Cisco Solution Incentive Program—Asia Pacific
User GuideThis program will expire on December 31, 2006.
Cisco Systems® reserves the right to cancel or modify this program at any time without notice.
Summary
This document provides Cisco® channel partners and Cisco account teams with comprehensive details on the Cisco Solution Incentive Program (SIP) in the Asia Pacific, including qualification criteria, instructions for how to participate, program requirements, business plan review, deal registration, ordering, and compensation.
Additional information about the program is available at www.cisco.com/go/ap/sip. Introduction
The Cisco SIP completes the Cisco incentive portfolio designed to address the profitability and success of Cisco’s highest value partners. The program rewards partners that invest in the development and sales of vertical and horizontal solutions that integrate partner applications and services with Cisco technology. The program recognizes the partner’s efforts and expertise to develop the solution opportunity, the customer relationships they influence, and their ability to enlarge the Cisco opportunity. The program offers partners financial incentives and better engagement opportunities with Cisco sales teams.
In order to participate in the program, partners must prequalify their solutions by submitting a business plan and receiving approval. Once prequalified, partners must register their deals to receive incremental benefits and compensation for closing solution opportunities.
Program Objectives
The objectives of the Cisco SIP are to:
Grow incremental revenue in major markets
Boost partner profitability for partners integrating Cisco technology into their solution sale Increase the business relevance of the network
Expand the need for network bandwidth Support the channel partner value model Partner Benefits
The benefits to channel partners are numerous. The Cisco SIP:
Provides a financial advantage for partners that invest in solutions that include Cisco products Protects the partners’ solution investment and value delivered to customers
Allows partners to differentiate their unique value from other partners Grows partner revenue with additional value-added service opportunities
Improves opportunities for partner profitability Encourages timely engagement with the Cisco field How to Participate
Partners must complete a one-time prequalification process to gain access to this program for each solution. Once partners are prequalified for their solution, they are eligible to register opportunities that meet program requirements and receive incremental benefits and compensation for closing these opportunities. Figure 1 is a diagram of the process.
Figure 1: Solution Incentive Program Process
Program Requirements
This program is open to any partner that offers a solution meeting all of the following prequalification
requirements listed in Table 1. Partners must submit a business plan for each applicable solution. A business plan template is available at www.cisco.com/go/ap/sip. In principle, each partner business solution should offer a unique business value to the end-customer, and should specifically address a customer business priority or problem. In addition, business solutions should typically include Cisco advanced technologies, where
applicable.
Table 1: Solution Incentive Program Requirements Partner
prequalification
Cisco Gold, Silver or Premier Certification
Cisco specialization in relevant advanced technologies, depending on the solution Focused sales staff selling the solution (Minimum of 2 sales people for small and
medium size business (SMB) solutions; Minimum of 5 sales people for enterprise solutions) *
Reference solution architecture that includes Cisco as the networking component Program Overview
Partner reviews Cisco SIP Website and discusses solution(s) with channel account manager (CAM). • Presentation • Program Rules • Q&A • Terms and Conditions Deal Registration
(one per deal)
Prequalified partners submit completed deal registrations to online tool at least 30 days prior to order.
Approved registrations are valid for six months, with renewal option.
Place Order The partner-approved registration is awarded special pricing at the time the order is placed. Prequalification
(one time per solution)
Partner submits
business plan. CAM and program team validate that requirements are met.
Business plan for selling the solution (template on SIP web site)
Forecast for Cisco hardware, software and services validated by Cisco account team Solution
prequalification
Solution is repeatable (requires references for two installed base examples within past 12 months)
Solution sale is targeted at business decision makers as documented in the business plan (E.g, CXO and other senior business executives with budget control; not network or IT managers)
Solution includes one or more business-relevant non-Cisco applications that directly impact customer business function processes or productivity**
Solution expands the need for network bandwidth resulting in upgrade of core networking technology and/or re-engineers a manual business function to leverage networking technologies**
Solution includes all required end-customer planning, design, implementation and operation support services for both the network and applications components Cisco products and services are no more than 70% of overall solution based on net
value of the total solution.
Generates at least $200,000 in revenue (Cisco list price) in Cisco networking products for the SMB/commercial market or at least $1 million revenue (Cisco list price) in Cisco networking products for enterprise market per year*
* Enterprise customers have 500+ employees; SMB/commercial customers have fewer than 500 employees.
** Examples of business-relevant applications driving network bandwidth include
healthcare medical records management, legal billing systems, airport video surveillance, supply chain inventory tracking, Examples of applications that would not qualify are email applications or network management software.
Once the partner solution has been approved, the partner must register each deal. Partners must meet the deal registration requirements outlined in Table 2 to gain approval for deal protection and special pricing. All deals must be registered on the Cisco Deal Registration approval tool at http://www.cisco.com/go/deals.
Table 2: SIP Deal Registration Requirements
Deal registration Partner must be prequalified for the Solution Incentive Program Registration must be for partner-approved solutions only
Incremental business generated by partner
Minimum amount of registered opportunity must be $20,000 at list price for Cisco products or services for SMB/Commercial deals, and $100,000 at list price for Cisco products and services for enterprise deals*
Partner must complete and document to Cisco the following presales milestones: Identify primary decision makers, available budget, and expected timing of
opportunity
Determine end-customer business issues and requirements Perform end-customer phone and face-to-face sales calls Provide high-level design to customer
Registration must be prior to an end customer RFP to be eligible
* Enterprise customers have 500+ employees; SMB/commercial customers have fewer than 500 employees.
Once a year, the team evaluates the partner solution and determines if the partner solution is meeting the program goals. Solutions that meet the minimum targets (see Table 3) are approved for an additional year. Solutions that do not are rejected from the program. The partner may not reapply to the program for six months and must thoroughly justify how the solution sales will meet the program goals.
Table 3: SIP Annual Evaluation Requirements
Annual evaluation Booked at least $200,000 in revenue (Cisco list price) in Cisco networking products for the SMB/Commercial Market or at least $1 million revenue (Cisco list price) in Cisco networking products for enterprise market per year*
Achieved at least 70% of forecasted sales
Cisco products and services are no more than 70% of overall solution based on net value of the total solution.
* Enterprise customers have 500+ employees; SMB/commercial customers have fewer than 500 employees.
How do partners get started?
1. Visit www.cisco.com/go/ap/sip and review the program presentation, Q&A, and rules. 2. Download and complete the SIP business plan for each solution.
3. Submit the business plan with reference architecture samples to your Cisco CAM and the SIP e-mail address: [email protected].
Partners should allow 10 business days for review from the point submitted application has been completed. Incomplete applications will be returned for completion.
Who reviews the business plan?
A virtual program team reviews the plan together. Each individual is responsible for validating different components of the plan. Listed below are the team members and the information they need to validate. Cisco SIP program manager validates:
Is the business plan complete?
Is the partner currently a Cisco Gold, Silver, or Premier Certified Partner? Does the partner hold the appropriate specializations to support the solution? Does the partner solution include all the necessary components?
Does it foster advanced technology business? (optional) Cisco SIP CAM and system engineer validate:
Does the partner have an existing installed customer base in the target market? Does the partner have a focused sales staff selling this solution?
Does the partner’s reference architecture include Cisco technology?
Is the forecast for Cisco hardware, software, and services approved by the program team? Cisco SIP vertical or horizontal solutions expert validates:
Is the solution repeatable?
Is the solution sale targeted at the business decision maker?
Does the solution include one or more business-relevant applications? Cisco SIP business development manager validates:
Does the partner offer unique business value to the customer? Does the solution expand the need for network bandwidth?
Does the solution help generate at least $200,000 Cisco list revenue per year in Cisco networking products for the SMB/commercial market or at least $1 million Cisco list revenue per year in Cisco networking products for the enterprise market?
Cisco SIP customer advocacy team validates:
Does the solution include all required customer support services? Is the full solution adequately supported?
Deal Registration
All deals must be submitted by a Cisco certified partner and approved by the Cisco channel and sales account teams. Partners must submit deals using the Cisco Deal Registration Tool at http://www.cisco.com/go/deals. Qualified Cisco certified partners must meet all the program requirements before submitting a deal
(requirements are outlined in Table 2)
The program is for incremental business only; the opportunity must be driven by the partner Qualified partners must have met with customers prior to deal registration
Qualified partners must have completed preliminary design work for identified customers prior to registering the deal
Upon meeting those requirements, partners go through deal registration in four steps:
1. Partner engages Cisco account team to discuss opportunity.
2. Partner logs in to the Cisco Deal Registration Approval Tool at http://www.cisco.com/go/deals and completes the SIP registration form.
3. Cisco CAM provides the first level of field approval and validates that the partner solution is prequalified and that the deal meets all registration requirements (see Table 2), including required documentation. If approved, the application is routed to the Cisco enterprise or commercial account manager. If approved, route to SIP program manager.
4. Program manager validates program requirements and whether the proper documentation has been provided by partner. If approved, the opportunity is registered and a 17-character approval code is sent to the partner for use at the time for placing the order. If denied, the partner is notified.
The approved registration is date-stamped with the approval date and is valid for a maximum of six months. If the registration is about to expire and the partner has transacted no business, the partner and CAM will receive an e-mail notification from the registration tool. The partner may request to renew the registration by contacting the CAM, who will work with the program team. Cisco has the right to approve or deny the renewal.
Claims and Payment
Cisco SIP financial incentives are realized at the time the order is placed with an upfront discount. Partners will know their special pricing privileges at the time the solution is prequalified as solution. Partners use the 17-character approval code to request the special pricing when placing the order. Here are the ordering instructions.
Ordering Directly from Cisco through Cisco Ordering Tool:
1. Opportunity must be registered and approved in the Cisco Deal Registration tool prior to opportunity close.
2. Partners with an approved application will be sent a 17-character approval code.
3. Enter deal registration approval code (from step 2) in the "promotional program name" field. Click Save. 4. Click main order form, and then enter product and quantity. This promotion cannot be combined with
5. Click Save Order, then continue with standard ordering procedure. Ordering from Authorized Asia Pacific Distributor:
1. Opportunity must be registered and approved in the Cisco Deal Registration tool prior to opportunity close.
2. Partners with an approved application will be sent a 17-character approval code.
3. A Deviation Authorization Request Tool (DART) approval is required before the order can be placed through Asia Pacific distribution. Partners must first contact their local Cisco CAM to request a Cisco SIP DART price deviation. Partner must provide the approval code from step 2.
4. Cisco CAM must include the 17-character approval code in the DART business justification field. 5. Cisco CAM provides confirmation to the partner when the price deviation is approved. The selected
distributor is informed and the partner may place the order.
Program Support
Website: www.cisco.com/go/ap/sip
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