The transformation of omnichannel sales at Olympus

Olympus operates in 40 countries (the European market being the second largest after North America) with two core businesses: endoscopic solutions to help healthcare professionals “see” better, enabling them to make early diagnoses (endoscopes, laparoscopes, video imaging systems, repair services); and therapeutic solutions to help healthcare professionals offer the best care with minimally invasive therapies (equipment for endotherapy, urology and gynecology, surgical instruments, ventilators, and ear nose and throat devices).

The global transformation program launched in 2019 had a number of strategic priorities: improving the go-to-market, incrementing R&D investments, optimizing the supply chain, developing innovative digital solutions, and upgrading product quality. Olympus has always anchored its business firmly in technology and innovation, so the company leaned into digitalization to improve the efficiency of internal operations, create value and offer solutions for final customers.

The spread of Covid-19 accelerated the need to reach out to customers remotely by using a truly omnichannel approach, which also entailed the strategic introduction of a new remote sales channel. The customer experience was the central focus of the transformation at Olympus, with the objective of enabling these hospitals and healthcare professionals to interact with the company through several different channels, and access information and services on demand. This was made possible through dedicated solutions and end-to-end experiences, and by implementing an integrated customer engagement model encompassing sales, marketing, sales support and services, with the ultimate aim of offering a seamless, coordinated experience through numerous touchpoints (digital channels, remote contacts and in-person meetings).

To maximize the potential of this strategic approach, the company had to rationalize and digitalize certain vital processes: collecting appropriate information, making sense of available data through innovative analytics platforms, and ascertaining the best ways to reach customers and interact with them over time. The Transform Olympus program had a global scope, but it was deployed at a local level. Within the strategic perimeter of every country, in fact, a formula was developed to roll out the corporate transformation plan in each individual context, factoring in firm- and market-specific characteristics, as well as the distinct conditions of the clientele in that particular arena. Regional headquarters set the pace of change and provided guidelines for implementing the plan, in particular for marketing and sales. Local branches, instead, were given the freedom to work out for themselves the best way to adopt policies, rules and indications, keeping in mind local specificities and

leveraging individual strengths. The European head office in Hamburg emphasized the importance of the new remote sales channel not only as a tool for lead generation but also as a lever for more effective overall customer relationship management

The pilot project in Italy followed the guidelines established by the head of commercial development and the head of the endotherapy business unit. As far as the targets of this initial phase, these mainly included private hospitals but there were some public hospitals as well, to get a fuller and more realistic picture of the sales potential. The products chosen to move through the new channel were primarily items that were relatively simpler to sell remotely: hemostasis needles and balloons and other consumables. The pilot phase was slated to last a few months, which was considered long enough for the initial trial period. With regard to the sales staff involved in the process, a critical decision had to be made: Should the company maintain the same structure giving every salesperson a dual focus - both face-to-face sales and the new remote channel (shoring up the necessary competencies and creating incentives to boost remote sales)? Or would it be better to specialize in a single channel?

Different answers to this question would have inevitably led to substantial repercussions for the structure of the sales force, not only during the pilot phase but also in the medium to long term. Olympus’ answer at a global level was to specialize roles by carving out a new career path for the remote channel parallel to the traditional one. Many specialized competencies are required for remote selling compared to the traditional approach through in-person interaction, so the company needed to know which skills the sales staff had to acquire and how. For example, while at the outset of the pilot phase the products sold remotely would be primarily simple, economical goods, salespeople still had to learn how to effectively present them on screen. They would also need help identifying and understanding the “golden rules” for virtual calls: the ideal length, the best times of day, the best contact people to interact with, and when to use video. To provide the necessary support for skill building, Olympus Italy hired a specialized training company.

Understanding how to gradually integrate a remote sales channel into an existing sales network is essential for optimizing development processes in a digital environment. The omnichannel sales transformation undertaken by Olympus was possible with a series of limitations in place: guidelines from the parent company, budget restrictions, and deadlines to respect.

It is also crucial to understand, in terms of the new KPIs, which ones to monitor and analyze in light of the objectives and the specific decisions of a company/business unit.

Finally, the Olympus case demonstrates the usefulness of pilot projects, which can serve to pave the way for managers who implement broader digital transformation initiatives in the context of a “test-and-learn” approach.