Besides procurement, who at my key account wants to renew with us?

Besides procurement, who at my key account wants to renew with us?

Procurement runs the renewal process. The business leaders who depend on your work have a big say in whether you stay. A KAM who knows who those people are, how the decision gets made and what each of them values walks into the renewal with allies.

Five questions to see if your team can do this job today:

1. Can your KAM name everyone who has a say in this renewal beyond procurement?
2. Do they know how the decision gets made: the steps, the dates and who signs?
3. Does each decision maker know you want to renew and what you can do for them?
4. Could several people at the customer explain the value you provide, in their own words?
5. Has your KAM met with the business leaders who depend on your work in the last 90 days?

Two or more no's, and procurement may be setting more of your renewal terms than you'd like.

In over 30 years, I've had my fair share of mishaps when it comes to making sure my users help us with their corporate teams, like procurement. One time, I had a $10M-a-year contract with a large health system. My champion was the highest-level leader on my side of the business, but she didn't have a relationship with the new head of procurement. When she tried to be a good champion, it fell on uninterested ears. Procurement needed a win, and we were the largest target for cost savings. We learned later that the person procurement would listen to was the CFO, someone we had no relationship with at all.

We got the renewal, but it cost us many sleepless nights and some of our margin. The lesson: imagine all the gaps and live there until they are filled. Your team can find those gaps before procurement does, starting with a map of everyone who has a say in the renewal.

Our system, the Vitality Index, shows your key account teams where they stand today, the work it takes to level up, and how to do it, until they reach a vital partnership that lasts.

Who, besides procurement, would speak up for your team at your next renewal?

We built a free, 4-minute Key Account Risk Assessment. It gives you a risk score for your key accounts across team alignment, account planning, account transitions, and visibility. Link in the comments.