bring a new rep motivated to do his job well. On the other hand, replacing Alex can be seen as unfamiliar to customers of territory #60 and it would result in an uncertainty relationship between sales and customers (Ingram et al. p. 342). In this case, the cons are also weightier than the pros.
PinolM_Case14.1 3 Finally, the third option be to introduce salaries sales reps. This would help to increase the sales in territory #60 since Alex would be able to fully focus on that territory. Furthermore, the offer of a salary base to the new rep will help him/her focus on the business development. It will also bring new ideas and motivation that would help to overcome the situation in territory #61. The cons that can arise with the implementation of this alternative would be the risks of losing territory #61 loyal customers, or the loss of interest by the salaries new rep in the long run (Ingram et al., 2015, p. 342-343). This alternative is the one that could better help the company reverse the current situation in territory #61 and would also help to increase the sales on territory #60.
PinolM_Case14.1 4 Action Plan Based on the discussion of all the pros and cons of the three alternatives, I would recommend Candym to put alternative three, introduce salaried sales reps, in action. Although it may seem easy to just put in action the plan, it is not. This is why it is crucial for the company to develop a good action plan in order to effectively implement the new alternative. Business Dictionary (2018) defines action plan as a “sequence of steps that must be taken, or activities that must be performed well, for a strategy to succeed” (para. 1). There are three crucial steps in developing a good action plan. The first step is to determine the specific tasks; “what will be done and by whom” (para. 1). The second step set a time horizon; “when will it be done” (para. 1). Finally, the third step is to determine resource allocation; “what specific funds are available for specific activities” (para. 1). In the specific case of Candym, the determined task would be to introduce salaries sales representatives. This would bring fresh air to territory #61 and would let Alex Hanson to fully focus on territory #60. This decision needs to be taken and implemented by Candym top managers. Secondly, for the time horizon, this decision needs to be takes as soon as possible since the situation in territory #61 can no longer last. Finally, the third step which is to determine
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- Spring '18
- Sales, Alex Hanson