Let’s Break New Ground
Together.
Channel Incentives
Enterprise Incentives
Erez Wohl
GM Partner Incentives
Maurice Fitzgerald EOC Regional
Program Manager
Mark Blank -Sales Vice President
Partner - Aztek
Channel
Incentives
Channel
Incentives
Microsoft | EMEA Channel Partner Conference 2014
Let’s Break new Ground Together - Agenda
Channel Incentives
• Program Overview and FY15 Direction
• Operations Improvements
• Partner Insight - Aztek
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
Partner Incentives | FY15 Strategy
Channel Incentives
Microsoft Partner Incentives accelerate partner business growth and development across our
broad product portfolio and innovative Cloud solutions and services
Incentive
Stability
 High Bar for Change
 Predictability
 Sustain On-Premise
Business
Reward for Cloud Growth
 Accelerate Cloud Services
 Expand Partner
Opportunity
 Support Business
Transformation
Commitment to Partners
 Simplicity
 Transparency
 Ease of Use
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
Partner Opportunity
Channel Incentives
FY15 Incentive Design Principles
Investments
Incentives
Partner
Partner
Profitability
Profitability
Margins
Price
Discount
Microsoft Sales Priorities
Market Differences
Product Market Share
Partner Led Sales
Balance Simplicity and Performance
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
FY14 Enterprise Incentives overview
Channel Incentives
Simplified structure focusing on Sell | Renew | True-Up | Cloud
FY15 design goals
Stability and predictability
Annuity
Cloud
New EAs
Compete
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
5
Let’s Break New Ground Together in…
Channel Incentives
Support and Readiness
System Tools and Design
Payment Turnaround
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
Support & Readiness
Previous State
Channel Incentives
•
Support queries entered via mail and CLT (Call logging Tool).
•
Partners requesting higher quality and quicker resolutions.
•
Not enough training and easily accessible readiness
•
New tools
required giving immediate, live response.
Add text
•
•
Key Learnings
Logging CLT ~ 2-5 mins, resolution time ~ 36hrs.
Overall FY14 Partner query volume monthly average 525
•
Reducing query volumes = Increasing partner time saving.
•
Focused training sessions to address key concern areas.
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
Support & Readiness - Results
Channel Incentives
• Partner refresher sessions introduced.
Enterprise readiness app launched in January FY14
• Enterprise chat tool pilot with select partners in EOC.
Immediate partner response 8mins per query – scale up end March.
• Support targets reduced: 93% < 24hrs.
ne an
Target average resolution ~12hrs.
Support
• OnePlan escalation model introduced.
Total
EOCCIESC@Microsoft.com
• 25% query reduction target by Q1 FY15.
Target of 435 per month.
578
530
530
582
511
396
539
378
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
System Tools and design
Channel Incentives
Previous State
Key Learnings
• Partners manually identify
differences in statements.
•
Reconciling between statements
taking too much time.
• Difficulty in calculating overall
Add text
earnings by enrolment.
•
Providing historic data would
reduce time calculating.
• Lack of timely visibility on
potential earnings.
•
Difficulty accommodating
accelerators in forecasting tools.
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
System Tools and design - Results
Channel Incentives
• Delta Report Available
Eliminating/reducing partner time reconciling statements.
• Consolidated Payment Report
Eliminating/reducing partner time calculating life-to-date.
• Earlier Statements
All statements available to partners 2 weeks earlier.
• Incentive Calculator due March FY14
CHIP
Immediate calculation of potential earnings for partners.
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
Payment Turnaround
Previous State
Key Learnings
Channel Incentives
•
Partners requested continued reduction in payment time.
•
Previous turnaround target < 60 days after month end.
•
Payment completed in 45 to 55 days after month end.
•
Availability
Addof
textfunds impacting on partner cash flow and
profitability.
•
Timelines constricted by program complexity – CA/MA
•
Partner notification of statements available and funds received
needed to be improved.
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
Payment Turnaround - Results
• Payment Turnaround time has
reduced by 15 – 20 days (30 - 50%)
Channel Incentives
What does this mean for you?
• Tangible improvement in cash flow.
• Potential reduction in Cost of Capital on
an annual basis.
• No change in partner payment terms net positive impact on cash position.
• Final statement notification available in
March.
• Incentive prefix visible in bank
statements. ENT-123456
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
Partner Insight – Mark Blank, Sales VP Aztek
Channel Incentives
• Support & Execution
• System Tools & Design
• Payment Turnaround
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
Summary – Achieved and Future Targets
Channel Incentives
FROM:
TO:
72 hour support SLA
24 hour Support SLA
CLT Query Support
Immediate Chat Support
Partner time on queries
25% Query reduction
Lack of historic view
Consolidated Reports
Manual Statement Reconciliation
Delta Report
Predicting Earnings complexity
Incentive Calculator
Final statement in 30 days
Final Statement in 15 days
45+ day Payment cycle
30 day Payment cycle
Pain Points
Ongoing Improvements needed
Channel Incentives
Microsoft | EMEA Channel Partner Conference 2014
Channel Incentives
Thank you.
Channel Incentives Clinic @ Room 8
Channel Incentives Future State Booth @ Coffee Area
Channel Incentives
© 2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of
this presentations. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR
STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.
Microsoft | EMEA Channel Partner Conference 2014
Lets Break New Ground Together.
Provide your feedback on the sessions through
the Conference App and be eligible to win one of
five Nokia Windows Phone 8
Channel Incentives
ALL Partners who provide feedback through the
Conference App will receive a one year subscription to
Office 365 Home Premium
Visit the Conference App now at
partnerconferenceapp.com
Channel Incentives
© 2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of
this presentations. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR
STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.
.
Microsoft | EMEA Channel Partner Conference 2014