Part 2: Partner Portals for Building, Second Discipline of Channel Value Systems

In the previous article, it has been established that in order for a channel value system to grow and thrive, it is necessary to utilize channel stewardship. Through the use of partner portals, a channel steward functions to allow the different channel partners within a distribution network to be able to collaborate and communicate effectively with one another, as well as with the parent company or the manufacturer. It is through the proper execution of this strategy that a channel will be able to overcome the various challenges and hindrances that render a network useless and dysfunctional.

It is critical to utilize partner portals for effective communication and collaboration with the creation of a common language. This endeavor is considered to the very core or heart of a high-quality channel stewardship. For maximum optimization, it is most ideal to combine this with transparency within a channel. If the information and other pertinent resources and programs shared within partner portals are easily and clearly inspected, then upstream partners would have the benefit of a direct and perfect view of sales and performance so that they can respond to changes and trends appropriately. Transparency encourages increased agreement and alignment on accurate and visible facts.

A channel steward needs to administer the three disciplines which are mapping, building and aligning. This will help the channel create a monitoring system that transforms it into a functional body that has the ability for self-correction and self-improvement. In the first article of this series, the first of the three disciplines of channel value systems was discussed. This article now focuses on the second discipline which is building.

The Second Discipline of Channel Value Systems: Building

Considered the sweet spot of channel stewardship, this discipline focuses on putting together a new and improved over all system.

• Targeting Value-Chain Value Propositions – This should be done at key customer segments and they mainly orient everything else. Value propositions are direct statements that are supported by specific details and information necessary to realize the proposition statement for end consumers. These would nudge partners toward the next discipline which is alignment.

• Operating Levers – These are essential to the building process and are identified from the top to the bottom of the chain. They are based on shared perspectives with the steward group. The first objective is to develop a list of factors that have the potential to affect the satisfaction of customers and the efficacy of operations. Second is to talk about all the factors in the list by a select group through an active, professionally facilitated discussion leading to a consensus list.

• Prioritizing and Demarcating Roles and Investments – This is the final step in this discipline. This involves the culmination or the careful synthesis process of bringing together all of the analyses made. This is when the channel gets to make decisions regarding roles, division of labor and tasks, resource allocation, compensation and so on. It is important that during this process, the conversation should be open, honest, matter-of-fact and positive. Considering that the issues are about the accumulated baggage in key channel relationships, it would be advisable to have a neutral party facilitate this step.