ARTICLES

Ask the advisers:
Strategic account management consultants answer the important questions

How should teams resolve conflict with clients?

by Mark Jankowski, founder and president, Shapiro Negotiations Institute

When customer conflict develops, individuals on an account team typically engage in fight-or-flight behavior. Salespeople often go into flight mode and give the client everything he asks for, thereby reducing margins. People in operations often go into fight mode and blame the customer, thereby damaging relationships. Effective account teams avoid these impulsive reactions and take the time to focus. They gather facts before making assumptions. They demonstrate concern but eschew rash concessions. They determine the source of the conflict and respond appropriately.

Situational conflicts arise when customer expectations are not met. Even if the client is at fault, placing blame is of no benefit. And if your team is at fault, simply resolving the issue may be only half the answer. In either scenario, address the customer's issues (if reasonable) while working with him to prevent future unmet expectations. This approach avoids the blame game and helps both parties focus on forward-thinking partnerships.

Tactical conflicts may be manufactured by clients to extract concessions. Tactics including good cop/bad cop, outrageous demands and personal attacks are used to gain the upper hand. At least one person on your team should be skilled in identifying and defending against these ploys. Customers using the tactics will back off when they see someone on the other side of the table refusing to take the bait.

Personality conflicts may arise, for instance, between an "analytic" purchasing officer and an "emotional" account manager. It is vital, therefore, that an account team has several personality types who can build rapport with different people on the buyer's team. Also, if your team leader has a personality conflict with the buyer, he must check his ego at the door and allow someone else on your team to take the lead.

By understanding and effectively responding to these types of customer conflicts, account teams can maintain margins and long-term relationships.

Reprinted from Focus: Teams with permission of the Strategic Account Management Association. For more information about SAMA please visit www.strategicaccounts.org.