Case Study

1. Eureka Forbes Ltd: Managing the
Selling Effort
Submitted by Group 4
Chandrachuda Sharma Y – 12P194
Chirag Sachdeva – 12P195
Abhro Gupta – 12P200
Santosh Garbham – 12P229
Venkatesh Vasudev Vellur – 12P238

2. Problems
• Issues with Eurochamps
– Eurochamps missing an easy sale
– Missing simple cues
– Unclean and damaged demo equipment
– Responding to customer objections is neglected in training
• Possible Reasons:
– Improper training from seasoned reps and team leads
– This can be due to stringent targets/ lack of time to senior reps
– Senior reps have no incentive to train new reps who would encroach
on their targets subsequently
Task Avg time Target
Time per
call
Demos and
selling 18060/month
1 hour 30
mins
15/week
2/day
customer
contacts 12050/day
<2.4mins/c
all

3. Problems
• Territory conflicts between seniors and juniors
• Possible Reason:
– Saturation in territories
– Reduced growth opportunities within the organization
• High attrition rate
Size Attrition %ge
Time
0 180
0-6 months 60 66.67
7-12months 37 79.44
13-24 months 32 82.22
Possible reasons:
•Data is inadequate to comment on how much of it is due to natural sieving process
and how much is avoidable
•Due to inadequate support from senior reps
•Saturated territories to meet minimum targets like 40 sales per six months

4. Steps taken by Eureka Forbes
• New system “Bettering the best” was introduced
• Compensation is dependent on successful completion of various stages of selling
• Objectives:
• Improving productivity
• Increasing daily demos
• Enhancing Customer engagement time
• Providing a diagnostic tool for HCRC
Problems:
• Time taken to fill activity report
• 2-3 hours of extra paper work
• Computer training
Pros:
• Better training
• Better understanding of components of
sales
• Boosted morale

5. New system
Activity
New
Target
Time
allocated
Time per
call remark points
equivalent
units
Active Door Knock 30 120 4fine 5 600
Appointment for the
day 5 120 24too less time 10 300
GAS 1 30 100
Service Request 2
This is not in the
salesman's hands 10 300
Demos 3 180 60
this would be
insufficient 100 30
Sale: Standard 1 300 10
Sale: High end
product 600 5
Reference 1 50 60
FGF 3000 1
Meetings 1 200 15
Commercial
Appointment (w/a
business entity) 1 100 30

6. Analysis
• The new system gives proportionate weight to various components
of sales
• Territory wise targets should be set for each component as each
territory is different
• Time to be dedicated for each component should be considered
and some changes should be made as commented in the above
table.
– Some time component of seasoned reps and leads should be
dedicated for training
• Seasoned reps and team leaders should get points for every new
rep under him who stays beyond six months
• Salesmen would start increasing their points by performing easier
activities more like cold calling
– So, beyond points, ratios like call conversion etc should also be
analyzed territory wise and weights should be adjusted accordingly.

7. Analysis contd….
• There is a high chance that these points would be inflated.
– So, a strong code of conduct should be in place to prevent malpractices
• A feedback system for seasonal reps and team leads should be
there to ensure the quality of training to Eurochamps (i.e. a bottom
– up feedback system)
• Maintenance of customer database is inculcated in the new system
– this would help EFL maintain relation with customers easily even after the
reps leave EFL
– Help understand the potential and other demographics in each territory
• OYBC scheme has a very low attrition rate. So, possible reasons
should be explored if it enhances salesforce effectiveness

8. Thank You