From Volume to Value: Managing the Value-Add Reseller Channel at Cisco Systems Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

This article provides a comprehensive look at the value of the channel on the basis of model management at Cisco Systems management Value-Add Reseller (VAR) channel. In March 2001, Cisco has initiated a change in the volume-based channel management model, which was the expulsion of partner value to a value based on the model that is associated channel awards to specific channel of value added activities. Critical components of this new model include: identifying opportunities for value-added channel, channel architecture programs to channel value, linking financial rewards of value added channel activities, including "obstacle system" and makes a significant discipline to control the pressure field on the basis of amount of remuneration and dilution certification requirements. This shows that the VAR `s can be used as one of the most important sales channel, profitable sale of integrated solutions for satisfied customers value-added channel management structure. They can also identify the demand capabilities that are complementary to the stress of marketing even a strong brand like Cisco. However, companies must have a significant discipline to avoid the mixing of volume-based awards with a value-based framework. "Hide
by Kirthi Kalyanam, Surinder Brar Source: California Management Review 27 pages. Publication Date: 01 November 2009. Prod. #: CMR442-PDF-ENG