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An IT Distribution Company Champions Change But Stays True to its Customers
Tech Data focused on three key pillars to keep its transformation on track.
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The executive team reflects on the challenges of a far-reaching business transformation.
In response to the IT market’s continuing evolution and increasing complexity, Tech Data (now part of TD Synnex) recognized the need for a business transformation.
We helped the company execute an intricate change management program across its global offices that included re-examining its pricing strategies and operating model, as well as undergoing a cost transformation.
Three guiding principles stood out:
- Be purpose-led. Successful transformations have a clear sense of purpose, and Tech Data was no exception. The company’s first move was to rebrand itself as a collection of specialists instead of a broadline distributor. By offering smaller, more specialized product lines, it could emphasize value as the focus of every product that went to market.
- Be human-centered. Company leadership agreed that people were the key to the transformation’s success. A fundamental task was securing the management team’s support of the transformation’s objectives and delivery plan. The first step was help the company define and agree on its value-creation goals. Then we helped gain approval from the company’s global stakeholders. Once they reached a consensus, we assisted in establishing governance and a project management team to oversee the plan’s execution.
- Embrace customer-centricity. While it was crucial for Tech Data to optimize its costs and operating model, maintaining a customer-centric approach was equally important. Using our commercial excellence solution, the company examined its customer segmentation. The resulting analysis led to an adjustment to the size of its salesforce, which then prioritized opportunities that offered the right blend of customer value and financial returns.