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Management Leadership Development Programme
 

Management Leadership Development Programme

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    Management Leadership Development Programme Management Leadership Development Programme Presentation Transcript

    • Management/ Leadership Development Programme
    • MANAGEMENT/LEADERSHIP DEVELOPMENT Today’s manager lives in a world of rapid change, and yet the rate of change is likely to increase in the years ahead. Unless he can keep up with this change, he’s likely to find himself obsolete – perhaps unpromotable or even unemployable. Ernest Dale 1966
    • General Manager The effective general manager is a specialist, and a team player. He/She depends on a painstakingly detailed knowledge of the industry, technology, product, market and competitors – knowledge that takes years to develop. Equally important are the large, informal networks of cooperative relationships that help him/her to make crucial decisions. It is people – sometimes hundreds of them, from colleagues and customers to bosses and subordinates - who keep the manager in touch with a mass of complex information. Outsiders, no matter how talented or well trained, rarely do as well.
    • GREATER MANAGEMENT KNOW-HOW WILL: 1. Lead to better performance by enabling the manager to increase the output and quality of the work group. 3. Help the manager better understand the objectives and functions of the company as a whole and the thinking of his/her superiors. As a result he/she will be able to ‘talk the language’ of higher managers and gain a better hearing for recommendations and suggestions. • Promote a better understanding of the way in which the managers’ group fits in with other groups, make his/her a more effective team worker and one whom other managers will respect and like to work with.
    • Management/Leadership Development  Management ability is the single most important determinant of business success.  Management development can take place both on and off the job. On-The-Job: People learn by doing their jobs.  Performance feedback (appraisal)  Coaching.  Job rotation.  New assignments  Solving daily problems.  Taskforces, Teams, Meetings. Off-the-Job internal/external  In-company programmes  External programmes  Professional associations  Self-development/reading make suitable materials available. (resource centre)  Lifelong learning  The entrepreneurial society of to-day demands that individuals take responsibility for their own self development and their own careers.
    • BUSINESS FUNCTIONS  Planning/Business Planning/Corporate Planning  Research and Development  Production  Finance and Accounting  Purchasing  Marketing(Marketing, Sales & Distribution)  Personnel / Human resources  Engineering  Legal, Patents, Trademarks, Taxes, Insurance  Public Relations  Internal Auditing  Management Information Systems
    • Management / Leadership What is a manager? Thinking The Manager’s Making Decisions Role Communicating Getting things done economically by D.I.Y. other people
    • Management / Leadership Top-Level nt Manageme Middle-Level D.I.Y. Work Lower-Level Work
    • Management Priorities (The Three priorities of management) Making thing’s happen – Work using time efficiently What has to be done. When it must be done by. What quality is required Money People What resources are How best to use their Providing available. time and abilities. leadership – Getting value for money – using How to use for best What motivates them. getting effective value. resources How to coordinate performance Is any avoidable waste economically. going on. their activities. Decisions Decisions Decisions
    • Delegating the Decision - Making Without this the manager can’t delegate sibl e Responsibility on lr esp The subordinates is stil acceptance of a duty to na ger take care of a specific m a area of work Delegating The the Without this, Decision The manager must give delegation doesn’t Making this away exist. Authority Th The subordinates right em an to have his decisions ag acted on without er Without this the re manager is dumping not interference qu ire delegating st his Accountability The managers right to know how his subordinate is using his authority
    • Management Skills 1. Technical Skills  The understanding of and ability to perform specific tasks:  Selling Marketing Accounting Manufacturing  Engineering Purchasing Surgery  Mastery of methods, techniques and tools/equipment  Specialized knowledge and analytical ability.
    • Management Skills 1. Human Skills (Emotional Intelligence)  Refers to the capacity for recognising our own feelings and those of others, for motivating ourselves and for managing emotions in ourselves and in our relationships.  Being able to monitor and regulate one’s own and others feelings and to use feelings to guide thought and actions.  The ability to work with and through other people and to work effectively as a group member.  Ability to motivate, facilitate, nurture, coach, coordinate, lead, communicate and resolve conflicts, ability to bring out the best in people.  Emotional competencies play a far greater role in superior job performance than do cognitive ability and technical expertise.(Pure intellect and expertise)
    • Emotional Competencies • Self – Awareness “Know Thyself”  Having a deep understanding of our emotions, strengths, weaknesses and needs.  Being aware of both our mood and our thoughts about that mood.  Recognising one’s emotions and their effects.  Accurate self – assessments: Knowing one’s strengths and limits.  A strong sence of one’s self- worth and capabilities.  Knowing when to ask for help.
    • Emotional Competencies 1. Self – Regulation / Control  Keeping disruptive emotions and impusles in check.  Remaining calm despite provocation.  Taking responsibility for personal performance.  Hold themselves accountable for meeting their objectives.  Maintaining standards of honesty and integrity.  Flexibility in handling change.  Being comfortable with novel ideas, approaches and new information
    • Emotional Competencies 1. Self – Motivation  Desire to achieve for the sake of achievement.  Striving to improve or meet a standard of excellence.  Commitment to the goals of the organisation.  Initiative / readiness to act on opportunities.  Optimism : Persistence in pursuing goals despite obstacles and setbacks.
    • Emotional Competencies 1. Empathy Awareness of others’ feelings, needs and concerns.  Understanding others: Sensing others’ feelings and perspectives and taking an active interest in their concerns.  Service orientation: Anticipating, recognising and meeting customers’ needs.  Political awareness: Reading a groups’ emotional currents and power relationships.  Developing others: Sensing others’ development needs and bolstering their abilities.
    • Emotional Competencies 1. Social Skill (Social Intelligence)  The degree to which we ‘get along with’ and relate to other people around us.  Ability to induce desirable responses in others.  Friendliness with a purpose : moving people in the direction you desire.  Ability for finding common ground with all kinds of people.  Ability for building rapport.  Ability to use tact and diplomacy.  Establishing effective working relationships, based on ordinary curtesy.
    • Emotional Competencies Social Skill  Interacting with people effectively to maintain long-term relationships.  Assessing and understanding other people and their concerns.  Awareness of the likely impact of actions on others; adjusting style as necessary.  Influence : Using effective tactics for persuasion.  Communication: Listening openly and sending convincing messages.  Conflict-Management: Negotiating and resolving disagreements.  Collaboration and Cooperation: Working with others towards shared goals.
    • Emotional Competencies Social Skill  Building Bonds: Nurturing relationships.  Team Capabilities: Working in teams.  Leadership: Inspiring and guiding individuals and groups.  Change Catalyst: Initiating or managing change.  Networking: Making connections.  Negotiating.  Social Graces: Showing appreciation / saying thanks / greetings.
    • Emotional Intelligence “Personality” “Character” “Soft Skills” “Social Competence”
    • Emotional Intelligence Qualities and Characteristics of Social Skill/Social Intelligence 3. The confidence to be yourself. 5. An abiding interest in other people. 7. Respect for others. 9. Empathy and the ability to read and use body language to do this. 11. Awareness of when it is appropriate to speak and when to listen. 13. A positive attitude. 15. A life vision – to know where you are going.
    • Management Skills 1. Conceptual Skills  The ability to see the organisation as a whole and the relationship among its parts.  Big – picture thinking.  Helicopter view.  Ability to think strategically.  Ability to take the broad, long-term view.
    • Management Functions / Activities 1. Planning. 2. Organising. 3. Communicating. 4. Innovating. 5. Representing. 6. Controlling 7. Motivating. 8. Staffing / Development. 9. Leading. 10. Coordinating. 11. Directing.
    • The Four Management Functions (PLOC) (The management process) 3. Planning. Select goals and ways to attain them. 6. Leading. Use influence to motivate employees. 9. Organising. Assign responsibility for task accomplishment. 12. Controlling. Monitor activities and make corrections.
    • Management Functions / Activities 1. Planning  “Planning is the basic process we use to select our goals and determine how to achieve them.”  “Planning is looking ahead and making provisions for the future.”  Thinking ahead.  “Begin with setting goals/objectives/targets and include specifying the steps needed to reach them.”  Scheduling the tasks.  “Deciding what to do and how to achieve it.”  Understanding the scope of what you want to get done.  Every manager should set objectives and plan how to reach them.  Where are we now?  Where do we want to go? Goals/objectives/targets.  How do we get there? Strategy.
    • Management Functions / Activities 1. Organising.  Arranging resources.  Dividing the work into tasks/duties that can be handled by one person and providing means of coordination.  Grouping activities together.  Defining jobs – allocating work.  Organising to accomplish tasks.  Who reports to whom.
    • Management Functions / Activities 1. Communicating.  Ability to interact with others, both within and outside organisations; plays a critical role in our effectiveness as a manager. The communication process contains:  Sender.  Receiver.  Message.  Medium.  Action by the receiver.
    • Improving Communication Skills 1. Don’t oversell an idea. 2. Don’t give up too soon. Persistence pays off. 3. Watch your timing. Choose the right moment to put your story across. 4. Plan carefully before you write or speak. 5. Keep language simple and to the point. 6. Use sketches or diagrams that help make a report or talk more interesting and its meaning clearer. 7. Anticipate objections by the other person. 8. Invite participation. 9. Learn to listen intently as you converse. 10. Leave enough time for discussion. “If people around you do not understand you, fall down before them and beg their forgiveness; for in truth you are to blame”
    • Management Functions / Activities 1. Innovating  Creativity, New Idea, New Approach, New Thinking , New Invention, Novel Idea, Fresh Idea, Innovation, Change.  Looking for new, better ways of doing things.It may mean discarding old procedures that no longer are needed.  Creativity is thinking up new ideas and discovering new things.  Innovation is using these new and sometimes old ideas / things in the market place.  Sees beyond existing work practices and develops new ways of doing own job.  Prepared to challenge existing positions, put forward own ideas
    • Management Functions / Activities 1. Representing.  Representing and supporting the views and decisions of management to own subordinates and the views and feelings of subordinates to management.  Representing the interests of the department to other departments and outside contacts.  Representing the company to the outside world. • Controlling.  Checking on progress to determine whether plans are being fulfilled.  Monitoring activities.  Knowing what’s going on.  Recognising problems.  If performance is falling short of what is necessary to fulfil the goals, the managter must take steps to correct the difficulties. 5. Motivating.  What’s motivating to somebody, is what’s motivating to somebody.
    • Management Functions / Activities 1. Staffing/Developing  Filling positions with the most qualified people available.  Recruitment, selection, training/development, rewarding etc.  Making improvements.  Appraising peoples capacity to improve.  Creating opportunities for learning.  Setting standards of performance. 3. Leading  Creating vision, culture, values etc.  Communicating goals.  Motivating employees to perform at a high level.  Developing teams.  Organising resources.  Problem solving and decision making.
    • Management Functions / Activities 1. Coordinating.  Ensuring that the diverse activities of the organisation are channelled towards the accomplishment of the stated goals. 3. Directing.  Telling people what to do.  Seeing that they do it to the best of their ability.  Leading them towards the right goals by the right route.
    • Managers  Never satisfied with present performance.  Always trying to do things better.  Constantly learning.  Aware of principles and skills.  Willing to experiment.
    • Top Ten Tips for Managers Tip 1 Agree job requirements with your superior. (managing yourself)  Identify key result areas for the position. KRA’s:  Sales  Costs  Earnings  Staff selection  Training  New product introductions  Key customers  Output  Quality  Tests  Equipment  Customer service
    • Top Ten Tips For Managers  Set standards of performance by which success can be measured. Goals for each KRA Agree jointly / motivation Examples of goals:  Increase sales of product x by 10% 2006  Recruit new sales person before end March 2006  Achieve FDA approval within specified period  Adopt new procedure in line with FDA requirements within specified period  Process for the periodic review of performance eg. Quarterly reviews throughout the year Tip 1
    • Top Ten Tips For Managers Tip 2 Be effective and efficient. (Managing you time)  Effective: Do the right things. The key to effectiveness as a manager is to spend your time on your key result areas. You can only be effective if you are clear about the things which are important to success in your work.  Efficient: Do things right. It involves amongst other things making the best use of your time. Guidelines:  Use some form of time managemnt system.  Distinguish between urgent and important tasks.  Spend most time on your priorities.  Develop plans for dealing with time-wasters.
    • Top Ten Tips For Managers Tip 3 Let your team determine your leadership style. (Managing others.)  Tell: Tell  when your group is inexperiencied and uncertain.  make the decision yourself and simply inform.  Sell: Sell  when your group needs guidance but must be brought along with the decision.  make the decision yourself and sell it to them.  Consult: Consult  when the group may have important information which should be taken into account.  Obtain their opinions before making a decision yourself.  Participate: Participate  when they are just as able to make the decision as you are.  involve them in the decision making process.  Democratic:  Leave the decision to your work group.
    • Top Ten Tips For Managers Tip 4 Accept personal responsibility for the performance of your staff. (Managing performance)  Agree key result areas and standards of performance.  Make sure you delegate effectively.  Monitor performance on a regular basis.  Ensure regular feedback to let people know how they are doing.  Recognise and reward that performance.  Be positive in addressing performance problems.
    • Top Ten Tips For Managers Tip 5 Say thanks with impact.  Identify the behaviours you wish to reinforce.  Get timing right depending on the task and the need of the employee
    • Top Ten Tips For Managers Tip 6 Use informal rewards. You may have little control over the formal rewards structures but that should not stop you doing things that are within your control. The size of the reward is not as important as the fact that it is given.  Coffee, lunch.  Theatre tickets.  Recognition – spend more time with them.  Provide personal development  Give additional training.
    • Top Ten Tips For Managers Tip 7 The manager must accept responsibility for bad as well as good performance. It is a good rule for the manager to take responsibility for poor performance until the contrary is proven.  Identify the performance gap  Analyse the cause of the problem:  The individual: - ability, training, personal problems, stress.  The work: - clarity of responsibility, overload, equipment, work methods, conflicting duties.  The manager: - poor leadership, lack of feedback, lack of recognition, unfair rewards.
    • Top Ten Tips For Managers  Work with your staff to help solve the problems.  Review the performance problem and agree the gap.  Identify the causes of the problem.  Agree action plans to resolve the problem.  Set a follow-up date to review progress “I’ve spent 30 years going around factories. When you know something’s wrong, nime times out of ten it is the management – in truth because the people are not being led right. And bad leaders invariably blame their people” Sir. John Harvey – Jones Tip 7
    • Top Ten Tips For Managers Tip 8 Be prepared to break the mould. People face and overcome a wide variety of problems everyday. A machine breaks down, materials are late, a customer wants a rush order. Companies survive because they have learned to overcome problems. Very often they are not as good when they face a new problem.  The real challenge in management is doing something new.  Get your people involved in creative problem solving.  Some techniques are required:  Brainstorming; the generation of as many ideas as possible by a group operating to a fixed timeframe.
    • Top Ten Tips For Managers Tip 9 Its OK for employees to air their grievances.  Make it easy for employees to raise issues with you and to go to a higher authority if necessary to have them resolved.  Be open minded in considering their problems.  The way in which you handle the grievance is as important as the outcome.  Let the employee know that he/she is entitled to raise the grievance.  Look for mutually satisfactory ways to resolve the grievance.  If the grievance must be turned down, explain the reasons carefully and check that the employee understands. Explain the next steps if th employee wishes to bring the matter further.
    • Top Ten Tips For Managers Tip 10 Use discipline as a last resort.  Conduct a full and fair investigation.  Make sure the penalty fits the crime.  Seek professional advice when handling dismissal.
    • Success as a Manager  Productive – getting things done.  Setting challenging goals for self and team.  Demonstrating technical competance.  Maintaining effective relationships with superiors, colleagues and subordinates.  Fluency in expressing ideas.  Flexibility in dealing with different situations. There is no best way to manage. The circumstances dictate what needs to be done. The top ten tips are intended to give you the manager a choice of tools to bring with you on your assignment.
    • Top Ten Tips For Managers 1. Agree job requirements with your superior. 2. Be effective and efficient. 3. Let your team determine your leadership style. 4. Accept personal responsibility for the performance of your staff. 5. Say thanks with impact. 6. Use informal rewards. 7. The manager must accept responsibility for bad as well as good performance. 8. Be prepared to break the mould. 9. Its OK for employees to air their grievances. 10. Use discipline as a last resort.
    • Leadership in the New Age Mission why are Support we here? Where do Goals we go for where are help? we going? Rewards Feedback What’s in it How are we for us? doing? The five leadership performance factors How does the leader-manager influence results? By the way he/she manages the five critical leadership factors.
    • Lesson 1 “Being responsible sometimes means pissing people off” Good leadership involves responsibility to the welfare of the group, which means that some people will get angry at your actions and decisions. It’s inevitable, if you’re honorable. Trying to get everyone to like you is a sign of mediocrity: you’ll avoid the tough decisions, you’ll avoid confronting the people who need to be confronted and you’ll avoid offering differential rewards based on differential performance because some people might get upset. Ironically, by procrastinating on the difficult choices, by trying not to get anyone mad and by treating everyone equally “nicely” regardless of their contributions, you’ll simply ensure that the only people you’ll wind up angering are the most creative and productive people in the organisation.
    • Lesson 2 “The day people stop bringing you their problems is the day you have stopped leading them. They have either lost confidence that you can help them or concluded that you do not care. Either case is a failure of leadership.”  Barriers to upward communication.  Asking for help seen as weakness or failure: corporate culture!  Real leaders:  make themselves accessible and available.  Show concern even as they demand high standards.  Creates an environment where problem analysis replaces blame.
    • Lesson 3 “Don’t be buffaloed by experts.”  Small companies and start-ups don’t have the time for analytically detached experts. The Chief Executive answers the phone and drives the truck if necessary: everyone on the payroll visibly produces and contributes to bottom-line results or they’re history.  But as companies get bigger, they often forget who brought them to the dance: things like all –hands involvement informality, market intimacy, daring, risk, speed,agility.  Policies that emanate from ivory towers often have an adverse impact on the people out in the field bringing in the revenues.  Real leaders are vigilant in the face of these trends.
    • Lesson 4 “Never neglect details. When everyone’s mind is dulled or distracted the leader must be doubly vigilant.”  Strategy equals execution. All the great ideas and visions in the world are worthless if they can’t be implemented rapidly and efficiently.  Good leaders delegate and empower others liberally, but they pay attention to details, every day. Bad ones think they are somehow above operational details.  Good leaders, even as they pay attention to details, they continually encourage people to challenge the process.
    • Lesson 5 “You don’t know what you can get away with until you try.” You know the expression, “it’s easier to get forgiveness than permission.” Well, it’s true. Good leaders don’t wait for official blessing to try things out. They’re prudent, not reckless. But they also realise a fact of life in most organisations: if you ask enough people for permission, you’ll enevitably come up against someone who believes his job is to say ”no.” So the moral is, don’t ask. Less effective middle managers endorsed the sentiment, “If I haven’t been told ‘yes,’ I can’t do it,” whereas the good ones believed, “if I haven’t explicitly been told ‘no,’ I can.” There’s a world of difference between these two points of view.
    • Lesson 6 “Keep looking below surface appearances. Don’t shrink from doing so (just) because you might not like what you find.” “If it ain’t broke, don’t fix it “ is the slogan of the complacent, the arrogant or the scared. It’s an excuse for inaction, a call to non-arms. It’s a mind-set that assumes (or hopes) that today’s realities will continue tomorrow in a tidy, linear and predicatble fashion. Pure fantasy. In this sort of culture, you won’t find people who pro-actively take steps to solve problems as they emerge. Here’s a little tip: don’t invest in these companies.
    • Lesson 7 “Organisation doesn’t really accomplish anything. Plans don’t accomplish anything, either. Theories of management don’t much matter. Endeavours succeed or fail because of the people involved. Only by attracting the best people will you accomplish great deeds.”  In a knowledge-based economy, your best assets are people. We’ve heard this expression so often that it’s become trite. But how many leaders “walk the talk” with this stuff?  Leaders should immerse themselves in the goal of creating an environment where the best, the brightest, the most creative are attracted, retained and most importantly unleashed.
    • Lesson 8 “Fit no stereotypes. Don’t chase the latest management fads. The situation dictates which approach best accomplishes the team’s mission.” Flitting from fad to fad creates team confusion, reduces the leader’s credibility, and drains organisational coffers. Blindly following a particular fad generates rigidity in thought and action. Sometimes speed to market is more important than total quality. Sometimes an unapologetic directive is more appropriate than participatory discussion. Some situations require the leader to hover closely; others require long, loose leashes. Leaders honour their core values, but they are flexible in how they execute them. They understand that management techniques are not magic mantras but simply tools to be reached for at the right times.
    • Lesson 9 “Perpetual optimism is a force multiplier” The ripple effect of a leader’s enthusiasm and optimism is awesome. So is the impact of cynicism and pessimism. Leaders who whine and blame engender those same behaviours among their colleagues. I am not talking about stoically accepting organisational stupidity and performance incompetence with a “what, me worry?” smile. I am talking about a gung-ho attitude that says “we can change things here, we can achieve awesome goals, we can be the best.” Spare me the grim litany of the “realist,” give me the unrealistic aspirations of the optimist any day.
    • Lesson 10 “Great leaders are almost always great simplifiers, who can cut through argument, debate and doubt, to offer a solution everybody can understand.” Effective leaders understand the KISS principle, KEEP IT SIMPLE, STUPID. They articulate vivid, over-arching goals and values, which they use to drive daily behaviours and choices among competing alternatives. Their visions and priorities are lean and compelling, not cluttered and buzzword-laden. Their decisions are crisp and clear, not tentative and ambiguous. They convey an unwavering firmness and consistency in their actions aligned with the picture of the furture they paint. The result: clarity of purpose, credibility of leadership, and integrity in organisation.
    • Lesson 11 Part 1: “Use the formula P=40 to 70, in which P stands for the probability of success and the numbers indicate the percentage of information acquired.” Part 11: “Once the information is in the 40 to 70 range, go with your gut.” Don’t take action if you have only enough information to give you less than a 40% chance of being right, but don’t wait until you have enough facts to be 100 percent sure, because by then it is almost always too late. Today, excessive delays in the name of information-gathering breeds “analysis paralysis.” Procrastination in the name of reducing risk actually increases risk.
    • Lesson 12 “Command is lonely” Harry Truman was right. Whether you’re a CEO or the temporary head of a project team, the buck stops here. You can encourage participative management and bottom-up employee involvement, but ultimately the essence of leadership is the willingness to make tough, unambiguous choices that will have an impact on the fate of the organisation. I’ve seen too many non-leaders flinch from this responsibility. Even as you create an informal, open, collaborative corporate culture, prepare to be lonely.
    • “Leadership is the art of accomplishing more than the science of management says is possible.”
    • Leadership  The key quality of leadership is the development of people.  Leadership: The articulation of a mission and the means (resources and structure) to achieve it.  Leaders are responsible for creating;  A vision.  The best strategy to achieve the vision.  The ideal environment for the strategy and the vision which ultimately leads to the achievement of the vision.  Leaders project their ideas onto images that excite people.  Leaders relate to people in more intuitive and empathetic ways.  Shapes ideas instead of responding to them.  Defines the atmosphere in which the organisation will work.  Sets the tone of the organisation.  Infuses the whole organisation with energy and vision.  Gives the organisation direction and purpose.  Ensures that the organisation functions as an integrated unit.  Maintains a certain degree of alertness in the organisation.
    • Leadership  Introduces change in such a way that the organisation adapts to it without unnecessary disruption.  Ensures that everybody in the organisation is motivated and activated.  Mobilises commitment; gets people signed on to the mission.  Creates and manages culture.  Ability to sence the future.  Understands the aspirations of followers.  Discerns the limits of possibilities.  Selects the lines of advance which hold the best promise of success.  Leadership permeates all activities.  Some activities concerned primarily with leadership;  staffing  training  evaluating  remunerating  promoting  dismissing.
    • What is Leadership?  Napoleon said:’I would rather have an army of rabbits led by a lion than an army of lions led by a rabbit.’ The lion knows the capability of his troops and can lead them accordingly.  Leadership is..  ‘..the behaviour of an individual when he is directing the activities of a group toward a shared goal.’ (Hemphill and Coons, 1957)  ‘..a social process in which one individual influences the behaviour of others without the use or threat of violence.’ (buchanan and Huczynski, 1985)  ‘..the ability to get things done – especially the ability to get people working well as a team towards a common goal.’ (Adair, 1988)  ‘..about getting extraordinary performance out of ordinary people.’ (Harvey-Jones, 1988)
    • Leadership versus Management One of the major differences between the leader and the manager relates to their source of power. Management power comes from organisational structure. Leadership power comes from personal sources. Position Power; The managers position gives him or her the power to reward or punish subordinates in order to influence their behaviour. 1. Legitimate power;  Formal management position with authority 2. Reward power;  Pay increases  Promotions  Praise, attention, recognition 3. Coercive power;  Fire  Demote  Critise  Withdraw pay increases
    • Leadership versus Management Personal Power: Personal power most often comes from internal resources, such as a person’s special knowledge, skill or personality characteristics. Personal power is the tool of the leader. People follow a leader because of the respect, admiration or caring they feel for the individual and his or her ideas. 1. Expert Power 2. Referent Power  Personality characteristics that command identification respect and admiration.
    • Different Qualities Attributed to Leaders and Managers Leader Manager Soul Mind Visionary Rational Passionate Consulting Creative Persistant Flexible Problem Solving Inspiring Tough-Minded Innovative Analytical Courageous Structured Imaginative Authoritative Experimental Stabilizing Initiates Change Position Power People who do the right thing People who do things right. Leaders have strategic vision Managers instead use budgets and yearly plans.
    • Relationship between Leaders and Followers  Autocratic versus Democratic Leaders.  Leadership as a continuum reflecting different amounts of employee participation.  Transactional Leaders.  Charismatic Leaders.  Transformational Leaders.
    • Personal Characteristics of Leaders Intelligence and Ability Physical  judgement, decisiveness  activity  knowledge  energy  fluency of speech Personality Work-related characteristics  alertness  achievement drive, desire to exce  originality, creativity  drive for responsibility  personal integrity, ethical conduct  responsibility in pursuit of goals  self confidence.  task orientation. Social characteristics Popularity Sociability, interpersonal skills , Social participation, Tact, diplomacy Cooperativeness Ability to enlist cooperation
    • Understand Total Situation •Oppertunities •Resources •Values •Responsibility Develop company Provide opportunity objectives and strategy for feedback Develop reward The Determine key Technical and systems Chief Managerial tasks Develop M.I.S. Executive Determine methods meaningful to tasks of co-ordination and measures Between key tasks -Structure Develop operational measures of performance
    • Role of Chief Executive  Corporate culture overall character and mission.  Objectives and strategy.  Structure – organisation.  Resource allocation.  Coordination – synergy.  Network building and maintenace (networking).  Introduces change in such a way that the organisation adapts to it without unnecessary disruption.  Manpower planning, training and development.  Represent the company.  Understand total situation.  Performance monitoring and control against plans.
    • The Chief Executive’s most Important Task: To Select Effective People We are “in good company” when we make this claim “Around me there are eleven or twelve key people. They have been remarkably stable over the years” Michael Smurfit – Chairman and C.E.O. Jefferson Group plc. “I suppose my biggest influence on Kerry Group PLC. is in picking the right person for the job and persuading the managers around me that they should give that a lot of attention”. Denis Brosnan – Managing Director Kerry Group Plc. “The key Role for the Chief Executive is to build a strong team around himself”. Niall Crowley – Chairman. A.I.B. plc.
    • General Managers Typical Agendas Key Issues Product/ Financial Organisation/ People Services Markets Long Run Kind of Business(es) Long run return on investment/sales organisation and calibre of m Type of 5 - 20 years To be in Specific Goals Medium Run Specific Development of key manage on financial 1 – 5 Years growth objectives Organisation changes returns Financial objectives Market Selection ofand inventory objectives share sales managers and commitments of Short Run For quarter/year
    • The General Management Perspective Strategy The General Manager Culture Change
    • The Manager/Leader of Tommorrow…..  Communicates vision convincingly to staff.  Links salary to personal performance.  Ensures frequent contact with employees.  Delegates a considerable amount of responsibility.  Remains in close contact with important customers.  Promotes the internationalisation of the business.  Fires or moves employees at the right time.
    • MARKETING
    • Marketing MARKETING DEFINITIONS;  Satisfying customer needs while at the same time satisfying corporate needs.  The uncovering and satisfaction of of consumer needs in order to achieve optimum profitability.  Anticipating the needs and directing the flow of goods from producers to consumers at a profit.  Planned organisation of resources for profit maximisation short and long term.  The allocation of resources to achieve a sustainabe competitive advantage in selected product markets.  Taking actions to create, grow, maintain or defend markets.  Satisfying the requirements of one’s customers at a profit.  Making the future happen.  Serving customer needs profitably.
    • Marketing MARKETING DEFINITIONS  The management activity which organises and directs all the business activities involved in converting customer purchasing power into effective demand for a specific product or service and in moving the product from the manufacturer to the consumer so as to achieve a profit target or some other objective of the firm.  The right product at the right price at the right place at the right time and making a profit.  The business activity that identifies an organisations’ customer needs and wants, determines which target markets it can serve best and designs appropriate products, services and programmes to serve these markets.  The delivery of customer satisfaction at a profit.  The creation of customer satisfaction profitably, by building valued relationships with customers.
    • Marketing  Marketing remains the business activity that identifies an organisations customers needs and wants, determines which target markets it can serve best and designs appropriate products, services and programmes to serve these markets.  However marketing is much more than an isolated business function – it is a philosophy that guides the entire organisation.  The goal of marketing is to create customer satisfaction profitably by building valued relationships with customers.  The marketing people cannot accomplish this goal by themselves. They must work closely with other people in their company to provide superior value to customers.  Thus, marketing calls upon everyone in the company to ‘think customer’ and to do all that they can to help create and deliver superior customer value and satisfaction.
    • MARKETING FUNCTIONS  Market Research and analysis  Product Development  Marketing Planning  Marketing Communications Mix (Promotion Mix)  Selling  Advertising  Sales promotion  Direct marketing  Public relations  Market segmentation  Product Positioning  Distribution  Customer service
    • The Marketing Concept Production Emphasis  Plant and machinery New products and processes  Up to 1900:  Demand > supply  Mass production  Communication of availability  Automatic purchase Selling Emphasis Competition 1900 – 1960:   Unsought goods  Selling / promotion  Profits through sales volume Consumer Emphasis/Marketing Concept 1960’s onwards:  Supply > Demand  Competition intense  “Customer orientation”  Market as starting point  Profits through customer satisfaction Instead of making a product and then trying to persuade people to buy it, it is better to first find out what the customer needs, and then gear our assets to produce the product needed.
    • Marketing Instruments The 4 P’s of marketing: • Product • Price • Promotion (Communication) • Place (Distribution)
    • Product QUALITY FEATURES BRAND PACKAGING name sign symbol combination LABELLING SERVICES BENEFITS
    • Price Price is the only element in the marketing mix that produces revenue : all other elements represent cost. Price is also one of the most flexible elements of the marketing mix. Unlike product features, channel commitments etc. price can be changed quickly. Factors to consider when setting prices: Internal Factors: Aim to Maximise Profit Marketing Objectives Marketing-Mix Strategy Costs (R&D, Manufactoring, Promotion, Distribution, etc) External Factors: Market and Demand Competitors Prices Advantages v Competitors Customer Expectation Price Sensitivity Disease Area Government
    • Product New Ideas Product Development Improvements Line Extensions Acceptable Formulation Easy Dosing Positioning Life Cycles
    • Product Life – Cycle Strategies 1. Introduction Stage: Rapid penetration strategy: - Heavy promotion spending - Perhaps low price. Slow market penetration strategy - Low promotion spend - High Price 8. Growth Stage: Profits increase as promotion is spread over a larger volume. Strategies:  Add new product features  Enter new market segments  High promotion spend to capture a dominant position.
    • Product Life – Cycle Strategies 1. Maturity Stage: At some stage a products sales growth will slow down or level off. Product Managers should become offensive:  Market Development --- new segments (new uses) repositioning  Product Development ---new functions / features  Marketing Innovation ---change marketing – mix elements. 5. Decline Stage: The company’s task during this stage is to identify the declining product and decide whether it should be:  maintained  harvested for cash  dropped
    •  “ Blockbusters are not discovered – They are built.”  Rapid uptake is driven by early spend.  High levels of early investment.  Early success is a key determinant of long term success. Kit Kat: Launched in 1935 ---- Rowntree. Aero Launched in 1935 ---- Black Magic: Launched in 1933 Smarties: Launched in 1937.
    • Promotion (Marketing Communications Mix) (Promotion Mix) Personal Selling Advertising Sales Promotion Public Relations (short-term incentives) (favourable unpaid publicty) Direct Marketing mail fax telemarketing e-mail internet
    • Marketing Communications Customer Loyalty Ladder Advertising Competition Personal Selling Loyalty Sales Resistance Sales Promotion Preference Publicity Memory Fade Knowledge Packaging Awareness Market Contraction Price Availability Unawareness Service
    • Sales Promotion Short-term incentives to encourage purchase or sales of a product. Short-term incentives to encourage purchase or sales of a product. Sales Promotion Tools; Sales Force  Bonus Scheme  Commissions  Vouchers  Gifts Trade  Samples  Discounts  Trips  Loyalty Bonuses  Vouchers  Displays/Exhibitions  Literature  Gimmicks End User  Voucher with cost value  Samples  Competitions  Complimentary Products  Literature
    • Place (Distribution) Physical Distribution Channels logistics wholesalers order processing retailers warehousing hospitals stocks direct to consumers transport
    • The Marketing Mix 1. Goods and Service Mix Product Name Pack Price Image Service 6. Distribution Mix Availability By Channels of Distribution Physical Distribution 10. Communication Mix Selling -------- Personal Advertising Promotions PR Merchandising Sales Aids The Right Mix In Order To Generate The Optimum Profitability.
    • Goods and = Services Mix Distribution = Mix Product Pack Image Communica- Name Service = tion Mix Price OPTIMUM PURCHASE SATISFACTION PROFITABILITY
    • The Six Facets of Marketing (Sundridge Park) What it is Facet What it involves Techniques • Desk Research al purchasers and what are the factors which influence their purchasing decisions. • Field Research (including) MARKET RESEARCH arketing) • Motivation Research---------------------------------------------------------------- Market Research needs to be Continual and UP TO DATE. Market research provides information on “WHAT HAS HAPPENED” or“WHAT IS HAPPENING not about what is going to happen tommorro Variables g market trends and forecasting future demands MARKET FORECASTING • TOTAL DEMAND the plan - 1) • SHARE OF TOTAL DEMAND Techniques cts should be made, in what quantities, and at what selling price. • Analysis of own and competitors’ products d) Value analysis PRODUCT PLANNING • Analysis of company resources e) Brainstorming • Market research f) Checklist and analysis forms Alternative Channels • Maker – User direct ng the most suitable channels of distribution DISTRIBUTION PLANNING• Maker – Merchant – User ing the plan – 3) • Maker – Retailer – User • Maker – Wholesaler – Retailer – User (1) ADVERTISING Press TV 1. SELL IN- to the Posters customer THE direct mail (2) SALES PROMOTION in a combination of 2. SELL OUT-to g an effective combination of advertising , sales, promotion and personal salesmanship Define SELLING And use Company and Brand In order to MARKETING STRATEGY name, House style the eventual user FEATURES Sales literature, OF THE sample,s MERCHANDISING helps (3) SALES FORCE Based on:A) PRODUCT No. of call Points offers,Retail Display here with (a) Point of B)Frequency of calls © Exhibitions, Gimmicks sale displays (b) Packaging Possible calls per day © Siting d for selling ,distributing, merchandising and servicing (Getting action and controlling it) SALES ADMINISTRATION All control is on a measured basis with comparisons of actuals with standards. The Sole purpose of setting up any industrial or commercial enterprise is simply to sell something to someone so that a profit can be made on the transaction.
    • The Marketing Plan
    • What is Marketing  SATISFYING CUSTOMER NEEDS WHILST AT THE SAME TIME SATISFYING CORPORATE NEEDS.  LONG TERM SELLING  ORGANISATION OF PROMOTIONAL ACTIVITY  SELLING  MAXIMISATION OF PROFIT – LONG TERM – SHORT TERM  CREATION OF DEMAND  MARKETING IS THE UNCOVERING AND SATISFACTION OF CONSUMER NEEDS IN ORDER TO ACHIEVE OPTIMUM PROFITABILITY  ANTICIPATING THE NEEDS AND DIRECTING THE FLOW OF GOODS AND SERVICES FROM PRODUCERS TO CONSUMERS AT A PROFIT
    • Marketing ORGANISATION OF RESOURCES FOR PROFIT MAXIMISATION Marketing Planning PLANNED ORGANISATION OF RESOURCES FOR PROFIT MAXIMISATON - LONG AND SHORT TIME
    • Marketing Factors POLITICS SELLING CORPORATE IMAGE TARGET AUDIENCE PROFIT CONTRIBUTION QUALITATIVE INFORMATION PRIORITIES TRADING CONDITIONS PRODUCTION ECONOMICS OF SCALE PACKAGING BRANDING MARKETING MIX ADVERTISING PROMOTIONAL
    • Marketing Plan  WHERE ARE WE NOW ---------------- THE MARKET  WHERE DO WE WANT TO GO --------- OBJECTIVES  HOW WILL WE GET THERE ---------- STRATEGY TACTICS “IF WE COULD FIRST KNOW WHERE WE ARE AND WHITHER WE ARE TENDING TO GO, WE COULD BETTER JUDGE WHAT TO DO AND HOW TO DO IT” (Abraham Lincoln)
    • Marketing Plan 1. Market and product history. 3. Statement on current years objectives – whether achieved or not. 5. Analysis of current market situation in relation to the product - market shares, trends, research findings etc. Analysis of competiters position. 7. Marketing objectives for the coming year – target market shares, target revenue and profit target. 9. Planned marketing mix (goods and services / distribution / communications) in order to achiece the above target.
    • Marketing Plan 1. Marketing Background Market analysis; share, size, trends, competitors (SWOT) 4. Marketing Objectives Sales, MS, Earnings, Promotion expenditure budget. 7. Marketing Strategies Brand Name / Packaging / Presentation Pricing Positioning Comm. Strategies: direct selling, advert., direct mail, internet, literature, detail aids, samples, product reminders, audio visual aids. Distribution. 13. Agree With Top Management 15. Coordinate The Implementation Of Plan 17. Monitor and Control
    • PRODUCT POLICY AND PLAN DISTRIBUTION POLICY AND PLAN PRICING POLICY AND PLAN SALES FORCE POLICY AND PLAN ADVERTISING POLICY AND PLAN SALES PROMOTIONAL POLICY AND PLAN CUSTOMER POLICY AND PLAN ORGANISATION POLICY AND PLAN
    • Marketing Plan Outline THE PRODUCT THE DISEASE AREA THE MARKET 1. MARKET VALUE 2. PRESCRIPTIONS / USAGE 3. COMPETITORS 4. PRICING 5. PROMOTIONAL ACTIVITY 6. DISTRIBUTION MARKETING OBJECTIVES 1. SALES 2. PROFIT 3. PROMOTIONAL EXPENDITURE 4. MARKET SHARE 5. USAGE & AWARENESS MARKETING STRATEGY 1. PRODUCT POSITIONING 2. PRICING 3. PROMOTION (GENERAL) 4. PRE LAUNCH ACTIVITY PROMOTIONAL STRATEGY PROMOTIONAL TACTICS 1. FIELD FORCE - DETAILING 2. PROMOTIONAL MATERIAL 3. DETAILING OBJECTIVES / SEQUENCE 4. JOURNAL / T.V. / RADIO ETC. ADVERTISING 5. OTHER PROMOTIONAL ACTIVITY.
    • The Function of a Marketing Department
    • Market Research MARKETING RESEARCH PRODUCT EVAlUATION ADVERTISING PROMOTION MEDIA PLANNING T E N MARKETING TOOLS UTILISATION S E M LE AG SA AN PLANNING M PRINTED ADVERTISING MATERIAL NT PS RC PME GA ES CONCEPT DEVELOPMENT ELO ET RK EV OU MA TD ES ADVERTISING AGENCY UC NG GR RK OD IT IN PLO MA W PR PRODUCT MANAGEMENT ET EX NE
    • Function of a Marketing Department ? WHERE ARE WE NOW MARKETING RESEARCH (How did we get here) WHERE ARE WE GOING MARKETING OBJECTIVES (MARKETING PLANNING) HOW WILL WE GET THERE MARKETING STRATEGY TACTICS.
    • From Beginning To End PRODUCT DEVELOPMENT - MARKET RESEARCH IMPUT POTENTIAL EVALUATION - MARKET RESEARCH – GO NO GO  PRODUCTION FEASABILITY  ECONOMIES OF SCALE PRODUCTION - MARKETING OBJECTIVES CUSTOMER INFORMED - ADVERTISING / PROMOTION CUSTOMER BUYS CUSTOMER RE-BUYS
    • Where Are We Now 1. MARKETING RESEARCH 3. MARKET RESEARCH 5. MARKET ANALYSIS 7. QUALITATIVE RESEARCH 9. QUANTITATIVE RESEARCH 11. PROMOTIONAL RESEARCH 13. COMPETITIVE RESEARCH 15. PRICING RESEARCH 17. PRODUCT USAGE RESEARCH 19. ATTITUDINAL RESEARCH.
    • Where Are We Going 1. OBJECTIVES - QUANTIFIABLE REALISTIC 4. STRATEGY - POLICY 6. PRODUCT PLANNING - LONG TERM - SHORT TERM 9. PRIORITY SETTING
    • How Will We Get There 1. TACTICS - ACTIONABLE B. SALES FORCE ACTIVITY PRIORITIES E. ADVERTISING - ABOVE LINE BELOW LINE H. PRICING TACTICS - DISCOUNTS / BONUSES J. PRODUCT DEVELOPMENTS 1. UTILIZATION OF RESOURCES
    • RESOURCES 1. SALES FORCE 3. ADVERTISING 5. SAMPLING 7. POINT OF SALE MATERIAL 9. DISCOUNTS / BONUSES 11. EXHIBITIONS 13. PUBLIC RELATIONS 15. GIVE AWAYS / GIMMICKS 17. SELLING AIDS
    • Marketing Research  MARKET RESEARCH - HISTORICAL  MARKETING RESEARCH - CURRENT QUALITATIVE RESEARCH QUANTITATIVE RESEARCH
    • Quantitative Research Desk Research 1. GOVERNMENT STATS. 3. TRADE PRESS 5. COMPANY REPORTS 7. COMPETITORS 9. INDUSTRY REPORTS 11. CUSTOMERS 13. FIELD FORCE? 15. TELEPHONE ?
    • Quantitative Research Field Research  FACT ORIENTATED  SAMPLING IMPORTANT  HISTORICAL  QUANTITATIVE IN NATURE - QUANTIFIABLE RESULTS  STRUCTURED QUESTIONAIRES  CATEGORISATION OF RESPONSES
    • Quantitative Market Research Fact Orientated 1. YES / NO RESPONSE 3. LIMITED NUMBER OF POSSIBLE RESPONSES 5. PROMPTED / UNPROMPTED RESPONSES 7. NO INTERVIEWER SUBJECTIVE INTREPRETATION.
    • Quantitative Research Sampling 1. IDENTIFICATION OF UNIVERSE 3. UNIVERSE TO BE REPRESENTED 5. STRUCTURE OF SAMPLE  AGE / SEX  SOCIAL CLASS  TYPE OF RESPONDENT  GEOGRAPHICAL DISTRIBUTION  TYPE OF CUSTOMER
    • Quantitative Research Historical In Nature 1. MEASUREMENT OF PRESENT OR PAST SITUATION 3. INFORMATION USED TO EXTRAPULATE INTO THE FUTURE 5. REPORTS ARE OFTEN TOO LATE TO TAKE ACTION ON BUT CAN BE USED FOR DECISION MAKING 7. INFORMATION MAY ALREADY BE OUT – OF – DATE.
    • Quantitative Research Quantitive In Nature 1. RESULTS ARE QUANTIFIABLE 3. % ARE USED - PROBLEMS (A) AVERAGE OF AVERAGE (A) SIZE OF BASE 6. FIGURES CAN BE MISUSED 8. INTERPRETATION CRITICAL.
    • Quantitive Research Questionaires 1. STRUCTURED 3. PREDETERMINED RANGE OF RESPONSES 5. NO INTERVIEW BIAS 7. ALL RESPONDENTS ARE ASKED SAME QUESTIONS 9. OFTEN SYNDICATED WITH SPECIAL OPTIONS 11. DESIGN CRITICAL 13. CAN BE COMPUTERISED.
    • Qualitative Market Research  ATTITUDINAL RESEARCH  GROUP DISCUSSIONS  IN DEPTH INTERVIEWS  INTERACTION DISCUSSION.
    • Group Discussions  SAMPLE SELECTION  IMPORTANCE OF MODERATOR LEADING BUT NOT DOMINATING  PREDETERMINED STRUCTURE TO HELP MODERATOR  CONTROL CRITICAL  RECORDING  GROUP INTERACTION  IDEAL FOR CONCEPT TESTING
    • Group Discussions  SUBJECTIVE IN NATURE  RESULTS NOT QUANTIFIABLE  DIRECTIONAL INFORMATION RECEIVED  WILL HELP THE FORMULATION OF QUESTIONNAIRES FOR QUANTITATIVE RESEARCH
    • Market Segmentation And Targeting Market Segmentation: Dividing a market into distinct group of buyers with different needs, characterstics or behaviour, who might require separate products or marketing mixes. Market Targeting: The process of evaluating each market segments’ attractiveness and selecting one or more segment to enter. Market Positioning: Arranging for a product to occupy a clear, distinctive and desirable place relative to competing products in the minds of target consumers. Formulating competitive positioning for a product and a detailed marketing mix.
    • Market Segmentation 1. Geographic Segmentation 3. Demographic Segmetation age gender income education 8. Behavioural Segmentation 10. Psychographic Segmentation social classes lifestyles
    • Market Targeting 1. Segment Attractiveness 3. Business Strengths 5. Selecting Market Segments Segment Strategy.
    • Personal Selling and Sales Management The sales function is at the heart of successful marketing. The primary job of the sales function is to achieve the company’s required sales volume! The Sales force is the core of the company’s marketing effort which in turn is the central company activity. Nature / Role of Personal Selling / Sales Force:  Key role in the marketing mix  Well – educated, well trained professionals  Order takers  Order getters  Missionary selling  Build and maintain long-term relationships with customers  Work closely with customers to find solutions to their problems  Critical link between a company and its customers  Represent the company to customers and at the same time represent customers to the company  Concerned with more than just producing sales! (Market orientated rather than sales orientated to-day)  Look at sales data, measure market potential, gather market intelligence and help develop marketing strategies and plans. A market – orientated sales force works to produce customer satisfaction and company profit. To accomplish these goals, the sales force needs skills in marketing analysis and planning in addition to the traditional selling skills.
    • Some general comments on selling: • Good sales people are born not made! Myth “The ability to sell is not a gift, it’s a skill and skills can be learned.” • Sales people are extroverts with the gift of the gab - they can make small talk to anyone, they can sell to anybody even those who don’t want to buy, and finally most people decide on cost anyway! Myth Rubbish, buyers to-day are well informed. People don’t decide on price alone. They decide on value for money. 5. Sales is a numbers game ---- Sales people forget this. Research: as little as a 1/3 time spent actually selling. 7. Giving up too early --- a common failure. Go back more often. 8. Develop relationships but focus clearly on what they will deliver to the bottom line. 9. There are always three sales to be made the products the sales person the credibility and reliability of the company behind them. 13. World –class salesperson:  Irrepressibly positive attitude  Totally sales driven  Competitive by nature  Know that both you and your product are world class  Know their customers business and sell through client knowledge  Good listening skills.
    • Rules in Selling (Carr Communications) re based on relationships –customers buy from people If you cost more than the competition, be able to explain what additional value yo Customers buy from people they like and trust Know how to negotiate s trust, you have to show a real interest in their business  Know how to listen , be well presented and bring well-presented notes, samples and documentation If you promise it, deliver it when you promised (or b re your product or service adds value to their business Exceed customer expectations – again, and again, and  Explain this simply, clearly and If you get it wrong, admit it quickly and rescue sup honestly  Believe in what you offer  Follow through on every detail, no matter how sm of the competition. Always. But know how youThank them for their business.  are better
    • Steps In The Selling Process 1. Preapproach 3. Approach 5. Presentation 7. Handling Objections 9. Closing 11. Follow – Up.
    • Managing The Sales Force The high cost of the sales force calls for an effective sales management process: 2. Setting Sales Force Objectives  products, customers  sales  call rates  information gathering  Reports 3. Sales Force Architecture / Structure  How many different sales forces should we have?  How should they be structured and staffed?  What degree of specialisation is needed?  What resource levels should be dedicated to each? Clear definition of the sales task is the right place to begin. Key determinants of the sales tasks are: 1. Which customers? 2. Which products? 3. What specific activities are to be accomplished? Major Driver: Size and variety of the product portfolio. Trend: “General” selling (all-account sales) to “specialised” selling.
    • Managing The Sales Force 1. Competency Creation a) Recruiting and Selecting If you do not start with the right individual, it is very unlikely that training, motivation etc. will turn that person into an outstanding performer. To hold down the high costs of hiring the wrong people, sales people must be recruited and selected carefully. No magic list of traits: High enthusiasm, persistence, initiative, self-confidence, self-motivated, good communicater, excellent listener, disciplined, hard working, honest, committed to sales as a way of life and have a strong customer orientation. Look at the characteristicts of your most successful sales people for clues to needed traits. Selecting Procedure? interviewing / testing? Retention? a) Training The sales force require ongoing training. a) Coaching One – on – 0ne intensive coaching enhances other forms of training.
    • Managing The Sales Force 1. Supervising All sales people need supervision and many need continuous encouragement in view of the many decisions they have to make and the many frustrations they invariably face. a) Directing: To what extent should sales management be involved in helping sales people manage their territories?  Developing customer targets and call norms.  Using sale time efficiently. ( sales force automation system) a) Motivating  Organisational climate  Sales force compensation (salary, bonuses, expenses and fringe benefits)  Positive incentives  Personal acknowledgement / one – on – one recognition (Sales people have an enormous need for feedback)  Sales task clarity is important as a motivational tool.
    • Managing The Sales Force 1. Evaluating / Measuring Some important principles: a) By and large, you get what you measure not what you expect. Sales people will focus their efforts on those things that are being measured b) The measurement system must be tied to all the key variables central to company targets eg. sales and profitability c) A good system should also:  Learn what the customer needs  Learn the potential of the customer  Information on competitors – data from each sales person should be gathered. d) Management must develop and communicate clear standards for judging performance e) Management must gather well – rounded information about each sales person f) Sales people should receive constructive feedback that helps them to improve performance.
    • Managing The Sales Force Formal evaluation of performance b) Comparing the sales performance of different sales people can be misleading  Differences in territory potential  Levels of competition  Workload etc. d) Comparing current sales with past sales (better approach) f) Sales Reports, Work Plans / Schedules, Territory Improvement Plans, Expense Reports etc. h) Qualitative Evaluation of Sales People.  Knowledge of the company, products, customers, competitors, tasks etc.  Personal traits like manner, appearance, temperament etc.  Problems with motivation or compliance.
    • Creating Sales & Marketing Promotional Effectiveness  The right customer  The right channel  The right frequency  The right message  The right mix and sequence  The right level of resources Many of these concepts overlap and are inter-dependant.
    • Giving Performance Feedback  Feedback answers the question “How are we doing?” It is simply information about progress towards the accomplishment of goals.  Feedback is important because it enhances the effectiveness of goal setting by providing the information needed to modify behaviour in order to attain objectives.  Whether the news is good or bad people need to know how they are doing; without feedback, good performance may even change for the worse and poor performance may persist or get worse.  Feedback is easier and more productive in situations of high mutual trust and confidence.  Positive feedback, catching people doing the right thing, is the most powerful form of feedback.  At times it is necessary to provide corrective feedback. To be effective such feedback should be early, private and constructive. Don’t leave for the annual performance review.
    • Actions to Improve Sales 1. Strategic Sales Management:  Clear targets for salesforce. Which accounts? Which product? Specific activities.  Customer selection / targeting.  Customer retention.  Design of a salesforce structure/deployment.  Measurement system/reporting system  Training/coaching (improve quality of the people)  Motivation. 2. New Products. 3. Price Increases. 4. Promotional Schedule/Targeting products at different times. 5. Sales Promotion Tools. 6. Certain steps by individual area managers. • Increased promotion investment
    • Actions to Improve Sales 1. Recognising opportunities as a constant journey 2. Products and Accounts Rationalisation. 3. Optimise operating processes. • Exploit existing products (Maximise support to best products) 5. Telesales. • Flat Markets; Sweat the products and take business from the competition. • Lifelong/Continuous learning.
    • Lifelong Learning  Product Knowledge.  Company Knowledge.  Customer Knowledge.  Territory Knowledge.  Industry Knowledge.  Animal health industry.  Agri. Industry.  CAP, WTO.  Competitor Knowledge.  Selling Skills.  Marketing.  Management  Skills / Functions /Activities.  Human Skills (Emotional Intelligence).
    • Sales Managers Accountability Checklist  Train and develop representatives.  Assist in their selection.  Review continuously the level of knowledge skills and the attitude of representatives.  Manage performance.  Planning (Sales Plan).  Direct and control allocated resources to ensure cost effectiveness within allocated limits.  Provide relevant field intelligence and feedback to management.  Sales Meetings/Training Courses etc.  Cooperate with other departments.
    • Direct Marketing  Marketing through various media that interact directly with customers, generally calling for the customer to make a direct response.  Characteristics  Direct marketing is non-public as the message is addressed to a specific person.  Direct marketing is immediate and customised.  Direct marketing is interactive.  Growing rapidly.  Main Forms  direct mail marketing; post, fax mail, e-mail, voice mail.  telemarketing / telesales.  catalogue marketing.  direct response television.  on-line marketing.  Customer database
    • Advertising  Advertising is the use of paid media to inform, persuade and remind target audiences about its products or organisation.  Powerful promotion tool.  Important decisions in advertising. 1. Setting advertising objectives:  To inform (new product, new uses, price change ect.)  To persuade (brand preferance, switching, attributes)  To remind 1. Setting the advertising budget;  What is affordable?  Percentage of sales.  Competitors spending /noise in the market.  Objectives and tasks to be accomplished.  Stages in the product life cycle.  Product differentiation.  Market share.
    • Advertising 1. Creating the advertising message.  Identify target customer benefits  Develop a creative concept or ‘big idea’ that will bring the benefits to life in a distinctive and memorable way. “Have a break, have a Kit-Kat” “Brain food-every Friday, The Economist” 1. Selecting advertising media.  Reach, frequency, impact.  Television, radio, newspapers, magazines etc. 1. Advertising evaluation
    • Public Relations (PR)  Building good relations with the companys’ various publics by obtaining favourable publicity (free); building up a good corporate image.  Old name for PR was publicity: activities to promote a company or its products by planting news in media not paid for by the company.  PR is a broader concept that includes publicity and other activities eg.  Press relations.  Product publicity.  Lobbying.  Investor relations.  PR Tools ;  News (company, products, people)  Speeches.  Special Events (openings, news conferances, press tour).  Written Materials (annual reports, brochures, articles, newsletters etc.).  Audiovisual Materials.  Corporate Identity Materials (logos, stationary, business cards etc.).  Sponsorship.  Company’s Web Site.  Public Service Activities (raising funds for worthy causes).
    • Marketing Marketing • Marketing Functions 1. Marketing Concept  Marketing Research & Analysis  Product Development 1. Marketing Functions  Marketing Planning  Marketing Communications Mix (Promotions m Selling The Six Facets of  1.  Advertising Marketing  Sales Promotion  Direct Marketing Public Relations Drivers for Sales and   1. Market Segmentation Marketing Effectivness  Product Positioning  Distribution  Customer Service