WORLD CLASS SALES ROUNDTABLE:

Spotlight on IBM

Creating Excellence

By Gerhard Gschwandtner
Publisher, Selling Power

IBM is the world’s leading provider of information technology solutions. In 1996, IBM sales were $75.9 billion, with a total work force of 241,000 employees. Hardware sales represent 48 percent of the company’s revenues. IBM developed a hybrid sales organization with a tight linkage to multiple channels. All channels have the ability to sell the entire IBM product line. IBM employs approximately 10,000 salespeople in the U.S. and 30,000 worldwide.

IBM received the World Class Sales Benchmark Award based on customer satisfaction surveys within the industry. H.R. Chally researchers found five success factors that explain IBM’s success:

1. Strong product and application knowledge. IBM representatives receive extensive training that allows them to fully understand the customer’s business. IBM has created industry solution units and increased industry specialization.

2. Attention to customer needs and problems. The corporate culture creates a mindset of total focus on the customer. Compensation is influenced by the results of customer satisfaction surveys.

3. Quality product and service. There is a sense of urgency about achieving customer satisfaction. If a customer has a problem, IBM does whatever it takes to make sure the customer is satisfied at the end of the day.

4. Customer advocacy. IBM assigns client representatives to large accounts whose job is to represent those customers to IBM and to represent IBM to those customers.

5. Excellent technical support. IBM has developed a strong support team of experts who are available to diagnose and solve customer problems.

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Excerpted from Selling Power magazine,
January 1998

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