Afgar Corporation Case Study

1. +
Afgar Corporation
Managing Multi-Channel
Sales
Presented By:-
Abhinab Robert Rao
Poonam Bachiyani
Anurag Bari
Nitish Sahu
Tanuj Sethia

2. +
Outline of the Case
• Afgar Corporation Background
• Characters
• Tsr/Fsr
• Main Problems
• Ethical Issues
• Wyatt Fullmore.

3. +
Afgar Corporation Background
 Afgar Corporation is a multi national corporation headquarter in
Sweden.
 Specializes in manufacturing products.
 It dominated the European market for a quarter of a century.
 Purchased Digisoft and entered the U.S market.
 It deals in Business to Business Sales.

4. +
Characters
 Paul Welton - New (Regional sales manager) in Afgar’s Ohio –
Kentucky- Indiana territory.
 Wyatt Fullmore – He was a West Texas transplant who had
made a for himself turning the Ohio- Kentucky- Indiana territory
around.
 Frank Tappen – He was the owner of Tappen Distributors,
Afgar’s largest account in the territory.

5. +
Main Problem
 Wyatt gives products to the distributor on credit.
 Distributors takes loan and pays Wyatt later.
 Wyatt (Faulty Products Fraud) – Headquarters
 Headquarters sends credit to Wyatt.
 Wyatt Sends credit to distributor without any contract.
 Distributor pays back loan and make the payments on the
equipment to Wyatt later.

6. +
Q-1) How Should Paul proceed to
resolve the problem?
 Report to the Headquarters field service representatives about
the unethical activity which was done in his territory before
joining as a regional sales manager.
 Train new FSR employees to be ready and fire the whole
existing corrupt team.
 Hire Technical persons from outsiders to inspect faulty products
and report directly to the headquarters.
 Inform Distributors with Wyatt's Unethical action and set new
regulation of No credits.

7. +
Q-2)Should Paul restructure his
district's TSR/FSR sales strategies?
If so, How?
 Tsr/Fsr
 FSR- Field Sales representatives, acted as missionary
salespeople , demonstrating the company’s product to end users.
 TSR- Telephonic Sales representative, these are the people who
sold the firm’s consumable products directly to printers.
 Yes, Paul should restructure his TSR/FSR sales strategies
because of Afgar commission structure , the TSRs also started
calling on large accounts, sometimes 2 or 3 times a day and TSR
realized that they could cherry-pick the customers they called on
and get one large order by one phone call and this create problem
between the Company’s FSRs and TSRs.

8. +
Q-3)What ethical issues have been
breached in this case, if any?
• Wyatt Didn’t Give Written Contract to frank.
• Wyatt Lied to Headquarters on number of faulty products and
received Unnecessary credit.
• Hidden Unethical Agreement between Wyatt and Upper
management they gave him credit for faulty Afgar products.
• Wyatt did not return the faulty products to Boston instead of
doing it Wyatt had always written up the returns and
approved the final authorization for credit.

9. +
Q-4) What kind of leader was Wyatt
Fullmore?
Wyatt Fullmore has two kind of leadership quality :-
a) Charismatic Leadership. b) Thought Leadership
 Charismatic Leadership :- Injects huge doses of
enthusiasm into his or her team, and is very energetic in driving
others forward.
 Thought Leadership:- A highly task oriented leader
focuses only on getting the job done.