Valley Winery, a favorable wine company, hired Pat Waller as their sales manager of the San Francisco region’s chain division. Although the company has had increasing sales for the past several years, Valley Winery has its fair share of problems that have Waller worried. He is very aware of the competitiveness within the wine industry and is concerned that Valley Winery will not be able to continue consistently increasing their sales.
Turnover rate is the number one issue at Valley Winery. Every problem the company has bleeds into the turnover rate. The company’s turnover rate is currently at almost 100 percent a year; this is a huge issue that Waller must address. The existing sales rep employment average
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Waller also needs to reevaluate his hiring management team and set up a concrete measurable grading system of qualifications for hiring. This way, age and looks cannot be taken into consideration and there is consistency in hiring. More emphasis must be placed on appropriate training for new hires. The training process is integral in creating successful sales reps; a greater investment needs to be made in the staff. More emphasis needs to be placed on the training process. Lower turnover will lead to costs savings associated with neglected accounts. The current quota system is unrealistic and breeds discouragement among the sales representatives. The quota system needs to be transitioned into one that is easily understood and calculated by the sales force. Despite Valley Winery being a privately held company, more transparency is needed internally. This will help create trust and understanding with the staff and reduce sales reps’ need to play unfair and tamper with their competitors’ displays, as well as exaggerate their sales figures. An activity-based quota would be an effective way of establishing positive habits and long-term relationships between reps and their accounts. It will also help curb the overly aggressive sales style. Sales reps have also expressed discontent with the amount of work that is currently on their plate. Right now, sales reps are wholly responsible for