Sales Training in Malaysia : Buyer Personality

The buyer personality will help sales person to determine what kind of presentation need to be prepared or present during the presentation stage. Right presentation will definitely increase the changes of closing. But how to ensure sales person doing the right presentation to the buyer? One can consider to know the personality of your buyer before you start your presentation.

Based on the research, we can categories buyer personality into 5 different type:

1. Appetitics Buyer
The are the buyer that you want to avoid, they are one out of twenty buyer demonstrate this kind of behavior. When you face this buyer, they will always mentioned that your products are too expensive. After you have given them discount say another 50% discount, this customer will still saying it is expensive. Even you give them extremely low price, they are still saying your product is too expensive. Our advise to you is to quietly and find a creative and polite way to leave this kind of customers.

2. Self Actualizing Buyer
This are the buyer who knows exactly what they want. They are very clear about their requirements, pricing and term. Once your product is able to meet those requirements, they will automatically buy from you. They are about 5% of our buyer are in this category, so make sure you can fulfill their need so you will get the order in the shortest possible time.

3. Analytical Buyer
There are buyer who are care about numbers and facts more than anything else. They want you to show them figures, statistics etc so that they are convinced. For this kind of buyer, the sales person need to prepare extra presentation material based on numbers and facts. You should over prepared the presentation that shown you have done all the preparation about the facts and figures.

4. Relationship Buyer
If analytical buyer only interested on your presentation that show numbers and facts, the relationship buyers are more interested in talking to you as a person. Presentation are only the medium for him to talk to you more and to understand about you and also your company. If the anlytical buyer only spent 45 minutes for the presentation, the relationship buyer will have to spend more than 2 hours for the presentation. Understand this personality will help you to know that you need more stamina to talk and discuss topic sometime which are not relevant to your presentation.

5. Entrepreneur Buyer
Entrepreneur buyer are practical buyer, they look at the comparison of all alternative products that present to them and make logical comparison. They always make sure that their buying decision are fulfilling the company goals and objectives. Further to this, the decision are consistent with the entrepreneur decision. Some indicator they use are ROI, Saving, etc

Based on the above buyer behavior, it is very important for the seller to explore their buyer behavior and make the necessary changes during the presentation. Creative way of making presentation will help seller getting closing faster and easier.

ECO MAX Training and Learning Centre provide sales training to all level of sales people. The author can be contacted via website http://www.ecomaxmc.com/

Sales Training in Malaysia - Closing Techniques

Closing techniques is most important for a sales person. The success of failure of a sales is very much depend on how good a person can close a sales.
High level of self concept will enable sales person to enhance his self esteem and directly affect the performance of closing. Therefore, before an closing take place, sales person must always aware to maintain a high level of self esteem.
A good closing techniques will also enable a sure win in any sales process. There are about 11 sales techniques which can be used by any sales person.

1. Alternative Close
Is an old favorite; it provides a choice between something and something; never between something and nothing.
Example: “Which do you prefer?” or “Would you prefer A or B?”

2. Assumptive close
The salesperson assumes the prospect will buy.
Example: “I’ll call your order in tonight.” or “I’ll have this shipped to you tomorrow.”

3. Compliment close
By complimenting the prospect, you get them to listen and respond favorably to your presentation.

4. Summary of Benefits close
Summarize the product’s benefits in a positive manner so that the prospect agrees with what you are saying; then ask for the order.

5. Continuous-yes close
like the summary close; however, instead of summarizing product benefits, the salesperson develops a series of benefits questions which the prospect must answer.

6. Minor-points close
Similar to the alternative-choice close, but the minor-points close asks the prospect to make a low-risk decision on a minor, usually low-cost element of a single product such as delivery dates, optimal features, etc.

7. T-account or Balance Sheet Close
Is based on the process people go through when they make a decision, weighing the cons against the pros. The same as debits and credits, act or not act, etc.

8. Standing Room Only close
Indicate that if they do not act now, they may not be able to buy in the future (Law of Urgency). It should only be used in complete honesty.

9. Probability close
Ask delaying prospects what the probability of doing business at a later time is.
This permits prospects to focus in on and discover their own hidden objectives.

10. Negotiation close
Finds ways for everyone to have a fair share.

11. Technology Close
Incorporates appropriate technology to close the sale.

A sales person must plan for multiple closing techniques during the closing process. The above will bring the sales person to become a top sales person in their own field.

ECO MAX Training & Learning Centre provides sales training in Malaysia, the author can be contacted via the ECO MAX Training & Learning Centre websiteShakehand

Sales Training in Malaysia : Psychology of Sales

Everybody Sells !!

Everybody is a sales person. Everybody is trying to communicate to somebody in order to get somebody doing something for them. You are trying to use the persuasion techniques that you know in order to convince people to act for you.

Further to that, SALES = INCOME. The more you sell, the higher the income you earn. This means that you need to be successful in selling no matter what.

Top sales person do not worry about money, but they are not far away from a ordinary sales person. They just win by a nose. They just have certain inner strength that ordinary sales person do not have.

One of the success factor of a top sales people is the high self concept and self esteem. Self concept refer to how you see yourself. Don’t see yourself short, human can create lots of wonders if you have high self concept. Therefore, look high at yourself. See yourself like a winner and always look up to yourself.

Self Esteem refer to how much you love yourself. The more you love yourself, the higher the self esteem. Therefore, always tell yourself - “I LOVE MYSELF”, “I LOVE MYSELF”…….. The more you say this word, the higher the self esteem. Self Esteem Guru Brian Tracy tell us the self esteem as follow.

There are lots of sales psychology that everybody need to know and develop. Overcoming fear for instance is another psychology that need to learn by all sales person.

ECO MAX Training & Learning Centre provides sales training in Malaysia and train sales person to develop and overcome this sales psychology. You can contact the centre here.

Team Building - Enhance Communication & Team Work

Excellence organization are the organizations who emphasis a lot of team and team performance. The team are the back bond of the company to drive the company initiative in order to achieve excellence.

ECO MAX Training & Learning Center provides various type of team building activities to Malaysia. The results of the training are visible in term of productivity improvement and quality improvement. With our experience team building instructors, we see there are massive improvements out of the program we have conducted.

Following is the video of some of team building photo. If you are interested to know more, please visit our web-site or contact us.

Blue Ocean Strategy Example in Asia - Case 2

Spritzer

Mineral water industry in Asia had been a common and homogeneous industry. There are lots of competitors who use similar approach in promoting their products to the market. Further more, same target segment had made this industry competitive and become very crowded, therefore price competition became very fierce and not avoidable.

Spritzer, one of the innovative companies had been in material industry for the last 30 years. The company started its manufacturing in Perak, Malaysia and had been producing material water for customers (all segments), companies or corporate clients and also tourists.

In view of the fierce competition from competitors as well as the demand for material water is increasing, Spritzer have started to look into possible to offer some unique products to the clients and at the same time avoid competition from the market. With this, the company start to consider invest heavily in developing products for other market segment such as children, those from medium level market and also those from low level market. Today, Spritzer have products for different market segments which uses brand name such as CACTUS (medium level market) and DESA (Low level Market).

Pop

Blue Ocean Strategy have suggested the four actions framework for companies who are intended to come out from red ocean, Spritzer have created a Blue Ocean Business which have made competition irrelevant by offering various products that preferred by customers. We can summaries the four actions framework as follows:

Eliminate:

Ø Price Competition

Reduce:

Ø Focus on functionality – contents of material water

Ø Standard packing – standard bottle design

Create:

Ø Attractive packaging design targeted at children

Ø Material water with gas

Ø Specialty design for cover and bottle cap

Ø Packaging which focus on convenient to bring around

Ø Allow visitors to visit factory and assembly line

Raise

Ø Fulfill needs from various level of consumers

Ø Develop new products

Ø Quality of water

Ø Number of design

Ø Perception and understanding of water by consumers

The strategy canvas can be outlined as the followings

Spritzer Strategy Canvas

Strategy canvas above shown that Spritzer is able to fulfil the basic concept of the Blue Ocean Strategy value curve – Focus & Divergence. Such, Spritzer is strong and robust in their own industry.

Visit our website to learn about Blue Ocean Strategy Training and Workshop

The secret of Positive Attitude

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The behavior of human being and results obtained or determined by the attitude that someone demonstrated.  Therefore, positive attitude will bring pleasure and happiness but negative attitude will bring disaster to them.  Positive attitude are something that one can learned and practiced but not an inborn element.  After study human bahavior and attitude for the last 3 years, I can summaries that there are 3 different way someone can develop positive attitude:

1. Positive Attitude Mindset

Mindset will influence your emotion, emotion will influence your actions and your actions will definitely influence your results.   Excellence mindset will bring to you an excellence results but poor mindset will bring you poor results.  Developing positive mindset are depend on one factor, state of your brain.  If you set your brain to a peak state, you will always have peak & positive mindset.  Peak mindset come from how you use your physiological - body movement.  If you try to use lots of body movement, it will bring to you a mind state which telling you about your mindset - normally positive.  Focus on what you do during that time will bring you excellent results on what you have focused on.

Aware of what you are thinking is important to bring positive attitude.  If you think about painful experience, it will bring you painful outcome.  Change the painful thinking to pleasure thinking.  For example, instead of thinking that public speaking is scary and painful, think about what you will get if you can speak in public fluently and effectively.   Kids have grown up with fear of failure due to fear of “blaming effect” by parents. So, this will create negative effect to the kids.  Parents must encourage them to take risk and motivate them even they encounter difficulty.

2. Positive Environment

Environments include friends, family members, people surrounding you.  Positive environment - environment where you received lots of encouragement, advise and motivation.  But negative environment are places where you received lot of discouragement, demotivation and negative statement.  One should consider leaving or influence this group of people if you are with them.  Assume that you carry one bag of heavy metal walking around a stadium.  We believe that you are able to do that with a bag, if you carry 4 or 5 bags, you will be difficult or totally cannot carry these metal bag and you will fell down.  Assuming that these bag are you negative environment, it means that you will not able to come up if you are flooded by this negative environment.

3. The Words That You Said

Word will be internalize and become what you think.  Positive words that “I like this job”, “I can do it” will  bring you positive thinking.  Negative words such as “I’m tired”, “I hate this job” will just let you feel what you said and will never bring you positive thinking.  Therefore, practice using those positive words so that it will give you positive attitude.

Therefore, I will encourage people to consider using these 3 methods to always think positively.  Only positive people will bring happiness and prosperity to their life.

Blue Ocean Strategy : Six Paths Framework to reconstruct market boundaries.

Market boundaries are defined in red ocean, Blue Ocean industry defined a new boundaries which are less competitors or no competitors at all. There are 6 different ways to reconstruct a new market boundaries :

1. Look across Alternative Industries

Alternative industries are industries that intend to serve the same objecives or purposes but in different form (or functions). Customer may want to enjoy a night out by either going to watch movie or having a nice dinner at nice restaurant. Buyers always implicitly weight alternatives unconsciously, that make some alternative more attractive than the others. Companies should look across these alternative and determine what can they do such as to insert some of the interesting elements in the alternatives to their existing offer so that a new compelling value curve can be created.

ECO MAX Training & Learning Center provide Blue Ocean Strategy Workshop to companies in Malaysia, Indonesia, Thailand & Singapore

The Advantages of TPM

TPM revitalises and enhances the quality management approach to improve capacity while reducing not only maintenance costs but overall operational costs. Its implementation has also resulted in the creation of safer and more environmentally sound workplaces.

TPM emphasizes the following facets:

i) Recognition of importance and total commitment to the program by upper level management is required, and

ii) Employees must be empowered to initiate corrective action

TPM brings maintenance into focus as a necessary and an integral part of the manufacturing process. Maintenance is no longer regarded as a non-profit activity. Down time for maintenance is scheduled as a part of the manufacturing day; it is no longer simply squeezed in whenever there is a break in material flow. The goal is to hold emergency and unscheduled maintenance to a minimum [485].

Equipment supplier’s maintenance schedules are reviewed by operators. The plant crew – machine operators – are additionally trained in the maintenance program and collaborates more closely with the maintenance personnel.

TPM is a manufacturing led initiative that emphasises the importance of people, production and maintenance staff working together, a ‘can do’ and ‘continuous improvement’ philosophy implementation. It is presented as a key part of an overall manufacturing philosophy. As an example, in one manufacturing plant, one punch press was selected as a problem area. The machine was studied and evaluated in extreme detail by the team. Production over an extended period of time was used to establish a record of productive time versus nonproductive time. Some team members visited another plant which operated a similar press much more efficiently. A course of action to bring the machine into a “world class” manufacturing condition was soon designed. This involved taking the machine out of service for cleaning, painting, adjustment, and replacement of worn parts, belts, hoses, etc. As a part of this process, training in operation and maintenance of the machine was reviewed. A daily check list of maintenance duties to be performed by the operator was developed. A factory representative was called in to assist in some phases of the process.

After success has been demonstrated on one machine improved production, another machine was selected, then another, until the entire production area had been brought into a “world class” condition with significantly higher production rates.

Note that in the example above, the operator was required to take an active part in the maintenance of the machine. This is one of the basic innovations of TPM. Routine daily maintenance checks, minor adjustments, lubrication, and minor part change out become the responsibility of the operator. Extensive overhauls and major breakdowns are handled by plant maintenance personnel with the operator assisting. Even if outside maintenance or factory experts have to be called in, the equipment operator must play a significant part in the repair process.

TPM encourages radical changes, such as;

- flatter organisational structures - fewer managers, empowered teams,

- multi-skilled workforce,

- rigorous reappraisal of the way things are done - often with the goal of simplification.

It also places these changes within a culture of betterment underpinned by continuous improvement monitored through the use of appropriate measurement. The principal measure is known as the Overall Equipment Effectiveness (OEE). This figure ties the ’six big losses’ :

1. Equipment Downtime

2. Engineering Adjustment

3. Minor Stoppages

4. Unplanned Breaks

5. Time spent making reject product

6. Waste

…to three norms:

 

Availability (Time), Performance (Speed) & Yield (Quality).

When the losses from Time, Speed and Quality are multiplied together, the resulting OEE figure shows the performance of any equipment or product line.

TPM sites are encouraged to both set goals for OEE and measure deviations from these. Problem solving groups then seek to eliminate difficulties and enhance performance.

Many TPM sites have made excellent progress in a number of areas. These include:

- better understanding of the performance of their equipment (what they are achieving in OEE terms and what the reasons are for non-achievement),

- better understanding of equipment criticality and where it is worth deploying improvement effort and potential benefits,

- improved teamwork and a less adversarial approach between Production and Maintenance,

- improved procedures for changeovers and set-ups, carrying out frequent maintenance tasks, better training of operators and maintainers, which all lead to reduced costs and better service,

- general increased enthusiasm from involvement of the workforce [486].

Ford, Eastman Kodak, Motorola, Boeing, Dupoint; these are just a few of the companies that have implemented TPM successfully. All report an increase in productivity using TPM. Kodak reported that a $5 million investment resulted in a $16 million increase in profits which could be traced and directly to implementing a TPM program. One appliance manufacturer reported the time required for die changes on a forming press went from several hours down to twenty minutes! This is the same as having two or three additional million dollar machines available for use on a daily basis without having to buy them. Texas Instruments reported increased production figures of up to 80% in some areas. Almost all the above named companies reported 50% or greater reduction in down time, reduced spare parts inventory, and increased on-time deliveries. The need for out-sourcing part or all of a product line was greatly reduced in many cases.

Many companies who recognise the important roll equipment and process performance have on bottom-line results are turning to the measure which drives TPM called Overall Equipment Effectiveness (OEE) which incorporates not only Availability but also Performance Rate and Quality Rate. In other words, OEE addresses all losses caused by the equipment: not being available when needed due to breakdowns or set-up and adjustment losses; not running at the optimum rate due to reduced speed or idling and minor stoppage losses; and not producing first pass A1 quality output due to defects and rework or start-up losses. A key objective of TPM is to cost effectively maximise Overall Equipment Effectiveness through the elimination or minimisation of all losses. A simple model outlining these losses is shown below .

Losses in Equipments

When organisations measure Overall Equipment Effectiveness (before implementing TPM) it is not uncommon to find they are only achieving around 40% - 60% (batch) or 50% - 75% (continuous process) whereas the international best practice figure is recognised to be +85% (batch) and +95% (continuous process) for Overall Equipment Effectiveness. In effect, this means there exists in most companies the opportunity to increase capacity / productivity by 25% - 100%.

Total Productive Maintainance (TPM)

TPM Pillar

The modern business world is a rapidly changing environment, so the last thing a company needs if it is to compete in the global marketplace is to get in its own way because of the way in which it approaches the business of looking after its income generating physical assets. So, Total Productive Maintenance (TPM) is concerned with the fundamental rethink of business processes to achieve improvements in cost, quality, speed etc. In essence, TPM seeks to reshape the organisation to liberate its own potential. This concept was first coined by American and Japanese manufacturers in mid 1060’s and soon it became obvious that TPM was a critical missing link in successfully achieving not only world class equipment performance to support TQC (total quality control) and JIT (just-in-time; lead time reduction), but was a powerful new means to improving overall company performance.

The Evolution of TPM

Traditionally high buffer stocks were allowed to develop between major pieces of the plant & equipment to ensure that if there was a problem with one piece of the plant or equipment then it would not affect production from the rest of the plant. Hence the role of maintenance was to cost effectively ensure major pieces of plant & equipment were available for an agreed period of scheduled time, for example 90%.

Because of the accepted practice of retaining high buffer stocks, most items of equipment could be considered independent. If the equipment in a process was maintained such that it achieved 90% availability, the availability of the process was 90%. If the equipment started to cause quality problems, these would probably be noticed in final quality inspection and the cause traced back to the offending piece of equipment and corrected by maintenance.

At Nippon Denso in 1970 with the introduction of the Toyota Production System, the buffer stocks were substantially reduced in their quest for shorter leadtimes and improved quality. Statistical Process Control (SPC) supported by “Quality at Source” was introduced to ensure quality right first time so to provide maximum customer value through the highest quality at the lowest cost supported by quick responsiveness and superior customer service. Hence in this quest for maximum customer value, buffer stocks were reduced to both reduce leadtimes and force the identification of cost consuming problems. This resulted in individual equipment problems affecting the whole process.

If one piece of equipment stopped then shortly afterwards the whole process stopped. This made the equipment interdependent. Under these circumstances, the availability of the process became the product of the individual availabilities of each piece of equipment. Thus, a process involving four pieces of equipment maintained at 90% no longer had an overall process availability of 90%, but an availability of 90% X 90% X 90% X 90%, or 66%!

Furthermore, as the quality approach changed to “Prevention at Source” by controlling process variables, equipment performance problems were identified much earlier. Conformance and reliability became much more important. As buffer stocks reduced substantial pressure was placed on the maintenance department to improve process performance. From a maintenance perspective, the maintenance department’s performance had not deteriorated, yet demand for the substantial improvement in equipment availability was overwhelming.

This caused friction between the production and maintenance departments. Production departments demanded former levels of process availability and quicker response times from maintenance, who were often unable to comply due to traditional organisation structures which keep maintenance as a separate function. After much conflict between maintenance and production, engineering were called in to find a solution. They soon realised that mathematically for the four pieces of equipment to achieve their original goal of 90% availability, their individual availabilities needed to increase from 90% to 97.5%.

The traditional view of maintenance was to balance maintenance cost with an acceptable level of availability and reliability often influenced by the level of buffer stocks which hid the immediate impact of equipment problems. In traditional companies, maintenance is seen as an expense that can easily be reduced in relation to the overall business, particularly in the short term. Conversely, maintenance managers have always argued that to increase the level of availability and reliability of the equipment, more expenditure needs to be committed to the maintenance budget. With the on set of substantial availability problems caused by the new way of running the plant, management soon realised that just giving more resources to the maintenance department was not going to produce a cost effective solution.

This conflict between maintenance cost and availability is similar to the old quality mind-set before the advent of Total Quality Control (TQC): that higher quality required more resources, and hence cost, for final inspection and rework. TQC emphasised “prevention at source” of the problem rather than by inspection at the end of the process. Instead of enlarging the inspection department, all employees were trained and motivated to be responsible for identifying problems at the earliest possible point in the process so as to minimise rectification costs. This did not mean disbanding the quality control department but having it now concentrate on more specialist quality activities such as variation reduction through process improvement. This new approach to quality demonstrated that getting quality right first time does not cost money but actually reduces the total cost of operating the business [488].

This new Quality approach of “prevention at source” was translated to the maintenance environment through the concept of TPM resulting in not only superior availability, reliability and maintainability of equipment but also significant improvements in capacity with a substantial reduction in both maintenance costs and total operational costs. TPM is based on “prevention at source” and is focused on identifying and eliminating the source of equipment deterioration rather than the more traditional approach of either letting equipment fail before repairing it, or applying preventive / predictive strategies to identify and repair equipment after the deterioration has taken hold and caused the need for expensive repairs.

TPM has developed from original activities of TPM which focused on improving equipment performance or effectiveness only. In the 80’s it was realised that even if the shopfloor were committed to TPM and to the elimination or minimisation of the “six big losses” there were still opportunities being lost because of poor production scheduling practices resulting in line imbalances or schedule interruptions.

Hence, in more recent times it has been recognised that the whole company must be involved if the full potential of the capacity gains and cost reductions are to be realised. Hence 3rd Generation TPM (Total Productive Manufacturing / Mining) has evolved which now encompasses the 10 Pillars of TPM with the focus on the 16 Major Losses incorporating the 4Ms – Man, Machine, Methods, Materials.

1. Safety & Environmental Management

2. Focused Equipment & Process Improvement

3. Work Area Management

4. Operator Equipment Management

5. Maintenance Excellence for TPM

6. Education & Training

7. Human Resource Management

8. Administration & Support Systems Improvement

9. New Equipment Management

10. Process Quality Management.

 

An important outcome of this new approach to equipment management which is now supported by many success stories throughout the world in a variety of operational industries, has been that senior management have realised that TPM is both strategically important for a world competitive business, and that TPM cannot be implemented by the maintenance department alone. TPM is a company wide improvement initiative involving all employees.

Blue Ocean Strategy - Example : Air Asia

One of the significant changes that airline industry have changed is the evolvement of budget airline industry. The good example in Malaysia is Air Asia.

Air Asia Logo

Air Asia have managed to avoid the red ocean (compete with Malaysia Airline and regional airline) by looking into the factors that industry take for granted and also factors that important to customers. With the Four Actions Framework proposed by Blue Ocean Strategy authors, Air Asia have implemented many strategic move to ensure they are making Malaysia Airline and regional airline company irrelevant.

Example of the strategic move as follows:

Eliminate:

  • Over the counter booking system
  • Free Food/Beverage on the plane
  • Seating Class booking system

Reduce :

  • “luxury” facilities provided by Airport Lounge
  • No of attendance service on the plane
  • Seat Quality

Raise:

  • Focus on several key destination
  • Increase frequency of flight

Create :

  • Online Booking system
  • Point to point travel system

With this strategic move, Air Asia able to focus on factors that really bring value to the customers such as point to point travel system, easy booking system etc. This will help Air Asia to reduce cost and at the same time increase the value to the customers - Value Innovation.