Executive Forum
Our Destination is Clear
In this month's Executive Forum, Vice President of Field Sales Mark Hamblin talks about what was achieved in 2019 what is needed for success in 2020.
I’ve heard it said that “Life is lived through the windshield…but best understood in the rearview mirror.” Both personally and professionally, there is a lot of truth in that statement. What is in front of us is what matters and how we respond to this path, dictates future outcomes. The windshield gives a clear view of the horizon and what is to be expected and while the rearview mirror helps us understand where we have been, it cannot predict the future. It can only tell of the past and is incapable of change and improvement.
The Rear View Mirror
So, let’s look into the Sales rearview mirror at Saia and remember where we have been. In 2018, we introduced the “Shared Sales Initiative” where our Outside and Inside Sales teams began sharing account responsibility and customer communication. By all accounts, it was a great success. This year, we welcomed phase II of the “shared” process with a pronounced effort in increasing customer touches where newly agreed upon pricing was in place. Great emphasis was given to onboarding new business. And, then a game changer entered and changed how we go to market: On-demand Dynamic Pricing. We equipped our account executives with the ability to sell effectively and provide solutions to a customer with on-the-spot pricing. Within minutes, we became a viable solution for the customer. Sales leadership responded well and successfully lead our company to record Field/Payor growth. The message throughout 2019 has been consistent and simple — drive new profitable Payor business. But, as we know, continued success has one essential and required component: Change.
The Windshield
This year is now almost behind us and 2020 lies before us. There are both challenges and opportunities in the upcoming year. Never have we been better prepared and so here is a peek at the roads we will navigate in 2020.
The Field has been very successful in growing Payor revenue. We made this a company priority and we have continued to improve results. With that said, we have done this with an unintended consequence. As a company, we have lacked the customer engagement with National Accounts at the Field level. In 2020, this will change dramatically. The Field will now be responsible and graded on National Accounts in their territory. We view this as a huge lever to pull and drive growth while supporting our National Accounts. Along with this, Field territories will be aligned more toward ZIP codes allowing for all business in a given ZIP. Coding accounts will no longer be needed and boundaries will be firm rather than on arbitrary designations. “House” revenue will also be a thing of the past. House revenue is Saia revenue and Outside and Inside Sales will work to drive growth from all customers, not just those coded to them.
We’ll also have greater emphasis on our Specialty Markets and LinkEx with the increased presence of our logistics sales executives (formerly North American market specialists). Growth in these profitable segments will continue to be a greater segment of our overall company revenue.
To lead in today’s business environment, technology and innovation must be at the forefront of all endeavors. Gone are the days when doing “more” or “working harder” will equate to success. While effort is important, more is required. Saia will introduce a company-wide transportation management system, or TMS, that will allow Sales to be better at growing within existing customers while being attentive to their specific business requirements. We will continue to explore innovative dynamic pricing and use technology to accelerate our opportunities. We currently have several strategies being tested and are encouraged about the ability to scale these initiatives. With on-demand pricing and TMS solutions, we remove reasons for a shipper to utilize Saia through a 3PL provider.
It's Time to Drive
Next year comes with high expectations and great opportunity. The plan for 2020 is strong and we have never been better prepared with new initiatives. For the first time in our history, we will launch this plan in the first week of January! At Saia, we are one team and one family and all 10,000 Saia employees have a unique contribution to our overall success. The rearview mirror says we have traveled many new roads with a great history of success so our tradition must continue. The windshield is clear and the destination is certain.
Happy Holidays! Have a safe holiday season!