Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP

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Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP
Schneider Electric:
building Solutions with Customer

Paris - June 24th 2014

Dominique Gayraud – Strategic Account Development VP
Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP
We are now at the emergence of the Efficiency Economy.
Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP
In this new economy, economic growth is decoupled from
               rising energy consumption.

  Success       Growth           Rising energy consumption
Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP
The Efficiency Economy
is born from the
convergence of the
worlds of IT and energy
to link and manage all elements of the
smart grid, delivering the greenest energy
at the cheapest price and the desired time.
Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP
Energy optimisation

The
Efficiency   Process optimisation
Economy

             Security optimisation
Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP
This is where we contribute.
Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP
We are focused on
efficiency solutions from
plant to plug
We make energy safe, reliable, efficient, productive
and green to manage, control and optimize it
between it‟s production and consumption, from
plant to plug.

                                                       Driving efficiency to save up to 30% Opex and
                                                       Capex at home, at work, in towns and cities and
                                                       across the grid
Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP
From smart devices through to big data, we provide our
   customers with services, systems and technology to:

Reduce energy   Reduce cost   Reduce CO2    Optimise operating   Realise measurable   Produce energy
  consumed       per kWh       footprints     expenditures         efficiency and      locally across
                                                                    productivity          the grid
Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP
We need a new efficiency paradigm requiring a new
    approach to drive long-term sustainability

   Save               Connect              Share
Schneider Electric: building Solutions with Customer - Dominique Gayraud - Strategic Account Development VP
At Schneider Electric, we
believe it‟s time to save.
Integrate your facility and used decentralised
generations to reduce the energy consumed, the
cost per kWh and operating expenditure and drive
a self-sufficient, net-positive mindset

                                                   Control your facilities processes, optimise your
                                                   operations and assets and conserve your
                                                   enterprise resources by combining the worlds of
                                                   energy & IT
A 10 year transformation into
                    a true global market leader in 2012
From 60 to…   From 50%, to…          From 80% US       From ~20%     From building        From a
                                     & Europe, to…        to…         & industry,     product model,
                                                                          to…              to…

200             90%                      4            41%            5  diversified    39%
 € billion     of business in         Balanced        Exposure to    End markets       Of sales in
Accessible       leadership          Geographies     New economies                    solutions and
 Market           positions                                                             services
              (#1 or #2 worldwide)
We have continuously invested and grown organically and
                   through acquisition in Industry

                                                                 €4.5bn

Software & Services
Systems
                                                                                 Oil & Gas
Products
Sizes do not reflect actual
sales proportions                €2.7bn

                                  2002             2008           2012
                              Best in Class   MachineStruxure PlantStruxure
                               products        for machine for end customers   Key acquisitions 2006 - 2012
                                                 builders
Delivering EcoStruxure to our end customers
                          For example: Food & Beverage
Building systems
-Sustainability
-hygiene

Datacenter systems
-Sustainability & data availability
-Cost control

Power & energy systems
-Sustainability
-Efficiency & Cost control

Security systems
-Food safety
-People & asset safety

Process & machine systems
-Productivity & flexibility
-Food safety
Transforming Efficiency
Together:
Helping Xstrata Copper in Australia, to build a new
pit-to-port supply chain architecture, replacing a
collection of disparate and local optimization
applications by an integrated solution that
holistically optimizes the entire chain

                                                      Increased visibility across the entire supply chain,
                                                      allowing for optimization of rail and port schedules,
                                                      real-time inventory and mass balances and delay
                                                      accounting improve performance
Transforming Efficiency
Together:
Working with Anglian Water Services Ltd in the UK
to implement a smart water network in a complex
IT environment and further improve performances
in water loss management

                                                    Decreased resource losses and operational costs,
                                                    enhanced customer service and environmental
                                                    stewardship, strengthened regulatory compliance
Transforming Efficiency
Together:
Supporting Kimberly Clark worldwide to realize
$50m energy cost savings and a 5% decrease in
greenhouse gas emissions globally through the
provision of real-time data and visual triggers to
induce a durable change in the behavior of
operators on the plant floor

                                                     5% decrease in energy cost at the pilot site, equal to
                                                     3.75x the initial investment after 18 months
                                                     implementation and an 8% decrease in green house
                                                     emissions
Creating the connected
company
Global Strategic Accounts
Program
Served by a community of +80 Global
Account Managers…

                                                          …and
                                                          +500
                                                          Key
                                                          Account
                                                          Managers
Schneider Electric - S&SC- J.FOURNIAL – March 27th 2013              19
Segments & Accounts lead their expansion
                                                                        Multi-BU
3Y Business Plan                                  Global & local
                                                                           +
                                                  Resource allocation
                                                                        channels

 Schneider Electric - GSAs Forum – January 2014                             20
What are the key success factors?
●« Solutions » is the growth engine
●Account Management that creates value to the customer
●The right People at the right place collaborating together
●A sales network with clear rules of engagement
●The right processes and tools
●A governance that drives the change and ensures
consistency

Schneider Electric - S&SC – J. FOURNIAL – March 27th 2013     21
With the right people, at the right place
with the right skills

Schneider Electric - S&SC – J. FOURNIAL – March 27th 2013   22
A clear value proposition to GSAs

● Building strategic long-term relationship

● Providing them integrated solutions that create
  an impact

● Delivering worldwide execution and support

Schneider Electric - S&SC – J. FOURNIAL – March 27th 2013   23
Linked to their business drivers

●Capital and Operations expenditure optimisation

●Increase of productivity

●Processes safety and reliability

●Efficient and green energy
Schneider Electric - S&SC – J. FOURNIAL – March 27th 2013   24
GAM & KAM Go-to-Market Strategies
      Shifting from Supplier Focus only to Solution selling
   Quadrant 1:                                              Quadrant 4:
   Supplier Focus                                           Partner Focus

        KAMs                                                     GAMs
    recognized as                                            recognized as
      Customer                                                 Business
       Process                                                 Advisors
       Experts

   Quadrant 2:                                              Quadrant 3:
   Customer                                                 Customer
   Process Focus                                            Business Focus

Schneider Electric - S&SC – J. FOURNIAL – March 27th 2013                    25
GAM & KAM learning path
Solution Sales Professional / Master Certification
                                                                   Energy             Solution
   Induction and                                 Business        Management           Segment
     Methods                                   Fundamentals      Professional        Knowledge

 Becoming a
 Customer
 Process                                          Negotiation
                                                                Leadership Skills   Solution Skills
                                                    Skills
Specialist or
a Business
  Advisor
                                                                                                  26
Schneider Electric - S&SC – J. FOURNIAL – March 27th 2013
Working on a collaborative manner
in structured organizations

Schneider Electric - S&SC – J. FOURNIAL – March 27th 2013   27
Principle of a Collaborative Network to
serve the Global Strategic Accounts
                                                                                        Cluster
                                                                                        Director
                        Global Strategic                                      Schneider
                           Account                                      GAM    Electric
                         Headquarters                                                          Executive
                                                                                                 Sponsor
                                                            Customer
                                                                        KAM
                                                            Country A

                                                            Customer
                                                                        KAM
                                                            Country B

                                               Customer                 KAM
                                               Country C

GAM = Global Account Manager
KAM = Key Account Manager

                                                                                                           28
Schneider Electric - S&SC – J. FOURNIAL – March 27th 2013
With the right processes and tools

Schneider Electric - S&SC – J. FOURNIAL – March 27th 2013   29
Key Processes to run Strategic Accounts
                                                             3 Account                  Implement
                                                               Analysis
                                                                                          ation
                                                                  &
                                                                                            of
                                          1
                                                               Account
                                                               Planning
                                                                              4          Actions
                                                                                                                  2
                              Account         Account                       Account                  Account
                              Selection        Setup                      Performance               Deselection
                                                                           Reporting

                                                                           Account
                                                                           Review

                                                 6                                         7                 Multi-Country   8
                            GAM Hiring                                       KAM
                                                                                                             Commercial
                                                                          Allocation
                                                                                                             Agreements

                                                      Supporting Programs
                                                            GAM – KAM Up-Skilling
                                                            Executive Sponsorship
                                                              Customer Intimacy
Schneider Electric - S&SC – J. FOURNIAL – March 27th 2013                                                                        30
How to engage with customer on
Solutions?

Schneider Solutions Workshop
Customer Ready Orientation

Schneider Solutions Workshop
The Changing Realities … require Real Change
                 SKUs
                                   Customer interactions are
                Services
                                  becoming “standardized” in
                Solutions                                        …is no longer who you
                                 the eyes of EACH PARTY…
                Software                                              think it is …
                                    each feeling diminishing
              Cross-Selling
                                            returns.
                   …

           The Company               The Customer                The Competition

              YOUR STORY               PREPARATION                   EXPERTISE

                                                                • “This gives us
                    SCHNEIDER    • “This has   really helped
                                SOLUTIONS WORKSHOP PROGRAM
     • “We can use this to tell                              something that is truly
                                 me to see the customer
     our story to each other.”                                 different than our
                                         differently.”
                                                                  competitors.”

Schneider Solutions Workshop                                                             32
We’ve all come away
from that “great”
customer interaction…
The stars were all aligned
Everyone was engaged and invested
The right people were in the room
We all asked great questions
We really made each other think
Everyone contributed answers and ideas
We all left knowing what we decided and why
The team had a clear vision for moving forward
…

                        How can we make that happen EVERY time?
  Schneider Solutions Workshop                                    33
a repeatable
                                 process

     Schneider
     Solutions                                 for having a
     Workshop                           facilitated conversation
      Program

                               that drives consensus
                                    on a decision
Schneider Solutions Workshop                                   34
We are not here to tell the customer what they should do
                                                                       “Here‟s what we‟ve noticed
 Schneider Electric                                                from our collective experiences with
 ● Experts about their own solutions
 ● Broad experience of other customers
                                                                       dozens of other customers”
 ● Deep experience of implementations:
   what it takes. the key success factors or
   risks
                                                                         Where we
                                                                         can work
                                                                         together
 Customers
 ● Experts about their processes
 ● Owners of the vision of the industry                            “Here‟s what we notice about our own
 ● Have comparisons in mind for other                               city, our strengths and weaknesses
   customers                                                            and what we want to change”
 ● Have not yet achieved their vision
  Schneider Electric - Strategy & Innovation – Smart Cities team                                          35
Discovery and exchange tactics

                     High
                                                  Case studies                       Building together
                                                 “show without criticising”
                                                                                     using today and tomorrow
                                                  successes from other
                          Our experience

                                                                                             scenarios
                                                    implementations

                                                     Exploring                             Discovery
                                                                                    questions drawn from today
                                                     together                          and tomorrow states
                       Low
                                           Low                   Customer’s experience / knowledge         High

Schneider Electric - Strategy & Innovation – Smart Cities team                                                    36
The process produces and filters ideas along a
  pipeline of content
                                                                                                          Ideas are added…
Schneider high-         Customer                    Schneider        Customer experts and
level ideas             initiatives and             detailed ideas   stakeholders ideas
                        ideas                                                                             some ideas are filtered
                                                                                                          out…

                                                                                                          the best ones
                                                                                                          move forward…

                                                                                                             Selection of
                                                                                            Evaluations       projects
                                                                       A workshop
                                                                       with experts                                           Prioritized,
                                       An initial                        from the                                         filtered,validated
                                       discovery                        Customer                                             vision for the
                                                                                                                               Customer
                                        meeting
  Schneider Electric - Strategy & Innovation – Smart Cities team                                                                      37
Consistent and collaborative process with the customer
                                                                                        Our
         Case Study                                          Today     Tomorrow       Approach

                 Goals                                  Programs &     Improvements   Solutions
                                                         Priorities

               Results                                   Challenges      Benefits     Examples

             Transition                                   Transition    Transition    Summarize

Schneider Electric - Strategy & Innovation – Smart Cities team                                    38
“external”
                                              [at the wrap-up ending the SmartCities:Dallas workshop with the external customers]
                                              “You really get our [issues]…I didn‟t feel sold to today,
                                              I felt understood.”             Bill Finch, CIO; City of Dallas TX

                                                                     [following what attendees thought was a typical „vendor meeting‟, most
[introducing SE team to new client-ESS team members]
                                                                     had to walk across large campus in 40ºC]
“They organized a stimulating, exploratory                           “How did you get us [decision makers from various
workshop on energy management. It was                                groups within WalMart] all together? We can’t
a great effort, and it showed.” Thomas Parker,                       even do that!”
ESS Energy Mgr                                                                        Cathy Rains, Director of Procurement
             European Spallation Source                              „I‟ve been working with Schneider for 7 years. This
                                                                     work [posters & workshop] is the best I‟ve ever
                                                                     seen from you.‟
[developer asked for the posters to help sell the concepts                            Keiran Ryan, Director of Logistics
to the investors and potential tenants]                                               Walmart Corporate Headquarters
“My interview with executive staff and the
realtor on Friday was incredible … [the                              [following the NBAF team‟s final presentation to developer‟s joint-
                                                                     venture]
posters] help so much more in the area of                            “Thank you very much for bringing the right
future-state … exposing undervalued                                  team…Most groups stutter during a [long, grueling]
benefits we have to offer.”                                          meeting like this, you did not.“
Neil Nedilisky, Developer      Portland Oregon USA                   walter Eads bid manager, McCarthy Mortenson J-v

Schneider Solutions Workshop                                                                                                                  39
Efficiency will help us make the
most of our energy
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