Koenig Software Systems, LLC, Houston, TX

It is my pleasure to present the first Verasage Trailblazer from the technology arena – Koenig Software Systems, LLC of Houston, TX.

Ken Koenig and Linda Kay attended Sage Software’s Project Management and Value Pricing Boot Camps in 2006 and we inspired to create consulting agreements based on the Adaptive Capacity Model we teach at Verasage. Despite being warned that they should start by developing the normal model first, they opted to develop their high-end Black Card offering first. We are sure glad they didn’t listen to us.

Here is their story as told by Linda Kay, VP of Business Development for Koenig

Consulting Maintenance Agreements – The Beginning of the Got Your Back Program

It all started as an aside in a project management workshop. For a short 30 minutes of a three-day workshop, the idea of selling consulting maintenance agreements was discussed. Not just any consulting maintenance agreement but a value priced maintenance agreement. Since we were just dangling our toes into the value pricing pond, we listened closely and filed the idea in our “think about later” folder.

In a brilliant flash of insight one day, we realized that one of our current clients was an ideal prospect for an upper level maintenance program. (We were advised to create three levels in our initial offering.) We know that they like knowing the total price, in fact we did a fixed price deal with them for a huge software customization and installation. We also know that they are in a rural area without a large, sophisticated labor force to draw from. And we know that they were nervous when we turned over the “keys” to their system and clearly needed additional consulting time.

Combining our “knowns” with the consulting maintenance program idea, we created the Got Your Back Program. We included everything we thought our client would need and want in the program. Some of the items include unlimited technical support, advance training, new employee training, and creating email reminders for actions such as monthly closes, changing the tape back up, and periodic system maintenance.

Since we were reserving our capacity and knowledge for this specific client, we requested payment on the first day of the quarter for the following three months. The total price for the annual agreement exceeded $60,000 and made believers out of us.

We began our adventure in the GYB program about this time last year. This week our client has renewed the maintenance agreement and is considering going from the middle level to our highest level. We’ve now bundling the GYB Program in our engagement letters as a total package.

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