the demands on theclient relationship manager are becoming more intense.

If client relationship managers are going to be effective partners with theircustomers, they need to be able to perceive the situation from both sides (theirown and the clients’). They must be able to think like a company president/chiefstrategist, a senior vice president of sales and marketing, and a chiefimplementer/consultant. Following are descriptions of the necessary skills.

STRATEGYA successful clientrelationship managermust have welldeveloped strategic thinking andevaluative skills in order to view the bigpicture, tactical thinking and evaluativeskills to properly assess the client’scurrent business situation, andprofit center management skillsso they use their resources andtime wisely.

PEOPLE Within the realm of a senior vicepresident of sales and marketing, they must have well-honed powers ofobservation and influence. They must stay one step ahead by effectivelyperceiving nuances and sensing opportunities to adapt their offering toupcoming changes in the marketplace. They must be able to manage the stepsof the selling process while matching the buying processes of qualifiedprospects. They have to stay abreast of and match the needs, wants, andbuying processes of their existing external customers, taking into account thedifferences in the various constituencies within their customers’ organizations.They also must be capable of exerting a positive influence over the variousconstituencies within their organization or firm (their internal suppliers andcustomers) in order to provide or deliver the products/services/results desiredby their external customers.

Within the realm of chief implementer/consultant, the client relationship managermust function as a professional with subject matter expertise and technical


knowledge, a businessperson with generalknowledge, and a facilitatorof processes with the abilityto get results throughdialogue with others. Theymust accurately analyze theircustomers’ needs and style ofdoing business and select the

most appropriate resources toproduce the optimal result.

Depending on the complexity andscope of this customer need, they may

need to get those resources organized into across-functional team. Thus, they should be competent

to manage details along with the processes. They must know how to takecomplex processes apart, examine the core processes, and recommendappropriate process changes. They should not only improve on the speed andquality of the deliverable, from your organization to the customer, they shouldcontribute to the increased flexibility of your organization.

There may be a tremendous opportunity to applythese skills within customers’ organizations aswell. The client relationship manager could be

a value-added resource for customers whowant to examine issues or areas of

opportunity that may make themeven more effective orprofitable.

TECHNOLOGY & PROCESSFinally, on the implementation

side, the client relationshipmanager should have a sharpened

sense for both the current and future technologicalcapabilities of the firm and the information desired bytheir customers. They must help them see the linkagebetween the organization’s capability to provide a widerange of information with the needs and capabilitiesof their information systems.


OVERLAP AREASThe outer ring of the Relationship Conduitdiagram has been divided into threesegments. The first is the ability to getresults through people. The second isthe ability to access and understandstrategy. The third is the ability tounderstand and have access totechnology and processes.

Where technologies and processesoverlap with people is where theapplication of these ideas gets a chance tolive. The overlap of one’s ability to get alongwith people and use insight into strategy is wherethe characteristics and behaviors of a savvy client relationship manager exist —they are street smart and can make things happen. The place where one’sunderstanding of technology and processes overlaps with an understanding ofinformation, strategy, and tactics is where our personal knowledge exists.

THE BIG PICTUREThe scope and breadth of a client relationship manager are such that all of thesecompetencies must be well developed and seamless. He or she uses these skillsets (to varying degrees) during every conversation or interaction, both internal andexternal.

In essence, your client relationship managers must be able to successfully putthemselves in the shoes of the company president (strategy), senior vicepresident of sales and marketing, and chief implementer (subject matterexpertise). They must not only be able to get results through people, they mustalso be able to understand all aspects of your company’s current data,technology, and processes.

Here are eight questions to ask yourself about the current state of your clientrelationship management program:

Think like a president:

1. Have you made it as easy as possible for your clients to do business withyou? Would your clients/customers agree with your assessment?

2. How well defined is your process for continuing to improve both productsand services?


3. What impact would becoming more customer focused and client-needsdriven have on your bottom line? How would it impact customer retention?What could it mean in terms of growing market share both short and longterm?

Think like a senior vice president of sales and marketing:

4. What formal processes do you have in place to determine the current andfuture needs of your customers?

5. How thoroughly do your business development managers understand how toproceed through the buying/selling process in a client-focused way thatbuilds deep levels of trust?

6. Have you identified what information your client/customer relationshipmanagers must have, what must they be able to do, and what kind of personthey must be to succeed with your clients/customers?

7. How proficient are your customer relationship managers at describing thepotential of your organization to add value to a prospect’s company?

8. What processes are in place to make sure that all of your client relationshipmanagers and customer-facing sales people are confident and competentwhen selling the full line of products/services — and therefore able tomaximize every client interaction opportunity?


ABOUT PARADIGM ASSOCIATES, LLC

Organizations that plan for the future have a chance to succeed in changing times whileorganizations that do not plan for the future may have no future at all. In the case oforganizations who both desire to be and need to be customer-centric, the ability tocombine focused and effective planning with consistent execution and follow-through isoften the difference between a long and profitable business cycle and a short, unhappyexistence.”

–Doug Brown, Chairman, Paradigm Associates LLC

As consultants, business coaches, and strategic resources, Paradigm Associates engageswith your key players and teams (executives, management, sales and/or employee teams)to improve their ability to get results. At Paradigm, we help you discover and thenminimize the impact of obstacles you believe are getting in your way.

Our straightforward, common-sense approach develops and aligns strategic thinking andbusiness processes while developing and engaging people at every level.

It has been said, “A problem shared is a problem halved.” Since 1985, we have helpedleaders in more than 70 industries to think, strategize, lead, sell, and train differently. Bytaking right actions faster, you create a competitive advantage and build a sustainablebusiness.

Visit our website for more information or to set up a FREE consultation.

www.ParadigmAssociates.US

Paradigm Associates, LLC.www.ParadigmAssociates.US



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