During the fourth week of my internship, while in a meeting
with the contract control division, much conversation was brought up around the
communication process between Ericsson-LG and customers (SKT, KT, and
LGu+). These three customers are the
three main companies within Korea, possessing the highest subscription rates to
Ericsson-LG electronic hardware/software.
Even though Ericsson likes to admit that a large majority of
their sales is from hardware products like hard-drives, conferences-phone
technology, and enterprise solutions, the vast majority of products that yield
the most amount of sales development comes from telecommunication
software. For example, when an
individual who has SKT, KT, or LGu+ carrier service, and he/she makes a
connection via their terminal (cellphone), an electronically wireless signal is
sent out which is caught by a biotical transverse system, which in turn
connects to a mass Ericsson connection center, ultimately connection the
terminal owner to it’s desired connection.
The reason for that elaborate explanation is that all three
customers have maintenance and service contracts with Ericsson, almost like
product warranties if you will. It is
because of this service contract that the communication process between
Ericsson-LG and the customers goes far beyond the general buying and selling of
software. It is within this service
contract process that the company reaches the vast majority of contract
complexities.
The service agreement contract (warranties with products)
have an 18-month lifespan. What this
means is that if there is any problem/fault with the product within that
18-month window, Ericsson-LG will send out a service and maintenance team
(GNTEL) to fix the problem. If the
customer is outside of this 18-month window, they must extend their
service/maintenance agreement for a large fee.
What this entire process creates is a company to customer
relationship. Within the contract
control team, certain team members are delegated to working closely with the
communication department to initiate and carry out request, complaints, and
proposals by the three major customers.
These team members develop a “face” for the company, ultimately forming
the existing relationship with the customer.
Maintaining this relationship is key, in that the end result is that the
customers will continue to purchase contracts from the company, continuing
relational ties with each other.
An example of a somewhat simple communication process
between Ericsson-LG and a customer is the contract renewal process. This process requires a team from both
Ericsson-LG and the customer to meet, modify the respective contract, finalize
it, and obtain a signature from both parties.
Maybe somewhat simple is an understatement, but this is a very common
communication process that occurs on a monthly basis between the companies. Various contracts are controlled by different
people. Each contract is normally
controlled by a specific person in attempt to maintain a personal relationship
with the customer.
