Key Account Management

In: Business and Management

Submitted By rajpanand
Words 2766
Pages 12
Word Count: 2453 KAM is a perfect example for micromarketing. (Barrett, 1986) Introduction:
Key Account Management (popularly known as KAM) is an organizational form emphasizes partnerships and strategic alliances with customers and suppliers, and focus on relationship building through repetitive, rather than single, sales transactions. It involves the sales and marketing process like customer selection, customer satisfaction, channel management, relationship management, etc. in building long-term relationships creating competitive advantage for the organization. It improves performance, which leads to shareholder value creation (Gosseling & Bauwen, 2006). This reports discusses the briefly the business of company B and its relevance to KAM, and then looks into problems which the company B is facing in terms KAM. The issues are analysed using various frameworks and recommendations made in the research articles on the topic and identifies the ways to tackle these problems. Recommendations are made for improving the status quo in terms of KAM.

The real problem
The company B which is being referred is into manufacturing of industrial pressure relieving devices which are used in petrochemicals, refineries, pharmaceuticals, chemicals, food, cement and power plants. The sales forces is responsible for generating MRO (Maintenance, Repair and Overhaul) businesses, following new projects in the region and handling KA (Key Accounts), which are majorly OEMs (Original Equipment Manufacturers). The company has a KA Manager who coordinates the sales forces in terms of maintaining the KA across the country, but the sales engineer handling a particular KA is responsible for the business with the support of the KAM. OEMs contribute to approximately 20% of the annual sales.
Petrochemicals & Power Industries are the segments which cater to 40% of the…...

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