Case Analysis 3.2
April 3, 2013
Hanover-Bates Chemical Corporation
1. Current Situation
James Sprague is the newly appointed district sales manager for the northeast. Upon arriving he had dinner with Hank Carver and John Follet, two senior sales representatives, and discussed his plans to review the company’s data prepared by the national sales manager and better the area’s profits. Carver, the most experience sales representative, took offense to analysis saying that his 34 years of experience obviously does not count for anything, and threatened to leave and go to a competitor. His district has a large number of potential accounts that are not being utilized. The sales by account and gross profit of the northeast region is very similar to the north-central region, which is a very highly regarded region.
The sales manager before Sprague had not been very open to changes made in the company and was said to have “reluctant compliance.” To make matters worse, Sprague is younger and has less experience than many of the people he is managing. Carver was thought to be in line to get the sales manager position, but was passed over because of his old age. The company also has little faith in Sprague and many people are expecting him to “fall on his face.”
James Sprague must analyze his branch’s sales so he can properly allocate his sales efforts, but his most senior sales representative is reluctant to change.
A. Not do the analysis of the district in order to keep Carver happy, and not leaving to go elsewhere B. Sprague does the analysis and lets Carver know that the branch will now be run his way, and that he is the manager now so what he says goes C. Sprague sits down with Carver and asks him what he thinks the branch could do to become more profitable, and Sprague shows him the benefits that the analysis can do for the potential market.
4. Analysis of Alternatives
A. Pros – Hank...
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