Managing IT Sales

Sep-Nov 2019

Copyright Rajesh Kumar

Setting the Contours: How is IT
Selling Different?
Managing IT Sales – IMT Ghaziabad

Sep-Nov 2019
Copyright Rajesh Kumar
 Context
• Insurance, Banking,
Healthcare among the
first to adopt
• 7.7% of Indian IT GDP
• No role of PSUs
• Package Vendors vs
Service Providers
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What is Being Sold?

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 Big Questions
• Make or Buy?
• Insource or Outsource?
• Bespoke or COTS?
• How to find a vendor?
• How to measure success?
• How to make vendor accountable?
• How to make internal team work with vendor?
• How risky is it? What are the risks involved? How to manage the
risks?
• What will be the engagement model?

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 Uniqueness of IT Selling
• Product vs. Service
• Long sales cycle
• Multiple stake holders
• Technology life cycle
• Service can be rendered remotely
• Manpower dependent
• Non tariff barriers – visa, work permit, language
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 Product vs Service
• Service dominant vs goods dominant
• Service characteristics
– Perishable
– Intangible
– Inseparable

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 Consumer vs Industrial
Attribute Consumer Industrial(where IT
industry is)
No of buyers Many (1000 is a small Relatively fewer(1000 is
number) many)
No of sellers Can be in thousands 100 = many (oligopoly)
Location Buyers are distributed Buyers are distributed
Sellers are scattered Sellers are often located in
same region
Products Standard Customized
Influencers Family/Friends ?
Pre-sales process Unaided Vendors involved
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Multiple Stakeholders of Success
Vendor Customer
• Sales • IT
• Pre-sales • Purchase
• Solutions • Business
• ‘Support’

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 Classification
• Transactional – efficiency,
cost benefits
• Transformational –
Impact Based
Strategic in nature
• Implementation
• Maintenance
Project Based • Upgrade
• Migration

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The Enterprise Technology Stack

Accenture.com
Courtesy:
▪The Core Competency Tower will morph based on LOB
▪AI, Cognitive technologies andRajesh
Copyright IoT isKumar
currently leading the charge
 Types of Projects

New Project Existing Maintenance

Customer Implementation
New Project New Upgrade
Customer

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 Thank You
These slides are for exclusive use of students of IT
Sales & Marketing, Sep-Nov 2019, IMT Ghaziabad. Not
to be shared beyond the above recipients.

Copyright Rajesh Kumar