The ability to exploit pricing data for Life Sciences companies today is an evolutionary process. Examining sales spreadsheets and updating pricing data on a quarterly basis is a great start. It is important for companies to identify the distinct stages in price management maturity, each of which moves a company closer to the Holy Grail, a model-driven price management environment.
Adding Up the Four Stages of Price Management Maturity:
- Stage 1: Basic Price Management
- Stage 2: Pricing Management
- Stage 3: Strategy Management
- Stage 4: Model-Driven Management
Before your enterprise takes a hit to its self-esteem, just remember, Gartner recently reported that 91% of organizations haven’t reached
transformational maturity yet in exploiting their data and analytics. So, if you’re not there yet, you’re not alone.
In our experience, it’s a three-to-four-year process from the point of building your data governance model to becoming ready for model-driven, embedded pricing management. Some companies take more time, depending on their ability to absorb the process into their culture, plus it takes having the right people in place to leverage the tools.
To begin this journey, we must recognize that deploying Vistex software alone will not magically make price management happen. To achieve the best outcome, we’ve found that best recipe to achieve next levels are: your own organization’s internal domain knowledge and cultural adaptability, combined with strategic pricing advice.
When assessing your organization’s price management maturity, you should begin by asking some of these questions:
This eBook identifies traits connected to the four main stages of price management maturity, and will help you understand where your organization lies and how to direct your path to the next level.