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Case Study #1 – Transforming Performance of a Professional Services Organisation.

Client

An international firm of consulting engineers wanted to expand their Australian operations.

Brief

Partners were concerned that their field of expertise was starting to be seen as a commodity – “one is as good as another and we’ll buy on price” – with the result that returns to partners was liable to reduce because of lower revenues and financial results. Client “churn” was becoming a serious problem. They wanted to find a way to shift clients’ perceptions of consulting engineers per se as well as improving their own corporate and personal returns.

Diagnosis and Approach

This organisation used extensive client satisfaction surveys (conducted by an independent third party) to ascertain client’s views of their services. The results were always positive – they were considered highly professional and competent to the extent that these results showed them to be in the top 5% of their field. However the discrepancy between the survey results and the fact of churn had them seeking a new way to obtain and retain clients.

Solution

The solution used a Third Generation Leadership application in which partners and employees at all levels (including reception) were involved ascertaining areas of client concern and then to develop new approaches to meet these concerns.

Outcomes

The agreed outcomes prior to commencing this project related to decreasing churn while increasing revenues and profitability. These outcomes were met in full.

Tools and Techniques Used

Principles of Third Generation Leadership, Third Generation Leadership’s Value Release Framework, re-organising of work processes and billing arrangements, facilitation and mentoring.

 

 

Case Study #2 – Transforming Performance of a Business Banking Unit.

Client

A major bank with extensive operations in Australia that wanted to increase its business banking market share and its profitability after the global financial crisis of 2008

Brief

The Regional Manager was under pressure to significantly increase gross value of transactions and revenue to the bank. Business confidence in the environment was relatively low and this was a highly competitive market. He was especially concerned about one unit that was not performing as well as the others.

Diagnosis and Approach

Businesses in the targeted size bracket (SME’s) had a low level of trust in their banks – according to independent research, some 60% of SME’s did not trust the banks on which they relied for support. Growth in the acquisition of new business had slowed and it was clear that the existing marketing and sales processes used by the bank would not achieve the level of new business desired in any of the units in the region.

Solution

The solution used a Third Generation Leadership application in which managers first conducted their own guided research regarding the reasons for the lack of trust and then used this understanding to engage with existing and potential customers using techniques totally different from what had previously been used either by them or the bank overall.

Outcomes

It was agreed before starting the trial that any potential business about which the manager or the bank was aware would be excluded from the results achieved. This would ensure that all results produced would be genuine ‘new business’. After 10 weeks’ trial by 3 teams, the total value of new Gross Transactions was $207,080,000 for a total new revenue to the Bank of $7,409,000 and the Bank annualised this revenue at $26,636,000. The Regional Manager states that this region has significantly exceeded its target through the use of this approach.

Tools and Techniques Used

Principles of Third Generation Leadership, Third Generation Leadership’s Value Release Framework, facilitation and mentoring.

 

 

Case Study #3 – Transforming Performance of a Building & Construction Supply Company.

 

Client

A major supplier to the building, construction, and road infrastructure industries was concerned about reduced profitability brought about through increasing commoditisation.

Brief

The company was under pressure by market analysts for sustainable profits and increased market share that would impact positively on their share price.

Diagnosis and Approach

There was no significant room for product differentiation among competing organisations – specifications were set in tender documentation and/or by legislation and there was little room for variation from these. Customers were very price conscious and a difference of a few cents per tonne could determine which supplier got business at any time. Customer loyalty was rare when total cost was the main determinant for awarding a contract.

Solution

The solution used a Third Generation Leadership application in which sales, production & delivery personnel first conducted their own guided as to the criteria that would influence buying decisions by customers then worked as a team to ascertain how the real needs of potential customers could be better met. They then implemented this plan.

Outcomes

The agreed outcomes prior to commencing this project related to both increased revenue and increased profitability. These criteria were met with the result that the client’s market share increased by what they considered to be a significant margin and their revenues and profitability rose because through this attention to the real needs of customers they were able to price at up to $1 more per tonne than did their competitors.

Tools and Techniques Used

Principles of Third Generation Leadership, Third Generation Leadership’s Value Release Framework, development of a new strategic approach for sales, facilitation and mentoring.

 

 

 

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email: douglas@dglong.com                  phone: Australia 0412 029 754

 

 

 

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Last modified: 02-Apr-2012