Chicago Pricing of Services
Process Rollout
CONFIDENTIAL
POS Rollout
POS process:
Corporate priority for 2003
-Improve on an already good process
in the MW Region
-Drive consistency throughout the Region
-Cross-functional team
POS: Use data to develop a strategy to obtain proper compensation!!
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Marsh Chicago POS Process
Pricing of Services
Scheduling and Pre-work
Account
selection
Schedule
POS mtg
CE prepares
POS document
POS Committee Meeting
Create meeting
expectations
Meeting
Execution
Documenting
of Action Items
L1
Follow-up and
Tracking
Follow-up
Process
L2
Tracking
mechanism
L3
Send form
to CAs on
account
Pull ITS data
and combine
with CA
Provide to POS
coordinator 5
days prior to mtg
L4
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POS Process
Importance of POS:
- Aligns our services with what clients want, value and are willing to pay for
- Supports revenue and growth goals
- Assures adequate profitability (shareholder earnings)
Price without Service is meaningless, determining the Price is priceless!
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POS Process
1) Account selection
- Primarily revenue driven: Chicago Model:
- RM: accounts with revenue > $150K
- MM: accounts with revenue > $100K
- Selection targets 95 RM and 75 MM accounts for ‘03
- New Business: Formal RFPs > $75K - complete EZ form - submit for
review
- Each office needs to determine their capacity and factor in revenue and
margin to plan and schedule their activity
Additionally - POS committee or management, may choose to request a POS review on
any account
- Any CE or product line manager can request a meeting
Account selection targeting review of 75% of Office revenue
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POS Process
2) Scheduling - Recommending a set day, time and room!
- RM: 1st and 3rd Mondays of each month: 8:30am to noon
- MM: 2nd Monday of each month: 8:30am to noon
- Fourth and Fifth Mondays: - Margin driven / catch-up / reschedules
When in cycle:
- 90 days out (major billing date or CSA anniversary). For example: 10-1
renewal – POS mtg date of 7-1 – reminder sent to CE 6-1
Other:
- All CEs should have their POS schedules (distributed at rollout meetings)
- Reminders and all scheduling requests - POS coordinator
NO one-off meetings - MONDAYS are the standard
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POS Process
2) Scheduling cont.
“POS coordinator”: Each office should designate
- work closely with POS chair and POS leadership in RM and MM
- schedule the entire year - coordinate changes to schedule
- send CEs email reminders 30 days and 7 days in advance of POS mtg
- answer questions and assist CEs with forms / technology as needed
- serve as data coordinator and distributor
- scribe during the POS mtg, responsible for follow-up and data tracking
What if CE cannot attend or must reschedule:
- CE needs to reschedule within the same month they were originally
scheduled (realizing the 4th Monday open)
- Failure to reschedule within the month: CE added to the monthly
delinquent list which will be sent to the Office and Region head
POS coordinator: Key resource for CEs
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POS Process
3) Meeting preparation
Data:
- Edward Client Profitability report
- ITS time report
- Distribute one page Client advisory input form (optional - tab on EZ form)
Form:
- Complete EZ form : Tim - form has 7 tabs - we will want to go through
each tab
Additional form - Detailed Cost form if account is red (<0%) or yellow (1-24%)
New form geared towards streamlining preparation
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POS Process
4) POS Meeting
Data distribution:
- CE to send completed form to coordinator - no later than Wednesday prior
to the meeting
- Coordinator to distribute to appropriate committee members
Focus:
- Data / numbers, allocations, and staffing – all are key elements, but should
not be the primary focus (10 minutes or less)
- POS form should articulate what we do for the client and what level of
colleagues are doing the work
-CE’s rationale for their recommendation, negotiation plan to obtain the ‘03
targeted price and who at Marsh should meet with the client - key focus
(20 minutes)
Preparation is key to a productive POS meeting
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POS Process
5) Meeting execution and follow-up:
POS Committee:
- RM: POS chair, CE PL, CE Team leader(s), Sales leader, MSO, Product line
managers (their choice)
- MM: POS chair, MM leadership, Sales Leader, MSO, EBS
Leadership:
- POS chair to run the meeting and keep the group focused
- Coordinator takes meeting notes and captures action items
- POS chair closes with Minimum, Base and Target Price
Follow-up:
- POS coordinator to distribute meeting notes as appropriate
- Completed action items and client meeting / agreed price - noted on EZ
form and sent to POS coordinator by CE
- POS coordinator to complete tracking form and distribute final EZ form as
needed - final EZ forms stored in a limited access folder on the S drive
Timely follow-up to drive data integrity
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POS Process
Importance of POS
•Better understand our clients and their needs
•Promotes communication and collaboration between the
Client Executive and Client Advisory
•Office administrator is an integral part to leveraging POS
information for financial reporting
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