Full Potential Plan
Over three years we worked with Servelec’s commercial leadership to transform their sales execution capability, with a focus on four core areas.
- Resourcing – brought clarity and structure to key front-line sales roles, moving from a hybrid hunter/farmer model to dedicated roles with distinct responsibilities and clear sales targets.
- Organisation – created a sales operations function to help unlock maximum potential from the sales team, supporting on critical administrative activities as well as providing data-driven and strategic insight to help define and optimise the sales strategy.
- Process – implemented and embedded a new technology-driven sales process and streamlined key commercial and legal processes.
- Incentives – brought in new sales team incentive structures to fully align behaviours with evolving business objectives.
New products and services
Another key area of focus was helping Servelec build out an independent, customer-centric product function.
We supported management on hiring the right leadership for this new team while re-designing the NPD process to ensure the company’s innovation strategy balanced customer needs with potential investment return.
As a result of this renewed focus on product development, Servelec made several critical innovations under our ownership, including launching various Mobile app products and building an interoperability platform to securely share data across the healthcare system.
Servelec was a conglomerate listed on the public market, with few synergies between the three existing businesses.
In keeping with our strategy of strengthening the core business, we rapidly divested two non-core divisions, facilitating focus on the underlying healthcare & social care software proposition, while immediately releasing funds that could be used for future growth.
We went on to support management in the acquisition of two strong add-ons that further augmented Servelec’s position in its primary markets, helping management formulate and articulate their M&A strategy, build a pipeline of potential acquisitions, engage with targets and eventually execute on the deals.
Through our combined focus on what we sell (product strategy) and the way we sell it (sales transformation), we were able to help Servelec consistently increase the proportion of revenues that were contracted and recurring, growing annual recurring revenue by 14% per year on average between 2018 and 2021.
By establishing the structures and processes to ensure the sales team better understood the changing needs of their existing customers, Servelec was able to increase its average customer value materially, while retaining 98% of customers year on year.
In addition to the two strategic bolt-ons made over our three-year hold, at the time of our exit we had helped Servelec identify a further 40 short- or near-term opportunities that could support it to achieve its long-term goal of becoming the leader in digital connected community care.