Service Leadership
Total Profit Solutions for IT Companies®
Service Leadership Index®
- Product GM% - BIC Profit SPs: Q2-12 27.6% Q3-12 26.8% Q4-12 29.0% Q1-13 23.6%
- Product GM% - Median Profitability SPs: Q2-12 24.0% Q3-12 20.2% Q4-12 21.9% Q1-13 20.8%
- Product GM% - Bottom 1/4 Profitability SPs: Q2-12 12.0% Q3-12 22.3% Q4-12 15.0% Q1-13 6.4%
- Services GM% - BIC Profitability SPs: Q2-12 53.7% Q3-12 57.6% Q4-12 54.9% Q1-13 53.1%
- Services GM% - Median Profitability SPs: Q2-12 47.7% Q3-12 47.5% Q4-12 46.9% Q1-13 44.0%
- Services GM% - Bottom 1/4 Profitability SPs: Q2-12 41.0% Q3-12 37.8% Q4-12 36.8% Q1-13 32.7%
- SG&A% - BIC Profitability SPs: Q2-12 27.2% Q3-12 26.3% Q4-12 27.3% Q1-13 28.5%
- SG&A% - Median Profitability SPs: Q2-12 29.6% Q3-12 28.8% Q4-12 29.8% Q1-13 29.7%
- SG&A% - Bottom 1/4 Profitability SPs: Q2-12 32.0% Q3-12 34.7% Q4-12 37.3% Q1-13 35.7%
- EBITDA% - BIC Profitability SPs: Q2-12 18.4% Q3-12 23.7% Q4-12 21.5% Q1-13 17.2%
- EBITDA% - Median Profitability SPs: Q2-12 8.6% Q3-12 10.3% Q4-12 8.5% Q1-13 6.3%
- EBITDA% - Bottom 1/4 Profitability SPs: Q2-12 −0.3% Q3-12 −2.4% Q4-12 −6.7% Q1-13 −5.2%
Quarterly Solution Provider Performance
Speaking & Education Catalog
Table of Contents
Why Service Leadership?
A Note about Customization and Branding
Financial and Operational Benchmarking and Diagnostics
Solution Provider Business Models, Transitions and Crisis Management
Solution Provider Compensation Plans
Topical
Why Service Leadership?
Your people and your partners are your most valuable asset, and their ability to meet your goals is directly related to their leadership, management, business and channel management skills.
You can leverage Service Leadership’s two decades of successful executive leadership experience in IT Solutions companies, and six years of exclusive Service Leadership Index® financial and operational benchmarking and consulting to improve the leadership and business management skills of your team.
Service Leadership’s unique business model – as the only IT Solutions Provider consulting firm which ties business consulting to true market valuations – means Solution Provider owner/executives and channel managers get real, market-tested advice and insight which results in measurable improvements in cash flow and stock value.
Enhancing the business management skills of your people is a true win/win: you get growth and profit, and they get enhanced skills and abilities. Better yet, they know you care about their success and well-being by giving them the best management education resource: Service Leadership.
Read on to find out more about our exciting and effective speaking and education offerings.
A Note about Customization and Branding
Service Leadership educational and benchmarking offerings are available in customized forms and with various branding opportunities.
Customizations include:
- Focus on specific technologies, Solution Provider business models, vertical markets, end customer sizes, and so on.
- Inclusion of vendor offerings as part of business model discussion and/or examples.
- Creation of specific or custom take-away tools which support the vendor’s value proposition to the Solution Provider, or which support the solution’s value proposition to the end customer.
- Additional of one-to-few or one-to-one Service Leadership consulting for high-touch Solution Provider populations.
- Takeaway tool customization and branding is also available.
Branding opportunities include:
- Standard Service Leadership Index® branding,
- Co-branding (vendor and Service Leadership Index®),
- Vendor branding with Service Leadership Index® attribution,
- Vendor branding only.
Please inquire; we are confident we can meet your specific needs.
Financial and Operational Benchmarking and Diagnostics
The steps that Solution Providers must take in order to improve business results are:
- Understand what to measure,
- Take the measurements,
- Determine – for that Solution Provider’s specific business model - what is low performance, median performance and Best-in-Class performance,
- Make plans and execute plans to attain Best-in-Class performance,
- Re-measure at regular intervals and adjust plans accordingly.
The Service Leadership Index® is the industry’s only Solution Provider benchmark which recognizes the differences between various Solution Provider business models and uses as its foundation the same formulas used for valuing the company.
This unique approach ensures that the benchmarking is both immediately applicable to the Solution Provider’s current tactical situation yet is also tied directly to long term strategic value creation. The Service Leadership Index® thus provides a direct connect between attaining financial health now and reaching the shareholders’ future value goals.
The speaking and education topics in this section help Solution Provider owners and executives understand how their company performs against other Solution Provider of all business models and of their specific business model.
These engaging sessions come in two forms: educational or participatory.
- In the educational versions, attendees receive a copy of the latest Service Leadership Index® report on the chosen topic, and learn how to use it in gauging their own companies current and future business model.
- In the participatory versions, attendees also submit their own data to Service Leadership’s proprietary and confidential benchmarking system – the IT Company Optimizer™ – and receive a private, individualized Service Leadership Index® benchmark report on their company showing precisely and confidentially where they’re strong and where they can improve.
Volume discounts are available on both the educational and participatory versions.
| ID | Title | Contents | Participatory | Includes Report | Times |
|---|---|---|---|---|---|
| SEM0700A | The 2009 Service Leadership Index® Profitability Benchmark of IT Solutions Providers | An in-depth look at the results of Service Leadership’s groundbreaking, in-depth operational and financial benchmark of IT Solutions Providers. Attendees will come away with an understanding of top financial performers segmented by more than 20 lines of service offerings, more than 20 vertical markets and seven customer size segments. Productivity of sales and engineering teams is included, as well as an analysis of the most effective sales lead sources. | Optional | Yes | 60-120 Mins., Half-Day |
| SEM0700B | The 2009 Service Leadership Index® Managed Services Benchmark | An in-depth look at the results of Service Leadership’s unique operational and financial benchmark of those Solution Providers providing Managed Services to the SMB marketplace. Attendees will come away with an understanding of selling prices, service offerings, vertical markets, customer sizes and customer adoption rates of top-performing and average-performing Managed Services companies, Productivity of sales and engineering teams is included. | Optional | Yes | 60-120 Mins., Half-Day |
| SEM0700C | The 2009 Service Leadership Index® Compensation Benchmark | An in-depth look at the results of Service Leadership’s unique Solution Provider compensation survey. This is the only compensation survey which is designed for Solution Providers and not for enterprise IT departments. We cover more than 45 job positions common to most Solution Providers, within infrastructure, applications and Managed Services practices, as well as sales, management and executive positions. This is divided regionally and into the largest metro areas so you can see specifics for your area. | 60-120 Mins., Half-Day | ||
| SEM0700D | The 2009 Service Leadership Index® Economic Exposure Dashboard™ | An in-depth look at the results of Service Leadership’s unique Economic Exposure Dashboard™. This unique approach to helping Solution Provider protect themselves from the current stressful economic conditions shows them which financial and operational measures best indicate the degree of protection they have against difficult financial times and the resilience they have to take advantage of the opportunities such times bring. | Optional | Yes | 60-120 Mins., Half-Day |
Solution Provider Business Models, Transitions and Crisis Management
Solution Providers often:
- Set goals to improve the results of their current business model,
- Add new lines of business or transition their business model,
- Face financial and operational crises which require extraordinary management judgment and response.
These intensive sessions prepare Solution Provider executives to manage through transitions which may come only once every three to five years, but which must be executed correctly to ensure the survival of the company at or above its current level of performance.
| ID | Title | Contents | Includes Takeaway Tool | Times |
|---|---|---|---|---|
| SEM0701 | Transitioning to a Successful Business Model in a Competitive Environment | Compares common IT Solutions Provider business models against top performing business models, and shows how top performers made the transition. Focuses on five main areas of performance improvement: setting up financial and operational metrics; understanding the relationship between delivering value, pricing and closing deals; organization for performance; sales and marketing; and compensation plans. Includes specific insight into how to make the transition, what to expect during it, and how to mitigate transition risk. | Business Model Explorer™, Multiple of Wages Calculator™ | 60-120 Mins., Half-Day, Full Day |
| SEM0702 | Best Practices in a Project-Centric Business Model | Compares common Project Services business models against top performing Project Services business models and shows how top performers made the transition. | Multiple of Wages Calculator™ | 60-120 Mins., Half-Day, Full Day |
| SEM0703 | Best Practices in a Managed Services Business Model | Compares common Managed Services business models against top performing Managed Services business models and shows how top performers made the transition. | Multiple of Wages Calculator™ | 60-120 Mins., Half-Day, Full Day |
| SEM0704 | Managed Services Financial Simulator™ | A tour of Service Leadership’s popular Managed Services Business Simulator, a multi-tab, live spreadsheet model which demonstrates the financial inputs and outputs of running a Managed Services Business, from sales productivity to revenue ramp, from capex and investment to COGS ramp, from profitability to cash over cash payback and return on investment. Attendees will receive a copy of the live file for their own use. | Managed Services Financial Simulator™ | 60-120 Mins., Half-Day |
| WKS0715 | Selling the Managed Services Value Proposition | Why do SMB customers say “Yes” to Managed Services? What kinds of customers are most likely to buy Managed Services and what kinds do not? How do you position Managed Services for a win/win outcome and effectively set customer and company expectations? How do you sell Managed Services into an environment where there is an existing IT department? What are the typical customer’s objections and how can they be met? These and other questions are critical to successfully selling Managed Services to SMB customers, creating a win/win relationship for your customers, your company and yourself. Included are discussions of actual case studies of selling situations, as well as a successful selling script for an SMB Managed Services pitch. | Small Business Cost of IT Operations Calculator™ | 60-120 Mins., Half-Day, Full Day |
| SEM0707 | Management and Organization in a Services-Centric Environment | Building the most effective organization and management model for a services organization is challenging. The team structures, relationship between services and sales teams, accountability and measurement, compensation and incentive plans of top performing IT Solutions providers are examined and explained, as well as the differences between project-centric and recurring-centric organizations. | 60-120 Mins., Half-Day | |
| SEM0708 | Crisis and Opportunity Management and Leadership in IT Solutions Companies | IT Solutions providers often face significant opportunities or major crises which require the leadership to demonstrate winning leadership in unusual, uncomfortable or unfamiliar situations with significant consequences. These may be positive events such as significant new client, vendor or strategic opportunities. Or they may be negative events such as unexpected losses of key accounts, people or partnerships, or unsustainable financial conditions. All of these have in common the need to quickly evaluate unusual factors, make critical decisions, communicate to the team and successfully lead them through stressful changes to a positive result. This seminar provides leaders of IT Solutions companies with proven techniques to evaluate alternatives, make decisions, formulate and communicate successful plans, and lead the successful execution of those plans. Case studies are used to examine these techniques and take-away checklists for the leadership are included. | Half-Day | |
| WKS0712 | Strategic and Operational Planning: How to Build and Execute Strategic Plans in an IT Solutions Company | Service Leadership frequently aids management teams in developing, executing and adjusting their strategic and operational plans. This valuable seminar provide owners and executives with effective insight into the aspects of planning for top financial performance and reducing risk in taking an IT Solutions provider company to the next level. Included are validating and critiquing your own business model and budget, aligning the organization chart and compensation plans with company direction and goals, ensuring your offerings and go-to-market are focused correctly on your customer base, and creating a win/win culture for customers, employees, business partners and shareholders. | Half-Day |
Solution Provider Compensation Plans
| ID | Title | Contents | Includes Takeaway Tool | Times |
|---|---|---|---|---|
| SEM0711 | Compensation Plans, Accountability, Measurement and Motivation in IT Solutions Companies | Now that you’ve transitioned to a services-centric culture what is the best way to leverage your measurement systems to motivate your employees? This seminar will discuss alternatives for compensation plans for consultants, sales and leaders, including specifics for various business models and lines of business. You will learn the key elements and alternatives for tracking and measuring your company’s performance and calibrating your incentive plans to drive company goals. You will also learn how to roll out new compensation plans to maximize acceptance and minimize disruption. | Solution Provider Compensation Modeling Tool™ | 60-120 Mins., Half-Day |
| SEM0713 | Building Win/Win Compensation Plans for Service Professionals and Managers | Now that you’ve transitioned to a services-centric culture what is the best way to leverage your measurement systems to motivate your services employees? This seminar will discuss alternatives for compensation plans for consultants, and their leaders, including specifics for various business models and lines of business. You will learn the key elements and alternatives for tracking and measuring your company’s performance and calibrating your incentive plans to drive company goals. You will also learn how to roll out new compensation plans to maximize acceptance and minimize disruption. | Example Service Professional Compensation Calculator™, Technical Compensation Calculator™ | 60-120 Mins., Half-Day |
| SEM0714 | Building Win/Win Compensation Plans for Sales Professionals and Managers | Now that you’ve transitioned to a services-centric culture what is the best way to leverage your measurement systems to motivate your sales and marketing employees? This seminar will discuss alternatives for compensation plans for sales and marketing people and their leaders, including specifics for various business models and lines of business. You will learn the key elements and alternatives for tracking and measuring your company’s performance and calibrating your incentive plans to drive company goals. You will also learn how to roll out new compensation plans to maximize acceptance and minimize disruption. | Example Sales Professional Compensation Calculator™ | 60-120 Mins., Half-Day |
| SEM0714 | Building Win/Win Compensation Plans for Solution Provider Executives | Now that you’ve transitioned to a services-centric culture what is the best way to leverage your measurement systems to motivate your executive team? This seminar will discuss alternatives for compensation plans for executives, including specifics for various business models and lines of business. You will learn the key elements and alternatives for tracking and measuring your company’s performance and calibrating your incentive plans to drive company goals. You will also learn how to roll out new compensation plans to maximize acceptance and minimize disruption. | Solution Provider Compensation Modeling Tool™ | 60-120 Mins., Half-Day |
Topical
| ID | Title | Contents | Includes Report | Times |
|---|---|---|---|---|
| SEM0722 | Surviving and Thriving in an SMB IT Recession™ | In June and September 2008, Service Leadership, Inc. performed an in-depth survey of owners of Solution Providers in North America regarding the impact of an SMB recession on their businesses. The results were analyzed based on their geography, profitability, growth rate, business model, primary service offerings and target customer size and vertical markets, resulting in a multi-faceted picture of the current business risks faced by Solution Providers of varying profiles. The Service Leadership Index® Economic Exposure Dashboard(tm) allows you to quickly input the comparable profile of your business and instantly see how you score based on the risks reported by the participating Solution Providers and Service Leadership analysis. In all, 13 key factors about your business are taken into account, each resulting in its own risk rating, and summarized into three main areas: Financial Basics, Safety Ratios, and Business Model. Then, an overall risk score is assigned. In this way, you can see exactly where you're safe and where you're at risk, and what you need to work on to attain an overall risk profile acceptable to you. In addition, you can use the Economic Exposure Dashboard(tm) to track your progress, test "what-if" strategies, or assess multiple Solution Provider companies for planning purposes. Service Leadership updates the analysis engine in this tool as the economy changes: check www.service-leadership.com for tool updates. | Economic Exposure Dashboard™ | 60-120 Mins., Half-Day |