CONGRUENCE MODEL

SUBMITTED BY- SYNDICATE 2

 Congruence Model
• A model for good key account
management.
• It gives consideration to several
interconnected building blocks.
• The basic idea of the model is
that the firm develops strategy in
response to its environmental
realties.
• Key elements of the congruence
model:
a) Strategy
b) Organisation
c) Systems and Processes
d) Human Resources
Strategy: The following four major points are necessary to the success of
the congruence model management must make sure are in place.

1. Defining Key Accounts Values: 2. Designing Key Accounts Experience:

• •
Identify target clients and corresponding
profits they represent to your organization.
• Develop factual understanding of what the
most profitable customers expect and
value from company.
• Identify which of these expectations
impact their decisions to partner with
organization.
• Formulate and quantify how key accounts
rate your company’s performance versus
its competitors.
Thoroughly understand the experiences your best
customers currently have with your company.
• Identify the critical touch points which make up
the customer’s experience touchline.
• Design new service experiences that will deliver
your company’s promise in a way that is
consistent, differentiated, and valuable to
targeted key accounts.
• Identify specific team members’ behavior required
to deliver the key account promise at each point.
• Develop fully integrated and comprehensive
change strategy to implement the new
relationship and assure success.
3. Equipping People and Delivering
Experience:
• Develop internal communication plans to
build commitment, understanding, and
clarity around the implementation of the
new relationship.
4. Sustaining and Enhancing Performance:
• Develop systems to continually collect
customer and employee feedback and
how it can improve the relationship.
• Implement a balanced set of performance

•
metrics that provide executives on both
Assure that leaders/managers at all levels sides with objectives and timely feedback.
understand their roles and champion the key
account experiences. • Have a reliable, effective training program
• Prepare all team members with the skills that continually builds capabilities to
and knowledge required to deliver the key deliver customer experience.
account experience.
• Be proactive in improving people, processes,
and services to deliver the key account
experience
Potentially useful criteria that can be used in the key account
selection process are grouped into two major categories—direct
sales revenue and profit, organizational interrelationships
Direct sales revenue and profits Organizational interrelationships
• Current Sales Revenue. • Coherence with Firm Strategy.
• Current Profits. • Cultural Fit.
• Future Sales Volume and Profit. • Your company valued by potential
•
customers
Financial Security.
 Organization of Key Accounts Management

Top Management: Top Management must openly and Key Account Director: The person assigned to this
consistently support the program in the following manner: position must have full support of the top management,
• Commit to a key account strategy be an executive with considerable business acumen, and
must assure the congruence among the four elements of
• Provide a positive internal environment for securing key account strategy: organization, human resources,
high quality Human Resources and systems and processes.
• Fund the development and/or purchases of systems and
processes
Key Account Manager: Typically, this is a formally
• Support the development of a key account culture appointed position. A consultant or senior executive may
• Be directly involved with key accounts assume the key account manager role in addition to
other responsibilities. Regardless, the key account
• Secure the firm’s objectives at the key account. These manager is the lynchpin around which the entire inter-
may go beyond sales and profit margins organizational relationship revolves. This function may
• Develop strategy and action plan from a micro-level. vary considerably depending on the client, or area of
interest. However, the following responsibilities remain:
• Ensure the implementation of strategy and action plans.
• Business skills
• Develop and manage relationship with key account.
• Leadership skills
• Build and manage key account team.
 Human Resources
Recruitment: Candidates for KAM’s position could
be recruited either internally or externally.
Training of Key Account Managers:
Training required by newly appointed key account
managers is in part a function of the major
customer, its key accounts, and the nature of the
desired relationships.
Training should not be a one-time event, and
periodic educational and training programs should
be considered.
Retaining Key Account Managers:
In addition to financial compensation, you must
consider the full range of available reward systems
—promotions, other formal rewards, and
intangible personal rewards— so as to preempt
unexpected key account manager resignations.
Rewarding Key Account Managers:
In measuring key account manager
performance, you should select metrics that meet
four objectives:
• Alignment with the vision, mission, strategy,
and objectives at the key account
• Controllable by the key account manager
• Trackable by the firm’s reporting systems
• Focused, meaning avoiding too many measures
Reward Structure: Should be highly motivating
and should generate high levels of effort and
performance e.g. financial rewards, promotions,
recognition, and other intangible personal
rewards.
 Processes and Systems

• Processes and Systems allow for all other elements of Congruence model to flow
freely and coherently.
• This element of the congruence model includes systems and processes for
planning, managing information flows, identifying opportunities, measuring
customer satisfaction, and many others.
• These systems and processes enable key account managers to effectively develop
and implement strategies and plans for individual accounts.
Thank you