SALES FORCE MANAGEMENT ANALYSIS OF [Worldwide
Healthcare Ltd - WHL]
BY
CHRISTIAN OSONAMEH
WEST VIRGINIA UNIVERSITY, USA.
Final Captone Project
August 2024
EXECUTIVE SUMMARY
This capstone project aims to critique the sales force operation and management of a pharmaceutical
company in Nigeria – World Wide Health Care Ltd. The interview was granted to me by an Area
Sales Manager (Institution) of the Company – Mr. Israel Bodunde. Since the Company does not have
a presence in the State of Nigeria where I live, and the distance is quite a challenge, I had to send out
a questionnaire to this Institutional Area Sales Manager to critique the sales force management of the
company.
In the introductory stage of this program, an interview was granted to Lee Hardisty who is a
practicing Sales Manager of one of the world’s largest pharmaceutical companies. That interview
drilled down on the dynamics of the pharmaceutical industry and its sales operation and
management. The interview ignited my passion for the industry and made me decide to pursue a
career in that field. I’m of particular interest in the pharmaceutical industry; hence my choice of
choosing a company in that industry for my capstone project.
I have interviewed Mr. Israel Bodunde, and he has borne his mind on how his company runs and
manages its sales force operation and management. On each segment of the project, I bring the
questions and answers from the interview with this Sales Manager after a brief and concise summary
of each of the project topics.
This is a multi-part project, and in this Final Project - Part 4, I’ll be commenting on the project topic:
•
Systems of Evaluation
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Sales Management (An Overview)
Sales management is a crucial aspect of any business that generates revenue. It is a multifaceted
process that involves developing a sales force, coordinating sales operations, and implementing sales
techniques to consistently achieve and surpass sales targets. Effective sales management is essential
for maximizing profits and delivering optimal value to customers.
The sales management process encompasses three key areas:
1. Sales Operations: This involves building and managing the sales team, which serves as the
backbone of the company and acts as a direct link between the product and the customer. It
includes setting targets, assigning territories, establishing goals and quotas, and providing
ongoing coaching and motivation to the team.
2. Sales Strategy: This entails defining the sales process, which typically involves a sales cycle
and a sales pipeline. The sales pipeline is a visual representation of the activities required to
move prospects from initial leads to closed deals. It helps salespeople stay organized and track
their progress.
3. Sales Analysis: This focuses on reporting and analyzing sales data to understand the
effectiveness of current efforts and identify areas for improvement. Key metrics such as the
number of deals, average deal size, close ratio, and sales velocity are tracked to measure sales
performance and make informed decisions.
Successful sales management benefits all stakeholders involved in the sales cycle. Sales managers gain
a clearer vision of their company's position in the market and can drive the company forward.
Salespeople benefit from increased confidence and better visibility of their work, leading to improved
performance. Customers have a better experience, are more likely to purchase, and may even become
advocates for the company.
Technology plays a crucial role in modern sales management. Customer Relationship Management
(CRM) tools are essential for managing customer relationships and the sales pipeline. Cloud-based
CRMs, in particular, facilitate collaboration and streamline the sales process.
The evolution of sales management has gone through four distinct phases:
1. Anarchy: Characterized by a lack of formal systems and inconsistent reporting.
2. Gallup Pollster: Sales managers focus on satisfying individual salespeople's wants and needs.
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3. Strong Businessperson: Standardized rules are implemented, and underperforming
salespeople are removed.
4. Transformer: Sales managers focus on transforming the sales team to achieve higher
performance levels.
In the future, sales managers will face various challenges, including adapting to a global presence,
embracing innovative technology, managing customer relationships effectively, and addressing
diversity within the sales force. They will also need to navigate the increasing use of team-based
selling, multi-channel operations, ethical and social issues, and the growing demand for
professionalism within the sales force.
Question and Answer interview with the Area Sales Manager on Sales Management
In this interview with Israel Bodunde - Area Sales Manager (Institutions) of World Health Care Ltd,
now DP World, I would delve into how sales management is practiced in his Company.
Question: Tell me about yourself, the company you work for, and your carrier at the company?
Answer: My name is Israel Bodunde, Area Sales Manager (Institutions), Worldwide Commercial
ventures Ltd (WWCVL) or Worldwide Healthcare, now DP World.
Question: What’s the background of your company (industry, size, products/services)?
Answer: Great question. First, I’ll give you a brief history of the business. Eco Health Ltd operating
under the brand name of “Worldwide Healthcare” is the holding company for World Wide
Commercial Ventures Limited (WWCVL) in Nigeria, Worldwide Healthcare Limited (WHL) in
Ghana and Eco Health DMCC, Dubai. WWCVL began in Nigeria in 2002 as part of Fareast
Mercantile. The Ghana business was added in April 2011 and further expanded to include Dubai in
February 2013. Imperial Holdings based in South Africa initially bought a 53% share of the
company in February 2014 before buying a further 15% to grow its shareholding to 68% in May
2014. In March 2022 however, DP World’s acquired a 100% stake in Imperial Logistics.
“Combining DP World’s world-class infrastructure, specifically its investment and expertise in ports
on the African continent, with Imperial’s logistics and market access platforms enable us to offer
integrated end-to-end solutions along key trade lanes into and out of Africa, also driving greater
supply chain efficiencies, and ultimately enhancing value for all stakeholders.”
Worldwide Healthcare Nigeria has over 1,500 employees. With the acquisition, DP World and its
subsidiaries employ over 71,000 people across its worldwide operations and its vision is to drive
economic growth through creating more efficient supply chains, connecting markets, driving global
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trade flow and offering innovative solutions to cargo owners, while ensuring a positive and
sustainable impact on societies and the planet.
For the core business enterprise, we are engaged in the distribution and marketing of healthcare
products (ethical and generic pharmaceutical products, vaccines, medical equipment and
consumables, over the counter products and nutritional supplements) to wholesale, retail, hospitals
and institutions.
Question: What are your service offerings and key verticals?
Answer: Our service offerings include:
▪
Importation and local buying
▪
Sales and distribution
▪
Warehousing
▪
Marketing services
▪
Regulatory support
▪
Employee hosting
▪
Merchandising
And then our key verticals include:
▪
Innovator & Generic pharmaceuticals
▪
Consumer Health OTC
▪
Infant Nutrition
▪
Diagnostics (Medical/Laboratory equipment)
Question: What are the areas of strength of your business, or what’s your competitive advantage?
Answer: Our strength as a business lies in certain areas and I’ll try and enumerate some of those
areas. Firstly, our products have high availability and accessibility to our esteem customers, there’s
also visibility of products within patients and consumers reach.
We have a full geographic footprint across Nigeria with Pharma Grade warehouses in eleven
regional hubs and two in Ghana. Our sales force is highly motivated with rich industry experience
and strong in-country management. There’s also a state-of-the-art warehousing and equipment with
excellent IT back-up.
On logistics, we have excellent supply chain expertise ensuring consistent availability and timebound demand fulfilment. The State-of-the-art IT systems with Oracle backend ensuring batch
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tracking and FEFO. Our excellent sales analytics both from Oracle and DOMO and possible
integration with vendor pedigree systems is top notch in the industry. The advance order and sales
booking with TAB based SFA ensures 100% visibility of coverage and productivity.
On market share, we have more than 20% of the market in geographies we operate and best-in-class
retail coverage. And there’s strong backing from the group and excellent financial position to fund
market requirement.
We take legal and ethical issues seriously. As a result of this, we have earned the trust of top global
pharmaceutical companies and always adheres to a strict code of ethics and transparency and at all
levels.
We have striven to maintain excellent relationship and respect with the Nigerian and Ghanaian
regulatory authorities, industry and governments.
Question: Who are your key customers?
Answer: Our key customers include: GSK (exit the Country but business reclaimed on sole
franchise); Pfizer; Novartis; Roche; Astra Zeneca; Novo Nordisk; Bayer; Merck; Sanofi (exit the
Country recently, couldn’t reclaim the franchise); Abbott Nutrition; Danone; Janssen Cilag;
Boehringer Ingelheim; Neimeth; Drugfield; Afrab Chem; Unosource; Ajanta; Daily Need; Exphar
Lab; Getz Pharma; Reckitt Benckiser; Teva; Union Swiss with over 2000 pharmaceutical and
diagnostics products.
Geographical representation
Depots and warehouses in Nigeria: Aba, Abuja, Benin, Enugu, Ibadan, Kaduna, Kano, Jos, Lagos,
Onitsha, Port Harcourt.
Question: What’s your role, duties and responsibilities as a sales manager?
Answer: As a Sales Manager in WWCVL, I play a crucial role in driving the sales team to meet and
exceed targets.
Some of my primary roles, duties, and responsibilities are as follows:
On Roles:
As a Leader: I guide and inspire the sales team to achieve their goals. My team is currently made up
of 5 members: 2 Representatives (Headquartered in Onitsha and Enugu respectively); 3 Sales
Coordinators (Onitsha depot, Enugu depot and one in Lagos who is remotely part of my team).
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As a Strategist: I receive the bigger picture of the sales target and break it down into manageable
parts for each member of the team to run with on a quarterly and monthly basis. There is also weekly
reviews to measure the status of our progress. I also develop and implement effective sales strategies
peculiar to my territory which is Southeast Nigeria.
As a Coach: I provide on-the-job training and development for my team members.
As an Analyst: I monitor sales metrics and analyze performance data periodically using publications
from head office such as the Sales Dump, Customer Ledger, Customer Outstanding Report and
Receipts files.
As a Communicator: I serve as the link between the sales team and upper management. And where
necessary, I intervene to resolve issues between my team member and our clients. My key clients are
Hospitals, Institution like the University Teaching Hospitals and Federal Medical Centres. Also,
Government Parastatals and Blue-chip conglomerates like the CBN, NNPC, Chevron, Agip Medical
Centers.
On Duties and Responsibilities:
I set sales goals for my team: This involves receiving quarterly Sales targets, establishing monthly and
quarterly sales targets and ensuring they are met. And also forecasting sales and collections; setting
performance goals accordingly.
I Develop Sales Strategies: This has to do with creating effective sales plans and strategies to drive
good collection/revenue; identifying new market opportunities and ensuring the sales team is aligned
with business objectives.
I manage my team: I do this by recommending for recruiting and hiring. Training new sales staff also
and providing regular feedback and conducting performance reviews; and then motivating and
mentoring the sales team to improve performance.
I Monitor Performance: This involve tracking sales team performance through various metrics and
KPIs like the ability to maintain the age of debts, registration of new viable clients, activation of dead
businesses, accountability and financial discipline, good record keeping, ethical practices and
customer relation; analyzing sales data to identify trends and areas for improvement.
Ensure Customer Relationship Management: Since customer satisfaction is paramount to any
business, I take it seriously, and I maintain strong relationships with key clients and customers,
especially the ones I handled before the team was formed. Customer complaints and resolution are
addressed in timely manner using my problem-solving skills and experience on the job.
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Reporting: I Prepare sales reports and presenting them to my Boss in Lagos on a monthly basis;
keeping management informed of any significant issues or developments. For instance, clients or team
members’ unacceptable behaviours that I cannot handle.
On Financial Resourses: I manage the resources at my disposal as approved and disbursed to finance
small expenses within the territory like tendering, invoice closure; payment processing fees in some
Institutions etc. Sometimes using personal funds while disbursement delays; allocating resources
efficiently to maximize sales and profits.
I keep a keen eye on market analysis: I do this by conducting market research to understand customer
needs and trends; and also keeping up with industry developments and competitors’ activities.
Sales Training and Development is taking seriously: I organize training programs to enhance the skills
of the sales team to stay updated with the latest sales techniques and tools.
On Collaboration: I ensure I’m working closely with other departments, such as warehousing,
marketing or detailing team, dispatch team etc. to ensure alignment and support for sales initiatives;
coordinating with product development teams to provide customer feedback and influence product
enhancements.
Question: What skills do you need to have to succeed as a sales manager?
Answer: To succeed as a Sales Manager, you need an array of Skills.
First, you have to be adept at problem solving, meaning you possess great problem solving skills. This
has to do with systematic approach in breaking down difficult problems into smaller, more manageable
parts. Deploying critical thinking, decision-making, creativity, emotional intelligence and information
processing with team work to drive deliverables against challenges and obstacles.
Another great skill to have is 1eadership drive. This has to do with knowing the target and inspiring
and guiding a sales team toward achieving targets.
Third one, you have to be very good at communication, which is the ability to give clear and effective
communication to team members, clients, and other stakeholders.
The fourth is analytical skills, which has to do with the ability to analyze sales data, market trends,
and develop strategies accordingly.
Fifth, customer relationship management is key to building and maintaining strong and lasting
relationships with key clients.
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Another arsenal that must be in your skill tool box is negotiation. You must be skilled in negotiating
deals and contracts to benefit the Company.
Seven, you have to be a motivator. This skill is very important as you have to motivate and encourage
the sales team to perform at their best from day to day.
Eight is Strategic Planning, which entails developing and implementing effective sales strategies and
plans.
Nine is adaptability, that is being flexible and able to adjust strategies based on changing market
conditions.
Another great one is product knowledge. This skill is strongly necessary as you require very deep
understanding of the products and services being sold.
Time Management is also very important. This skill has to do with efficiently managing time to handle
various tasks and responsibilities.
Others skills required are conflict resolution - Resolving conflicts within the team or with clients
effectively; and as well as being Tech Savvy.
Sales Organization (An Overview)
A sales organization is a group of people within a company who are responsible for selling the
company's products or services. The sales organization is typically led by a sales manager, who is
responsible for setting sales goals, developing sales strategies, and managing the sales team. The sales
organization may also include sales representatives, sales engineers, and other support staff.
The structure of a sales organization can vary depending on the size and complexity of the company.
In small companies, the sales organization may be very simple, with just a few salespeople reporting
to the owner or manager. In larger companies, the sales organization may be more complex, with
multiple levels of management and a variety of specialized roles.
The sales organization is a critical part of any company's success. The sales team is responsible for
generating revenue, which is essential for the company's growth and profitability. A well-run sales
organization can help a company achieve its sales goals and build strong relationships with customers.
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There are two main types of sales organizations: inside sales and outside sales. Inside sales
representatives sell remotely, via phone, email, and other digital channels. Outside sales
representatives travel to meet with clients in person.
The pharmaceutical industry is a good example of an industry that uses both inside and outside sales.
Inside sales representatives may be responsible for selling to smaller physician practices, while outside
sales representatives may be responsible for selling to larger hospitals and health systems.
The sales organization in the pharmaceutical industry is typically organized by product line. For
example, a company may have a diabetes division, a cardiovascular division, and a central nervous
system division. Each division has its own sales team, which is responsible for selling the products in
that division.
The pharmaceutical sales organization is a complex and highly regulated industry. Sales
representatives must be knowledgeable about the products they sell and the regulations that govern the
industry. They must also be able to build relationships with physicians and other healthcare providers.
The sales organization is a critical part of the pharmaceutical industry. Sales representatives play a key
role in educating physicians about new drugs and ensuring that patients have access to the medications
they need.
Question and Answer interview with the Area Sales Manager on Sales Organization
Question: What are some of the best strategies to use for strategic planning in sales management?
Answer: Best strategies for strategic planning? O yeah, there are a few I would like to discuss. When
doing sales management, you have to set clear goals, define actionable steps, and continuously
monitor your progress to achieve sales objectives. Let me now delve deeper into some of the best
strategies you can employ:
First, you must set clear objectives. We set specific, measurable, achievable, relevant, and time-bound
(SMART) goals. This ensures that everyone understands the targets and can align their efforts
accordingly.
Then, you must have a rock-solid understanding of the market you are in. This has to do with
deliberately conducting thorough market research to understand customer needs, market trends, and
competitive landscape. This helps in identifying opportunities and threats.
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Third, you have to segment your market. Once you have divided your market into distinct segments
based on factors like demographics, buying behavior, and needs; you then tailor your sales strategies
to each segment for more effective targeting.
Fourth, develop a sales process. By doing that, you create a standardized sales process that outlines
each step from lead generation to closing a sale. That ensures consistency and efficiency in all sales
activities across your market domain.
Fifth, 1everage technology; you can use Customer Relationship Management (CRM) systems to track
sales activities, manage customer interactions, and analyze sales data. In my company, we adopted
Zoho CRM, and it has helped us to simplify the process. Though, there are other very good ones like
HubSpot, Salesforce, etc.
Sixth, train your team: Sure, you cannot do without training. Investing in ongoing training and
development to equip your sales team with the necessary skills and knowledge is of paramount
importance. Regular workshops, coaching sessions, and role-playing exercises can be effective tools.
Seven, set realistic quotas. This can be tricky, and requires data driven decisions and input from your
sales team. Establish achievable sales quotas based on historical data, market conditions, and
individual salesperson performance. This helps in maintaining motivation and drive.
Another one is to monitor and analyze performance. This calls for regularly reviewing sales
performance metrics and KPIs (Key Performance Indicators) such as conversion rates, average deal
size, and sales cycle length. You then use this data to identify areas for improvement.
Ninth one is to build a customer-centric approach. Today's business is competitively customer centric.
And that's why you must focus on building long-term relationships with customers. Understand their
pain points and provide solutions that add value. Excellent customer service can lead to repeat
business and referrals.
Tenth, you have to foster collaboration. The onus is on you as a Sales Manager to encourage
collaboration between sales and other departments like marketing, customer service, and product
development. This ensures a cohesive approach and better alignment of goals.
You should also be willing to adapt to change as a sales manager; meaning that you have to stay
flexible and be prepared to adjust your strategies based on market changes, customer feedback, and
sales performance. Your sales plan needs regular review and update.
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Twelfth, Incentivize Performance. Design a compensation plan that rewards high performance. This
can include commissions, bonuses, and other incentives to motivate the sales team. At DP World, there
is quarterly incentives @100% performance and @120% performance.
If you deploy these strategies I have underscored, sales management will be a breeze, more effective,
leading to increased sales performance and overall business growth.
Question: How do you develop a sales strategy with a sales team?
Answer: To develop an effective sales strategy with a sales team, you will have to consider several
key steps. I’ll talk about them in brief:
You will have to consider the products and services your sell or render and develop your value
proposition. You do this by identifying your Unique Selling Points (UPS), and how it benefits your
customers, or what makes your product or service unique.
Once that is done, you now address customer pain point – that is addressing the specific needs and
problems of your target audience.
Secondly, you build your sales processes. This include sale funnel which is a step-by-step process from
lead generation to closing a sale. And then, the customer journey which involves mapping out the
typical journey a customer takes from awareness to purchase.
Thirdly, you strategize on how to equip your sales team. This can be achieved by providing regular
training on product knowledge, sales techniques, and market trends; and also, by providing tools and
resources, e.g. CRM software, sales scripts, and marketing materials. Motivation of the team is key to
the continuous success and attainment of quotas. Implement incentives, rewards, and recognition
programs to keep your team motivated.
Fourth, generate leads. This requires inbound strategies and outbound strategies. For inbound, use
content marketing, SEO, social media, and email marketing to attract potential customers. While for
outbound, employ cold calling, networking, and direct mail campaigns to reach out to prospects.
Fifth, Close Sales. For this, good and solid presentation skills are required. Train your team to deliver
compelling presentations and demos. The team should also be trained on how to handle objections
effectively. Equip your team with likely question and answers to handle objections confidently and
effectively. Negotiation skill is key; develop strong negotiation skills to close deals favorably.
Sixth, Measure and Optimize: - KPIs: Track Key Performance Indicators such as conversion rates,
average deal size, and sales cycle length. Enable a feedback loop; regularly review performance and
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gather feedback to identify areas for improvement. Adjust your strategy by continuously refining your
strategy based on data and market changes.
Reporting Structure and Systems (An Overview)
In a sales organization, the reporting structure and systems are crucial for defining roles,
responsibilities, and communication paths. A well-organized sales structure not only enhances
productivity but also aligns the team’s efforts with the overall business goals. This report outlines
various sales organizational structures, their implications, and the importance of establishing effective
reporting systems.
Types of Sales Organizational Structures
Sales organizations can adopt different structures based on their specific needs, customer base, and
operational goals. The following are the primary types of sales organizational structures:
1. Functional Structure: This model organizes the sales team based on specialized functions,
such as lead generation, account management, and customer service. While it promotes
specialization, it can lead to coordination challenges and potential overlaps in responsibilities.
2. Geographic Structure: In this structure, sales teams are divided based on geographical
regions. This approach allows for localized strategies and customer engagement but may limit
collaboration across regions.
3. Market-Based Structure: This structure organizes teams around specific customer segments
or industries. It enables tailored sales strategies but can require extensive market knowledge
and adaptability.
4. Product Sales Force Structure: Here, teams are organized according to the products they sell.
This structure is beneficial for companies with diverse product lines, allowing for specialized
knowledge and expertise.
5. Hybrid Structures: Many organizations adopt a combination of the above structures to
leverage their strengths and mitigate weaknesses. For instance, a company may use a marketbased approach for customer engagement while employing a functional structure for internal
processes.
Importance of a Well-Defined Reporting Structure
A clear reporting structure is essential for several reasons:
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•
Defined Roles and Responsibilities: Clearly delineating roles reduces redundancy and
confusion, allowing team members to focus on their specific tasks. This clarity leads to
improved efficiency and higher sales performance.
•
Enhanced Communication: A structured reporting system facilitates better communication
among team members and between departments. This is particularly important in collaborative
environments where sales teams must work closely with marketing and customer service.
•
Conflict Reduction: By establishing clear lines of authority and responsibility, organizations
can minimize conflicts and misunderstandings, fostering a more harmonious work
environment.
•
Adaptability and Scalability: A well-organized sales structure allows organizations to adapt
to market changes and scale operations effectively. As businesses grow, they can modify their
structures to meet evolving demands without losing operational efficiency.
Implementing Effective Sales Systems
To ensure the success of a sales organization, it is vital to implement systems that support the
established structure. Key components of effective sales systems include:
•
Sales Process Standardization: Developing a standardized sales process helps ensure that all
team members follow best practices, leading to consistent results across the organization.
•
Performance Metrics and KPIs: Establishing clear performance metrics allows organizations
to measure success and identify areas for improvement. Regularly reviewing these metrics can
inform strategic adjustments and enhance overall performance.
•
Training and Development: Continuous training programs are essential for keeping the sales
team updated on product knowledge, sales techniques, and market trends. This investment in
human capital can significantly boost team effectiveness and morale.
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Fig 1. Company Structure of World Wide Commercial Ventures Ltd
Question and Answer interview with the Area Sales Manager on “Reporting Structure and
Systems”
Question: How is your reporting structure like? Who do you report to?
Answer: I report to the National Sales Manager who handles the Institution business Pan Nigeria. He
is based in Lagos and travels across the Country several times a year to ensure he visits each Zone
(North, SE, SS and SW) at least 2-4 times to each territory per year depending on the needs and
opportunity the territories present.
Question: Where does your geographical your district lies? About how many people do you have
reporting to you?
Answer: My geographical area covers Anambra State, Enugu State and part of Lagos. My team is
currently made up of 5 members: 2 Representatives (Headquartered in Onitsha and Enugu
respectively); 3 Sales Coordinators (Onitsha depot, Enugu depot and one in Lagos who is remotely
part of my team). And all of them report directly to me.
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Conclusion and Recommendation
You can see from the interview with Israel Bodunde that the reporting structure and systems within
his sales organization play a pivotal role in driving performance and achieving business objectives. By
selecting the appropriate sales organizational structure and implementing effective systems, the
company has enhanced collaboration, streamline processes, delineate functions and responsibilities,
and ultimately increase revenue. As the sales landscape continues to evolve, organizations must remain
agile, adapting their structures and systems to meet new challenges and opportunities.
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Recruitment and Induction Process (An Overview)
The recruitment and induction process is a systematic approach designed to attract, assess, and onboard
qualified individuals to fill vacant sales positions within an organization. This process is crucial for
ensuring that the sales team is equipped with the necessary skills and knowledge to achieve the
company's revenue goals.
1. Job Analysis: The initial step involves conducting a thorough job analysis to identify the specific
tasks, responsibilities, skills, and work environment requirements of the sales position. This
information is gathered through observation, interviews with current salespeople, and consultation
with relevant stakeholders.
2. Job Description: Based on the job analysis, a detailed job description is created. This document
outlines the duties, purpose, responsibilities, scope, and working conditions of the job, along with
the job title and reporting structure. It serves as a guide for both the hiring process and future
performance evaluations.
3. Job Qualifications: Identifying the specific qualifications required for the sales job is essential.
These qualifications may include education, experience, skills, knowledge, and personality traits
that are deemed necessary for successful performance in the role.
4. Attracting Candidates (Recruitment): This step involves actively searching for and attracting a
pool of qualified candidates. Various recruitment sources can be utilized, such as referrals, internal
employees, competitors, customers, job advertisements, online platforms, universities,
employment agencies, and part-time workers.
5. Selecting the Best Recruits: The final step involves selecting the most suitable candidate from the
pool of applicants. This is achieved through a combination of screening, interviewing, and
sometimes testing. The goal is to assess the candidates' abilities, motivation, goals, and overall fit
with the company culture and job requirements.
Tools of Recruitment
1. Interviewing: Interviews are a fundamental tool in the recruitment process. They can be structured
(standardized questions) or unstructured (open-ended conversations). The aim is to assess the
candidate's qualifications, motivation, goals, and fit with the company.
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2. Testing: Various tests can be employed to evaluate candidates' abilities and traits. These may
include mental intelligence tests, sales aptitude tests, interest tests, personality tests, and physical
tests. It's important to use professionally developed tests and interpret the results carefully.
3. References: Checking references is a valuable step in verifying a candidate's work history, skills,
and character. Both references provided by the candidate and those sought independently by the
hiring manager can offer valuable insights.
Ranking and Selection
To make an objective final selection, a candidate scoring system can be implemented. This system
involves identifying the most critical qualifications for the position and collecting data or asking
questions related to these areas. Some companies may assign weights to different factors to facilitate
ranking. The primary areas for ranking typically include the candidate's background and experience,
interview performance, and personality traits.
Induction and Pre-employment socialization
It is the process of familiarizing potential employees with a company's culture, values, and
expectations before they officially join the organization. This process is crucial for ensuring a smooth
transition for new hires and reducing turnover rates. It helps new employees understand the company's
values, norms, and expected behaviors, which are essential for their effective functioning within the
organization.
Pre-employment socialization can take various forms, including:
•
Clear Communication of Values: Companies can use their websites and other communication
channels to articulate their values and culture clearly. This gives potential employees a glimpse
into the company's expectations and helps them assess their alignment with those values.
•
Detailed Job Descriptions: Providing comprehensive job descriptions and expectations on the
company website or during the recruitment process helps candidates understand the roles they
might be taking on.
•
Inclusive Workplace Information: Highlighting initiatives and programs that promote diversity,
equity, and inclusion (DEI) demonstrates the company's commitment to creating a welcoming and
inclusive environment for all employees.
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•
Education and Growth Opportunities: Showcasing opportunities for learning and development,
such as tuition reimbursement programs or mentorship initiatives, can attract candidates who value
continuous growth and development.
•
Transparent Application Process: A clear and transparent application process, including
information about post-application steps, interviews, and orientation, can help reduce anxiety and
uncertainty for new hires.
•
Success Stories and Testimonials: Sharing success stories and testimonials from current
employees can help potential hires visualize their future with the company and create a sense of
connection even before they start working.
Predicting Performance and Turnover
Several factors have been identified as predictors of sales performance, including current employment,
prior sales experience, knowledge of the job, the source of the candidate, frequency of job changes,
and education. Additionally, factors like career aspirations, employment history, and prior sales
experience can help predict job turnover. Understanding these factors can aid in making informed
hiring decisions and reducing turnover rates.
Question and Answer interview with the Area Sales Manager on “Recruitment and Induction
Process”
Question: Talk to me about how the hiring process occurs in the pharmaceutical industry?
Answer: Well, I’ll talk on how the hiring process is carried out in World Wide Healthcare Ltd. In
recent times, hiring is completely by referrals and recommendations. Advert on public media stopped
several years ago when the idea was conceived and adopted of using current Staff members who have
a good track record to recommend new hands. This is largely due to the mobile nature of the sales
field force and the high level of credibility and financial discipline required from every member of the
team.
The process we follow are, but are not limited to these ones I’ll highlight.
First of all, a recommendation by staff members with a credible track record is made. Then an initial
online screening by two or three Area or Regional Sales Managers is made.
After that, we now schedule a second-tier interview for those shortlisted. And this interview is handled
by a combination of Area/Regional and National Executives.
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Then, there comes the fourth and final stage where the MD or his delegates who must be top Personnel
Executives. This fourth stage may not come up if the vacancy needs immediate attention. In that case,
the Company management will rely on the recommendation of the Executives in stage 3 to issue an
appointment letter to the successful candidate. The candidate acknowledges a photocopy of the letter
and begins work immediately.
One of the documents he will submit to the office during Stage 2 and 3 is the Guarantors form dully
completed by two or three Guarantors. The 3rd Guarantor being his Referee. Attached to the
Guarantors’ forms must be a landed property documents of the Guarantor and copies submitted.
Question: What types of new challenges and successes do you think the sales operations manager will
face in the future in regards to recruitment?
Answer: In the future, Sales operations managers will face numerous intriguing challenges,
particularly with the evolving workforce demographics. As time progresses, I see that the recruitment
of younger generations becomes a significant task. Currently, millennials are poised to become the
predominant force in the business realm as baby boomers retire. Each generational group brings
distinct values, preferred work styles, and job expectations, necessitating a shift in the sales operations
manager's approach. Understanding the needs of the future workforce is crucial for success.
Additionally, society is transitioning towards a network-based model. In my opinion, the traditional
business cornerstone was the firm, with a clear delineation between employees and non-employees.
However, today's landscape is shifting towards independent work, with freelancing and gig economy
models like Indrive, Uber etc, where individuals work for multiple entities, altering the conventional
employer-employee relationship. This change is likely to complicate management, as managers may
not exert the same level of control over their workforce as they did in the past.
Conclusion and Recommendation
From my interview with Israel Bodunde, I’ll recommend World Wide Healthcare Ltd to do more in
incorporating the elements discussed in this overview of processes into their recruitment and hiring;
carry out a robust pre-employment socialization efforts that can create a positive first impression, set
clear expectations, and foster a sense of belonging among new employees. This, in turn, can lead to
increased job satisfaction, higher engagement, and reduced turnover, ultimately benefiting both the
employees and the organization at large.
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Training and Development (An Overview)
Sales training is a critical aspect of sales operations and management, as it equips the sales force with
the necessary knowledge, skills, and abilities to excel in their roles. Effective sales training programs
are comprehensive, relevant, modular, motivating, interactive, cost-effective, and performanceoriented.
Importance of Sales Training
Sales training is a long-term investment that yields significant benefits for organizations. It improves
customer relations, reduces sales force turnover, increases sales, and ultimately enhances the
company's bottom line and profitability.
Sales Training Development Process
The sales training development process is an iterative cycle that begins with a needs assessment and
concludes with evaluation. The needs assessment identifies gaps in the sales force's abilities, which
are then addressed through the development of SMART (Specific, Measurable, Achievable, Relevant,
Time-Bound) training objectives.
Sales Training Content
Sales training content can be categorized into two types: initial sales training for new hires and
continuing sales training for experienced salespeople. The content typically covers company
knowledge, product knowledge, industry knowledge, customer knowledge, selling knowledge, and
technology knowledge.
Sales Training Methods
There are three key decisions involved in sales training methods:
1. Who will conduct the training? Options include line sales executives, internal staff trainers, or
external trainers.
2. Should training be conducted in groups or individually? Group training is efficient for larger
groups with similar needs, while individual training allows for customization .
3. What instructional methods will be used? Common methods include on-the-job training,
classroom lectures, group discussions, readings, role-plays, simulations, demonstrations,
mentoring, conferences, electronic media, and computer-based training .
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Emerging Training Methods
Technological advancements have led to the emergence of new training methods, such as web
conferencing and internet-based learning platforms like Coursera. Companies also utilize intranets for
internal training and development.
Sales Training Reinforcement
Sales training reinforcement is crucial for ensuring that the knowledge and skills acquired during
training are retained and applied in real-world scenarios. Top-performing companies emphasize
ongoing training and utilize various knowledge management capabilities, such as central repositories
of best practices, capturing institutional knowledge, and providing user-generated content.
In conclusion, training and development play a pivotal role in the success of sales operations and
management. By investing in comprehensive and ongoing training programs, organizations can
empower their sales force to achieve optimal performance, enhance customer satisfaction, and drive
revenue growth.
Motivating the Sales Force
Motivating the sales force is essential for driving performance and achieving organizational goals.
Effective motivation strategies include building trust, understanding individual goals, promoting a
healthy lifestyle, setting clear goals, avoiding micromanagement, minimizing unproductive meetings,
and offering meaningful rewards. Communication is key to building trust and fostering a motivated
sales team.
Question and Answer interview with the Area Sales Manager on “Training and Development”
Question: Do you have a training and development program for your salespeople?
Answer: Yes, the Company has training and development programs for new recruits especially for
the marketing/detailing team. For the Sales team, initial induction is conducted for the new staff. This
includes but not limited to:
▪
Territory alignment.
▪
Product list
▪
Customer list
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▪
Physical introduction to existing and viable partners.
▪
Other mentorship session which involves regular communication and reviews
Question: Can you tell me how you pass your wisdom, skills, and best practices on to your Salesforce?
Answer: As earlier mentioned, initial and periodic session of working together. This gives the
manager opportunity to show his new direct report hands-on sales skills in real time and the confidence
required. The new staff is also presented with the privilege to learn the sales process: pre-call plan,
opening conversation, maintaining his grip on the line of discourse, objection handling, negotiation
skills etc. and finally closing the sales. If unsuccessful, the Sales Executive steps aside and deploys his
prospecting in another direction.
Regular communication is maintained on a dedicated whatsapp platform, by mail and direct calling.
Question: Great. So, can you talk a bit about how does one approach employee development and
training? How is a typical training program like?
Answer: In a typical training program, consider someone like me with a science background. Those
without one are assured that with a bachelor's degree and a curiosity for science, they can be taught
the necessary skills because their sales expertise is valuable. In today's world, it's similar. We consider
individuals from business-to-business sales, education, engineering, and healthcare, starting with
fundamental science education. We focus on essential knowledge about disease states, product
information, and competitive products, guiding representatives until they can confidently discuss our
products' suitability for treating diseases. After initial training, they proceed to field training with an
area manager and attend small-group meetings to discuss scientific advancements and sales
techniques, ensuring best practices are shared. Occasionally, larger meetings convene, featuring
brand teams, motivational speakers, and upper management updates. Additionally, ongoing webbased training is provided. This comprehensive education, though time-consuming and effortintensive, is offered at no cost by the company to ensure thorough understanding.
Conclusion and Recommendation
I must thank Israel Bodunde very much for shedding light and bearing his mind on how important
training and development is in Word Wide Healthcare Ltd. Though his answers to the questions leaves
much to be desired; a lot can still be done by deploying modern training methodologies, resources and
third party training technologies aimed at improving the training and development of his sales team,
motivating them to achieve or even exceed the company’s objectives and goals.
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Territory Allocation Process and Strategy (An Overview)
The territory allocation process is a critical aspect of sales management that directly impacts the
efficiency and effectiveness of a sales team. Properly designed sales territories can enhance team
morale, increase sales, and expand the customer base. This report outlines the strategies for territory
allocation, emphasizing the importance of data-driven decision-making and market analysis.
Understanding Territory Allocation
Territory allocation involves dividing a market into distinct areas, assigning sales representatives to
these areas based on various criteria. This process ensures that each representative has a manageable
number of accounts and can focus on building relationships with customers. Effective territory
management can lead to improved sales performance and customer satisfaction.
Key Factors Influencing Territory Allocation
1. Market Potential: Understanding the overall market potential is essential. This includes
evaluating the total sales volume that can be achieved within a territory, which can be
determined through methods such as market factor derivation, surveys, and test markets.
2. Sales Potential: This refers to the expected sales volume for a specific company within the
market. Sales potential can be influenced by the company's market share and the competitive
landscape.
3. Geographic Considerations: The geographical layout of a territory affects travel time and costs
for sales representatives. Territories should be designed to minimize travel while maximizing
coverage of potential customers.
4. Customer Segmentation: Different customer segments may require different sales approaches.
Understanding the needs and behaviors of various customer groups can inform how territories
are allocated.
5. Sales Team Strengths: The skills and experience of sales representatives should be considered
when assigning territories. Matching representatives with territories where they can leverage
their strengths can enhance performance.
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Strategies for Effective Territory Allocation
1. Data Analysis: Utilize historical sales data and market research to inform territory design. This
includes analyzing past sales performance, customer demographics, and market trends to
identify high-potential areas.
2. Dynamic Allocation: Regularly review and adjust territories based on changing market
conditions and sales performance. This flexibility allows for responsiveness to new
opportunities or challenges that may arise.
3. Collaboration Across Teams: Foster communication between sales, marketing, and finance
teams to ensure alignment on territory goals and strategies. Insights from customer-facing
teams can enhance the understanding of market dynamics and customer needs.
4. Technology Utilization: Implementing sales management software can streamline the territory
allocation process. Tools that provide real-time data and analytics can help sales managers
make informed decisions quickly.
5. Performance Metrics: Establish clear metrics to evaluate the effectiveness of territory
allocation. This includes tracking sales performance, customer satisfaction, and representative
engagement levels to identify areas for improvement.
Question and Answer interview with the Area Sales Manager on “Territory Allocation Process
and Strategy”
Question: What are the factors that you consider when creating or allocating sales territories?
Answer: Here at WHL, what is normally considered when allocating sales territories are as follows:
•
Current residence of employee
•
Language proficiency
•
Company’s need and
•
Security of the territory
Question: Do you also tend to organize yourselves along different products, like different drugs that
treat certain types of diseases?
Answer: Yes! We group products along manufacturers’ line called (Division) to enable specialization,
better focus and productivity. In this company, we have “Divisions” that can be identified as:
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a) Regular Division: under this division, we have - Roche Division; Novartis Division; Pfizer
Division; Neimeth Division; Drugfield Division; GSK Division etc., according to the
manufacturer.
b) The CC Division: This division is for (only cold-chain products), which should be kept within
2-8OC ): To prevent denaturing and loss of efficacy. Stocks are preserved in cooler boxes from
warehouse to the point of final delivery. And there is also the:
c) Diagnostics Division, which is in charge of medical equipment and reagents.
Conclusion and Recommendation
In this interview, going by the responses provided by Israel Bodundle, the territory allocation process
has been seen to be fundamental to optimizing sales operations of World Wide Healthcare Ltd. It is
pertinent that by leveraging data analysis, understanding market dynamics, and fostering collaboration,
this company has developed effective territory strategies that can enhance sales performance and
customer relationships; and can continuously improve on them by regular evaluation and adaptation.
These strategies will ensure continued success in a dynamic market environment.
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Compensation Structure (An Overview)
A well-designed compensation structure is crucial for motivating sales personnel and aligning their
efforts with the organizational goals. This report outlines the key components of a sales force
compensation plan, the perspectives of both managers and salespeople, and the various methods of
compensation that can be employed.
Goals of a Sales Compensation Plan
The primary objective of a sales compensation plan is to motivate salespeople to achieve their targets
while aligning their activities with the broader goals of the organization. A successful compensation
plan should:
•
Motivate Performance: Encourage sales personnel to engage in activities that drive sales.
•
Attract and Retain Talent: Be competitive enough to recruit skilled salespeople and retain
existing talent.
•
Control Costs: Balance the need for competitive compensation with the necessity of
managing expenses effectively.
Perspectives on Compensation
The viewpoints of managers and sales professionals on compensation often differ:
•
Managers view compensation as a tool for motivation, control, and recruitment. They focus
on how compensation can align the sales force’s efforts with the company's objectives while
managing costs effectively.
•
Sales Professionals seek a compensation plan that offers a secure base salary with potential
for upside earnings. They desire a structure that is simple, fair, and reflective of their efforts,
emphasizing the need for a balance between fixed and variable compensation components.
Developing a Compensation Plan
Creating an effective compensation plan involves several key steps:
1. Define Objectives: Clearly outline what the compensation plan aims to achieve, such as
increased sales volume or market penetration.
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2. Analyze Market Standards: Research industry benchmarks to ensure competitiveness in
compensation.
3. Choose Compensation Methods: Select from various compensation methods, including:
•
Salary: Provides stability but may not incentivize high performance.
•
Commission: Directly ties earnings to sales performance, motivating higher sales but
may lead to riskier sales practices.
•
Combination Plans: Incorporates both salary and commission, balancing security with
performance incentives.
4. Establish Quotas: Set realistic sales quotas that challenge salespeople without being
unattainable. Quotas can be expressed in terms of sales volume, revenue, or specific activities
like the number of sales calls.
5. Implement Indirect Compensation: Consider indirect forms of compensation, such as
bonuses, recognition programs, and non-monetary rewards, which can enhance motivation
and job satisfaction.
Pros and Cons of Compensation Methods
Each compensation method has its advantages and disadvantages:
Salary:
Pros: Predictable income, stability for salespeople.
Cons: May not drive high performance.
Commission:
Pros: Directly rewards performance, encourages higher sales.
Cons: Can lead to aggressive selling tactics and income instability.
Combination:
Pros: Balances security with performance incentives, appealing to a broader range of salespeople.
Cons: Complexity in structure may confuse sales personnel.
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Question and Answer interview with the Area Sales Manager on “Compensation Structure”
Question: Tell me a bit about your pharmaceutical company and how do they approach sales force
compensation; or how is compensation structured within your company?
Answer: For the Salespeoples, compensation comes in form of our quarterly incentives and reimbursement of all expenses which include fueling, hotel and food (for out-station) and monthly data
and postpaid airtime.
For the Clients, periodic promotional offers and discounts on products. Also, distribution of items
for like household appliances, office equipment and even vans to assist the client in safer conveyance
of stock.
Question: It’s either you pay people a straight salary or you can have incentive compensation, and
many other companies have many different approaches. Can you give me a brief about how your
pharmaceutical company approach sales force compensation?
Answer: When I reflect on how sales forces are structured across various industries, I notice that
less regulated industries often adopt aggressive commission-based incentives. However, in our
highly regulated sector, the structure is different. In my company, compensation is primarily salarybased, constituting about 80%, with the remaining 20% allocated to flexible or field sales incentive
programs. Of this 20%, a significant portion is tied to behavior, underscoring our commitment to
ethical conduct due to stringent regulations. We have a strict code of conduct, ensuring that while we
motivate our team to work diligently and boost product sales, it's done correctly. Non-compliance
with rules and regulations could incur substantial costs for the company and is ultimately not in the
best interest of the people we serve.
Conclusion and Recommendation
Taking World Wide Healthcare Ltd as a case study; a well-structured compensation plan is essential
for effective sales management. It should align the interests of the sales force with the organization's
goals while providing motivation and job satisfaction. By understanding the perspectives of both
managers and salespeople and carefully designing the compensation structure, World Wide
Healthcare Ltd is enhancing sales performance and is striving to achieve their business objectives.
However, there are many chances or opportunities for improvement going forward.
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Systems of Evaluation (An Overview)
Evaluating sales force performance involves setting clear expectations, providing regular feedback,
and conducting formal performance reviews. Both quantitative metrics (e.g., sales volume, gross
margin, call rate) and qualitative factors (e.g., customer relations, knowledge, personal appearance)
are considered in the evaluation process. Various appraisal techniques, such as management by
objectives, ranking methods, essays, 360-degree reviews, and rating scales, can be employed.
There are four fundamental approaches to appraising sales performance:
1. Management by Objectives (MBO): This approach involves setting clear objectives and
evaluating performance based on the achievement of these preset objectives. It's a collaborative
process where managers and salespeople work together to establish goals and desired outcomes.
Performance is then assessed by comparing actual results with the agreed-upon goals.
2. Ranking Methods: In ranking methods, sales managers rank their sales professionals from best to
worst based on specific criteria. This can be a simple ranking or involve categorizing salespeople
into groups like top performers, middle performers, and low performers. While this method can be
straightforward, it can also create morale issues and may not always reflect the nuances of
individual performance.
3. Essay Method: The essay method requires managers to write detailed descriptions of each
salesperson's performance for various job-related criteria. This approach allows for a more
qualitative assessment but can be time-consuming and may introduce subjectivity into the
evaluation process.
4. 360-Degree Reviews: 360-degree reviews gather feedback from multiple sources, including
superiors, peers, subordinates, and even customers. This comprehensive approach provides a
broader perspective on a salesperson's performance, particularly in areas like interpersonal skills,
customer satisfaction, and team-building. It's often used in team-selling environments.
Each of these appraisal systems has its own advantages and disadvantages. There's no single "best"
system, and companies often use a combination of approaches, such as rating scales with space for
essay-style comments, to get a well-rounded view of their sales team's performance.
Question and Answer interview with the Area Sales Manager on “Systems of Evaluation”
Question: Can you give me an overview of how the pharmaceutical industry, and especially your
company approaches evaluation? How was it done? How often is it done? What's involved in that?
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Answer: We do our Evaluation using the approaches I’ll discuss briefly now:
i.
Monthly stock-taking. Normally the first three days of the new month.
ii.
Monthly Sales-force Debtors review meeting. This can also be done when the need
arises.
iii.
Regular emails on four key updates: Current Product Inventory (as they appear in all
the depots across the Country); Customer Outstanding Report; Sales Dump and
Receipts Register. Also available on request is the comprehensive Customers ledgers.
iv.
On-the-go publications from head-office of performance on Sales and Collections
made per time.
Question: Please, I want you to throw more light on these approaches you have mentioned. Can you?
Answer: Consistency is key and manifests in various forms. For instance, on a typical field day, every
company employs a sales framework. This framework generally covers preparation for the call, selfintroduction, building rapport with the customer, handling questions and answers, brand positioning,
closing the deal, and follow-up. This framework is broad, and within it, companies have multiple
criteria to assess a representative's performance. The goal is to develop a well-rounded representative
who executes every step of the sales process professionally, which requires significant effort.
Evaluations are conducted on each field day, emphasizing the partnership between the manager and
the representative. We utilize a coaching model that encourages representatives to set goals, assess
their reality, explore options, and decide on actions, fostering a sense of ownership. Thus, evaluations
are not solely managerial but also self-assessments, aligned with the company's standards and sales
framework. Additionally, as an organization committed to continuous development, we focus on
specific competencies, such as adherence to scientific evidence, prioritizing patient health, and ethical
competition. Detailed descriptions of these competencies are provided, highlighting the importance of
understanding, curiosity, and the pursuit of excellence. This approach is integral to the
representative's self-improvement and readiness for future roles within the company.
Question: In your perspective, what are the Characteristics of Effective Performance Appraisal
System?
Answer: This is technical, but I'll attempt to simplify some points.
To begin with, the characteristics of an effective performance appraisal system include setting clear
objectives. These objectives should be specific and aligned with the employee's job description for a
best-in-class performance review system.
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Secondly, accurate and reliable data is needed: This data aids management in making strategic
decisions and provides insights for performance appraisal and succession planning. A fair and
transparent performance appraisal system that gains employees' trust is based on this data.
Thirdly, a well-defined performance criteria is essential: This typically encompasses call preparation,
self-introduction, rapport building with customers, handling questions and answers, brand
positioning, closing deals, and follow-up. The aim is to develop a professional representative
proficient in every step of the sales process, which is evaluated each field day, highlighting the
partnership between manager and representative.
Fourth, the performance review system should be time-efficient: It should be designed to be
economical and less time-consuming for maximum benefits.
Lastly, continuous feedback is crucial: Employees should not be surprised by year-end ratings due to
ongoing feedback from managers on performance. This feedback helps employees address
performance and skill gaps, and managers can tailor development plans for their team members.
Project Final Conclusion and Recommendations
This brings to an end the analysis of sales force management of World Wide Healthcare Ltd – One of
the leading and multifaceted Pharmaceutical Merchants, which began operation in Nigeria in 2002.
The company has evolved over the years, and it's been an engaging and breathtaking interview with
one of it's Territorial Sales Manager – Mr Israel Bodunde. The interview has unraveled the sales
operations of the company and beam searchlight to a great extent on some of its practices. The
interview may not be exhaustive but a lot has been learnt.
The company's sales management, sales organization, systems of evaluation, and reporting structure,
have played a pivotal role in driving performance and achieving business objectives. On recruitment
and hiring, the company has to do more in incorporating the elements discussed in this project into
their recruitment and hiring. In the area of training and development, deploying modern training
methodologies, resources and third party training technologies can better equip and improve the
training of the sales team. Territory allocating strategies can be continuously improved upon by regular
evaluation and adaptation.
And finally, a well-structured compensation plan is essential for an effective, and dynamic company
Staff. It should align the interests of the sales force with the company’s goals while providing
motivation and job satisfaction.
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