Trilogy’s admirable business model

CIRCUIT EC / Bangalore

Joe Liemandt

IN today’s world, customers want value for the investments they make in IT. Consequently, they tend to view return on investment (RoI) as a major criterion while evaluating the success of their investment, says Joe Liemandt, founder and chief executive officer, Trilogy. Liemandt, who spoke at a recent networking event organised by the TiE Bangalore chapter on ‘Business Success Metrics: Tying Revenues to Customers’ RoI’, thinks that the key challenge for any IT company is to deliver business value to its customers.

He says, “A good product is that which is successful in bringing productivity and efficiency to an organisation. We have had deals with some of our customers who paid for our software only after they got the [expected] business value out of our IT solution. Today, 92 percent of our customers have come back to us.”

Liemandt also outlined the process that Trilogy uses to measure a customer’s success; it uses a set of business success metrics that have been jointly developed with different customers. He says these metrics are designed to measure the value delivered to the customer through the life of the project.

Says Dr Sridhar Mitta, president of TiE, Bangalore, “TiE’s focus is to provide an opportunity to professionals and entrepreneurs to discuss metrics that ensure business success. Tying revenues to a customer’s RoI is a unique business model that companies can adopt to build outstanding solutions and develop enduring relationships with customers.”