Episode Transcript
[00:00:00] From Business Intelligence to Business Wisdom LSP Growth through More Strategic Account Management By Rodrigo Fuentes Karate Account management is not a place where tired project managers and sales managers are sent to pasture.
[00:00:17] On the contrary, given stagnant revenue and a struggling localization value proposition, account management is far from a resting place.
[00:00:26] It's a critical driver of business success.
[00:00:29] In a commercial landscape in which buyers face uncertainty about artificial intelligence AI investments and struggle to identify the right AI roadmap partner. The difference between intelligence and wisdom often lies in experience.
[00:00:43] This is where increased investment in strategic account management can step in.
[00:00:48] The key to addressing localization's uncertainty Change is difficult, and when coupled with the unknown, it's even more so.
[00:00:58] That's where we find ourselves both as buyers and suppliers. When it comes to AI, the antidote is to step back, understand the trajectory, learn from the lessons, and act.
[00:01:10] For many language service providers, net new revenue is proving elusive. Front end hunter sales teams struggle to sell either language services or language technology and are facing long sales cycles, more complex procurement processes, and multiple new customer side stakeholder approvals due to AI.
[00:01:31] As a result, chief executive officers are seeking to shore up weaknesses in the current business models.
[00:01:39] The obvious approach is to cut prices to remain competitive, but this further strains an already disillusioned supply chain of translators and language experts.
[00:01:49] Alternatively, mergers and acquisitions are becoming an increasingly popular strategy based on the belief that strength in numbers can help companies withstand mounting market pressures.
[00:02:00] The hardest path, however, seems to be the most overlooked true organic growth.
[00:02:06] At the core of the organic growth challenge is the ability to articulate a value proposition purposefully and effectively.
[00:02:14] As localization CEOs, sometimes from outside the industry, come and go, a consistent and compelling narrative struggles to emerge.
[00:02:23] At this inflection point, account management stands out within commercial teams as their value is built on experience, relationship building, and, most critically, in uncertain times, a reservoir of trust that underpins customer relationships.
[00:02:39] The challenge, however, is not just that account management is often overlooked for investment, but that the function itself may need to evolve considerably.
[00:02:49] Account managers must find their own agency to truly fulfill the promise of their potential impact and help shape the industry's future.
[00:02:57] Defining the boundaries of their role within a commercial framework is essential because if they had wanted to be front end salespeople, they would have already made that choice.
[00:03:07] Account management remains a key, albeit underutilized, competitive advantage but ironically, is an afterthought in an industry that is all too frequently labeled as such, as a whole, not sales versus account management.
[00:03:23] The key is collaboration on an equal footing. Traditionally, sales teams focus on acquiring new customers, they are responsible for meeting revenue targets and articulating service offerings that align with customer needs and internal capabilities.
[00:03:39] While they principally close deals, they also contribute to customer retention by ensuring a smooth handoff to account management or customer success teams. The account management role begins after the sale is closed, nurturing the long term relationships, ensuring customer satisfaction and identifying opportunities for upselling or cross selling. As they do this, they act as advisors to helping customers grow and addressing operational concerns with the goal of increasing customer loyalty and generating recurring revenue.
[00:04:13] Given the need to create a seamless customer lifetime experience, how can account management be better utilized to support the overall commercial strategy? Where do the values of sales and account management differ and where do they intertwine to achieve that seamless experience and increased organic growth?
[00:04:31] By developing a structured and holistic commercial framework that effectively captures a company's full commercial culture, we can create repeatable success based on a deep understanding of each discipline's role.
[00:04:43] This strengthens the overall value proposition, positioning account management as a central driver of long term success, complementing the efforts of sales colleagues who face an ever more competitive landscape.
[00:04:57] Mapping the customer experience across key pillars, attributes, communication strategy and development highlights how sales and account management collaborate to balance short term wins with long term client success.
[00:05:11] Figure 1 outlines their complementary skills and shared impact on revenue growth and customer engagement.
[00:05:18] As such, sales and account management play complementary roles in driving both short term success and long term growth.
[00:05:26] However, when siloed in approach or value proposition, there is always a reduced chance of aligning their strategies and collaborating effectively.
[00:05:36] Given this, LSPS today at an inflection point where AI is already disrupting the localization business model should lean into a more collaborative experience for impact and create a seamless customer trust based experience that strengthens loyalty and supports sustainable growth.
[00:05:54] The Heart of Account where does it Truly lie?
[00:05:58] With a renewed focus on building trust based partnerships between sales and account management, what's next for account managers in defining their role and identity within the evolving AI landscape? To extract the true value of account management, it's essential to assess its current impact and determine whether the right value proposition is being effectively executed upon.
[00:06:21] Interestingly, though unsurprisingly given many LSP dynamics, some of the answers to where account management initiatives are played out lie within the ubiquitous project management function.
[00:06:33] In many LSPs, account management touchpoints are fragmented across various functions.
[00:06:40] Instead of being managed by dedicated account managers, customer accounts are often divided based on attributes like revenue, risk, growth potential and industry sector.
[00:06:51] This disperses responsibilities across multiple teams, often overloading project managers with tactical operational tasks, leaving little room for strategic relationship building.
[00:07:03] As a result, account management's true impact is diminished, leading to reduced visibility and a diluted strategy that fails to achieve its full potential.
[00:07:13] So, paradoxically, in a time when LSPs are reevaluating their value propositions, experienced account managers can find themselves sidelined or underutilized.
[00:07:24] By identifying where account management responsibilities are currently dispersed, LSPs can close the gaps in their fragmented customer interactions, strengthen insights, and develop a more actionable and effective strategy. The net result is is that LSPs can transform account managers into trusted advisors by mapping the LSP's disparate network of interactions and touchpoints, refocusing engagements to drive strategic growth rooted in holistic and consistent value.
[00:07:54] Shifting away from a project management approach to a dedicated account management approach through a future focused strategic account management Persona is at the heart of the necessary change. See Figure 2.
[00:08:06] Thus, creating a framework for this transformation is vital to ensuring a clear vision of the necessary trajectory and investment required to achieve this goal.
[00:08:16] Clearly, with respect to style, intent, and impact, account management in the field can vary significantly based on each individual and their unique journey.
[00:08:26] However, they often share a commonality, the hard earned experience of a full professional life.
[00:08:33] As such, their motivation is driven by growth, and as individuals within a commercial setting, they are adept at spotting growth patterns through experience, much like how AI itself works.
[00:08:45] Harnessing an Organization's Power Account managers are the guardians of institutional knowledge. Make no mistake, achieving sustainable growth requires more than just meeting immediate financial targets.
[00:08:59] It calls for a comprehensive and strategic approach to account management, one that equips professionals with a balanced skill set while fostering resilience and adaptability.
[00:09:10] A diverse goal structure is the cornerstone of this strategy to build resilience, enabling account managers to navigate complex and fluid client scenarios, address financial challenges, and maintain strong, enduring relationships.
[00:09:26] At its core, this approach motivates collaboration toward shared buyer and supplier organizational objectives. Laying the foundation for Long Term Success Account managers should be rewarded not only with tangible financial incentives but also with meaningful opportunities for personal and professional growth.
[00:09:45] This multifaceted focus ensures they remain engaged, loyal, and committed to their roles and the long term customer relationships they have developed.
[00:09:55] The framework for success rests on a comprehensive performance criterion, which includes three critical these provide clear, quantifiable metrics for success.
[00:10:09] Ensuring that account managers are aligned with the organization's financial objectives.
[00:10:16] Building and nurturing strong connections internally and externally enhances customer loyalty and satisfaction.
[00:10:24] Creating a Foundation for Lasting success Personal Development Goals Encouraging continual learning and adaptability empowers account managers to respond to shifting market demands with agility and creativity.
[00:10:38] By integrating all these elements, businesses move beyond traditional intelligence driven decision making to embrace true business wisdom, strategic, sustainable and human centered growth in a globalized world. This evolution is not just advantageous, it's essential.
[00:10:57] Therefore, providing a framework for account managers that creates a pathway to growth is a key driver to stretch the account manager's resourcefulness.
[00:11:06] From creating assets for key customer engagements to building libraries and repositories of institutional knowledge, account managers hold crucial leverage in persuading customers.
[00:11:17] As such, investing further in communication strategies is essential for account managers and the companies that employ them, ultimately resulting in a new, more valuable role and assets.
[00:11:29] In today's increasingly complex landscape, account managers serve as both a knowledge hub and a conductor between an organization's talent and its market relevance.
[00:11:39] They're at the heart of the business, using internal expertise to drive customer growth and success by leveraging innovation and consulting departments, they deliver cutting edge client tailored solutions.
[00:11:53] Collaboration with industry leaders and access to market insights help them anticipate shifts and position client strategies for long term success.
[00:12:02] Account managers also tap into technical support to resolve challenges and rely on regulatory expertise to navigate industry requirements.
[00:12:12] Importantly, in all these interactions, they also serve as mentors to the greater internal organization and this mentoring creates legacy.
[00:12:21] This holistic approach positions account managers as strategic partners, driving sustained growth for both clients and the organization they serve, driving credibility and revenue.
[00:12:33] Ultimately, the outcome of a customer engagement rests on the quality of that customer engagement.
[00:12:40] As such, account managers play a critical role in maintaining customer relationships through ensuring operational excellence and driving commercial growth.
[00:12:49] Being able to measure that success and make it evident is where the strength comes from for the long haul. When it comes to customers, mostly, account management is measured through key areas such as customer satisfaction, strategic engagement, operational quality, service expansion and commercial growth. With metrics like customer satisfaction score, strategic client engagement, frequency, customer lifetime value on time and error free delivery, and revenue growth rate, providing a comprehensive view of their impact.
[00:13:23] Yet while these metrics provide a comprehensive viewpoint, truly effective account management requires additional factors to create a dynamic, evolving strategy, one in which technology and AI play a transformative role.
[00:13:37] Increasingly valuable touchpoints depend on the ability to capture, monitor and act on data through AI Enhanced Customer relationship management CRM systems which enhance key performance indicators by automating data collection, providing predictive insights and optimizing workflows.
[00:13:56] AI driven sentiment analysis improves CSAT and automated scheduling ensures timely engagement.
[00:14:03] Operational efficiency is strengthened with AI powered quality checks and workflow optimization.
[00:14:10] AI can also help identify service expansion opportunities and enhance commercial growth by predicting churn, thus renewed, strategic account managers bridge the gap between customer objectives and operational execution.
[00:14:25] Their contributions ensure that metrics are not only aligned with organizational goals, but but also tailored to measure and drive success in client relationships, fostering sustainable growth and innovation.
[00:14:38] Therefore, unlocking account management's full potential requires measuring engagement, quality, aligning internal mechanisms with external impact and ensuring accountability.
[00:14:49] As customer landscapes rapidly evolve, AI will play a central role in enabling account managers to stay ahead both for themselves and on behalf of their organizations.
[00:15:00] Unlocking TAM Growth Global End to end content management clearly falls within the purview of account managers.
[00:15:08] Understanding the true nature of customer requests requires being at the heart of a customer's trust circle.
[00:15:15] Account managers, through their deep customer relationships and strategic advisory roles, are well placed to now align AI capabilities with real world business needs.
[00:15:26] In today's AI landscape, tactical deliverables based on traditional localization strategies are a missed opportunity.
[00:15:34] The North Star for many companies today is surfacing enterprise knowledge by evolving content into data and by doing so gaining the trust of senior decision makers beyond the customer localization manager Persona, therein lies a better path. Growing Total Addressable Market tam the biggest barrier to expanding the TAM is that traditional sales methods do not align with AI driven transformation.
[00:16:01] Many LSPs face challenges like low margin services, complex sales cycles and multiple stakeholder approvals, often resorting to price cuts or mergers. To solve the gap in organic growth, the strategic account management approach is essential here.
[00:16:17] Acting as a long term value creator by guiding clients through AI powered solutions and shifting from transactional service delivery to AI driven content strategy Unlocking new revenue streams Account managers must redefine their roles as AI and content consultants rather than operational liaisons.
[00:16:37] While sales teams focus on customer acquisition, account managers build long term relationships ensuring clients gain sustained value from AI solutions.
[00:16:48] Their burgeoning expertise in AI governance, quality control and strategic alignment makes them vital in the evolving content landscape, providing a human touch that complements AI automation.
[00:17:01] However, for account managers to reach their full potential, organizations need to invest in a strategic framework for account management.
[00:17:10] Many LSPs still treat it as an afterthought with overwhelmed project managers taking on account responsibilities.
[00:17:18] By positioning account management as a strategic role integrated into customer success, companies can drive innovation and align AI investments with customer needs, ensuring long term growth and a stronger presence in AI driven content solutions.
[00:17:34] Fabulous Account Managers and what to Do With Them at its core, account management is about trust and the ability to translate language based technological advancements into business value with their customers.
[00:17:47] In an era in which AI disrupts traditional localization business models and workflows, credibility and authenticity are critical.
[00:17:56] Organizations must invest in account managers often among their most experienced professionals as they face the AI driven evolution embedding them in strategic decision making.
[00:18:08] By doing so they not only future proof their own business models but also ensure that customers navigate the AI transition with clarity, confidence and measurable success through meaningful solutions.
[00:18:21] As a discipline, account management functions showcase the deep values and heritage of any organization.
[00:18:28] This in turn empowers LSPs to execute thoughtful customer engagement in the evolution toward AI based propositions. Organizations wishing to protect both their value and their brand must entrust their best ambassadors and place them at the core of their activities and decision making.
[00:18:46] That is where the true heart, authentic intelligence and purpose of the account manager lie.
[00:18:53] This article was written by Rodrigo Fuentes Karate. He has worked in the language industry for the past 25 years specializing in machine translation technology and human processes and capabilities.
[00:19:06] Originally published in Multilingual Magazine Issue 240 June 20 25.
