Key Account Management Research Articles

Key account managers' identification profiles and effectiveness: A fuzzy-set qualitative comparative analysis

Key account managers handle a supplier's most strategically important customer relationships. The success of a key account relationship essentially depends on the competencies, skills, and mindset of the key account manager. Previous research indicates that mindset and identity have a significant impact on the performance and effectiveness of (sales) employees. The concept of identity and identification, rooted in social identity theory and self-categorization theory, as well as literature on key account management and the unique role of key account managers provide the theoretical framework, proposing four relevant identification foci of key account managers: identification with organization, key account, leader, and occupation. This study uses survey data from 218 respondents and conducts a fuzzy-set qualitative comparative analysis to identify configurations of identification foci that foster key account manager effectiveness. The findings reveal four different configurations, consisting of different identification profiles and contextual factors, which are sufficient for high key account manager effectiveness. The results of the analysis contribute to identity and key account management research and show that high effectiveness of key account managers can be achieved with different identification patterns and depending on different contextual factors.

Improving customer segmentation via classification of key accounts as outliers

Customer segmentation and key account management are important use cases for clustering algorithms. Here, a data set of a Portuguese wholesaler for food and household supplies is used as an exemplary application. To increase the quality of the analysis, a two-stage approach is proposed. First, key accounts are filtered by a density-based outlier detection. Second, a Gaussian Mixture Model (GMM) is applied to cluster smaller customers. This two-stage approach is aligned with the business implications of key accounts as outstanding and very differently behaving customers as well as with the core idea of an ABC analysis. Also, the exclusion of key accounts corresponds to the definition of outliers as the results of a different underlying mechanism. Using this two-stage approach shows better clustering results compared to using a one-stage approach applying only a GMM. Therefore, it is concluded that density-based detection of key accounts followed by a clustering using a GMM is beneficial for customer segmentation within B2B applications.

What comprises a successful key account manager? Differences in the drivers of sales performance between key account managers and regular salespeople

Although drivers of the performance of key account management programs have been of great interest to research and practice, research on drivers of sales performance at the individual level of key account managers is scarce. Based on survey data and objective performance data of 1205 key account managers and 5818 salespeople, this study identifies drivers of key account manager's sales performance and differences between the drivers of key account manager's and regular salespeople's sales performance. Most importantly, key account manager's project management skills, use of internal experts, creation and communication of customer value, and their need for achievement reflect positive drivers of sales performance whereas key account manager's use of digital tools diminishes their sales performance. Furthermore, the use of internal experts reflects a more important determinant of sales performance for key account managers than for regular salespeople, whereas project management skills are more strongly related to regular salespeople's sales performance than to key account manager's sales performance. This study provides important implications for the recruitment and training of key account managers.

The cultural factors in global account management: the case of Indian buyers and German suppliers

PurposeThis study aims to investigate the cultural factors that influence global account management (GAM) in the context of Indian buyers and German suppliers from a wide perspective.Design/methodology/approachAfter conducting a critical literature review on key account management (KAM), GAM and organizational culture, the authors conducted an exploratory case study with 23 global account managers (GA managers) who work for German-based multinational companies and manage global accounts from India. The results of a qualitative data analysis are demonstrated using consensus and template methods.FindingsThe findings of this study indicate that language, communication, the concept of time, conflict avoidance, organizational structure, decision-making, trust and relationship are among the cultural factors that can influence GAM in a German and Indian context.Research limitations/implicationsGiven the substantial cultural disparities between Northern India and Southern India, it is especially difficult to generalize cultural factors in GAM. On the other hand, these factors can be used as a prerequisite for the development of cultural dimensions when collaborating with individuals and organizations from diverse cultures.Practical implicationsThis research is essential for global sales managers, GA managers and executives who intend to collaborate with Indian buyers or suppliers.Originality/valuePrior business-to-business marketing literature on KAM and GAM has been mostly on the western context. This study is the first step in examining the cultural effect on GAM relationships between Indian and German organizations.

Characterization of Key Account Management in the Chinese Context: A Systematic Literature Review

The stage of development of and speed of cultural change in the Chinese market created an environment that differs considerably from that in the West; thus, examining key account management (KAM) in China and concluding its characteristics are necessary. This research adopts the systematic literature review method to review the relevant literature on KAM, including KAM theories, KAM models, KAM empirical studies and KAM practices in China. This study aims to identify and analyze the factors influencing the characteristics of KAM in the Chinese context. And this study summarizes the main factors affecting KAM in China as well as their influence and outcomes. Based on those factors, KAM theories, and Chinese context, the author would make five propositions on the aspects o f KAM orientation (KAMO), organization behavior (OB), and relational model (“guanxi” model) to infer the difference and characteristics of Chinese KAM. Keywords: China; “Guanxi” model ; key account management; management orientation; organizational behavior; relationship marketing

Univ Manufacturers: key account management for B2B

Learning outcomes At the end of the case discussion, students would be able to: design key account selection criteria for the organization’s vast clients; analyse the application of key account management (KAM) strategies in a business-to-business (B2B) segment for revenue growth for a medium-scale enterprise; recognize the significance of KAM in a B2B space for a scale enterprise; and assess the proficiency of Univ Manufacturers (UM) for KAM in addressing the existing challenges and managing business growth. Case overview/synopsis Tarun, the proprietor of UM, has recently received two big orders, one from Ram Enterprise, a long-standing client since 2011 of INR 2m (10% profit margin) and another order from a new client based in Chennai, a growing pharmaceutical products company, of order size of INR 2.3m (15% profit margin). Both the orders were required to be completed within 15 days. The new client with higher value and better returns could help UM enter the south India market, whereas business from the existing client was also profitable. Despite both orders being necessary for business survival and expansion, fulfilling them on schedule posed a huge challenge. Tarun wanted to fulfil both orders. He knew similar situations might arise in future. He advocated prioritizing customers, which made him contemplate KAM. On what basis he should categorize his customers was a big question. Tarun felt that it was time for UM to strategize relationship management with his customers. He wanted to optimize the partnerships. Tarun knew he wanted to introduce KAM, but was firm-level internal capabilities were enough for key account execution. What would be the feasible outcomes if KAM is applied at UM? What must he do to prevent such situations in the future? Complexity academic level This case can be used in B2B marketing and sales management courses. The dilemma can be explained as part of a marketing course for postgraduate and executive programs. Supplementary materials Teaching notes are available for educators only. Subject code CSS 8: Marketing.

Latest DNV Rule Requirements on Thrusters for Designers

The revision of DNV rules for thrusters (Pt.4 Ch.5 Sec.3[1]) which became effective in Jan. 2021 cover DNV's core challenges of balancing both safety and business risk. Several examples of this exist within Quality Task Force (QTF) cases and were strictly followed up by DNV’s Key Account Managers (KAM). This together with active support and follow-ups using Root Cause Analysis (RCA) has led to good relationships with owners, and as a classification society further respect by thruster manufacturers.

Managing reputational risk during supply chain disruption recovery: A triadic logistics outsourcing perspective

Background: The coronavirus disease 2019 (COVID-19) pandemic has opened the world’s eyes to the impact that supply chain disruptions have on our society. Supply chain disruptions can result in various long-term effects, of which reputational risk is one of the biggest. A good reputation can create value for all stakeholders of a firm, however it can also expose a firm to risk. Reputational risk has been extensively studied in supply chain management; however, the management of reputational risk during supply chain disruption recovery (SCDR) has been neglected. Objective: This study explores reputational risk management during SCDR, between a logistics triad consisting of third party logistics providers (3PLs), their upstream suppliers and downstream customers within a South African context. Method: A generic qualitative design was employed to collect data from five logistics triads using semi-structured interviews. Results: The study found that reputational risk has a predominantly positive influence on the SCDR process. Furthermore, the study expands on existing literature by identifying additional approaches to manage corporate reputation during SCDR not evident in literature. These approaches include the use of control centres and involvement of the key account manager. Conclusion: This study creates awareness for the importance of reputational risk during SCDR and also provides managers with valuable insight into how reputational risk should be managed during SCDR.

Validating the Sequential Logic of Quality Constructs in Seller-customer Business Relationships – Antecedents, Mediator and Outcomes

Validating the Sequential Logic of Quality Constructs in Seller-customer Business Relationships – Antecedents, Mediator and Outcomes

Influence of the key account manager in the provisioning management: Evidence from staple companies during the events of COVID-19

The purpose of this research was to evaluate the degree of influence exercised by the Key Account Manager in the provisioning management in the main companies called Staple in Peru, during the events of COVID-19. The research was of type quantitative, cross-sectional and temporal, with a non-experimental design, using a multiple linear regression model and correlation analysis to determine the impact that exists between the variables. The data belongs to the Industrias San Miguel company, distributed in a weekly period from June 2019 to March 2021, which gives 88 observations. The results allow us to conclude that the Key Account Manager is an important manager of the supply of goods during the crisis caused by COVID-19 in staple companies.

Key account management configurations and their effectiveness: A quasi-replication and extension

Two important areas in the key account management (KAM) literature deal with different KAM frameworks and KAM performance drivers. In particular, scholars have derived taxonomies of KAM configurations and identified organizational determinants of KAM effectiveness and performance in the market. The present paper contributes to the KAM literature with a quasi-replication and extension of two seminal papers providing an update of different KAM configurations along with the determinants of KAM effectiveness and performance in the market. Using recently collected survey data from a sample of 411 managers, and considering KAM capabilities and KAM communication, we find evidence of five unique KAM configurations that differ from the findings of Homburg et al. (2002), thereby doubtless reflecting a professionalization of the KAM domain. Furthermore, updating Workman et al. (2003), we find that KAM capabilities are important determinants of KAM effectiveness and performance in the market, and that social media communication increases KAM effectiveness. These insights contribute to building a cumulative up-to-date body of knowledge about KAM and provide guidance for managers to improve their KAM.

A Sales Approach to Key Account Management (KAM): Toward a Unified View of KAM Deployment and Operationalization

The key account management (KAM) literature is multidirectional in certain respects. Within the KAM literature, it is challenging to find consensus on the definition or conceptualization and operationalization of KAM. We propose a decision-based conceptual framework to help managers and academics better understand the conditions that are most appropriate and how to best implement a KAM system. This article also discusses different organizational solutions for handling demanding customers, while implementing a cost-effective and efficient customer interface strategy (CIS).

Key account management and value co-creation in multi-stakeholder ecosystems. A “market access” mix

Purpose The present study aims to contribute to the growing stream of literature about the network perspective of value co-creation via key account management (KAM) by exploring how firms, in complex industrial markets, use key account strategies to create value, not only for buyers and sellers of industrial products/services but also, more widely, for larger ecosystems of stakeholders. The research question this paper seeks to address is how the KAM approach promotes value co-creation in multi-stakeholder ecosystem. Design/methodology/approach To answer this research question, this study uses a qualitative research approach based on data triangulation. This study focuses on the market access (MA) strategies implemented by a multinational UK-based pharmaceutical company within the Italian multi-stakeholder health-care ecosystem over several years. Findings The results show that KAM in complex networks acts as a catalyst for value creation, through multiple interactions with different actors and an ad hoc configuration of five strategic levers: product performance, economic impact, institutional relationships, commercial organization and communication. These levers are able to unlock the appropriate value drivers and form a specific “market access mix” implemented by the firm to both promote the adoption of the firm’s products and generate value for all market stakeholders. Originality/value The study offers an innovative and comprehensive evidence-based model for designing specific MA strategies aimed at co-creating value within multi-stakeholder ecosystems. The proposed MA mix outlines the fact that knowledge, relationships and innovation are not unique factors that can be leveraged by stakeholders to co-create value.

Relational key account management: insights from the Middle Eastern context

PurposeThe purpose of this study is to explore relational aspects of key account management (KAM) in terms of social capital and relationship quality. The second objective was to identify the main dimensions that shape social capital and relationship quality within the KAM context. Finally, the third objective was to explore how relational KAM is practiced in the Middle Eastern context.Design/methodology/approachThis study used a qualitative methodology and a multiple case design. Semi-structured interviews were carried out with a sample of senior executives from large Saudi firms.FindingsThe results highlight the importance of relationship quality and social capital to KAM implementation. A multiple case study was used to build a relational framework for KAM in the Middle Eastern context.Practical implicationsThree strategies were identified for use within the context of KAM in the Saudi market. The first strategy consisted of a means of attracting potential customers. The second strategy involved communication, aimed at maintaining frequent contact with key accounts. Finally, the third strategy was concentrated in maintenance to help sustain the relationship with key accounts.Originality/valueThis study extends understanding and the application of KAM to the Middle Eastern context, contributing to social capital, relationship quality and the KAM literature.

Innovation in Key Account Management: Identification of Research Trends and Knowledge Gaps

ABSTRACT Purpose: The present work is aimed to provide a comprehensive overview of the research landscape in Key Account Management (KAM) and to identify potential knowledge gaps and under studied research questions in the context of innovation in KAM. Method: Bibliometric and content analyses have been performed. The identified scientific articles underwent into a quantitative and qualitative investigation to map the global research landscape and to measure the evolution of scientific domains and production within KAM. Findings: The study highlights the significance of the corporate strategy, quality of the sales team and organizational framework for the evolution of KAM. Furthermore, the study identified key opinion leaders and current expanding research areas around KAM. Emerging areas for innovation for growth in KAM are cross-culture business management, digital marketing and e-commerce technologies. Implications: This study offers a guide for researchers on the area of KAM providing information on scholarly work covering B-to-B marketing insights on innovation in KAM. Originality: The conduction of a systematic review of the relevant literature allows us to understand better the intellectual structure of the field, to synthesize the findings of previous studies, and to identify expanding and emerging research areas. In addition, we identify the most influential publications and authors in the KAM field, providing guidance to researchers and practitioners when conducting research on this subject area.

Uticaj key account management orijentacije na nefinansijske peformanse kompanija

Key account management (KAM) in theory is described as a strategic approach distinguishable from account management or key account selling that should be used to endure long-term development and retention of strategic customers. This article presents the importance of key account management orientation in today's business and how it affects the non-financial performance of companies in Bosnia and Herzegovina. Also, we will present the results of ongoing research that aims to identify the influence of key account management orientation on company non-financial performance in different industry sectors. Data were collected from several companies in different industries considering a company as a unit of analysis. Research instrument - questionnaire compromised scales that had been validated and found reliable in previous research. Item total reliability and confirmatory factor analysis will be used to test the reliability and validity of the constructs. Furthermore, the structural equation modelling (SEM) technique will be employed to analyze the effects of key account management orientation on a company's non-financial performance. It is to be expected that the results of the conducted research show a statistically significant impact of key account management orientation on a company's non-financial performance in Bosnia and Herzegovina.

The missing element in implementing key account management

The missing element in implementing key account management

Antecedents and postcedents of satisfaction in seller-business relationships: positive and negative alter egos

Purpose This study explores a seller’s perspective in business relationships to validate whether the findings reported in previous studies based on buyer business relationships apply to seller business relationships. The purpose of this study is to test whether satisfaction functions as a connector between positive antecedents (trust and commitment) and negative postcedents (opportunism and conflict) in a business-to-business (B2B) relationship, based on a seller perspective. Design/methodology/approach A descriptive research design was applied and data was collected from Norwegian companies from the database of LinkedIn’s Sales Navigator. Respondents (Sales or Marketing Managers/Directors or Key Account Managers) were asked to identify one main business customer with whom they had interacted in the past year. A total of 213 responses could be used for data analysis. In addition, the measurement and structural models were assessed. Findings Trust was established as a positive alter ego of opportunism and opportunism as a negative alter ego of trust. The commitment was also determined to be a positive alter ego of conflict, with conflict being a negative alter ego of commitment. Furthermore, it was proven that alter egos are not opposites, but facets of antecedents and postcedents in relation to a connector, satisfaction. Research limitations/implications The tested model endorses the hypothesised relationships between trust, commitment, satisfaction, opportunism and conflict in Norwegian B2B relationships. Satisfaction is linked to its two antecedents and its outcomes and the hypothesised relationship between opportunism and conflict is also endorsed from a seller’s perspective in B2B relationships. Practical implications The findings can assist the B2B industry to understand how trust and commitment foster satisfaction, how satisfaction influences opportunism and conflict, and how opportunism relates to conflict in a seller-business relationship. Originality/value No previous study has focussed on relationship marketing in B2B relationships from a seller’s perspective to establish whether satisfaction functions as a connector between trust and commitment and opportunism and conflict.

Opportunism and conflict as precursors of non-economic and economic satisfaction outcomes in seller–customer business relationships

ABSTRACT Purpose The study explores a seller’s perspective of the influence of opportunism and conflict, which are negatively loaded constructs, on non-economic satisfaction as a positively loaded construct. It further established the influence of non-economic satisfaction on economic satisfaction as a positively loaded construct from a sales perspective in a supplier–business relationship. Design/methodology/approach The study followed a quantitative and exploratory approach. Respondents (sales or marketing managers/directors or key account managers) were asked to identify one main business customer with whom they had interacted in the last year. In addition, respondents were further required to keep the selected customer in mind when answering the questionnaire. Consequently, all 213 but one (one non-response bias) surveys were used in the data analysis. A 5-point Likert-type scale was used to determine the degree to which respondents agreed or disagreed with the items provided in the questionnaire relating to opportunism, conflict, non-economic satisfaction and economic satisfaction in seller–business relationships. The SPSS/Amos 24.0 software was used to conduct the multivariate analysis in two phases. Phase one comprised a confirmatory factor analysis, while phase 2 comprised structural equation modeling. Confirmatory factor analysis was used to assess the measurement properties of each construct, while structural equation modeling was applied to evaluate the hypothesized relationships in the precursor and outcome research model. Findings The findings show that in seller–business relationships, sellers are of the opinion that buyer opportunism and the existence of conflict do affect a seller’s non-economic satisfaction directly, which in turn affects the economic satisfaction of seller–business relationships. Sellers further indicated a positive seller–business relationship can stimulate a long-term partnership if both opportunism and conflict are negatively related to non-economic satisfaction and non-economic satisfaction relates positively to economic satisfaction. Research implications The study makes a practical contribution through an improved understanding of a seller’s perspective on how opportunism relates to conflict, how these two precursors influence non-economic satisfaction and how the latter relates to economic satisfaction in a seller–business relationship environment. An improved understanding of a sellers perspective of the variables under study, can potentially stimulate a long-term partnership if both a seller and a buyer are in agreement that opportunism and conflict are negatively related to non-economic satisfaction and non-economic satisfaction relates positively to economic satisfaction. In terms of the theoretical contribution this study explores a seller’s perspective in business relationships to validate whether the findings reported in previous studies based on buyer business relationships applies to seller–business relationships. This study therefore contributes to broaden the relevance of existing theory and the findings reported in previous studies on business relationships, but from a seller’s perspective. This is especially important considering the growing need in the B2B literature to also understand a sellers’ perspective when building long-term business-to-business relationships. Secondly it was established that sellers perceive opportunism to be positively related to conflict in a seller–business relationship. Thirdly, it was established that sellers acknowledge that opportunism has a negative relationship to non-economic satisfaction in seller–business relationships. Seller’s in supplier–business relationships therefore view opportunism as a strain on the non-economic relationship between two parties since one partner can perceive that unfair negotiation practices or other forms of opportunism can benefit the other partner. This outcome can then ultimately have a negative influence on the economic satisfaction experienced, limiting the long-term potential of the relationship. In addition, seller’s argue that the management of conflict becomes critically important in their relationship-building initiatives with buyers. They further argue that there has to be mutual understanding for the role of each partner in the relationship, that each partner wants to benefit economically from the relationship and that mutual exchange is founded on mutual agreement of what such exchange entails. Finally, it was validated that if both the seller and the buyer are content with the relationship and the benefits it has to offer, a long-term orientation can be secured. Originality/value A limited number of research studies explored the B2B relationship between opportunism, conflict and its influence on economic and non-economic satisfaction from the perspective of the seller. Opportunism and conflict as precursors to non-economic satisfaction, where economic satisfaction is an outcome, has not been previously researched from a seller–business relationship perspective. No previous study has focused on relationship marketing in B2B relationships from the perspective of a seller to establish the influence of opportunism and conflict on non-economic satisfaction, and its ultimate influence on economic satisfaction. This finding adds value as it indicates what constitutes non-economic satisfaction in seller–business relationships and how this has an influence economic satisfaction. The two precursors of non-economic satisfaction can be used in future to investigate the influence of non-economic satisfaction on different outcomes such as dependence, commitment, collaborative communication and environmental uncertainty. Considering this, the study contributes to Relationship Marketing theory by suggesting valuable measurement constructs.

Key account selection as a political process: Conceptual foundation and exploratory investigation

Key account management (KAM) is an approach to sales management in which customers with high strategic importance for a company are identified and receive particular management attention. Selecting KAs is one of the most fundamental processes in KAM. This research aims to provide a detailed understanding of the nature of KA selection. Our qualitative study shows that KA selection is not only a technical process, but has political importance for different actors in a company. Drawing on research on organizational politics and the political economy paradigm we discuss the facets of companies' internal and external power-related, political factors as well as economic, ‘rational’ elements in KA selection. We close with a discussion of implications and avenues for future research.