August 2014 Volume 7, Issue 2 IN THIS ISSUE . . . In This Issue . . . ISBM-B2B Customer Analytics Program (Hari Sridhar)......................................2 From the Membership: Building Stronger Linkages: Marketing, Sales, and Innovation (Ralph Oliva) ......................3 IPSS Update: Fall Lineup (Raj Grewal).........3 B2B Leadership Board Update: Thoughts on Disseminating Research Insights (Fred Wiersema)..................................5 2014 ISBM Doctoral Support Award Competition: Call for Submissions ........6 Highlights from the ISBM Ph.D. Student Research Camp....................................7 Reflections on the 2014 ISBM B2B Academic Conference .........................................8 CONTACT INFORMATION Gary L. Lilien Raj Grewal A s summer comes to a close (already?), this is a very exciting time for the ISBM. And we hope you enjoy the update. The feature, by Hari Sridhar, follows up on recent announcements about an innovative program— the ISBM-CAP (Customer Analytics Program)-aimed at generating projects of mutual benefit for academics and ISBM firms in the domain. The ISBM and Hari in particular expect to be facilitators here, and we hope to get participation from a broad group of researchers. In this issue’s From the Membership, Ralph Oliva reports on our upcoming ISBM Member’s Meeting, September 9 and 10, 2014 at the Nittany Lion Inn on the Penn State University Park Campus. The theme of the meeting is “Linking Marketing, Sales and Innovation to Drive More Profitable Organic Growth,” another of the three themes of the B2B Agenda. The meeting will be an outstanding combination of talks by leading academics (including a talk from the most recent ISBM Fellow, Mike Ahearne) and case studies from ISBM Members As an encouragement for academics to attend, we are offering a discount registration price to academic participants. Visit http://meet.isbm.org for more information and to register. It will be well worth your time to attend; please join us! Raj reminds us of the Fall ISBM PhD Seminar Series (IPSS) offerings—please bring this information to the attention of your PhD students. Fred Wiersema’s column reminds us of the three themes of the B2B Leadership Board (B2B Customer Analytics being one of them) and focuses on the need for dissemination of B2B knowledge through innovative ISBM Topics Briefs. To date, ISBM member firms have reported that the Briefs have been useful; we are interested in your reactions (either as consumers or producers). Please have a look at them and give Fred your reactions and suggestions. Also please remind your students that entries for the annual PhD Dissertation Support Award Competition are due September 15. Details are included here. Lisa Scheer and Abbie Griffin report on the very successful B2B PhD camp, hosted by San Francisco State University. Thanks to Lisa and Abbie for a great job indeed! And we (Gary and Raj) provide a brief report from the equally successful (if we must say so ourselves) Academic Conference that followed. Again, all our best wishes and enjoy the rest of your summer! Research Director Gary L. Lilien, ([email protected]) Associate Research Director Rajdeep Grewal, (Rajdeep_Grewal@kenan-flagler.unc.edu) Executive Director Ralph Oliva, ([email protected]) Institute for the Study of Business Markets Smeal College of Business The Pennsylvania State University 484 Business Building University Park, PA 16802 USA +1-814-863-2782 • WWW.ISBM.ORG Gary L. Lilien Research Director Institute for the Study of Business Markets Raj Grewal Associate Research Director Institute for the Study of Business Markets As always, we hope you find this issue a valuable resource to connect with the ISBM community (practitioners, faculty, and students) around the world. If you would like to suggest or contribute items, please let either of us know. This issue and past issues or our newsletter can be found at http://isbm.smeal.psu.edu/research/newsletter/research-newsletter. PAGE 2 ISBM B2B Customer Analytics Program F Hari Sridhar ollowing Fred Wiersema’s B2B Agenda1, the ISBM is pleased to announce the initiation of the B2B Customer Analytics Program (ISBMCAP). Officially launched in February 2014, the ISBM-CAP’s mission is to foster research, education and interchange in the rapidly evolving domain of B2B Customer Analytics. I am also pleased to report that I will be directing this initiative. Drawing from Chapter 1, p3, of Grewal and Lilien’s B2B Handbook2, B2B Customer Analytics differs from B2C Customer analytics in several important ways. First, the “customer” is a network of individuals, a buying center. Second, aside from procuring products and services for its internal use, that buying center often seeks to satisfy demand derived from doing business with their firm’s customers (who may be consumers or other organizations). Third, the roles of need identification, information search, supplier screening, purchase and use may be distributed amongst buying center members. These and other differences (such as longer purchase cycles, greater reliance on economic drivers of purchase decisions, lack of easy access to purchase data for competitive offerings and others) lead to challenges and opportunities in the B2B Customer Analytics domain that are potentially different from those encountered on the B2C side. To initiative ISBM-CAP efforts, several of us conducted a series of in-depth interviews with ISBM member companies to learn about: • the need for analytics among B2B practitioners, • the key areas where analytics could help in B2B problems and • the role of IT infrastructure and data in implementing B2B analytics practices. Some key takeaways from those interviews were that • • Data specific to B2B analytics problems are becoming more widely available, with firms beginning to invest in internal databases to link marketing efforts to financial outcomes. The need for analytics is seen in the improvement of three main areas 1 www.amazon.com/The-B2B-Agenda-Current-Marketing/dp/0988548801 2 http://isbm.smeal.psu.edu/research/handbook_isbm • • Economic intelligence (better understand the trading environment and relationship partners), • Customer Intelligence and insight (understanding buying organizations’ needs and behaviors), as well as • Competitive intelligence (scope out the competitive landscape for threats and opportunities). B2B firms are severely undersupplied with analytics human resources. I therefore expect the ISBM-CAP to focus on problems originating from B2B practice in the above three areas, be data intensive, and also strive to enable practitioners to actively implement B2B specific analytic solutions built in collaboration with academics. I see the lifeblood of ISBMCAP being deep collaborations between academics and practitioners, whose aim will be to produce deliverables of benefit to all. I expect that a typical ISBM-CAP engagement will comprise three phases: 1. Initial Engagement/Discovery. One or more teleconference or other connections will identify an area of joint interest to one or more academic researchers and to the client organization. ISBM-CAP will organize a one-day site visit to: a. Identify client organization data sources; b Current business applications of those data sources and c areas for potential joint work. Mutual NDA’s will address proprietary data issues. 2. Development of POW (Plan of Work). The client organization will provide the ISBM-CAP team with a sample of each relevant type of data, a data dictionary and related support to understand the nature and potential of possible projects. The ISBM CAP team will develop a POW that will identify one or more projects, including appropriate academic researchers, timing, costs, requirements of the client organization (contacts and anticipated time needed) and anticipated outcomes. The client organization is expected to provide a grant to cover the costs of research support and expenses. 3. Execution/Deliverables. Following joint approval, the ISBM-CAP team will execute the POW. A typical POW will include deliverables to the client organization that will have business benefit as well as academic output. Academic output can be of several types: 1. Best Practice Case Studies, developed for pedagogic purposes, 2. Documented Data bases, made available for academic research and 3. Academic research. continued on page 3 PAGE 3 ISBM B2B Customer Analytics Program (cont.) In all cases, issues of the proprietary nature and use of the data will be addressed via mutual agreement of the client organization and ISBM-CAP I will be directing the effort and am in the process of developing an associated affiliated faculty network. We are currently working on our first data-intensive collaborative engagement focused on understanding buying firm’s win-back probability, and the role of the salesperson in improving win-back. In the future, we expect to expand the scope of our engagements and also to host an academicpractitioner conference to further flesh out a research agenda. We are early in our growth and welcome your research ideas, connections to potential clients, participation in collaborative projects and any other perspectives about B2B Customer Analytics. Please write to me at [email protected] so that we can take our conversation forward. I look forward to hearing from you! IPSS Update T he ISBM PhD Seminar Series (IPSS) will have one course this Fall semester: Sundar Bharadwaj will return to teach the course on Marketing Strategy. The details of the course are available from our website. Please bring the PhD seminars to the attention of your promising BtoB Ph.D. students. Students should register online at http://isbm. smeal.psu.edu/research/ipss.html. Additionally if you have any other feedback or suggestions, please do not hesitate to contact me. Raj Grewal Director - IPSS Rajdeep_Grewal@kenan-flagler.unc.edu Hari Sridhar Professor, Program Director [email protected] From the Membership: Building Stronger Linkages: Marketing, Sales, and Innovation H ere on the Penn State campus we’re getting ready for the fall flurry of activity, including classes starting, faculty returning, and our upcoming ISBM Member’s Ralph Oliva Meeting, September 9 and 10, 2014 at the Nittany Lion Inn here on the Penn State University Park Campus. Please plan to attend! For more information visit http://meet.isbm.org. Building on the work on our B-toB leadership board, and the work of board chair, Fred Wiersema – we have identified three areas of special focus for ISBM research looking forward: • Building Stronger Linkages Between Marketing, Sales and Innovation • Finding ways to better navigate rapidly changing organizational buying behavior • Customer Analytics and Analysis in business to business Our upcoming meeting addresses the first item on our list and will focus on “Linking Marketing, Sales and Innovation to Drive More Profitable Organic Growth.” We’ll be gathering thought leaders, ISBM researchers, and practitioners to discuss approaches, tools, and cases on building stronger linkages, overcoming “silos”, and – importantly – bringing the impact of marketing and market driven strategy to the processes of value creation, growth, and commercialization inside B-to-B firms. Fariborz Ghadar, Director of the Center for Global Business Studies here at Penn State will set the stage for the meeting. Fari and his team have just completed an update of their continued on page 4 PAGE 4 From the Membership: Building Stronger Linkages: Marketing, Sales, and Innovation (cont.) seminal study entitled “Global Tectonics: What Every Business Needs to Know.” He will provide insight and perspective on the key trends driving change in our world, and how marketers in B2B firms can be more effective in bringing the impact of those changes to business marketing strategy. Frank Cespedes from Harvard will be kicking off the second day of our meeting, sharing insight and frameworks from his research on building important two-way connections between those setting firm strategy, and those bringing it to “the street” in sales situations. These insights and others appear in Frank’s latest book, “Linking Strategy and Sales: The Choices, Systems, and Behaviors that Drive Effective Selling,” in press. Wesley Johnston from George State will share insights from his research on how CRM tools can be powerful and effective in integrating value creation and delivery processes. Michael Ahearne of the University of Houston will be inducted as the newest ISBM Fellow, and will be sharing his research on how to more effectively manage commercialization of innovation through the selling force. As always, we’ll be seasoning the meeting with practical case histories from ISBM member firms including Kimberly Clark Professional, Air Products and Chemicals, 3M, Dell, and Tyco. Each of these members will share different aspects of how they have implemented process changes, organizational changes, common language, and other approaches to build more effective and open linkage across functions in their firms. Eric Galler from 3M will share results from an internal survey/assessment they have conducted on innovation projects at 3M over the past few years. They gathered data on many aspects of each project and focused on those that made it out the door successfully and compared them with those that were not as successful. They will be sharing the “best practices and difference makers:” what sorts of behaviors and processes work across functions –and which have led to bad results. Brian Melinat from Dell will discuss how his team is building social media linkages to build stronger ties across marketing sales and innovation. Frances Mayfield of Kimberly Clark Professional will discuss how they build a project approach in “buckets of alignment” to elevate innovation performance at Kimberly Clark Professional. As always there will be plenty of time for networking interchange and a chance to build connections with member firms. Looking forward: Customer Analytics, Analysis and Answers: B2B Early work is already underway on our next ISBM Member’s Meeting, coming up March 17 and 18, 2015, at the Grand Hyatt Tampa Bay in Florida. At that meeting we’ll be focusing on item #3 in the priorities set down in the B-to-B agenda: B-to-B Customer Analytics. We’ll investigate how mobilizing data can help better target customers, differentiate offerings, navigate to adjacent markets, and more. We expect Tom Davenport from Babson College to keynote this meeting, and share insights from his latest book: “Big Data at Work: Dispelling the Myths, Uncovering the Opportunities.” Mark your calendar as this promises to be a very important meeting as well. Thank you for all you do for Business-to-Business On behalf of all of us here at ISBM, I would like to thank the B2B Academic community for all the work you do in creating new knowledge, tools, and insights on how B2B marketers can improve the performance of their businesses. Our practitioner sponsors appreciate your efforts as well. If you have ideas on how we might be more effective in building stronger linkages across your work, and the work of our in-practice Members, please just connect with me any time at [email protected], or call us at (814) 863-2782. Note: Academics with a focus on B2B are encouraged to attend ISBM Members meetings at a special academic rate. If you wish to attend but are encountering financial difficulty please contact me as noted above. Ralph A. Oliva Executive Director Institute for the Study of Business Markets Professor of Marketing [email protected] PAGE 5 B2B Leadership Board Update: Thoughts on Disseminating Research Insights T o date, the B2B Board updates in this newsletter have largely highlighted our initiatives to shape the B2B agenda and to foster research and knowledge creation in three priority areas: 1. B2B innovation and its link with marketing and sales (guided by Abbie Griffin), 2. B2B Buying (with Fred Wiersema Raj Grewal providing direction), and 3. B2B Customer Analytics (with Hari Sridhar in the lead). Less has been said about another part of the B2B Board’s charter, namely the dissemination of extant and emerging knowledge into the practice community. who registered on the ISBM website http://isbm.smeal.psu.edu/register; then go to http://isbm.smeal.psu.edu/resources/topic-briefs. Last week’s biennial ISBM Academic Conference that took place in San Francisco made me reflect on the latter. I found several of the research presentations and discussions quite stimulating, especially those on issues of academic interest that I expect would also resonate with practitioners. Considering the potential of research insights that are emerging as well as relevant extant knowledge to generate business value, the question on my mind is, how can we get managers better exposed to our findings? Arguably, there is a trove of research-based knowledge that remains unfamiliar to managers and underutilized in B2B practice. Sure, various pertinent research insights have managed to ‘escape’ the academic domain and gain traction in practice, for instance, through manager-focused publications, books and reports, through intermediaries such as consultants, and otherwise. Even then, the level of adoption may not be what might be expected on the basis of their well-documented business impact (examples that come to mind are voice-of-customer and lead user methodologies). When I talk with managers who attended B2B Board events that brought together researchers and lead practitioners, they commonly mention the many “kernels” of (research-based) insight they came away with. They ask how they could further pique the interest of others within their firms and benefit from these insights in their businesses. To address this, we have begun to experiment with a new approach to capture and disseminate key research insights, in the form of very short MP4 videos and related slide sets called ISBM Topic Briefs. While targeted at B2B practitioners, these briefs are also accessible to researchers The Topic Briefs we have published so far deal with topics such as: • The role of culture in B2B innovation, featuring highlights of the research of Gerry Tellis (USC) and his colleagues. • The promise of customer solutions, with contributions from Sundar Bharadwaj (University of Georgia) and others. • Tiebreaker selling, with the work of Jim Anderson (Kellogg/Northwestern) and others • The role of sales in commercializing new B2B products, drawing on research of Mike Ahearne (University of Houston) and others. The intent is to produce a steady stream of these ISBM Topic Briefs highlighting key research insights that are pertinent to burning business issues, and in doing so, deepen practitioner interest and stimulate further reflection on the topics. Any input and assistance would be greatly appreciated in creating these highly-focused Topic Briefs which are built around a tight 1,000-1,200 word script that lends itself to being recorded along with a set of PowerPoint slides. Please get in touch with me if you have additional thoughts on how we could foster the dissemination of knowledge through this or other mean. Fred Wiersema ISBM Fellow and Chair, B2B Leadership Board [email protected] PAGE 6 2014 ISBM Doctoral Support Awards Competition: Call for Submissions P enn State’s Institute for the Study of Business Markets announces its twenty-fourth annual Business Marketing Doctoral Support Award Competition. Up to three candidates in accredited doctoral programs will receive dissertation support awards. Dissertations in any area of Business-to-Business (industrial) marketing or in any of the methodological areas that support advances in business marketing will be considered. See “Research Priorities” under the ISBM Research section of the ISBM website for more information www.isbm.org. In addition to applications from PhD students in marketing, we encourage applications from students in economics, management science, organizational psychology, statistics, anthropology and other disciplines whose developments help advance our understanding of the operation of the business marketplace. The award consists of: • Up to $7,500 in financial assistance to be used for travel, conference attendance, data collection, and other expenses of conducting and presenting the results of the research. • Assistance, as needed, in gaining the cooperation of both ISBM member and non-member firms for data, interviews, etc. The outstanding submission, if awarded, will receive the ISBM Dissertation Proposal Prize, an additional award of $2,500. Submission Information: PhD candidates interested in the competition should submit an abstract of their research not to exceed five doublespaced pages, along with a current vita and a vita of their dissertation advisor. The abstract should address the potential importance of their work to business marketing practice, its theoretical contributions, the research methodology, and the amount and kind of support requested. The abstract must be submitted by email no later than 15 September 2014. An email will be sent confirming receipt of your abstract. Proposals will be judged by an academic panel, consisting of representatives of the ISBM and qualified faculty members from other universities. The panel will not provide feedback to the entrants at this stage. Finalists will be notified by 10 October 2013. Final proposals not to exceed 15 double-spaced pages are due on 15 November 2014. Winners will be announced by 15 February 2015. All finalists will receive feedback from the academic review panel. Any pages of the abstract and/or proposal (not including reference pages) exceeding the page limits will not be considered in the review process. Request samples of abstracts or proposals by sending an email to [email protected]. Instructions on submission requirements as well as more information about the ISBM and the competition may be found on the ISBM website www.isbm.org under the ISBM Research, Research Funding. PAGE 7 Highlights from the 2014 Ph.D. Student Research Camp T he 6th ISBM Ph.D. Student Camp for Research in Businessto-Business Markets was held July 29-30, 2014, at San Francisco State University’s downtown campus. Thirty-nine PhD students from 30 universities in 7 countries participated in the 2014 Camp. Campers benefitted from sessions on “Finding Research Ideas” (Kersi Antia, Western University), “Acquiring Funding and Data” (Srinath Gopalakrishna, University of Missouri), “Publishing Research” (Sandy Jap, Emory University), “Overcoming Life and Career Challenges” (Mark Houston, Texas A&M University), “Organizing for Productivity” (Rob Palmatier, University of Washington), and “Early Career Strategies” (Abbie Griffin, University of Utah, and Hari Sridhar, Pennsylvania State University). Many thanks to these faculty participants for offering such informative and impactful presentations and for joining our other camp counselors Goutam Chalagalla (Georgia Tech), Andreas Eggert (Paderborn), Jean Johnson (Washington State), Vishal Kashyap (Graz), Son Lam (Georgia), Desmond Lo (Santa Clara), Janell Townsend (Oakland), Qiong Wang (Oklahoma) and Stefan Wuyts (Koc) in offering feedback on students’ research ideas in small-group research workshops. Gary Lilien and Raj Grewal discussed opportunities, seminars, conferences and research support offered to B2B scholars by the ISBM. The students also learned about resources and support available from the Marketing Science Institute. Our thanks to the financial support provided by MSI as a sponsor of this year’s ISBM PhD Camp. Many campers elected to attend an optional pre-conference workshop on theory construction offered by Ajay Kohli (Emory) and a post-conference workshop on presentations and publication by Gary Lilien (Penn State). A number of the PhD students also presented at or attended the ISBM Research Conference, which immediately followed the Camp. Many thanks to Camp Directors Lisa Scheer (University of Missouri) and Abbie Griffin (University of Utah) and to Lori Nicolini and Gary Holler of ISBM for operational and logistical Lisa K. Scheer Lisa K. Scheer Camp Director University of Missouri [email protected] Abbie Griffin Abbie Griffin Camp Director University of Utah abbie.griffi[email protected] 2014 CAMPER PARTICIPANTS . . . Fabian Bill (Karlsruhe Institute of Technology, KIT) Melanie Bowen (Justis Liegig University) Mooen Butt (Western University) Myoung-Jin Chae (Georgia Institute of Technology) Linlin Chai (Iowa State University) Kelly Chapman (University of Washington) Andrew Crecelius (University of Missouri) Anne Eckert (Justus Liebig University) Mike Frechette (Saint Louis University) Arti Gandhi (University of Arizona) Marcella Grohmann (ETH Zurich) Aditya Gupta (Penn State) Brandon Gustafson (Washington State University) Colleen Harmeling (Saint Louis University) Jake Hoskins (University of Utah) Niket Jindal (Univesity of Texas at Austin) Omid Kamran-Disfani (Univeristy of Missouri) Pinar Kekec (Michigan State University) Mario Kienzler (Linkoping University) ShinHye Kim (Washington State University) Matthew Lastner (Louisiana State University) Justin Lawrence (University of Missouri) You-Cheong Lee (University of St. Gallen) Sarah Magnotta (University of Kentucky) Toni Mikkola (Tampere University of Technology) Shekhar Misra (Indiana University) Jessica Ogilivie (University of Alabama) Rebeca Perren (University of Central Florida) Ines Reiferscheid (Technische Universitat Darmstadt) Anuela Ristani (University of Missouri) Blake Runnalls (Michigan State University) Ashish Sharma (University of Georgia) Jennifer Skiba (University of Nebraska-Lincoln) Keith Story (University of Memphis) Pui Ying Tong (West Virginia University) Jameson Watts (University of Arizona) Xiaohan Wen (Koc University) Zuhui Xiao (University of Minnesota) Tuba Yilmaz (Koc University ) services for the Camp. Special thanks to our host, San Francisco State University, and particularly to Sanjit Sengupta and Larry Low for their assistance both in securing appropriate facilities and for operational support during the Camp. The 2014 Campers are encouraged to continue to network with each other via the ISBM PhD Camp and Conference group on Facebook. Check out the Institute for the Study of Business Markets website and sites on Facebook and LinkedIn. The ISBM PhD Student Camp is held biennially, with plans already underway for the 7th Camp in Atlanta at Emory University in August 2016. Mark your calendars! PAGE 8 Reflections on the 2014 ISBM B2B Academic Conference W e are just back from the 2014 Academic Conference, kindly hosted by San Francisco State University in their excellent downtown campus. It was a first for us—sharing a facility with Nieman Marcus, amongst other high end retail establishments in the San Francisco Westfield Shopping Mall. (Hard to spot the facility in the picture below, isn’t it?). The conference, attended by well over 100 academics faculty and doctoral students in 27 sessions, was amongst the best received conferences we have been privileged to host. In spite of the attractions of downtown San Francisco, the sessions were well attended, the discussions were sharp and intense and attendees established many new connections and reestablished old ones. Two sessions of note included the Plenary Session, discussion the ISBM Leadership Board initiatives, with their implications for B2B researchers and the Meet the Editors Session, with many insights and tips about improving the chances of publications in our top journals. The next ISBM B2B academic conference will “tentatively” take place 3-4 August 2016 at Emory University, immediately before the Summer Educator’s conference in Atlanta. Mark your calendars—we hope to see you there! Raj Grewal, Rajdeep_Grewal@kenan-flagler.unc.edu Gary L. Lilien, [email protected] Conference Co-Chairs COMMENTS... IDEAS... We would love to hear from you. If you wish to comment on any of the articles (or have thoughts for future articles), please pass them on. Your suggestions will make the newsletter better and more responsive to your needs. Please email your correspondence to: Newsletter Editor Lori Nicolini ([email protected]) Institute for the Study of Business Markets Smeal College of Business, The Pennsylvania State University 484 Business Building, University Park, PA 16802, USA +1-814-863-2782 • WWW.ISBM.ORG
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