ASSIGNMENT

On

Sales Management Case Study

Submitted To:
Mrinal Kanti Paul, Faculty Member, AHSANULLAH UNIVERSITY OF SCIENCE & TECHNOLOGY SCHOOL OF BUSINESS.

Presented By:
MD. Habibur Rahman
ID: 05.01.02.003

4th year, 1st semester. Date: 3th July, 2008.

Motorola had been facing the twin problems of a deteriorating economy combined with new and aggressive competition. Their objective was to improve sales volume in the most unfavorable business climate. It was already evident to management that a problem of this magnitude wasn't going to be solved just by doing the same things harder. They needed a different way of selling that would work in conditions of deep recession. Motorola, as a Corporation, had been experimenting with new productivity techniques and, in particular, looking at the lessons from the Japanese experience. Its called Huthwaites Sales Productivity Program. Their conclusions, in summary, were that: Productivity happens where the job happens The Japanese have elegantly demonstrated in the area of manufacturing that productivity isn't achieved by policy or edict. Productivity comes from directly influencing the behavior of the person doing the job. The same is true in selling. Unless the grand strategies of management translate themselves into some change in sales behavior during actual sales calls, then there's no productivity gain. It's skill that counts, not activity If salespeople aren't succeeding in a recession it's because they're doing the wrong things. Increasing their activity levels so that they do even more of the wrong things isn't going to help. Developing an increased level of selling skill is a more effective and more durable strategy. Different skills are needed in a recession So, the starting point must be to find which skills worked best and to develop these through coaching. Motorola realized that turning these conclusions into action was a specialist task, so Huthwaite were called in and a four-step project was planned with the aim of significantly improving sales productivity. Step one Finding what works best Using Behavior Analysis techniques that Huthwaite had developed, Motorola managers watched their people selling and picked out the behaviors that were working in successful calls. Step two Training in coaching skills Managers were trained in coaching skills to help them monitor and develop these key skills. Step three Developing successful behaviors through coaching The coaching was designed as a three-month project. Managers met monthly with Huthwaite consultants to plan strategies for getting the maximum skill improvement from the Motorola people. During the project, managers gave their

people special training materials that Huthwaite had designed to help develop those selling behaviors that worked best in a recession. As a matter of policy, coaching effort was concentrated in the area of obtaining new business rather than developing existing clients, and this bias is reflected in the results shown in the report.

Step four Measuring productivity The final and most important step was to assess the effect of the project in terms of increased sales productivity. On the base of this program and the case of the Motorola we can say that Training of an organizations sales force has limited value unless that training produces positive business results. For that reason, the effectiveness of Motorola's SPIN Field Coaching Programmed was examined in terms of its effect on sales productivity. For the three-month period before, during, and after training, information was obtained on the following sales productivity criteria: total orders from new customers, and dollar value of products sold.

Sales managers can take some action based on this case, and it will be the motivation and controlling. Salesman motivation Includes: Part of the organization Nature of market Forwarding Making enthusiastic Industry focus International Trend Product development Compensation Consider as brand If the sales managers can motivate the salesman they will control them also. Of course the sales productivity program had demonstrated the importance of good training in how to sell but it might be not so efficient for the salesman. But if the sales managers motivate them as a part of the organization and control them

like being forwarding, enthusiastic, focus on the industry, product development, international trend etc that will be sales productive. At this point we can say on the basis of this case study that the salesman of Motorola Canada needs three things to increase the sales productivity. These three things are: 1. Motivation 2. Skill 3. Knowledge

Motivation is the inner state of mind that moves or energies and directs our
behavior towards our goal.

Skill is the ability to demonstrate a system and sequence of behavior which results
in something observable. Something that one can see.

Knowledge means collection and retention of information is ones mind.

Knowledge is necessary for performing a task but not sufficient.

So only training for salesman is not sufficient. Motorola Canada in this case faced some problems on their experimental sales productivity program. Some of the sales managers complained about this program because its a time-consuming one-on-one training program in the field. And they have neglected their other aspects of job because of this extraordinary training program. So they are not comfortable with this program. But if the sales managers use some motivation it could be better than any other.