Cover Story
Vision for value
How Mike Smerklo focuses on the customer to grow ServiceSource
Smart Business Northern California | July 2010
Finalist
Services
Mike Smerklo is the chairman and CEO at ServiceSource, but some days, you may see someone else in his chair. He instigated the CEO for a Day program, where employees shadow him for a day to experience a typical day in the C-suite.
That openness has given employees a sharper glimpse into the company’s day-to-day operations. For instance, they’ve seen examples of Smerklo’s focus on four “Things That Matter”: dominate the market, become indispensable to clients, increase conversion rates, and hire and retain the best talent. By measuring everything against those priorities, Smerklo has grown ServiceSource during the recession.
To continue down that track, he presented his management team with a challenge: Rethink the business and dream big to get to the next level.
As the name suggests, ServiceSource focuses on the maintenance revenue streams generated after the initial sale of high-tech hardware and software. But the real distinguishing mark is that the company operates on a pay-for-performance model, so it only makes money if clients recognize a profit from the solutions offered.
Initially, that bold revenue model attracted high-tech companies and health care organizations. But in the long term, it’s helped them maintain client trust.
The ServiceSource value proposition revolves around excellent customer relationships. Its technology platform provides insight into customers’ behaviors and buying patterns, opening the door for value-driven contract renewals, upgrades and cross-selling opportunities.
The combination of the pay-for-performance model and those data management resources makes a difference for clients.
Smerklo’s focus for the future is growing ServiceSource’s global footprint with new locations and advances in its solutions. He’ll tackle that through three pillars: providing expert, on-the-ground sales support, analyzing disparate customer and partner data, and improving the comprehensive technology platform.
How to reach: ServiceSource, (415) 901-6030 or www.servicesource.com
