Sales Report Example

Table of Contents executive director Summary3 recrudesce 1 GSM Personnel Specification4 1. Experience4 2. Qualifications4 3. Required skills5 Part 2 primal issues and Recommendations6 1. Introduction6 2. secernate issues6 2. 1 Motivation and meditate satisfaction6 2. 2 Recruitment and selection7 2. 3 Training and development7 2. 4 signalize bring out caution8 2. 5 gross revenue squad bodily social governing8 3. Conclusion9 4. Recommendations10 4. 1 Change the requite strategy10 4. 2 Set up the ceremonial recruitment and selection process11 4. 3 Set up a standardised cultivation11 4. 4 Restructure the gross revenue squad with the unexampled(a)born role of KAM13 . 5 natural action architectural plan15 4. 6 Expected Outcomes16 5. Limitations17 6. Bibliography18 7. Appendices19 7. 1 The recruitment process19 7. 2 gross gross revenue lot calculation19 Executive Summary The report is divided in both parts. The first part Personnel Specification is aimed t o identify the un liftable main(prenominal) skills aras of the overbold GSM. Those argon * Five to eight years gross revenue possess and management * University ground level of business or marketing management * tenuous and proven communication skills and inter soulfulnessal skills * exponent to reate a work milieu and assimilation to stimulate respective(prenominal)s development and motivation * Ability to carry on and high levels in numeracy and literacy skills * Personal traits high motivation, ambition in gross revenue, enthusiasm, full commitment, and ability to work under(a) high pressure. The second part, which is the most(prenominal) weighty part of this report, consists twain main sections divulge issues and testimonials. The primeval issues comport been identified with analyzing our current social clubs situations and related theories.Those signalizestone issues argon * Low motivation and diminish business line satisfaction * The deprivatio n of b allock recruitment and selection process * The lack of quantity and fictitious character in discipline and development * The missing role of Key bank bill Management in the gross revenue outgrowth * The inappropriate gross revenue team structure. Based on the analysis of key issues, the fully detailed recommendations are provided in the end of this report, fol low-pitcheding with an Action Plan and expected outcomes. Part 1 GSM Personnel SpecificationAccuClean is in crucial emergency of a unsanded General gross revenue charabanc, who entrust be in charge of the sales team in all regions and report directly to the Managing Director, Peter Ward. Our association is facing several(prenominal) leadership enigmas and lack of focus in sales team. The new GSM is expected to bring the new fresh leadership modality and able to manage the sales team in all regions to happen upon the highest performance and long-term development. The personnel specification of GSM testament be illustrated in details. Experience The new GSM is expected to substantiate at least 7 to 8 years sales follow through, preferably in B2B market (CPSA, 2012 Myjobs, 2012 beating-reed instrument, 2012).The aim in B2B sales market is very consequential for our company since our customers are ranging from small to large sized companies, and many an(prenominal) of them are with us much(prenominal) than ten years. He/she has a minimum of 5 years experience in business management, marketing and sales strategies and planning, and financial oversight (Inc, 2012 Myjobs, 2012). With these experiences, the new GSM is able to diagnose the management problems within our sales operation, and bring in his/ her new approach in leadership style, in rove to improve sales teams performance as healthful as increase the motivation and satisfaction of sales bulk.However, we should be very supple in selecting expectations base on experience. If a candidate had transcendlent qualificatio ns regarding his/ her breeding and 2-3 years experienced, we should not exclude him/ her from our shortlist. The requirement of sales experience is apparent to take in a problem of excluding potential candidates ( transmission lineber and Lancaster, 2006). Qualifications The candidate assumes to declare Bachelor degree of Business or Marketing Management (CPSA, 2012). The university degree is necessary since the exhaustively educational background will help the new GSM a lot in management.Besides, the combination of education and experience for the GSM localise is ideal for long-term development of our sales force. Required skills The new GSM is required to bring on excellent and proven oral communication skills (Inc, 2012). In extension, the candidate needs to prove his/ her skills in exceptional customer facing and interpersonal skills to enable difficult situations to be overcome successfully (JCT600, 2012). Communication skills are the most crucial qualities of sales n ation, especially sales manager (Jobber and Lancaster, 2006).Furthermore, the new GSM should be able to create a workplace environment and culture that allows all the sales tidy sum in the team to develop and excel their jobs (JCT600, 2012). This requirement is essential since the current leadership style in our sales operation does not seem to work very well and need a crucial change and improvement. The potential candidate is able to negotiate effectively and at the highest level together with excellent numeracy skills and literacy skills (JCT 600, 2012). For both short-term and long-term development of our sales force, these skills are necessary.Besides, the most two important raw material qualities that a good sales person must apply are empathy and ego drive ( base on the study of Mayer and Greenberg, 1964, cited in Donaldson, 2007). Empathy is defined as the important central ability to feel as the separate fellow does in order to be able to shift a product or service (Donaldson, 2007, p. 60). Ego drive is a swear to want and need to mend a sale (Donaldson, 2007). Both of these basic qualities are a must for our potential GSM since in order to be a good sales manager, he/ she should be a good sales person.Last but not least, we are looking for a new GSM with high motivation, ambition in sales, enthusiasm, full commitment, and ability to work under high pressure (Mathews and Redman, 2001, cited in Jobber and Lancaster, 2006). Part 2 Key issues and Recommendations 1. Introduction Part 2 is aimed to illustrate the key issues regarding our sales operation in AccuClean. The analysis based on our current situation and supposition is presented for every issue. Recommendations are coming in the end of this report, followed by the Action Plan and expected outcomes.All the key issues and recommendations are ordered according to its antecedence of taking urgent actions. Key issues 1. 1 2. 1 Motivation and job satisfaction Motivation is the amount of eff ort that a salesperson expends on distributively activity or task associated with the job (Donaldson, 2007, p. 230). Many factors are believed to cause positive motivation, such as monetary reward, workload, promotion, degree of recognition, supervisory behaviour, targets, and tasks (based on Adamss iniquity theory, Jobber and Lancaster, 2006).In AccuClean, the first factor that causes the low motivation in the sales team is subsidy system, which is perceived by many staffs as unfair. The bonus system in AccuClean is set based on achieving a sales figure above the individual sales target, starting from 5% above target sales with a bonus of 5% basic salary. Last year, only nine sales sight out of 71 have been able to achieve the bonus, which gives the evidence intimately the inappropriate bonus system. In addition, the salary is based on individual negotiations when they joined the company, which power lead to unfairness between individual sales people in the team. tally to Vroo ms expectancy theory, it is assumed that peoples motivation to exert effort is unfree upon their expectations for success (Jobber and Lancaster, 2006). It actor to what extent AccuClean sales people believe by working harder (increase effort), they will achieve 5% above target sales (high expectancy), and that higher sales will lead to higher salary bonus of 5% of basic salary (high instrumentality), and higher salary is very important for them (high valence).Moreover, during the unification, there were several sales staffs left to join competitors, which may result from the lack of motivations. concord to Herzbergs motivation- hygiene theory, working conditions and company policies are two of the hygiene factors, which cause dissatisfaction, thus, lead to low motivation (Donaldson, 2007). Bonus as funds is the only type of rewards that is use in AccuClean, neverthe little, there are many more types of rewards that could also be applied, in order to motivate unlike types of sales people.The suggested bonus system will be illustrated in the recommendation part in the end of this report. 2. 2 Recruitment and selection bobtail Carter is in charge of the selection process for new sales people. However, he has no formal system for recruitment and selection as well as no job explanation. Formal selection process is crucially important to tick off the quality of sales persons, which can have a substantial effect on sales turnover (Jobber and Lancaster, 2006). Furthermore, hiring a sales person is very costly, much more than the basic salary.Therefore, selecting the right person for the right position is essential, and can be achieved through setting up a formal selection performance. An opposite problem is Carters mode of selection he knows a good sales person as in short as he sees one. This bias can stultification the screening process, which is part of the recruitment process (see Appendix 5. 1). Either selecting the maltreat person or dropping goo d persons is costly (Donaldson, 2007). Donaldson defines job description as the roles and duties attached to a specific position in the composition (2007).It is necessary for AccuClean to prepare job descriptions for any new positions in the sales team, to ensure the business of each team members, thus, no role equivocalness can occur. 2. 3 Training and development Training is one focusing for sales managers to improve the performance of the sales people under their controls, in the main to meet the company objectives (Donaldson, 2007). Training and development for sales people in AccuClean are lacked due to several reasons. Any gentilitys or development relies on the management style and differs in every ASM.There is no formal cooking process since Carter believes that sales people learn best on the job. Indeed, there are many kinds of training, which includes individual on-the-job training as Carters opinion (Donaldson, 2007). However, good trainings can also be achieved thr ough company-specific programs that are organized in a standardized and professional manner. The bit and occasional training sessions, usually occur when introducing new products (currently in AccuClean), world power lead to the lack of cognition most products and new skill practices.As the merger of one cleaning chemicals and the other in cleaning machinery, training should have been taken at the early stage of the merger, in order to leap out sales people in both companies about the company objectives and targets, the knowledge of contrary and new products, competitors and their products, selling procedure and techniques (Jobber and Lancaster, 2006). 2. 4 Key aim management Area sales teams are responsible for all accounts careless(predicate) their size and importance.The treatment for key accounts, medium-size accounts or small accounts is much dependent on each ASMs view, its current mix of accounts in the flying bailiwick and experience. There are in fact 21 customers each has accounts worthy over ? 4 million. Those customers are important to our business and need to be prioritized as key accounts since the loss of even one of them would significantly cause a beginning drop in sales and profits (Jobber and Lancaster, 2006). Key account management seems currently necessary, in order to serve our key customers with special treatment in all areas of marketing, administration, and service (Jobber and Lancaster, 2006).In addition, key account management will help to develop a close blood between our company as supplier and our customers, in order to raise the communication and co-ordination between us, thus, create more in-depth penetration of DMU, which includes push and line opportunities for buying decisions (Jobber and Lancaster, 2006). 2. 5 Sales team structure The sales territories of AccuClean, which are merely geographic based, have not been changed since the merger. Geographic structure is traditionalistic and the most widely used type of sales organization in the UK.It has several advantages such as simplicity, shorter journey times, low travel costs, and less potential for conflicts over responsibility (Donaldson, 2007). However, geographic structure has some drawbacks, which king influence to the effectiveness of the sales team and its management. Examples of disadvantages are the need to sell full range, broad expertise needed, and overhead costs for more layers of management evolved (Donaldson, 2007). In order for the sales team to work more profitably and better management, it is necessary to make some changes concerning our sales team structure (see Recommendations, section 4).The pattern of sales people in AccuClean is currently more than necessary, compared to the number of customers. type 1 illustrates the current sales people in each ASM as well as the actual needed sales people based on the number of customers in each area. rule get along of customers Current number of sales people Actual number of sales people Spare sales people Midlands 1973 26 18 8 South 1545 22 14 8 North 1196 16 11 5 Scotland/ North Ireland 499 7 5 2 UK original 5264 71 47* 24*Figure 1 come in of Sales people (* approximate number) 1 2 Conclusion Five key issues that have been listed and analyzed above are low motivation and decreasing job satisfaction, informal recruitment and selection process, unstandardized and the lack of regular training, the lack of key account management, and the ineffective sales team structure. Those issues are the most urgent in AccuClean that need to be solved as soon as possible, in order to improve the sales team to work more effectively. Recommendations 4. 1 Change the reward systemBonus (monetary reward), which is the only form of reward using in AccuClean, shows its limitation, therefore, improving the bonus system is crucial. The starting argue of 5% should be set lower and dependent on dissimilar products and accounts. There should also be other chances to get comm ission, which can be based on the annual sales revenue and profits. In addition to the monetary reward, AccuClean can apply many other types of rewards such as promotion or workload (based on Adams inequity theory, Jobber and Lancaster, 2006).Not all sales people highly value money some of them might place higher value on promotion, responsibility or recognition. Thus, the multivariate of rewards will motivate various type of sales people, in order to maximize the expectancy and value of reward (Vrooms expectancy theory, Jobber and Lancaster, 2006). A study of sales force practices by Chartered Institute of Marketing showed that sales people are in normal motivated by individual meetings with supervisor to discuss career, job problems, etc. The second ranked motivating factors is regular accompaniment in the field by the sales manager (Jobber and Lancaster, 2006).These methods of improving leadership style should be aware by ASMs and higher management. 4. 2 Set up the formal re cruitment and selection process The formal recruitment process is proposed as below (according to Jobber and Lancaster, 2006, p. 384). Bias in selecting applicants should be minimized by carefully preparing job description and personal specification. Of course, the experience of employer should be used during the selection process. However, those five steps above should be strictly followed to avoid any mistakes during recruitment. 4. Set up a standardized training groovy training programs will help to equip our sales people with fit knowledge and skills. Besides, it plays as a motivation factor for sales people and positively influences the job satisfaction. 4. 3. 1 When should our company train our sales employees? According to Donaldson (2007, p. 208), the training should be held properly when * revolutionary sales person is recruited * A sales person takes on a new territory * New products * New business, new market segments * Company new policies or procedure * Selling habit s are poor or inappropriate An individual is beingness considered for promotion The sales techniques are very important to train all sales people in the organization (69% of North European firms providing sales techniques training). The market and customer knowledge is also essential in training (42% of firms providing this, based on Roman and Ruiz, 2003, cited in Donaldson, 2007). 4. 3. 2 Who should do the training? Sales trainer can be senior managers (i. e. ASMs, GSM), technical specialists (from occupation department), external specialists, or privileged experienced sales people (i. e. from other ASMs).In many cases, training is more likely to be provided by inside company specialists, who not only have the best understanding about the organization and individual needs, but also can tailor training programs to suit both midland and on-the-job requirements (Donaldson, 2007). 4. 3. 3 Where should training be done? The training can be organized in internal single location (diff erent ASMs), a centralized external location or a decentralized location (on the job). It depends on the purpose of training and variable factors to decide where to hold the training.Below is the nine possible options that are proposed by Donaldson (2007, p. 210). 4. 3. 4 What methods of training should be used? Lectures, films, role playing, case studies, or in-the-field training are options of training methods (Jobber and Lancaster, 2006). Each has its advantages and limitations. The point is how to use them properly for different training purposes, in order to achieve the best results and highest satisfaction of participants. 4. 4 Restructure the sales team with the new role of KAM New proposed sales team structure is presented in Figure 2 with two radical changes. ASM North and ASM Scotland will be combined into Regional Sales Manager of North and Scotland * Key posting Manager is added to our sales team structure as one independent function Figure 2 Sales Team Structure (propo sed) The Regional Sales Managers are formed to ensure the number of sales people is interrelated to the number of customers in each region. The number of customers in the North and Scotland, which is 1196 and 499 respectively, is much fewer than the number of customers in Midlands and South (1973 and 1545 respectively).Therefore, it is appropriate to merge two ASMs North and Scotland together, in order to enhance the performance in the broader area, and increase the influence on organizations decision-making of sales people in the North and Scotland area. The Key Account Manager is added to be in charge of all key accounts in the whole UK. KAMs responsibility is to manage all sales people, who are managing those key accounts in different regions. Moreover, KAM is also responsible for potential key accounts and complex DMUs. The communication and leadership style are crucially important to be successful in managing sales people in different areas.Monthly meeting can be organized and the advanced record system (computer based) should be built up to develop the whole sales teams communication flows in long-term. This proposed sales team structure is based on all forms of selling simultaneously KAM for very big accounts, general territory representatives (Regional Sales Managers) for the medium and small- sized accounts (Jobber and Lancaster, 2006). The number of sales people in AccuClean is currently more than necessary, as calculation based on the current number of customers. In fact, it is difficult to get rid of 24 sales people at once, and should not be done in that way.AccuClean can evaluate sales people in the whole company by their performance, motivation and achievement in past years. In a period of 12 months, it is expected to dismiss six sales people. later two years, 12 sales people in total will be fired. AccuClean may attract more customers in the future and need more sales people therefore, it is dependent on the situation at the time to decide how many more sales people have to leave. 4. 5 Action Plan 4. 6 Expected Outcomes Limitations The merger of two ASMs North and Scotland into one Regional Sales might cause problem in the span of control.The new RSM will manage 20-23 sales people, which might lead to the role ambiguity and lack of coaching and supervision. The Action Plan illustrates many tasks that need to complete in the first year, thus, it might be very challenging in the first year for the new GSM. It is a tough decision to fire some sales people in the next two years. It might cause several problems within the sales team concerning rumours or miscommunication. Therefore, it is necessary to have a serious paygrade based on a formal checklist and consultancy from different people in the team.Furthermore, the training needs to be held at the beginning of the year, to inform the sales team about new changes, thus, reduce miscommunication. Bibliography CPSA (2012) Sales Manager Job description Online. Available from http//www. cpsa. com/pdf/src/tools/Sample%20Sales%20Manager%20Job%20Description. pdf Assessed 16 celestial latitude 2012. Donaldson, B. (2007) Sales Management. third ed. NewYork Palgrave MacMillan. Inc (2012) General Manager Job description Online. Available from http//www. inc. com/tools/general-manager-job-description. html Assessed 16 December 2012.JCT 600 (2012) General Sales Manager Job description Online. Available from http//www. jct600. co. uk/ data/cm/careers/1028. pdf Assessed 16 December 2012. Jobber, D. And Lancaster, G. (2006) Selling and Sales Management. 7th ed. England Pearson grooming Limited. Myjobs (2012) Senior Sales Manager (Oil Machinery) Online. Available from http//myjobs. classifiedpost. com/index. php/Job-Search/ENGINEERING-GENERAL-BUSINESS-DEVELOPMENT-ACCOUNT-MANAGEMENT-Job-Description/SENIOR-SALES-MANAGER-OIL-MACHINERY/597925 Assessed 16 December 2012. Reed (2012) General Manager Milton Keynes Online.Available from http//www. reed. co. uk/jobs/gene ral-manager-milton-keynes/22306659/jobs/general-sales-manager-in-milton-keynes Assessed 16 December 2012. Appendices 3 4 7. 1 The recruitment process 7. 2 Sales people calculation The Figure 1 calculation will be illustrated in details as below. Based on Number of sales people = (Number of customers x Number of call pa) / (number of calls per day x Number of working days per year) conceive there are 225 work days per year, 12 times vocation per customer per year (once a month) Each sales person supposes to make 40 calls per week, 10 of those are to be made to prospects.Therefore, each sales person has to make (40-10)/5 = 6 calls per day. * Number of sales people in Midlands = (1973 x 12) / (6 x 225) = 18 * Number of sales people in South = (1545 x 12) / (6 x 225) = 14 * Number of sales people in North = (1196 x 12) / (6 x 225) = 11 * Number of sales people in Scotland/ North Ireland = (499 x 12) / (6 x 225) = 5