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Danfoss customers benefit from Global Key Account Management

Danfoss customers benefit from Global Key Account Management

23 April 2008
Pioneered by primary technology giants such as Hewlett-Packard and IBM, Key Account Management (KAM) gained increasing popularity in the late 1980s. Through trial, error and evolution, this methodology has developed into its present form and is producing excellent pay-offs for Danfoss customers.

Consistent improvements for Danfoss’ multinational customers

Danfoss launched the Mobile Hydraulic KAM programme about four years ago. The goal was to tap the huge potential concentrated in large multinational customers with global locations and productive plants. At the same time, the KAM programmes result in lower prices, tailored products and better service for customers.

Today, most of our multinational customers with centralised purchasing functions request a Key Account Manager. The benefit for customers is two fold: the KAM programme makes pricing much more transparent when the customers’ far flung units aren’t able to negotiate their own deals; and, consolidating orders allows a customer to achieve large volume discounts and manage product specifications and supplier services more effectively.

The KAM programme helps Danfoss find new opportunities with existing customers and strategic partners – and add greater value. We can, for example, work more closely with our customers to co-design technical solutions, which can generate new and improved technologies. The KAM programme also enables us to take a more active part in defining components when we serve as a supplier.

With the help of the national sales team, Key Account Managers’ main task is to coordinate sales and support activities for large global accounts. These sales activities range from standardising prices to keeping customers up-to-date with new product applications, and informing national offices of what their colleagues are up to in other locations.
Luca Spasaro, Global KAM, says, “I recently experienced positive results from my global coordination activities for one of my large international customers. By sharing technical information, I was able to introduce the same pressure sensor to both their European and USA operations.”

Although the KAM programme started a relatively short time ago, the results are already looking promising for Danfoss. And customers have experienced consistent improvements in terms of service, global project coordination and price standardisation.


Marco Airola Director BA Mobile Hydraulic
Luca Spasaro Global Key Account Manager

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