Orchestrated Performance by CAMMI Logic

8/7/2019 Orchestrated Performance by CAMMI Logic

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Mike Paradis and Scott BoedigheimerCAMMI Logic, LLC

1/7/2011

CAMMI Model and Framework

With Orchestrated Per ormanceCatapult your Success TM


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This material is proprietary to CAMMI Logic, LLC and is protected by U.S. and international copyright law copyright 2010. All rights reserved. No part of this book may be reproduced in any form whatsoever, by photographyor xerography or by any other means, by broadcast or transmission, by translation into any kind of language, nor byrecording electronically or otherwise, without the express written permission of CAMMI Logic, LLC.

CAMMI Logic, LLC. 8877 Aztec Dr.Eden Prairie, MN 55347www.cammilogic.com


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3www.cammilogic.com

Right Running Head

Introduction ..........................................................................................................4

Capability Maturity Model ...............................................................................6

Market Capabilities De ned ......................................... ...................................8

CAMMI Model and Framework .................................... ...................................9

Competencies ....................................................................................................10

Strategic Leadership ......................................... .......................................... .....12

Business Planning ............................................................................................14

Strategic Marketing .........................................................................................16

Operational Marketing ...................................................................................18

Sales ......................................................................................................................2

Service ..................................................................................................................22

Per ormance Management .................................... ....................................... 24

Strategic Relationships ...................................................................................26Market Innovation............................................................................................28

CAMMI Diagnostic ...........................................................................................30

CAMMI Score ......................................................................................................32

Closing Summary .............................................................................................33

About the Authors ...........................................................................................35


With Orchestrated Per ormanceCatapult your Success TM

Table o Contents


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CAMMI Model and FrameworkT

4

Introduction

To orchestrate means to arrange or control the elements o , asto achieve a desired overall e ect. To orchestrate per ormanceis to take control o situations and not leave things tochance. Thats what the CAMMI Model and Framework is allabout incorporating structural elements to control businessdevelopment and improve per ormance. Companies that

ocus on improving business development per ormance inthis way achieve meaning ul and sustainable results.

Orchestrated per ormance also requires balance acrossthe various elements. An orchestra wont sound as good i you can only hear the rst violin. A ootball team with a greatquarterback wont win many games without a good o ensiveline, running backs and receivers. A major league baseballteam with one 10-year-old player would be at a signi cantdisadvantage; that one immature area would expose theentire team and make it very di cult to win games. To achievereal success there must be balance; every area must beaddressed and have an appropriate level o maturity.

It may be hard to believe, but companies o ten operate likethe major league baseball team described above. A companymight have strong business development capabilities in

everything but marketing, but that one weakness exposes theentire team. We have worked with companies that engagedus because they thought their limitation was sales, but ouranalysis identi ed the real issue as something else. They wouldhave been working on the wrong issue; improving somethingthat was already mature. Thats like our example baseball teamgiving extra batting practice to its star player while ignoringthe real problem a ecting per ormance the 10-year-old.

For orchestras and sports teams it can be easy to identi ythe limitations preventing them rom succeeding. It is obviousto the conductor or the coach through recordings, game lm,observation and statistics to determine where the issues areand correct the per ormance. In act, their jobs depend ontheir ability to identi y weaknesses and make corrections.

So how does an organization get a perspective on its

relative strengths and weaknesses? Companies dont havegame lm. They usually have pretty limited metrics onwhich to base decisions. Annual strategic planning sessions,quarterly reviews and weekly management meetings are all

ocused on trying to gain a collective understanding o theorganizations strengths and weaknesses so strategy can be


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Orchestrated Per ormance

set. One way that leadership teams get some perspectiveon the company is by creating some structured questions,then interviewing its employees and capturing the results.However, this approach is time consuming and leads toinconsistent, qualitative results.

The best way to quickly obtain objective, measurable andquantitative results is by using structured business assessmenttools like those based on the CAMMI Model and Framework.

The results lead to new insight about an organizationsrelative strengths and weaknesses and the alignment o theteam. These results allow the organization to take correctiveaction to improve overall per ormance. Regular, ongoingassessments lead to sustainable per ormance.

Orchestrated per ormance means everyone in anorganization understands the strategy and their role in

making it a reality. The most success ul organizations havestrong capabilities across the board that come together tomaximize overall per ormance.

www.cammilogic.com 5

Measurement is the rst step that leads to controland eventually to improvement. I you cantmeasure something, you cant understand it. I youcant understand it, you cant control it. I you cantcontrol it, you cant improve it.

Dr. H. James Harrington


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Capability Maturity Model

Capability maturity is a constant throughout the CAMMIModel and Framework. The concept o capability maturity isdocumented in several di erent ways; varying de nitions canbe ound on numerous Web sites. We adopted this conceptbecause it is relatively easy to understand without creatingtoo many levels to consider when evaluating an organizationscapabilities.

Our results have shown that higher levels o maturity lead

to improved results or an organization. Our model is basedon balancing capability maturity throughout the organization.Organizations that emphasize certain capabilities and attemptto drive the maturity o one or just a ew capabilities to avery mature level are likely wasting some o their e orts. Thebest approach is a balanced approach where the ocus is onimproving the least mature capabilities because they aremost likely limiting the organization and preventing it rom

realizing its potential.

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Capability Maturity Model

Figure 1 - Capability Maturity Model

5. Leading Per ormance isproactively improved based oninternal metrics or insight romexternal sources.

4. Measured Per ormancedata is captured and measured

to assess and improveproductivity.

3. Consistent Per ormance isdriven by a documented process,which is used to train employees.

2. General UnderstandingPer ormance is driven by routineand habit, with only a general

understanding o the process.1. Ad hoc ReactionaryPer ormance is driven on an adhoc basis by reacting to issues asthey arise.

We use the ollowing capability maturity rating scalethroughout our model and ramework.


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Capabilities are the ability to produce outcomes. Our modelocuses on capabilities that are elemental to business

development: The ability to create and sustain long-termpro table relationships with customers.

I an organization does these things well, everything elsealls into place.

A Capability:1. Is built around a tight business ocus closely linked to thecompanys vision and values.

2. Is based on value proposition that can be measured interms o time, value or cost.

3. Is a corporate property, and there ore it is a corporateresponsibility to ensure its development and deployment.

4. Is broadly based across the value chain.

5. Consists o an integrated set o enablers across businessunctions:

a. Organizations knowledge and skills;b. Business process and organization structure;c. Supporting systems and technology;d. Positional assets and resources.

From The Centerless Corporation by Bruce A.Pasternack and Albert. J. Viscio

Market Capabilities Defned


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The CAMMI Model is designed or organizations managinglarger, more complex customer selling and servicingrelationships with meaning ul li etime value. It provides thestructure organizations require to manage their capabilitiesin alignment with customer needs.

Our model includes the elements necessary tomaximize per ormance in business development. Theouter wheel contains the categories o capabilities

that are explained in the rest o this document.Each category contains two objectives and eachobjective includes two capabilities; one relates toe ectiveness and the other relates to e ciency.



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CAMMI Model and Framework10

Competencies

Four key oundational competencies underpin the model.These competencies are incorporated into each category andcapability.

Competencies are not always readily apparent in anorganization. Through our model and ramework wehave established that a) a pattern exists, and b) thesecompetencies can be measured using our diagnostic tool. Theorganizational competencies tend to refect the leadership o

the organization. An understanding o the competencies leadsto a unique understanding o an organizations key strengths.

The oundational competencies are explained in moredetail below:

1. Strategic ClarityStrategic Clarity includes the ability tocapture market and customer insight tode ne your companys strategic valueproposition and align the organization tocarry out this vision. Prioritized strategicinitiatives and tracking mechanisms ensurealignment and per ormance.

2. Fact-Based PlanningFact-Based Planning includes analysisto e ectively segment your markets orprioritizing your go-to-market activitiesand the related plan/budget or allocatingresources.

3. Consistent ExecutionConsistent Execution includes de ningshared work processes and trainingemployees to consistently target, acquireand maintain a loyal customer base.Clearly de ned expectations and in-process activity measurements ensureconsistent execution.

4. Proactive LearningProactive Learning includes the ability tocollaborate e ectively with your strategic


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customers to understand their objectives andproactively revise your methodologies to meettheir changing expectations and capture thenew value exchange.

The numbers that de ne each capabilitythroughout the rest o this document re erback to these our competencies.

Competencies



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Strategic Leadership

The rst set o capabilities involves de ning value exchangeand establishing strategic alignment within the organization.The Strategic Leadership Category has two primary objectives:First, to create a clear understanding o how the organizationexchanges value with its markets; second, to build a sharedsense o what goes into value-based decision making. Thisrequires a balancing act between the two, with the complexobjective o capturing the greatest pro t with the least

amount o e ort.The senior leadership team is usually the group responsible

or Strategic Leadership in the organization, but it can involvethe entire management team.

Defning Value ExchangeThe rst objective o the Strategic Leadership team is toclearly de ne what a market values that the organizationis capable o producing, and why the market values it. Thisrequires an understanding o value-exchange, which is theability to match an organizations value with market potential.It there ore requires the identi cation o those markets thato er the greatest potential value or the organization toexpend its resources.

Value Proposition (E ectiveness)Clari y organizational purpose1. De ne the potential or the organization to create value

based on general market needs.2. Rank the value exchange options based on overall

productivity and market share potential.3. Produce e ective core value proposition statements to

articulate to the stakeholders, employees and market.

4. Maintain an understanding throughout the organizationas to why markets value core value propositions.

Market Prioritization (E fciency)Prioritize broad market options

1. Describe the broad markets and general attributes thatrepresent opportunities to exchange value.

2. Rank the potential o all likely markets based on their

overall e ciency and e ectiveness.3. Deliver clear market ocus to the organization to maximizeoverall productivity.

4. Recognize new markets and changing markets based onthe most relevant and current market research.


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Strategic Leadership

Strategic AlignmentThe second objective o Strategic Leadership is maintainingthe strategy o the organization and establishing alignmentacross the various teams and unctions. This involvescommunicating where the organization is heading and whatunderlying drivers should infuence key decisions. By clearlyarticulating the organizational strategy and de ning whatdrives priorities, its possible or individuals to have a positive

impact, even when a particular task or decision isnt wellde ned or them.

Organizational Consensus (E fciency)Promote clear go-to-market vision

1. Build a clearly de ned strategy or achieving overall go-to-market objectives.

2. Track who understands the strategy and who isnt aligned

with it.3. Maintain the communication o the strategy as teams and

the strategy itsel changes.4. Capture an understanding o how the strategy impacts

customers in order to proactively re ne it.

Decision-Making Alignment (E ectiveness)Establish a undamental understanding o decisions1. De ne the core drivers o good customer and market-

driven decision-making based on the go-to-marketstrategy.

2. Create a set o cascading priorities thathelp everyone understand whatsmost critical to the success o the

organization.3. Rein orce

team memberdecision-makingprocesses withperiodic review andmentoring.

4. Educate team members on why

the organization does what itdoes, so they can make sounddecisions without directinstruction.



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Business Planning

The second category o capabilities includes identi yingbusiness improvement initiatives, sales channels, productmix and key per ormance targets. Business Planning canalso be thought o as organizational readiness. It is aboutunderstanding the resources and results needed or success.It is where the organization starts to get ocused on the bestapproach to attract customers. For example: What is thebest way to reach customers Telesales, eld-based sales or

by using channel partners? Business Planning is where theorganization assesses its products and determines i one ormultiple approaches are required to realize its potential.

The management team is usually the group within theorganization responsible or the business planning. It is wherethe vision created in Strategic Leadership starts to becomemore real or the organization. The growth strategy executionplan starts to take shape in this category.

Improvement Initiatives and Channel PlanThe rst objective o Business Planning is to consider allpossibilities and allocate resources to best support thestrategic direction set orth in the Strategic Leadershipcategory. The emphasis with this objective is pro tability,

creating the most e ective and e cient way to attack themarkets identi ed in Strategic Leadership.

Assessing Initiatives (E ectiveness)Continually improve go-to-market potential

1. Identi y the critical capabilities and related per ormancepotential based on insight rom prospects, customers,team members and competitors.

2. Prioritize key business requirements and improvementinitiatives based on 360-degree business intelligence.

3. Create regular reviews o the business and businessimprovement initiatives to drive continual improvementand greater results.

4. Request continuous eedback rom customers andemployees to understand current needs and track theimpact o resulting initiatives.

Go-to-Market Planning (E fciency)Allocate resources based on need

1. Identi y all potential go-to-market resources and channelsto balance cost o pursuit and customer buying needs.

2. Prioritize and budget or the necessary go-to-marketresources based on a sound understanding o market andbusiness needs.


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3. Document key decisions regarding the go-to-market planand disseminate them to the entire organization so theycan be consistently applied.

4. Routine and regular ne-tuning o go-to-market resourcesbased on nancial results and eedback rom prospects,customers and team members.

Organizational Per ormance ScorecardThe second objective o Business Planning is to clearlydocument business per ormance objectives. This is where themeasurements o success are created so that everyone in theorganization knows what is expected and how their roles arelinked to the overall success o the organization.

Activity Measurement (E fciency)Assign critical-to-success activities

1. Create clear cross- unctional process measurements andstandards that correlate with high per ormance.

2. Prioritize the measurements that are most important orthe organization to achieve in order to realize its potential.

3. Communicate the measurements and results to the teamon a regular basis.

4. Proactively improve the activity measures based onvarious eedback loops and results.

Outcome Measurement (E ectiveness)Maintain scorecard o outcome measures

1. De ne key per ormance metrics or theorganization.

2. Prioritize the measurements thatare most important or theorganization to achieve inorder to realize its potential.

3. Communicate and assignthe measurements andresults to go-to-marketteams.

4. Proactively improve theper ormance measuresbased on various

eedback loops andresults.

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The third category o capabilities is the macro level o marketing. It includes per orming market segmentation andcustomer data analysis, allocating resources and analyzingmarket coverage. It is about researching and selecting thebest markets or an organizations products. The impact on theorganization is decreased cost o sales by ocusing on the rightmarkets and not wasting time on markets with less potential.

The management team, particularly the VP o Marketing and

marketing teams, are primarily responsible or this category.

Market SelectionThe rst objective o Strategic Marketing is to identi ywhich markets have highest potential or the organization.Focusing on the right markets reduces the cost o sales andmarketing and allows or greater fow and a higher return.Market selection is the opposite o a shotgun approach inwhich marketing is done to any market without regard to thepotential t or the organization.

Customer Data Analysis (E ectiveness)Trans orm data into business insight

1. Drive insight rom the in ormation the organization has orcan easily acquire.

2. Analyze current customer data and prospect win-lossin ormation.

3. Provide the centralized customer data analysis and insighto the organization to be incorporated into all commonprocesses.

4. Check insights with direct customer and employeevalidation activities such as surveys, interviews and panels.

Market Segmentation (E fciency)Create manageable markets

1. De ne market segmentation based on the Customer DataAnalysis and other key market data.

2. Prioritize the markets with the highest potential or theorganization.

3. Disseminate the market segmentation in ormation soeveryone in the organization has a clear understanding o the markets and submarkets.

4. Adjust market segmentation proactively based on anunderstanding o upcoming changes to global customerand market variables.

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Market ReachThe second objective o Strategic Marketing is ocused onassigning adequate resources to ensure all targeted marketsegments receive the organizations message.

Market Focus (E fciency)Create go-to-market team ocus

1. De ne ocused teams and their requirements or pursuinghigh priority market segments.

2. Analyze team impact on assigned markets to prioritizeadditional market- ocused e orts.

3. Create market- ocused processes or the various teams toensure that the unique needs o markets are met.

4. Continuously re ne the teams to ensure market ocus ismaintained through changing conditions.

Market Coverage (E ectiveness)Ensure adequate pursuit o markets

1. Understand the best category unnel model to ensure themarket is adequately touched by the organization.

2. Analyze the market coverage and prioritize theapproaches that yield the best results.

3. Create consistent approaches to ensure that the market isadequately reached by the organization.

4. Fine-tune the market coverage to consistently improveorganizational productivity in reaching desired markets.

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Operational Marketing is the last category o capabilitieswhere the organization is developing potential. The rest o thecategories are all ocused on realizing that potential.

The value o an organizations market insight and resourceallocation ultimately depends on connecting with prospects.The ability to quickly identi y, connect with and createawareness within the right potential customers (suspectsand prospects) is critical. Operational Marketing drives

revenue with an improved methodology or creating e ectiveawareness.The marketing team and VP o Marketing are most o ten

responsible or the operational marketing capabilities in anorganization, but these capabilities do not rest solely withmarketing.

Best Customer ProfleThe most success ul organizations have a clear understandingo their best customer pro le. This leads to more e ective ande cient marketing. It also reduces overall marketing costs

or the organization because the activities are ocused on theright customers: those with the highest long-term potentialvalue.

Customer Segmentation (E ectiveness)Identi y speci c accounts and/or contacts1. Identi y the most trustworthy account and contact

in ormation available to the organization.2. Measure size and value o clearly de nable market

segments and prioritize their potential value and ease o access.

3. Create and distribute the priority segmentation pro les

that represent unique contacts within targeted accounts.4. Review segment per ormance changes and rede ne

segments as proactively as possible.

Market Messaging (E fciency)Create customer and/or account messaging

1. Identi y all o the marketing treatment strategy optionsavailable to the organization based on prior conclusions.

2. Compare cost and productivity estimates and measures todetermine which will best meet overall objectives.

3. Design messaging options based on customer pro lesand their unique role and value exchange.

4. Identi y response trends and per ormance to better re neand proactively improve messaging by segment.

Operational Marketing


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Demand GenerationThis objective is critical and more tactical within theorganization. It is where the rubber meets the road andthe growth execution strategy starts to become real in theorganization. It is very di cult or an organization to growwithout attracting new customers. To attract new customers,an organization must become mature in its demandgeneration capabilities.

Lead Generation (E fciency)Uncover speci c revenue potential

1. Identi y all o the campaign delivery options available tothe organization based on in ormation availability andprospect accessibility.

2. Prioritize the lead generation activities that will yield thegreatest desired results.

3. Execute each campaign and capture the various levels o response that meet current objectives.4. Understand how each response or lack o response

provides an understanding o the campaigns impact.

Lead Qualifcation (E ectiveness)Validate each leads potential againstthe business objectives

1. Clari y the parameters o aquali ed lead based on allavailable understanding.

2. Identi y the points at whichan unquali ed lead becomes a

quali ed lead and establish anext step or every lead.

3. Score or evaluate each leador lead list with the bestavailable metrics anddistribute accordingly.

4. Proactively learn rom theresults and eedback o all

go-to-market unctionsbased on per ormance o leads and the lead evaluationcriteria.

Operational Marketing



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The Sales category o capabilities is where the organizationstarts to realize the potential created through the rst ourcapability categories. When organizations have revenueissues, they tend to blame sales rst. This is because sales ismost closely associated with revenue and is the area that mostcompanies try to improve rst. However, our research hasshown that more times than not the capability maturity insales is not the organizations limiting actor.

The Sales category o capabilities includes the ability tomanage opportunities, accurately measure the sales unnel,ne-tune the sales process to match customers buying

processes and consistently apply best practices across salesterritories.

The entire sales team is most responsible or the salescapabilities within an organization and it is usually the VPo Sales who has ultimate accountability or the capability

maturity in sales.

Buyer Alignment - SellingThe rst objective o the Sales category is to manage andmeasure the sales cycle rom lead to close. With this objectiveit is imperative to align the sales process with the customersbuying process to ensure the process is e ective and e cient.

Opportunity Tracking (E ectiveness)Identi y current state o sale

1. De ne the degrees or stages o sale progress and ultimatedisposition options.

2. Prioritize each opportunity based on size, close date,strategic value or timing o customer.

3. Capture each disposition and the degree o sale close andreport to the organization: a) closed business, and b) a

orecast o unclosed opportunities.4. Review the orecast against the actual results and identi y

where opportunities were hung up or lost and researchwhat changed to identi y buyer shi ts.

Funnel Modeling (E fciency)Measure the progress o uture revenue

1. Identi y the trending and ultimate impact o theopportunity tracking system reporting.

2. Isolate and prioritize correlations between volumes andassociated activities with results.

3. Build a orecasting model to refect and isolate uturerevenue fow based on known metrics o fow by stageand related activity.

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4. Compare orecasts with actual results and validatechanges with customers where change may indicatechanging behavior.

Sales MethodologyThe second objective o the Sales category o capabilities is

ocused on developing a consistent sales methodology. It isimperative that the organization ollow a well-de ned sales

process or identi ying and gaining commitment rom itscustomers. An organization should never sell to its customersbased on guesswork or an opinion o need, but rather basedon achieving the desired outcomes.

Sales Process (E fciency)Meet shared objectives with buyers

1. De ne the interactions and activities each buying role

requires to e ciently meet its buying objectives.2. Prioritize its importance in accelerating the sale.3. Train team members on the activities and per ormance

expected throughout the li ecycle with the customer.4. Proactively review win, loss and closed-won tracking data

and durations to identi y and validate changing customerbuying considerations.

Selling Methodology (E ectiveness)Promote the perspective o the buyer

1. Document the buying objectives o each unique customersegment.

2. Prioritize the buying objectives based on the di culty theorganization will have overcoming them, along with theimportance to the buyer role.

3. De ne the underlying methodology

needed with direct links to theopportunity tracking stages andtrain teams on why they do whatthey do.

4. Proactively review direct eedback rom customers and employees

to identi y and validate changingbuying objectives.

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The Sales and Service categories o capabilities are verysimilar; Sales capabilities are engaged be ore the closingevent and Service capabilities happen a ter the closing event.Service is generally not an area in most organizations thathas the most dramatic e ect on revenue, but it has been thelimiting actor in several cases where the service was so badthat it caused the organization to lose customers aster than itcould attract new ones.

The Service category o capabilities includes anorganizations ability to manage inquiries and complaints,establish service level agreements, ne-tune the serviceprocess and maintain rules and best practices.

There are several unctional groups within an organizationthat are responsible or the Service capabilities. The exactgroups vary widely based on the industry and company butthey include customer service, consulting and shippinganyone in the organization responsible or delivering whatwas purchased by the customer.

Buyer Alignment ServicingThe rst objective o the Service category o capabilities isBuyer Alignment Servicing. With this objective it is importantto ollow a well-de ned process or meeting customerobjectives.

Complaint/Inquiry Tracking (E ectiveness)Identi y the current state o delivery

1. De ne the degrees or stages o delivery and ultimatesatis action disposition options.

2. Prioritize each complaint or inquiry based on degree,revenue impact, strategic value, expectation or timing o customer.

3. Capture each disposition and the degree o completion

and report to the organization the rate at which is ul lledcommitments.

4. Compare per ormance with satis action and identi ywhere service delivery was short and research what mayhave changed to identi y shi ts in expectation.

Speed/Quality Service Model (E fciency)Measure the drivers o satis action

1. Identi y the trending and ultimate impact o thecomplaint and inquiry tracking system reporting.

2. Isolate and prioritize correlations between volumes andassociated activities with results.

3. Build a orecasting model and SLA approach to refect andisolate uture service needs based on known metrics andrelated activity.

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4. Compare orecasts with results and validate changes withcustomers where change may indicate new expectationsor behavior.

Service MethodologyThe second objective o Service is about developingand maintaining a consistent process or ul lling thecommitments made during the sales process. It is critical that

the organization understand the expectations o its customersbased on the impact it has on their objectives.

Service Process (E fciency)Meet the expectations o customers

1. De ne the interactions and activities customers expect toe ciently meet their individual expectations.

2. Prioritize the interactions and activities to per orm in

order to accelerate completion and satis action.3. Train team members on the activities and service levels(SLA) expected throughout the delivery li ecycle.

4. Proactively review activity and satis action with customersand employees to identi y and validate changingexpectations or behavior.

Servicing Methodology (E ectiveness)Promote the perspective o the customer

1. Document the loyalty drivers o each unique customersegment.

2. Prioritize the loyalty drivers based on the di culty theorganization will have meeting them, along with theimportance to the customer.

3. De ne the underlying servicing

methodology needed withdirect links to the complaintand inquiry tracking stages,and train teams on why theydo what they do rom acustomers perspective.

4. Proactively reviewdirect eedback rom

customers and employeesto identi y and validatechanging loyalty drivers.

Service

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In this third category o realizing potential in the organization,the capabilities are centered on overall per ormancemanagement o the people in the organization who engagewith customers. The balance in the CAMMI Model is evidentin this category because many o the prior capabilitieshave more to do with process and technology than thepeople-centered aspects o the organization. Per ormancemanagement includes process and technology, but the

emphasis is on the per ormance o the customer- acingemployees.The Per ormance Management category o capabilities

includes the ability to correlate activities to results, personneldecision making, establishing key per ormance indicatorsand improving individual per ormance through coaching andmentoring.

The human resources department and management team

are generally responsible or the maturity o the capabilitiesin this category. It is usually the HR Director who has ultimateaccountability or this category.

Individual Per ormance DashboardThe rst objective o Per ormance Management is ocused onthe hiring, management and termination o employees.

Per ormance Tracking (E ectiveness)Monitor individual activity and outcome

1. Identi y and capture individual activity and measureresults.

2. Provide per ormance reports indicating achievementlevels.

3. Create regular reporting processes that meetmanagement needs.

4. Capture direct customer understanding o individualper ormance.

Personnel Decision Making (E fciency)Make act-based personnel decisions

1. Correlate individual impact to team per ormance.2. Review individual impact looking or trends, leaders and

laggards.3. Manage personnel by reviewing reports and taking

immediate action.4. Make sure customers understand the transition o

personnel.

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Per ormance Management

Active CoachingThe organization cannot operate without employees andit is important to set the right expectations and manageemployees to those expectations throughout the li ecycle.

Establishing Expectations (E fciency)Assign individual activity and result expectations

1. Determine each individuals speci c role in success.2. Align metrics with an overall scorecard rom strategy to

individual metrics.3. Meet with team members regularly to explain and review

expectations.4. Make sure the expectations include a clear link to

customer objectives.

Mentoring and Coaching (E ectiveness)Improve understanding o individual impact

1. Identi y gaps in individual per ormance or expectation.2. Select critical areas o concern based on a priority o

objectives.3. Meet with individuals to discuss situations and needed

change.

4. Build an understanding or why the customer perspectiveis critical.



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The Strategic Relationship category o capabilities is aboutincreasing the value o an organization to its customers. Manyorganizations start out as just vendors to their customers butthey desire a more strategic relationship and ultimately wantto be considered partners with their customers. To obtainpartner status the relationship has be based on a unique andstrategic value that the customer does not eel it can get romother relationships. Creating that unique and strategic value

requires maturity in the Strategic Relationship category o capabilities.The Strategic Relationships category includes an

organizations ability to conduct behavioral research andapply personality driven treatment strategies, manageexpectations and collaborate with its most strategic customersto create shared value.

There are various unctional groups responsible or Strategic

Relationship capabilities but responsibility o ten rests with theoverall management team.

Strategic Account DevelopmentThe rst objective in the Strategic Relationship categoryinvolves establishing per ormance quotas and monitoring the

results. The organization knows its best customers well andcontinually sets clear expectations o shared outcomes withthem.

Customer Collaborative Learning (E ectiveness)Uncover breadth o strategic customer need

1. Establish a complete set o customer goals or your bestpotential strategic customers.

2. Measure which has the greatest potential impact or

expanding breadth o relationship value.3. Meet with strategic customers to discover how the

organization can achieve additional value.4. Understand what the business objectives are and why

they have a positive impact.

Strategic Value Expansion (E fciency)Personalize o erings or greater strategic impact

1. De ne customer needs or greater personalization, orgaps in current product/service o erings.

2. Determine the additional revenue or loyalty potential i personalization is provided.

3. Build products that allow or adaptation to new orspecialized situations.

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4. Work with customers to isolate needs vs. wants, orsymptoms vs. root cause.

Proactive CollaborationThe second objective in the Strategic Relationship categoryincludes building growth plans or the typical customer. Theorganization works with its best customers closely and eachparty trusts the other to deliver on its commitments.

Dynamic Process Adaptation (E fciency)Deploy processes that are built or change

1. Collect process ine ciencies rom internal and externalsources.

2. Prioritize those with the greatest negative impact on theorganization.

3. Improve those processes to allow or key variations in

specialized situations.4. Work closely with key customers to identi y value-addedprocesses based on their needs.

Collaborative Value Exchange (E ectiveness)Align internal objectives with customer objectives

1. Create a complete set o customer objectives.2. Align how the organization can best meet additional

client value.3. Create shared processes that

align the objectives o the organizations.

4. Collaborate withthe customer

on their internalobjectives andhow they mightimprove themwith support.

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This nal category o capabilities is Market Innovation. Thisincludes product and market innovation; developing newproducts and determining the best way to bring them tomarket.

The research and development team and generalmanagement are most o ten responsible or the capabilities inthis category.

Product/Service InnovationThe rst objective in the Market Innovation category isProduct/Service Innovation. This includes the ability to captureideas internally and rom customers and then prioritize thembased on the t or high-value markets. The organization mustcontinually assess the relevancy o its products and servicesand adjust to the market.

Idea and Concept Tracking (E ectiveness)Capture external and internal innovative ideas1. Gather a complete listing o external and internal ideas or

new o erings or ways o servicing customers.2. Capture a sense o priority through voting, compiling

similar captures and assigning value o source.

3. Extend the process or collecting new ideas into all keycustomer touch points.

4. Improve collection o ideas by capturing anunderstanding o why it will have a positive impact.

Idea and Concept Prioritization (E fciency)Prioritize ideas to meet growing needs

1. Understand the complete listing o ideas and relativevalue.

2. Rank each idea based on the impact each has on the valueexchange o the organization.

3. Create a ormal process that ensures each idea isprocessed and recorded by the degree o value.

4. Work directly with customers to thank them or ideas andprioritize with voting infuence/involvement.

Product/Service LaunchThe second objective in the Market Innovation category isProduct/Service Launch. An organization should continuallyimprove its products and services to meet the needs o itshigh-value markets.

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New Product Launch (E fciency)Manage change internally and externally

1. Document the entire cycle o introduction using isolatedteams and resources, or pre erably the standard unctions.

2. Plan the order and priority o customers needing totransition or be introduced to the new product or serviceo ering.

3. Deploy a process that ensures each prospect or customer

is introduced through a complete selling process.4. Request customer eedback about their awareness o thenew o ering.

Transitioning Value Exchange (E ectiveness)Educate everyone on the value o transition

1. Capture the adoption across the prospect and customercommunity to the change or new o ering.

2. Determine points o adoption needing urther discussion.3. Create a ormal approach to reviewing change with a

customer and how it could have better improved theirper ormance.

4. Understand the degree o value created or lost, and work directly with customers to ensure uture loyalty regardlesso prior impact.

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The CAMMI Diagnostic is a web-based assessment tool thatmeasures an organizations capability maturity based on theCAMMI Model and Framework. Using a power ul analysisengine, it derives an organizational CAMMI Score throughdynamic questioning patterns and real-time response analysis.The CAMMI Score analytical engine analyzes each responseagainst an analysis o all prior insight be ore determiningits next question. The analysis ramework used is basedon complex interdependencies between the 36 elementalmarket capabilities. As a result, the CAMMI Score is continuallyvalidating responses and capturing inherent alignmentopportunities or issues. An organization may be scored atthe enterprise, division or business unit level; go-to-marketautonomy is the only requirement.

The CAMMI Diagnostic is the only objective and e ectiveway to measure an organizations maturity and team

alignment. The process works like this:

1. The process starts with a kicko meeting or theleadership team and all the participants selected or theDiagnostic campaign. During this meeting we outline theobjectives, process and timing or the overall project.

2. A link is sent to the participants via e-mail with a uniquelogin to the Diagnostic.

3. The participants log in and complete the Diagnosticonline rom a secure Web site. The participants scorethe organization rom questions that vary based on theanswers to all the previous questions. The Diagnostictakes approximately 35 minutes to complete or eachparticipant.

4. A ter all the participants have completed the Diagnostic,we close the campaign and generate the results.

5. We work with our partners to interpret the results andprepare or the workshops.

6. We have two meetings with the leadership team topresent the results, baseline the results with the teamand develop a prioritized approach to improving keycapabilities.

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7. Our partners work with the leadership on the executiono the projects and programs necessary to implement thesolutions.

The Diagnostic results are comprehensive and include theollowing key in ormation:1. Organization-wide capability maturity results; also

summarized by objective and category.2. Organization-wide competency maturity results.3. Individual results or each participant.4. Alignment results comparing the maturity at each level by

participant.5. Overall CAMMI Score.

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CAMMI Score

The CAMMI Score is an overall measurement o anorganizations maturity and alignment results. The purpose o the CAMMI Score is to provide one summarized score so anorganization can get a big picture perspective o their overallmaturity and alignment based on the CAMMI Model. TheCAMMI Score allows organizations to compare their results tothose o their peers, competitors and other organizations.

Details o the CAMMI Score Delivers a single score on a 1280-point scale. Calculated using a patent-pending model

and unique algorithm that considersall o the capabilities that lead tomarket success.

Provides time-basedcomparisons to track

improvement. Allows or benchmark

comparisons to otherorganizations.

Demonstrates a proven correlation between the scoreand overall market efectiveness and revenue growth.

Leader

Contender

Competitor

Target

960 to 1280

640 to 959

512 to 639

256 to 511


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33www.cammilogic.com

Orchestrated per ormance means everyone in an organizationunderstands the strategy and their role in making it a reality.The most success ul organizations have strong capabilitiesacross the board that come together to maximize overallper ormance.

Orchestrated per ormance requires:1. Alignment with customer needs.2. Internal support or the organizations strategy.

3. An understanding o the organizations strengths andweaknesses.

4. A systematic, prioritized approach to improvement.5. Technology that supports the business.

Companies are nding that the old ways o doing thingsare not always the best ways. Today, organizations need toexecute better and more consistently as a team to beat their

competition. Leaving things to chance, without a commonramework and metrics, o ten leads to disappointing results.In the past year organizations o all sizes, rom small, closely-

held companies to Fortune 100 rms, have engaged withCAMMI Logics consulting rm partners to improve theirresults. The organizations had various reasons or engagingone o CAMMI Logics partners:

1. A lack o clarity about what was holding them back.2. Disappointing revenue results.3. A desire to improve overall sales per ormance.4. A need to implement new CRM technology to support

their growth plans.In every engagement the organization was unsure where

to start and what solutions would have the most impact ontheir results. They didnt want to ocus on the wrong thingsor the wrong technology. Current economic realities requireorganizations do more with less, so they had to make surethey were ocused on the right things.

CAMMI Logic provided the strategic clarity or theorganizations to understand their priority improvementareas and engage with the consulting partner to implementsolutions.

Comments that we heard rom these projects included:

I dont know how you can possibly know so much about our organization rom just reading the diagnostic results.I cant believe you never talked to anyone in our company but were able to gain so much insight.

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The quantifable diagnostic results gave us confdencethat we had identifed the right priorities and we were ableto agree on an approach that everyone would support.

The diagnostic results highlighted a priority area that our leadership team had overlooked. Once we saw the weakness the light bulb went on and we took stepsimmediately to improve that area.

The results and roadmap allowed our team to agree onan approach to select and implement a new CRM solutionthat we had been struggling or years to replace.

Take the next step or your organization and investigate howa CAMMI Logic consulting partner can help you master ullyorchestrate your per ormance.

For more in ormation and a ree consultation contact:Scott [email protected](952) 856-0759

T

CAMMI Model and Framework34

Closing Summary


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Mike ParadisMike is passionate about developing organizations thataccelerate and sustain growth by managing customervalue-exchange. In act, he devoted the past 15 years o his career to that single leadership objective. During hiscareer, Mike and his team have systematically researched,de ned and tested every aspect o an organizations abilityto maximize customer value. Working with large andsmall organizations rom all industries made it possible toisolate the core and common relationship capabilities.

Mikes dedicated e ort has produced patent pending business models,processes and technology, including the CAMMI Model, Buy/Sell Alignment,Building Customer Framework and the CAMMI Diagnostic.

Joining GE in the 1995, Mike was one o the rst members o a new customerrelationship management team. Through GE, he became involved in hundredso customer acing solutions nationally. Through these engagements, Mikemaintained a personal ramework detailing each customers successes andchallenges. Mike was eventually named Executive VP o the CRM Business, wherehe led a team o 80 consultants or GE, establishing o ces in New York, Boston,Atlanta, Chicago, LA and Minneapolis.

In late 2001, Mike ounded BenNevis Inc., and designed the organization toprovide growth strategy consulting based on the CAMMI Model and Framework. Mike is the ounder o CAMMI Logic and other organizations ocused on helpingcustomers grow.

Mike holds certi cations and training including, Six Sigma, Consultative Selling,Solution Selling, Customer Centric, GE Business Integration and Balanced Scorecard. During his tenure with GE, Mike was nominated our years or the prestigiousGeneral Electric Circle o Excellence Award and was the recipient three times.

Scott BoedigheimerScott has seen rsthand how organizations havestruggled with Orchestrated Per ormance. He has ali elong passion or helping companies improve theirresults; initially ocused on accounting and now byimproving sales and leadership.

Scott o ten re ers to himsel as a recovering CPA sincehe started his career in public accounting and gainedhis CPA certi cate in 1990. That background has servedScott well throughout his career in public accounting,

technology consulting, sales and management.Scott started his career with Larson, Allen, Weishair and Co., a Minneapolis based

regional CPA rm right out o college at St. Johns University in Collegeville, MN. Scott spent several years at LarsonAllen in the commercial services, auto dealerand manu acturing groups doing audit, tax and consulting work.

Scotts passion or technology led him to orm LarsonAllen Technology Solutions,a wholly owned subsidiary o the rm that helped clients select and implementERP solutions.

Scott spent the next several years running that practice then other ValueAdded Reselling (VAR) organizations at Virchow Krause and Altara. At Altara,Scott was responsible or the Central Region o the US and also served as the

rms VP o Sales. Scott le t Altara to join Microso t in a Strategic EngagementManager role. In that capacity he worked on larger ERP opportunities withMicroso t Dynamics partners.

Scott was recruited to CAMMI Logic by the ounder and was instrumental inorming the company and launching the solutions.

About the Authors


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CAMMI M d l d F k

Le t Running Head

CAMMI Logic, LLC. 8877 Aztec Dr.

Eden Prairie, MN 55347(952) 241-9009

[email protected]

Documents

Orchestrated Performance by CAMMI Logic