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Crestlight Paper Company
1. Crestlight Paper Com.
Case Analysis
SDM, NMP Term IV
Group 5
Abhijeet Tomar - 03
Argha Ray - 15
Khushal Malik - 28
Vipin Kathuria– 59
2. Context
• Crestlight’s paper division has 3 product lines and approximately 20% market
share in 1998. (Exhibit 1: 1460/7100)
• Farrel is a man in hurry.
• Crestlight witnessing widespread restructuring in the Education Division
initiated by Farrel.
• Replaces Divisional Sales Manager Wesley with greenhorn Andrew.
• Andrew needs to focus on Salesforce performance and territory rationalization.
3. Yardsticks:
• Widely admired Wesley being forced into retirement may have
undesirable repercussions on existing salesforce.
• Andrew has limited managerial experience in sales and historically
confused about his career direction.
• At 28, Andrew will have to lead a team much more senior to him.
• Limited handover from Wesley to acclimatize Andrew.
• Andrew will have to navigate on his own against the wind based on a few
valuable advice from Wesley.
5. Still More Objectivity:
Salesman Calls Made Expenses Cost by Call Rank
Anderson 1450 5820 4.0 1
Halbert 1230 5940 4.8 2
Prince 1196 7800 6.5 3
Jennings 1168 8430 7.2 4
Thomson 1220 9600 7.9 5
Vereker 1409 11460 8.1 6
Randall 1171 10200 8.7 7
Campbell 1135 9900 8.7 8
Bindon 1051 15030 14.3 9
Expense per Call Ratio Ranking
Salesman Accounts Sold Calls Made Orders By Calls Rank
Bindon 476 1051 0.45 1
Jennings 509 1168 0.44 2
Prince 413 1196 0.35 3
Thomson 364 1220 0.30 4
Campbell 317 1135 0.28 5
Anderson 398 1450 0.27 6
Vereker 353 1409 0.25 7
Halbert 239 1230 0.19 8
Randall 202 1171 0.17 9
Batting Average (Orders per Call - Hit Ratio) Ranking
Salesman Sales 1998 Accounts Sold Sales By Account Rank
Halbert 258000 239 1079.5 1
Randall 142000 202 703.0 2
Jennings 239000 509 469.5 3
Campbell 143000 317 451.1 4
Prince 154000 413 372.9 5
Thomson 123000 364 337.9 6
Bindon 156000 476 327.7 7
Vereker 112000 353 317.3 8
Anderson 112000 398 281.4 9
Sales per Account Ratio (Average Order Size) Ranking
6. Overall Objective Ranking:
• Vereker and Randall needs a rap on the knuckle.
• Bindon needs to be told to cut down expenses.
• Halbert needs a shake up on call conversion.
• Both Jennings and Prince are top draw.
• Equal weightage method considered to arrive at overall rank.
Salesman PBTRank PenetrationRank SalesExpenseRank ExpenseperCallRank BattingAvgRank AvgOrderSizeRank Total OverallObjectiveRank
Jennings 1 7 2 4 2 3 19 1
Prince 3 2 3 3 3 5 19 2
Halbert 2 8 1 2 8 1 22 3
Thomson 6 1 7 5 4 6 29 4
Campbell 5 3 5 8 5 4 30 5
Anderson 9 4 4 1 6 9 33 6
Bindon 4 6 8 9 1 7 35 7
Randall 7 9 6 7 9 2 40 8
Vereker 8 5 9 6 7 8 43 9
7. Subjective Rating:
• Vereker again performs poorly. Prince follows close behind.
• Prince nullifies his lead in objective criteria to subjective evaluation.
• Subjective rating derived based on age, Wesley’s feedback and
assumptions.
• Objective and Subjective not combined as they will just act as pointers for
Andrew to “see the ropes”.
• Any kneejerk reaction based on this will be unwarranted. Go slow unlike
Farrel.
Salesman Age Youthful Experience Knowledge CustomerSatisfaction Ideation Total Score Subjective Rank
Halbert 54 1 5 5 5 5 21 1
Jennings 42 3 4 5 4 4 20 2
Bindon 33 5 3 3 5 4 20 2
Randall 48 2 5 5 3 5 20 2
Anderson 37 4 3 5 1 4 17 3
Campbell 43 3 3 5 3 3 17 3
Thomson 33 5 2 2 3 3 15 4
Prince 57 1 5 1 5 1 13 5
Vereker 29 5 1 1 1 1 9 6
8. Decision:
• Farrel is infusing fresh blood. Hence, Andrew needs to think about easing
out Prince gradually.
• Vereker definitely needs to be replaced if he continues in current form.
• Sales territory need to be rationalized based on accounts rather than
pupils.
• Clear case of redistribution between Halbert, Jennings and Bindon.
• Allocate more portion of salary as commissions.
• Increase penetration in South of UK. (Halbert, Jennings, Bindon)
• Emphasize account maintenance as most have lost accounts from 1997.