Sales Planning and Operations - Assignment Example

?Running head: SALES PLANNING AND OPERATIONS Sales Planning and Operations Insert Insert Insert 31 August Table of Contents Task 1: Research Portfolio……………………………………………………….…………3 Introduction……………………………………………………………………………………3 Development of sales strategies in line with corporate objectives………………………3 Importance of recruitment and selection procedures…………………………………….4 Role of motivation, remuneration and training in sales management…………………..4 Organizing sales activity and control of sales output…………..…………………………5 Role of databases in sales management…………………………………………………..6 Task 2: Sales Plan Report…………………………………………………………………..7 Introduction……………………………………………………………………………………7 Product further sales…………………………………………………………………………7 Additional international markets and role of international expo………………………….8 Sales Planning and Operations Task 1: Research Portfolio Introduction Sales strategy is “a plan that positions a company’s brand or product to gain a competitive advantage over the competitors” (Gluck, 2011). For a company to achieve it sales corporate objectives it must create successful sales strategies that can assist the sales team to concentrate on the target market customers and establish effective communication with them for sustainable competitiveness. Development of sales strategies in line with corporate objectives These strategies should also take into consideration the need of the sales team to be knowledgeable about how their products or services can satisfactorily solve the customer needs. This reduces time wasting, as the sales team is able to target the right customers, communicate to them the correct message at the right time. In developing of a competitive sale strategy doing an extensive research about your competitors is a prerequisite thing that should be done early in the planning stage. This enables the sales management team to do a strengths, weakness, opportunities and threats matrix for each major competitor leading to a focused and consistent competitive sales strategy (Care & Bohlig, 2008, p220). Then the over all sales strategy will involve planning of the long-term sales goals, analyzing the business sales cycle, and meeting with the sales team about the sales drive and their personal career goals (Reid & Bojanic 2009). After developing the long-term sales strategy, the sales management team should then develop monthly and weekly sales strategies that support the long- term sales strategy and facilitate evaluation of the short-term performance of the sales people. Importance of recruitment and selection procedures Sales people are crucial pillar in creating and implementing any sales strategy thus their recruitment and selection should be done in a manner that will lead to the right people who can accomplish their sales responsibilities effectively.. Studies have revealed that without proper recruitment and selection of sales personnel, an organization may experience the following problems. First, inadequate sales coverage and lack of customer follow-up; secondly, increased training costs to overcome deficiencies; thirdly, more supervisory problems; more so, higher turnover rates; additionally, difficulty in establishing lasting client relationships; and lastly, suboptimal total sales force performance (Ingram, Laforge & Avila, 2008, p132). Therefore, recruitment and selection should be well executed so that competent and high performing sales personnel are hired. Effective recruitment and selection procedures can be achieved mainly through a process that is fair, considers diversity, meets the company needs and has optimal transparency throughout the exercise. It is also crucial to involve internal and external expertise when recruiting sales team members (Ingram, Laforge & Avila, 2008). Normally a company can recruit employees from internal and external sources and the recruitment and selection involve the following processes: preliminary interview, application form, testing, interview, reference checks, physical examination and employment offer. Role of motivation, remuneration and training in sales management Sales team should be well motivated, adequately remunerated, and trained for them to ensure that the sales objective is accomplished successfully. A company through effective management of it motivation, remuneration and training policies it stands to benefit in the following ways. First, it is able to attract sales people who are well qualified, experienced and high performing. Secondly, through training and motivation the sales staff become more equipped and encouraged to achieve their job objectives (Lidstone 1995). Thirdly, these policies ensure that sales team is well-rewarded relative with their efforts in the company’s performance. Fourthly, with reasonable pay the morale of sales team is boosted and level of dissatisfaction due to wage disparity is reduced (Lidstone 1995). More allover, these policies encourage sales team to stay with the company for their own and company’s best interests. Further, these policies improve motivation and create room for growth of sales personnel leading to effective management succession planning. Lastly, if a company implements these policies successfully it can minimize its operational cost and increase profits through improved productivity and client relationships (Blythe &Zimmerman, 2005). Organizing sales activity and control of sales output Sales management involves organizing of sales activities and controlling of sales out put. Management of the sales force includes selection, recruitment, training, motivation, compensation, and controlling of the sales teamwork schedule, while control of sales will involve setting of sales budget, sales quotas, sales territories, organizing the sales efforts, personal selling, and salesmanship (Trehan & Trehan, 2010, p221). Therefore, the sales management team is responsible for organizing sales drives, maintaining good client relationship with customers, taking major selling decisions such as planning sales budget, sale quotas and deciding the sales territories. The sales team can ensure control of output through the following strategies: first, adopting manufacturing conception of control that make the costs high and probability of success low thereby discouraging competitors (Fligstein, 1993). Secondly, they can lend product to customers instead of direct selling thereby controlling the lifetime of a product (Care & Bohlig, 2008). Additionally, the supervisors can control the sales team through personal communication thus monitoring important activities and results. Finally, the sales management team can control through drawing on a budget that avail financial resources for a given period to support certain level sales efforts. Role of databases in sales management Another, key element of sales strategy is databases, which assist the sales force in the following two major ways. First, it pivotal in helping the sales force to understand their performance by providing a sales report that aid them in evaluating their current performance and planning on how to improve their performance based on the data of their activities, market opportunities and potential, sales, expenses and profitability (Zoltners, Sinha & Lorimer 2009.). For example databases can offer information about actual sales volume, the projected sales volume and the possible reasons that made it difficult to achieve that creating insight on ways of rectifying the mistakes. Secondly, the databases information may be used to help sales force to boost their sales process by assisting them in activities such as prospecting, qualifying, identifying customer needs, planning, designing the offers, creating value, tracking, targeting, and maintaining accounts (Trehan & Trehan, 2010). For example databases on customer satisfaction survey can help the sales team to rate themselves, seek new approaches and offer appropriate information when meeting clients. In essence, the databases assist the sales force to accomplish it responsibilities in a better way. Task 2: Sales Plan Report Introduction Unilever Company having launched an ambitious new vision that will see the company double the size of it business will require major sales increase through further sales of it products globally (Unilever 2009). This report will concentrate mainly on highlighting how Unilever Company can further the sales of Knorr Stock Pot product globally. Knorr Stock Pot is used in cooking to help home-cooks provide natural and nutritious meals by adding base flavour to dishes such as sauces, soups, and stews for their families in a convenient way (Unilever 2011). Since it launch in the global market it has been enjoying growing repertoire among consumers in countries such as UK, China, Ireland, France, Spain, Belgium and many other countries. In major global market Knorr Stock Pot is marketed under locally relevant names such as Knorr Stock Pot in the UK, Marmite de Bouillon in France, Bouillon Potje in Belgium and Dense Soup Treasure in China (Unilever 2011). Product further sale Product further sales with involve coming up with a sales plan that is formulated in the following steps: first, setting of sales objectives that are well defined, clear and simple to understand. Secondly, study of the marketing environment that looks at the economic, socio-cultural, demographic, political, global, technology and many other aspects. Thirdly, searching for alternatives while bearing in mind the role of selling objectives, available resources and other factors important to sales efforts. Fourthly, create the strategies that will be used to achieve the sales goal. Additionally, divide the target geographic territories and decide the appropriate strategies for each location. Lastly, put measures in place for accounting and monitoring the sales activities. In efforts to improve the sales of Knorr Stock Pot, the company can under take the following approaches. First, the company should consider elimination of product clutter by rationalizing the product mix to the point where procurement, production, distribution, and sales of entire range are at predetermined levels for each product line and for each brand leading to optimum profits for each product portfolio (Stapleton & Thomas 1998). Secondly, the company can embark on development programmes aimed at improving the success ratio of this product as part of the overall total investment programmes. This will require input of the members of sales team, company’s own production and research executives, and the outside company recommendations. More so, the company should targets new markets especially in the international arena thereby extending the total market size. Additionally, can prolong the maturity stage of product life cycle since each geographical location the product is being marketed is at different stage of development (Stapleton & Thomas 1998). This can be achieved by deploying market penetration strategies in new areas while concentrating on product positioning and ways discouraging competition in establish areas. Lastly, the company can redesign it web site on the product marketing in a way that it is captivating, well organized, and convincing to the potential consumers to buy this product. The product page should contain all the essential product information, have a captivating headline, sub headline, fascinating main body, professional layout, numerous strategies like listing crucial benefits of the products in bullet points and proof of product’s effectiveness (Elizabeth 2011). Additional international markets and role of international expo Strategies for international markets are more advanced than those for domestic markets mainly because the international customers have different tastes, needs and customs. In entering any international market the following strategies have proven to be quite applicable. Direct exports involve direct selling and marketing to the potential customers. Indirect exports which liaising with the local distributor, agent or trading house to facilitate sales of the product. Lastly, forming strategic alliance with company selling related product thus making use of complementary skills and capabilities provide by the local company. Following success of introduction of Knorr Stock Pot in China in 2007 and Latin America and Caribbean in 2003 the company should focus on introducing the product internationally in other South East and Far Asia countries like Fiji, Philippines, Samoa, Taiwan and Latin America countries like Cuba, Peru and Chile(Unilever 2011). Trade fairs a good vehicle of promoting sales of a given company and a company may reap the following benefits by participating in trade fairs. First, the sales message is delivered to a large number of people thus a large number of potential customers can be reached. Secondly, it is a good way of introducing a new product to many people. Thirdly, the company’s publicity can be greatly enhanced. More allover, it is an appropriate way of improving company’s corporate image. Additionally, they provide an avenue for gathering competitor information. Lastly, they expose potential customers and enhance goodwill. The trade fairs are associated with challenges such as high cost of participating, confusing environment found in large shows and lack effective means of evaluating their impact on the sales of a given product. The company should consider re-launch the product using the upcoming Hotel & Catering Show at the Bournemouth International Centre that will present an opportunity to market this product to thousands of operators in every area of the hospitality, tourism, and leisure markets from within the Bournemouth area (Hotel-expo 2011). Also these expo with provide the company with opportunity to market to various cross section of visitors including key buyers, decision makers of major chains and blue chip companies, contract caterers and independents (Hotel-expo 2011). This will enable product to reposition and acquire new markets within the UK and even beyond. Reference List Blythe, J. &Zimmerman, A.S., 2005. Business-to-business marketing management: a global perspective. OH: Cengage Learning EMEA. Care, J. & Bohlig, A., 2008. Mastering Technical Sales: The Sales Engineer's Handbook. Canton Street Norwood, MA: Artech House INC. Elizabeth, J., 2011. Product Review On OptimizePress: Valuable Means To Further Improve A Sales Page. (Online). Available from: http://www.nextlevelarticles.com/Art/222844/94/Product-Review-On-OptimizePress-Valuable-Means-To-Further-Improve-A-Sales-Page.html (accessed August 31, 2011). Fligstein, N., 1993. The transformation of corporate control. NY: Harvard University Press.  Gluck, S., 2011. What Is Sales Strategy? The Houston Chronicle. (Online). Available from: http://smallbusiness.chron.com/sales-strategy-629.html Hotel-expo. 2011. Hotel & Catering Show: 13th & 14th March 2012 Bournemouth International Centre. (Online). Available from: http://www.hotel-expo.co.uk/index.html (accessed August 31, 2011). Ingram, T.N., LaForge, R.W. and Avila, R.A. 2008. Sales Management: Analysis and Decision Making. New York: M.E. Sharpe Inc. Lidstone, J., 1995. Motivating your sales force. Hampshire: Gower Publishing Limited. Reid, R.D. & Bojanic, D.C., 2009. Hospitality Marketing Management. New Jersey: John Wiley and Sons. Stapleton, J. & Thomas, M.J., 1998. How to prepare a marketing plan: a guide to reaching the consumer market. Fifth Edition. Hampshire: Gower Publishing, Ltd. Trehan, M. & Trehan, R., 2010. Advertising and Sales Management. New Delhi: FK Publications. Unilever. 2009. Sustainable Development Overview 2009: Creating a better future every day. Unilever Company. (Online). Available from: http://www.unilever.co.uk/Images/sd_UnileverSDReport170310_amended_tcm13-212972_tcm28-237555.pdf (accessed August 31, 2011). Unilever. 2011. Knorr: a revolution in stock. Unilever Company. (Online). Available from: http://www.unilever.co.uk/innovation/productinnovations/revolutioninstock/ (accessed August 31, 2011). Vashisht, K., 2006. A Practical Approach to Sales Management. New Delhi, Atlantic Publishers & Dist. Zoltners, A.A., Sinha, P. & Lorimer, S.E., 2009. Building a winning sales force: powerful strategies for driving high performance. New York: AMACOM Div American Mgmt Assn. Read More