US SMB ARROW Summit Mike Parrottino March, 2017
SMB Overview 2
Setting the Standard for SMB Engagement in the IT Industry 3
US SMB Market Opportunity $37B Total market Opportunity SOW Low HPE 6.6M Businesses in the US 99% of all businesses in the US are SMB
US SMB Sales Mission Drive profitable growth and market share in a high-performing world-class sales organization that develops the industry's top talent in a leveraged channel model. FY 17 Priorities Capture US Market Share through a coordinated approach led by the SMB team of Territory Managers, Storage Specialists, ISRs and the Channel team Accelerate US SMB-Attended and SMB-Unattended growth by engaging and investing across the channel Create a successful, aligned and accountable sales motion both on and off payroll Create a results driven and a positive and motivating sales culture Measure of Success Achieve Revenue and Margin Targets $1.4B Revenue, 11% Y/Y Growth Healthy GM 20% Y/Y Growth Quota Gain 1 pt SOW in SMB = $376M Market share growth across SMB-A & SMB-U Sales Pipeline Health and Management Sales aligned to Hybrid IT, HC, Networking & Services Clear alignment & accountability across Field Sales, Inside Sales, Channel & Marketing 5
Where we are Investing in FY17 1 2 3 4 Sales Coverage Improved Simplicity Attacking White Space with Partners SMB Marketing More Coverage Restructuring (Territory Motion) HPSD and HPN Specialist Press Coverage/Social Transactional Tools Transactional Business Model Enhanced Reporting Partner Enablement Engage and Growth Install Base programs Partner Ready Program enhancements Demand Generation MGO (Telemarketing) ISR and Hunter ISR Lead Passing 6
SMB Attended SMB Unattended Coverage Build Sales Readiness Develop structured approaches to understanding customers Leverage partner to grow mid market Optimize coverage & Effectiveness Build Sales Readiness & Manage Performance Customer profiling Complete Heatmap for top/selected accounts Optimize IB purchase cyclical purchase behavior of the customers Develop strategies for new customer acquisitions leveraging ISR and solution partners Lunch and Learn for selected customers managed by FTM/ISR Implement Digital Communications structure Leverage partner s support call centers to run programs Co-develop programs with partners to target specific/ broad SMB segments Identify growth solution partners and GTM together Design programs with Service Providers and OEM partners to penetrate into the whitespace. Collaborate with WAMs to drive base business Deploy vanguards at Distributors Map partners to SMB-U territory driven by ipbms Collaboration between FTM, PBM, ISR, ipbm based on learning's from FY16 PBMs and Specialists assignment to support FTMs/ISRs in complex deals FTM to manage partner ecosystem to ensure extended coverage is developed overtime Continue structured cadence with BU/ISR/Channel PBMs/ ipbms Enablement : Sales University for all outside sales reps & BU training Manage high and low performer Increase yield in SMB Attended and Grow Unattended via programs and partner ecosystem
SMB Attended US SMB Sales Coverage Increase Customer Touch and Accountability 5,600 Focus Accounts 70 TM s covering ~80 accts each Territory Managers Tier 1 500-999 seat count $11.1B TAM HP Badged Outside Led 30 HPSD Reps SMB-A Inside Supported ISR Focus Tier 2 17,500 Named Accounts 300-499 seat count $14.3 B TAM HP Badged Inside Led 54 ISRs covering ~300 accts each Outside supported NSP / VAR Distribution Tier 3 Tier 4 SMB Unattended 100-299 seat count $12.2B TAM T3 & 4 6.5M EU s T3 & T4 1-99 seat count Hybrid coverage Channel Lead BI/Digital Coverage Hybrid Coverage Leverage NSP SMB Resources Channel Lead 23 ISRs covering Leverage Distribution Digital Marketing Commercial Distribution Participate in Key SMB Communities Shift of FinBen Dollars to Support SMB
EG US SMB Sales Organization Mike Parrottino VP, US SMB Sales Annelyne Valle Executive Assistant Mike Parrottino & SMB Distribution/NSP s Vicky Savine Executive Assistant East Region Carolyn Bouza Executive Assistant Central & West Regions A Group lead A Direct report A Secondary report A Indirect report East Mid Atlantic Chris Jacobs East - Northeast Domingo Cortes Central Ohio Valley Domingo Cortes Central North Central West - North Kevin Michael Blaine East NY Metro Tom Macken East - South Steve Sexton Central - TOLA Bob McGrade SMB Distribution/NSP s Pete Eastman West - South Steve Cronin SMB GTM - Indirect John Stansbury Channel Finance Robert Munoz Operations Lee McKeown HR Peggy Barber Legal Fred Anderson Aruba ISRs - Indirect Lou Serlenga Aruba Field Sales - Indirect Ken Gadawski ISRs
EG US SMB Sales Team Mike Parrottino VP, NA SMB Sales Annelyne Valle Executive Assistant Mike Parrottino & SMB Distribution/NSP s Vicki Savine Executive Assistant East Region Carolyn Bouza Executive Assistant Central & West Regions A A A A Group lead Direct report Secondary report Indirect report East - Mid-Atlantic Chris Jacobs East - Northeast Kevin Michael Blaine East NY Metro Tom Macken East - South Domingo Cortes Central Ohio Valley Domingo Cortes Central North Central Steve Sexton Central TOLA West North Pete Eastman West South Bob McGrade SMB Distribution/NSP s Jim Bonfils Joe Blazonis Kevin Coleman Ben Carlisle Matthew Jam Giordano Robert Faehling Emily Falkoff Michael Barnes Rachel Cooper SMB Distribution/ NSP s Crystal (Lopez) Peters Borden Freeman Chris Peto Caitlin Andrews Chase Henderson Joe Lehocky Matt Brunner Lisa Budinger Mike Mackay Stephen Gower Bob Ross Patrick Dennis Robert Macivor Mike McKinzie Chris Neumeyer Nesreen Eddin Chili Chavez John Pleasant Drew Myers Rob Sikorski Matthew Kobialka Terri Ann Macksoud Joe Sparacino Jeff Oscar Sumeet Khanna Michelle Holloway Heather Pollock Nicole Schultz Tom Spisso Darius Williams Mark Platt Mathias Nichols Lawrence Powell Geno Mancinelli Lawrence Howell Adam Steitz Ed Wallace Barry Bickford Rolaundo Wright Greg Dubrule Malvern Palmer Kevin Sullivan Stan Wilson Bridget Phillips Bruce Hatcher Shad Mullins Lauren Wolcott Andrew Reynolds Drew Vohs David Vick Taylor Williams Joseph Rodgers Louis Vasquez Shawn Swantner John Tuttle Francisco Nares Brian Kirby Tiffany Stonehill Beate Waggoner Katie Stegall Denise Dodge Michelle Kramer George Woolley Bill O Connor Ty Connor Sunny Nelson Jason Yeghiayan James Thompson Paul O Dell Josh Stevenson Dan Miller Chris Kimmeth Ryan Doud Rod Stange Cole Stefanek Woody Skuodas Travis McKinney Kathy Drachman Thomas Tait Anston Kovalcik Derek Utley Karissa Haley Michael Morman Shane Stamps Adam Wick Ashley Kyle Taylor Webb
US Channel Programs
Pain Points? What s Working? What s Not? What Else?
CALL TO ACTION Identify Key Markets and align to HPE SMB Field Teams Align to Plano ISR and ISR Hunter teams List sharing to identify key net new customer acquisition targets Channel Program knowledge and utilization SMB Specific business plan with measures and metrics Monthly / Quarterly SMB check point call with key stakeholders