Buddy's Snack Company

Topics: Motivation, Victor Vroom, Expectancy theory Pages: 9 (3268 words) Published: September 16, 2012

Buddy’s Snack Company is a family-owned business from Colorado which began in 1951. Buddy Forest, the first owner of Buddy’s Snack Company, began the business by selling homemade chips from the back of his truck. The business was later passed down to Buddy Jr., Buddy Forest’s son who at the time was already prepping his son to become the head of the company. A few years after, Mark joined the company as a salesperson and was later promoted to sales manager. Buddy’s Snack Company was facing a major problem by their competitors and were losing market share. When Buddy Jr. promoted Mark to sales manager, he was hoping that Mark could find an effective solution to their problems.

Mark’s first idea was to introduce a new sales performance management system. Any salesperson who had failed to receive an average performance rating would have to attend compulsory coaching sessions with their supervisor. Mark was hoping that this strategy would help to motivate them to increase their sales performance. Three salespeople in particular who had to undergo the coaching sessions as instructed by Mark as their performance over the previous quarter assessment were low are Linda Lewis, Michael Jackson and Kris Adams.

The first employee, Linda Lewis, is a hardworking single parent. She is an ethical employee and spends a lot of time trying to improve herself as a salesperson by watching training videos, reading training material as well as learning new selling techniques in her own time. On top of that, she also accompanies top salespeople on their calls. Her other colleagues describe her as ‘cheerful’ and a ‘team-player’ and she always goes the extra mile for the company. She has never failed to meet the sales quota set by the company for the past three years but due to the economic downturn, Linda had found it difficult to acquire sales though she is trying her very best. Linda believes that the failure for her to meet the allocated quota is not due to the lack of effort, but just plain bad luck. She is also hopeful that things will take a turn for the better in the next quarter. Linda is upset with Mark for sending her for coaching sessions because it was the first and only time she had not fulfilled the required quota. She feels that Mark had scheduled for coaching sessions to be on a Saturday and had not put into consideration that she was raising three boys alone and needed to spend her weekends with them. Despite this, she does not mind rearranging her family’s schedule as she was dedicated to the company.

Michael Jackson is glad to have his job at Buddy’s Barn Snacks although he does not like sales work. He had only accepted his position in the company because he thought that he did not have to work very hard and that he would have lots of free time. Because his customer satisfaction reports were one of the lowest in the company, he was sent for coaching sessions. He tends to give half-hearted presentations and failed to listen to his customer’s needs. In addition to that, he always made errors in new sales orders, causing inefficiency for the business. Despite this, he does not feel guilty on the situation as most of his clients do not spend a lot of money and therefore, he feels that they are not worth looking after. Recently there was a change in the company’s commission structure and Michael no longer sells to warehouse stores but is forced to sell to lower-volume convenience stores. In other words, he would have to sell twice as much in order to earn the same amount of money. He finds this change unfair and that the coaching sessions are a waste of time. He also thinks that other members of the sales team are successful because they are getting all the good clients. He refrains from socializing with other colleagues and claim that their success is based upon them knowing the ‘right’ people in the company and not for their hard work.

Kris Adams, another...
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