The Hotline Magazine

Wednesday June 19, 2013


The Role of Strategy

Strategy drives Process, Process determines organizational structure and the type of People that are deployed, and the role of Technology is to keep everything aligned and moving effectively. These are the elements of Success.

Key questions include: Is yours predominantly a product-centric company, or a customer-centric one? Is the profits-realization strategy front-loaded or based on an income-stream over time? Are the personalities and skill-sets of the principal employees fully aligned with and appropriate for the strategic goals and objectives? What is the Customer Retention Rate?

A company where the strategy and process are ill-defined may still succeed for a while, at the expense of over and above efforts by some of its people, but the results are not sustainable. Likewise, even a company with a clearly defined strategy and a tuned process will fail if the wrong people are in key roles or if the organizational structure is not optimized.

Interim strategies and short-term tactics naturally change over time as a company grows, and the rest of the elements need to be realigned as well. The ultimate strategic goal, however, remains constant: sustainable profitability over the long term.

The SaaS & Support Project is about enhancing company Profitability and Customer Retention as a practical matter in the SaaS / On Demand / Cloud era.  It’s about the answers to the most vital challenges and questions faced by every CEO and C-Level officer.  What are SaaS/Cloud companies actually doing about defining and providing Support for their customers?  Past the hype and the theory, who really “owns” the ongoing relationship with the customer, and is accountable for the results?  How are those owners to be compensated?  What are the “Best Practices” in satisfying and retaining customers over the years?  Which approaches have other companies tried, and with what results?

The Project Research

In late 2009, data was collected from a single survey that included questions about what software vendors, both SaaS and those transitioning to SaaS at that point, were doing in the areas of the Strategy, Process, People and Technology of customer support.  The data was supplemented and enhanced by online research in ongoing interviews with senior executives.  Sponsored by the Association of Support Professionals (ASP), the Software and Information Industry Association (SIIA), TechAmerica Org and OpSource,  the first Report was published in late December.

In 2010 and early 2011, three separate surveys were conducted.  The Issues survey examined the concerns of SaaS vendor CxO’s and Support execs.  The Strategy & People survey questions focused on the role and definition of Support within the company and how it was organized and staffed.  The third survey, Process & Technology, asked about access channels, volumes and categorization of submitted cases, and what technologies have been installed to help manage the function.   The data collection was extended through the end of February 2011, and enhanced with supplemental research in the form of direct interviews and review of published materials from a range of sources.

Moving forward, the research will explore what SaaS/Cloud vendors are doing about the ultimate goal of all support & service activity: increased profitability through optimum customer retention. It’s time to give serious consideration to the Redefinition of the profession and practice of Customer Support for the SaaS/Cloud era, and The SaaS & Support Project will be at the forefront of the new vision.   Even if you’re not yet ready to transition your company into the On Demand community, there is still a huge benefit to be realized from going beyond what we all know has never worked to anyone’s real economic advantage.  And if you are already a player in the SaaS ecosystem, the Project is about the way to win.

Membership

The advantages of becoming a member of The SaaS & Support Project include:

  • A copy of the Project Report 2009, and follow-up Reports and Briefings  as they are published
    • White Papers
    • Case studies
    • Job descriptions / organizational charts
    • Templates
    • Participation in subsequent surveys, etc.
  • The opportunity to ask questions & participate in discussions as the Project unfolds.

The cost for a yearly individual membership is $95.  For information about Corporate or team memberships, and/or sponsorship opportunities, please contact Mikael Blaisdell.  To become a member, click here.