Sales Planning And Operations Business Essay Example

machines,and Personal computers.They currently have 10 sales representatives who report to a sales director located at the head office. These representatives visit B2B stores throughout Sri Lanka for sales purposes sometimes spanning multiple days before moving on to the next visit.However,the internal sales operations are not well-organized.Table of Contents

Introduction

Representatives often have unplanned meetings due to a lack of proper scheduling for field visits, and sales records are poorly maintained. The company's goal is to reconstitute and align their concern operations and sales operations in order to achieve organizational goals. They also aim to streamline the sales channel and expand business operations to align with the corporate objective. Additionally, the company is willing to implement a planning and monitoring system in order to improve the quality of sales operations and increase profitability.

Personal selling involves using the sales force to sell products after meeting face-to-face with customers. Sellers promote the product through their attitude, appearance, and specialized product knowledge. The objective is to inform and encourage customers to make a purchase or try out the product. This approach is commonly seen in department stores at fragrance and cosmetic counters, where customers can receive advice on product usage and sample different items.

Personal selling is frequently utilized for high-priced or complex products such as cars, office equipment, and industrial products sold by businesses. Point-of-sale selling is a specialized form of personal selling that entails face-to-face contact between sales representatives and retail traders. During visits to suitable retail premises, the salesperson encourages retailers to stock products from a specific range.During this visit, the salesperson can also check stock levels and ensure the optimal display of products. Personal

selling offers various benefits such as high customer attention, customized messaging, interactivity, persuasive impact, potential for relationship development, adaptability, and opportunities to close a sale.

Regarding organization sales and customer buyer behavior in relation to purchase decisions, the Elec company sells digital cameras and washing machines. However, these products serve different purposes. Therefore, it is important to identify customers' intentions before promoting the products.

Digital cameras are primarily sought after by the younger generation and photographers. On the other hand, washing machines are mainly important for women. Hence, different advertising strategies should be used for these products.

When promoting washing machines, it would be more effective to advertise in women's news publications rather than other newspapers. On the contrary, when selling digital cameras, it is preferable to advertise in commercial magazines rather than women's magazines.

Washing machine buyers are typically individuals or families who prioritize factors like price and features when making a purchase decision. These appliances are already widely used in households.

Similarly with digital cameras; consumers can be individuals or businesses interested in these products.Consumer preferences can vary from country to country, making it challenging for sellers to understand consumer demand and purchasing behavior prior to product development and sales strategies. Aspects such as usability, peer pressure, promises, digital processing, flash, location services, cost of service, and spare parts cost influence consumer decision-making processes when purchasing a digital camera. The features of the product also significantly impact consumer purchasing decisions; consumers closely consider picture quality, zoom capability, and camera memory. Accessories have also become important in the purchase of a digital camera; clients are particularly interested in additional features like carbon monoxide odor detection, passenger car bags, weight

considerations, and trendiness. Furthermore, other factors that play a crucial role in the decision-making process include service quality provided by the seller company as well as perceived value for money. Interestingly enough price has not been determined as a significant factor for consumers; they prioritize functionality and characteristics over cost. Promotional strategies such as price reductions are considered least important by consumers. Ultimately it is the responsibility of the sales team to research and analyze business opportunities within the market; based on this gathered information they develop marketing plans along with budgets accordinglyAction plans are executed and the marketing strategy is assessed. Additionally, staff in other departments are trained on ongoing campaigns. The objective is to effectively manage the four Ps of marketing and stimulate demand for the company's products and services, thereby generating potential customers known as leads. The process of identifying leads involves capturing information from individuals who express interest in products or services, as well as obtaining data through online surveys, contest entries, or newsletter subscriptions. Lists of potential clients can be obtained and organized based on income, location, and purchasing preferences. By analyzing the customer database, the marketing department can identify customers along with their preferences, including those who make frequent purchases or are due for upgrades or replacements. Once interest and demand for products and services have been heightened, leads are then forwarded to the sales department. Leads refer to individuals who have a likelihood of making a purchase; hence it becomes the responsibility of the sales team to reach out to them, comprehend their needs, and assist them in making an informed buying decision. Sales personnel engage directly with

customers aiming to establish strong relationships while also attending to walk-in customers or those who contact the business through its website. The primary role of sales staff is ensuring that the business obtains a return on its marketing investment by converting demand into actual sales.

Corporate Sales Planning

Elec offers a variety of electrical and electronic home appliances to cater to different household needs. Their focus is on establishing a sustainable and profitable business while maintaining brand presence. They strive to provide better value for customers, sellers, and other stakeholders, seeking growth opportunities through expansion and recruitment. Additionally, they aim to become the preferred choice for electronics in the target market by fostering competition. To achieve these objectives, Elec's management must understand them clearly and develop sales plans accordingly. Currently, their sales force management lacks an efficient tracking system for employee and customer visits. Therefore, it is crucial for Elec to make informed decisions about managing sales planning and customer management effectively. As a nationwide importer and supplier of electronics, Elec must recognize the importance of creating a sales plan with clear reporting and record-keeping guidelines.Transitioning sales representatives' roles to Key Account Managers would benefit the company due to their management of a significant number of resellers. The company plans to assign key history directors to store proprietors, who will oversee separate histories as individual stores. These history directors will handle inquiries related to the specific histories they oversee. The company has the option to have a 2 bed or 3 bed coverage line when planning the descriptions for history directors. The state head of sales will be responsible for overall gross revenues and distribution operation, with

three senior sales directors reporting to him. These senior directors will manage the history directors. History management can be divided into two criteria: large resellers who make purchases beyond a certain quantity annually and other B2B clients. The top 25 B2B buyers identified through reviewing past sales records will be considered Key Accounts and managed by Key Account managers, while other B2B clients will be handled by different client account managers. One of the three senior sales directors will oversee the Key Account Managers managing main client accounts, while the other two senior directors can handle other client account operations.The company may adopt a territorial approach when assigning history directors to resellers other than the key account directors. This proposal aims to enhance the effectiveness of the company's sales operations. One suggestion is to divide the company's key accounts into 3 or 4 districts, making it easier to manage and visit clients. Another recommendation is to promote capable staff from the current sales force as key account managers. By assigning internal staff to handle key accounts, the company can leverage existing customer relationships.

The proposed hierarchy for Elec Company's sales department includes a Country Head who will be responsible for overall sales planning and budgeting. This individual will be part of senior management and collaborate on sales planning aligned with corporate objectives. Effective communication with sales unit staff and quick decision-making based on customer and corporate needs are crucial for this role.

In addition, there will be a Senior Manager - Key Accounts who oversees a team of Key Account Managers. These managers will be accountable for meeting profit targets and achieving organizational goals. Furthermore, the directors

have the responsibility of executing assigned tasks and providing guidance in order to achieve satisfactory results.The senior account manager will also have occasional interactions with the key clients. The senior manager is in charge of directly managing the staff reporting to him and improving the performance of the department. Increasing profitability for the sales team will also be a main objective for this manager. In addition, they will handle customer complaints and provide professional guidance to team members in terms of personality development and business growth.

Key account managers will have direct contact with assigned key clients and work towards increasing company profitability and establishing a strong brand presence in the assigned region. They will also be responsible for retaining clients and expanding the portfolio size.

Customer account managers will be responsible for managing company accounts within their assigned territorial boundaries. They will focus on increasing sales and persuading clients to choose Elec products over competitors' products. Additionally, they will ensure sustainable account management and foster relationships with clients.

The company should plan the restructuring of the gross revenues section carefully to avoid miscommunication with staff. Existing staff should be given priority for appropriate positions, and the company should have a clear change management strategy for implementing these changesWithin the sales department, human resources management involves activities such as staff retention, employee welfare and motivation, recruitment and selection, training and development, and employee evaluations. Effective human resources planning for the sales unit requires aligning workforce needs with organizational goals and current staffing levels. Engaging in human resources planning is essential for every company to maintain a competitive advantage and benefit from economies of scale. Therefore, recruitment decisions should

only be made after conducting thorough human resources planning to avoid unnecessary burdens on the organization in the future.

Considering Elec's plans for expansion and growth, additional staff is required to accommodate increased sales volume and new customer accounts. Human resources planning plays a crucial role in this process by involving strategic thinking and gathering information. The first step involves evaluating the organization's goals and objectives, which can be obtained from top management decisions and requirements. Consultation with line managers and middle managers is then necessary to determine the need for human resources that aligns with these set goals. This demand can be determined based on assumptions about productivity levels. Additionally, assessing the availability of current human resources is also important during this planning phase.To ensure the availability of staff members, information from the HRIS or departmental managers and payroll systems should be gathered. Additionally, identifying employees' skills is crucial. Analyzing the gap between supply and demand in terms of human resources and skills is an important aspect that management should consider. Once these factors have been evaluated, strategies must be developed to meet the required level of human resources. If supply and demand align, emphasis should be placed on training and developing employees to achieve organizational goals. In cases where there is an excess of staff, downsizing strategies can be implemented, or alternative measures such as reducing working hours or arranging job rotations for employees can be considered. However, it may also benefit the company to accept new accounts or increase responsibilities for employees with smaller portfolios. On the other hand, if there is a shortage of staff, options include increasing working hours for current

staff with overtime pay or hiring new employees for long-term demands. Another possibility is outsourcing certain non-core activities. It is essential for the company to effectively execute and supervise these plans while ensuring alignment with initial planning efforts.
The HR planning process should be recurring to effectively utilize human capital. This process helps understand the staffing needs of the sales department, identifying any shortages or excessive capacity. When it comes to recruitment and selection, following this effective HR planning process is crucial. ELEC should base their recruitment decisions on this process rather than solely relying on departmental requests to prevent unnecessary financial losses. The recruitment and selection process should align with the company's culture and industry, involving steps such as analyzing the vacancy, determining necessary skills and strengths, evaluating qualifications, and identifying required personality traits. The method of recruitment (internal or external) needs to be determined, and various methods can be used to attract potential candidates, including advertising through organizations, referrals, and public advertisements. Once applications are received, qualified candidates are screened.

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Preliminary interviews are conducted for shortlisted candidates, followed by job-related exams or tests. The selection process then continues with additional interviews, reference checks, and background analysis. Once an offer of employment is made, the employee accepts the offer and signs an employment contract. During the initiation stage, the effectiveness of the selection process is evaluated to ensure its efficiency.

To fill vacancies with suitable candidates, ELEC can consider hiring staff experienced in the same industry and enticing employees from competitors by offering better benefits. By carefully selecting and recruiting appropriate candidates, the company can establish a committed workforce that contributes to its competitive advantage over

rivals.

ELEC Company should implement a more effective system for motivating employees to ensure a satisfied and motivated sales force. In order to achieve this goal, the company should focus on developing employee satisfaction first before motivating the sales team. It is crucial for the company to invest in employee motivation while also prioritizing their satisfaction in order to prevent unnecessary losses. Making employees feel valued and assuring them that their needs will be met – including rewarding them for extra efforts – are important steps to take. Additionally, initiatives should be taken to listen attentively to any complaints raised by employees and provide suitable solutions that meet their needs.The company has the capability to provide employee protection strategies, including insurance benefits and health coverage for both employees and their immediate family members. Additionally, they can introduce a competitive rewarding strategy based on sales performance for each sales manager. This will incentivize them to focus on increasing sales and building a strong business portfolio for personal and organizational benefits. Moreover, Elec can implement a real-time sales tracking mechanism that provides updates on employee portfolios and monthly incentives.

Moreover, if the company provides tablets or laptops to the sales staff for communication with the head office, checking stock levels, and placing customer-based orders, it will reduce operational costs associated with communication. Although there may be an initial high investment required, this approach will ultimately result in cost savings.

Furthermore, organizing employee gatherings, family trips, and special rewards such as awards from the Managing Director are important ways to recognize and appreciate employees for their outstanding contributions to company growth. Additionally, investing more in employee training and development is

crucial as it helps build trust in the company and promotes job satisfaction through internal progression opportunities.

Regarding marketing and business development efforts, it is essential for the company to develop a marketing mix aligned with its overall corporate strategy.The main focus of this marketing mix is to gain a competitive advantage over rivals in the electronic products industry. Consumers always look for key benefits and values that align with the cost they pay, so Elec should consider cost benefits when designing their marketing mix. It is important to target store owners rather than end users, as store owners are focused on increasing sales to end users. Building strong relationships with store owners and analyzing market trends will help Elec determine the best locations for their products. Supplying the right products in appropriate quantities is essential to prevent excess returns during transportation. Setting prices that benefit themselves, store owners, and customers is crucial for Elec's success. Competitive pricing compared to main competitors is also important. The company will have main stores at their headquarters and distribute goods every two weeks based on received orders, eliminating the need for multiple distribution centers and providing cost advantages. Account managers will handle market placements and oversee the stores they manage. Customers can purchase products directly from these stores without needing direct contact with Elec.In addition, Elec can offer technical training to store staff in order to effectively handle repairs and complaints, ensuring professionalism and customer satisfaction at the store level. This training will also help stores recognize the support provided by Elec. The corporate office of Elec will manage all promotional activities regarding their products. These promotional activities will

be carried out in two phases, with one phase targeting stores and the other targeting terminal users. Public media advertisements will mainly focus on the general public and terminal users. However, these advertisements may also have a significant impact on store owners' decision-making processes, leading to stereotypes. To further support these efforts, the company will utilize a technical sales team and account managers for personal selling to store owners. Senior managers will also negotiate wholesale pricing and profit margins with store owners. Considering the company's competitive international presence, it is important to conduct a feasibility study to evaluate the competitiveness and profitability of entering a new international market. Participating in trade fairs will allow the company to directly interact with terminal users in specific regions and gain insight into their actual needs and demands instead of relying on intermediaries.It is essential for Drumhead Elec to develop a sales program that focuses on managing and differentiating accounts based on profitability and turnover. The key account directors will handle the high profitable accounts, while the customer account directors will manage the remaining accounts. To effectively handle these accounts, it is crucial for the company to invest in developing a professional account management team by recruiting and training the best candidates. In addition, restructuring the marketing mix to align with overall organizational objectives is necessary. Implementing product distribution strategies that cater to regional demands is also recommended. Negotiating wholesale pricing with key clients holds significant importance, and senior management's involvement in this process is highly valued. It is advised at this time to refrain from international expansion due to the need for additional funds to stabilize the company

within the local market.