Based on the information on Pharma Plus there are many issues that required attention. From the sales force point of view, the two given examples of a high performance representative, were not convincingly good on terms of how the sales should be perform and the attitude of the workers. However, the manager in this case has a lack of control and motivational skills among their employees. An extensive analysis on the behaviour of both positions will be done and possible solutions or recommendations to improve sales and environment in the office will be given.
Issues within the Company:
Sales Force related
Roberto
Being Robert a high performer within the company, he is not being assessed or controlled. The first issue identified after reading the case was that his Focus is merely on the client forgetting the product. This is working for him but if he is not there anymore and someone else try to sell his clients they will probably lose the clients because they are buying the product because of Roberto not because they are convinced that it is a good quality product. Another big issue will be the real working time, if he use all the time effectively he will be an incredible asset to the company and because of the lack of control he is not doing the work he is saying he does.
Elvira
Elvira is another high performer, but very different from Roberto; her Focus is completely on the product forgetting the client and his needs. I will say she is even distant from the buyers.
Antonio / Sales Manager
Antonio has to control at this time 27 sales representatives which is not a high amount of employers but he doesn’t seem to have time to analyse the data from his employees and they know that this is the case which means that they are no...
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... and hopefully will continue being like this.
References
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Miao, F. Evans, K. Shaoming Z. 2007 ‘The role of salesperson motivation in sales control systems — Intrinsic and extrinsic motivation revisited’ Journal of Business Research Volume 60, Issue 5, Pages 417–425.
Due to the decline in sales Riordan has had to revise its sales approach and process to better serve customers, however, with the changes came more issues. Employees are concerned about the fairness of incentives and compensation and do not understand how that will translate effectively into the CRM system. Riordan has a very diverse workforce with a plethora of motivational needs, from valuing interesting work to larger paychecks. Riordan is not effectively communicating to all the various demographic groups within the company. Employees have revealed in the annual survey that many are not satisfied or challenged by their work, and do not feel adequately compensated for their efforts. Motivation is low, and employees do not feel they have sufficient opportunities for development or promotion. These issues have culminated to the point that many employees are actively looking for opportunities outside of Riordan (University of Phoenix, 2007).
Background: Merck & Co. is an American pharmaceutical company and one of the largest pharmaceutical companies in the world. In 1971 the United States approved the use of an MMR vaccine made by Merck, containing the Jeryl Lynn strain of mumps vaccine. In 1978 Merck introduced the MMR II, using a different strain of the rubella vaccine. In 1997 the FDA required Merck to conduct effectiveness testing of MMRII. Initially it was over 95%; to continue the license; Merck had to convince the FDA that the effectiveness stayed at a similar rate over the years.
Employee motivation is one of the keys to success in any business, especially in a retail sales environment. It is particularly important to understand how employee motivation can be impacted by the strengths and weaknesses of AT&T’s retail sales consultant position (RSC). A series of interviews and surveys were conducted over a two-week period with employees of AT&T in the RSC position as well as retail management positions to determine how the employees really feel about this position as well as internal strengths and weaknesses that contribute to employee motivation. Although there are a lot of positive factors that keep the employees motivated within AT&T, there are some weaknesses that can cause employees to become demotivated.
Tomax Corporation has 400 employees and wishes to develop a compensation policy to correspond to its dynamic business strategy. The company wishes to employ a high-quality workforce capable of responding to a competitive business environment. Suggest different compensation objectives to match Tomax’s business goals.
The Nordstrom department store empire has been one of the leading companies in the fashion market. They generated over 2.5 billion dollars in sales last year, yet they are facing several internal problems. While Nordstrom strives to have the best customer service in the industry, living by the “Nordstrom way” has caused some hardships on the companies’ employees. An in-depth analysis of the sales position at Nordstrom using the job characteristic model reveals that the job design may moderately increase employees intrinsic motivation, but it is lacking in several areas.
Kerr, Steven. 1975. On the folly of rewarding for A, While Hoping for B, The Academy of Management Journal, 18:4, 769-783.
There are many different positions in an organization that require different knowledge, skills and abilities. Supervisory and management positions encompass more than just technical knowledge, skill and expertise in their given area, but being leaders over others. This is of interest to organizations in having leaders who are able to motivate, understand and get their teams to work together. Many organizations are looking to improve their performance and productivity through finding and placing the right people in leadership positions. How the concept of emotional intelligence and its evolution has come to the forefront in assisting companies about leadership performance and decisions will be discussed along with the debate among researchers and the review of three assessments as to their impact and uses.
The main problem the company is facing nowadays is the high turnover ratio closed to an average of 30% on the past three years. The fact that the company is based in an area where many of its closest competitors have offices facilitates employee’s movements from one job to another. This high turnover is mainly affecting positions among the electrical engineers in the R&D department.
With the increased cost of manufacturing, pharmaceutical companies have been divesting in their smaller or less profit making operations and focus on large segments. Many Pharmaceutical companies sold their manufacturing sites to contract manufacturing organizations. The dynamics of interfacing with contract manufacturing organization added intricacy in pharmaceutical supply chain network of pharmaceutical companies.
...sults were compared with those from another 140 supervisors, peers, and Regression analyses showed that there is a positive correlation between the emotional intelligence of managers and organizational climate. The results of the analyses also show that among emotional intelligence's factors, social awareness and self-awareness have more influence on organizational climate, while among organizational climate factors, credibility is most influenced by managers' emotional intelligence.”
Reward Management (RM) has been defined as the distribution of monetary and non-monetary rewards to employees in an effort to align the interests of the employees, the organisation, and its shareholders (O’Neil, 1998). In addition O’Neil (1998) also suggests that a RM system can serve the purpose of attracting prospective job applicants, retaining valuable employees, motivating employees, ensuring legal requirements relating to direct and indirect rewards are not violated, assisting the company in achieving human resource and business objectives, and ultimately assisting the organisation in obtaining a competitive advantage.
Motivation is an important concept which is critical for understanding of and improvement in organizational behaviour and performance. It is therefore important for the managers to understand motivation. It is an important tool which they can use to get more out of their employees and increase organizational performance. Motivation can be defined as the factors, both internal as well as external which arouse in individuals the desire and commitment for a job (Mele, 2005, p. 15). Organizational performance on the other hand refers to the degree to which the organizational objectives have been achieved.
Management spends a huge amount of time to design incentive systems and schemes to motivate their workers and to ensure they work in their best possible manner. Motivating workers by giving them decent pay helps in winning employees heart to make the work done efficiently, significantly and effectively. The most effective way to motivate people to work productively is through individual incentive compensation (Pfeffer, 1998). An attraction of getting more is a powerful incentive to people for high performance. While most people agree that money plays a major role in motivating people, in organizations there is a widespread belief that money may also have some undesirable effects on morale.
Johnson, Sam T. "Plan your organization’s reward strategy through pay for performance dynamics: Compensation & Benefits Review 30, Number 3: (May/June 1998): 67-72
With the current revolution in the corporate world, many organizations find the need to keep up with the set trends in the corporate scene. This is essential for them to maintain relevance as well as achieve set targets and strategic objectives. One of the aspects business management is sales personnel management. This is an important business aspect that can lead to efficiency, as well as effectiveness in business, if executed accordingly. This study will seek to analyze the various tools and techniques used in sales personnel management.