Structural Steel Trading
Sub-industry : Structural Steel Trading
Product : Structural Steels
Project category : Sales Transformation
Shakun Trading Company L.L.C. (Dubai) is a leading supplier of ERW Steel Pipes, Sheets, Tubes and other Structural Steel products catering to GCC, Middle East, Africa, Asia and American Markets.
The company was not able to improve sales and there were continuous challenges with recovery of outstanding from customers. In addition, there was high dependence on a few salesmen with majority of the sales team not performing up to expectations. The Managing Director of the company invited LFC to help the company transform its way of working.
We’ve engaged LFC for an initiative – which we believe shall build systems for the company for the next 5 years sales growth.
Chairman – Shakun Trading LLC, Dubai
A Sales Transformation Program followed by a Comprehensive Diagnosis of the UAE market.
Key Levers for Improvements
A thorough Diagnosis of the UAE market and the internal sales processes helped identify the business challenges and the performance killers.
- Highly fragmented market with no roadmap for growth: Each market in UAE was mapped for product-wise potential and the needs & characteristics of the market. This helped identify the target markets, customers & products and areas for growth basis the strengths of the company.
- Lack of strategy to address needs of different customers: Customer segments were defined and sales strategy defined for each segment to ensure maximum retention, wallet-share and improved recovery of customer’s business.
- Improper organization structure: The geography and customer allocations were found to be sub-optimal and led to many areas not being serviced vis-à-vis the requirements of the market or customer. Redefining the Roles and Responsibilities helped improve the customer connect.
- No Enquiry management system: This led to delays in follow ups and lost sales. A central Enquiry tracking system was set for all sources of enquiries to maximize converisons. Further, analysis of lost enquiries helped identify areas of improvements. For example, many enquiries were lost due to high cost of important SKUs vis-a-viz competition and stock-outs. Problem solving was done to ensure conversions in future.
- Lack of effective reviews: All Key Performance Indicators driving Sales and Collections were identified and Review mechanisms set around them. This helped improve productivity of the sales team and in converting their way of working from “Reactive” to “Pro-active”.
Improved Recovery of payments mainly due to quality of customer selection and relationship management
Reduced stockouts of important SKUs
Clearly defined growth plan