Sales and Operations Planning: A Systems Approach to Achieving Success

The assignment content discusses various aspects of sales and operations planning (SOP). It highlights the importance of effective SOP in achieving success. The references provided include books, journals, and online resources that focus on different aspects of SOP, such as contract design, inventory planning, seasonal sales planning, consumer behavior, and supply chain management. The references also touch upon topics like manufacturing planning and control, project management, and sentiment analysis for improving demand and sales clarity. Overall, the content emphasizes the significance of evaluating SOP effectively to attain success.

Operational Sales
Management

INTRODUCTION
Sales operations is considered as an effective business activities and processes which
helps in carrying out sales within firm. Therefore, managers aims to undertake effective business
strategies and objectives so that sales can be enhanced. Here, managers aim to assess the
changing needs of customers and implement technological advances that have led to attain
customer satisfaction (Johnston and Marshall, 2013). Appropriate training needs to be provided
to sales force so that they are able to manage the operations within firm effectively and thus
identify the conditions of local market in regard to provide best quality products and services to
consumers. As the sales manager depends upon the performance of others in regard to be
successful and attain business goals. Similarly, managers are influenced to use sales personnel in
regard to encourage them to enhance the performance of sales in market. For this, it is essential
for managers to provide appropriate training and development to sales person and thus encourage
them behave appropriately in an ethical way to attain organizational objectives. Here, examples
are given of different enterprises that focuses upon managing its sales force to enhance the sales
of business (Kerzner, 2013). The main ethical issues faced by businesses is regarding advertising
and recruitment of employees. Therefore, it is essential for business to focus upon different
ethical behaviour of workers and thus carry out best results in regard to carry out the desired
results.
As per the American Marketing Association, businesses needs to determine its sales
forecast so that proper planning needs to be done in regard to improve the sales of firm. Also,
managers are required to give specific sales training to its sales personnel which help them to
identify their sales location and deliver best quality products to them in regard to enhance the
sales and profitability (Wood, Reiners and Srivastava, 2013). For instance, IKEA is a global
brand operating in worldwide location, therefore, it is essential for business to render best
training and development opportunities to its sales personnel so that they can identify the needs
and requirements of customers and deliver them the products accordingly. Sales manager possess
different roles and responsibilities that helps in influencing the performance of their sales
personnel in regard to motivate sales people to attain their desired targets. IKEA manager aims to
encourage sales people in regard to enhance their influencing power which results in improving
the sales performance of firm (Jacobs and et. al., 2011).
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Sales people is considered as the lifeline of any firm and thus it is essential for them to
get encouraged by different motivational benefits so that they are influenced to attain desired
results. Further, managing sales force is an crucial task as firm needs to divide them in terms of
territory and area so that they can focus upon the needs of people living in that geography and
provide them best quality goods to enhance customer satisfaction (Wallace, 2013). For instance,
IKEA uses such technique that is beneficial for them such as providing multi-utility furniture
products for UK consumers as they have space issue and thus providing them such convenience
results into enhancing sales and profitability. Sales people are under the direct control of sales
managers therefore, it is essential for sales director to identify their roles and responsibilities in
regard to encourage workforce and also help them to behave ethically which would result into
managing business operations in market (Dai and Chao, 2013).
There are different areas that needs to be consider by the sales manager while motivating
the sales people in regard to behave ethically. For instance, any service industry focuses upon
motivating its manpower because it helps them to deliver best client service and thus enhance the
sales of firm in market (Kumar and Srivastava, 2014). Likewise, manager of Hilton hotel focuses
upon organizing its sales force and thus using them to influence the performance of sales in
market. It is the best way through which sales and profitability of firm can be enhanced to attain
desired results. As compared to any other business, firm needs to encourage its workers by
providing both financial and non financial benefits and thus motivate them to deliver best
customer service (Grinyak, Mozharovskii and Degtyarev, 2011). Encouraging sales people is one
of the best method through which performance of business can be improved and thus set results
can be attained in an effective way. Ikea adopts effective recruitment process such as selecting
skilled people and upload recruitment advertisement with different agencies so that they can hire
skilled people. It is beneficial for them to improve business performance. Business gives
advertisement in different websites that helps them to select skilled workers and thus carry out
best process to hire best workers.
Every organization aims to train its workforce in an effective way so that they can
manage the sales operations efficiently in regard to deliver best quality products or services to
consumers. Business also aims to organize proper sales force which helps in influencing
performance of their sales people and thus it encourages sales people to behave in an ethical
way. Preparing organizational structure is a crucial task that helps in assessing the changing
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needs of consumers and technological advances helps in enhancing the consumer base (Lyus,
Rogers and Simms, 2008). Also, following proper structure helps in assessing there is an
interconnection between each and every level of workers so that they can direct their operations
with each other. For instance, sales director is the main person under whom regional sales
managers are there for different geographical location. However, under whom are sales manager
works and thus they are directly connected with the sales people in regard to provide them
authority and delegation so that business operations could be carried out successfully. For
instance, any business enterprise could possess different people within their sales team such as
agents as well as their own sales people (Oliva and Watson, 2011). However, it would result into
beneficial for them to manage the operations and increase the sales of firm. Another selling
method adopted is telesales in which sales people of firm carries out the sales by speaking to
customers through telephone and thus providing them valuable information of the company's
products. It also essential for IKEA to provide proper training to its workers by using effective
ways such as identifying the needs of required training within workers and providing them the
same so that they can fulfil the needs of customers. HR management of Ikea implements
effective training programs which helps them to improve their skills and capabilities and
accomplish desired task. Also, it is essential for IKEA managers to encourage workers by using
different financial and non financial rewards so that they could be encouraged towards business
targets. They identify the needs of individuals and provide them proper rewards and awards so
that business performance could be attained.
Furthermore, relationship selling is also considered as one of the effective form of sales
promotion and thus using innovative technology helps in attracting customers and increasing
competition so that set results can be attained. Also, it is crucial for individual to increase face to
face contact and thus possess significant role in order to play a crucial role in improving
customer value (Gray, 2010). Further, businesses such as IKEA is required to assess or
determine its number of sales people so that they can identify the workload in regard to manage
the operations and thus equally distribute the same so that best results can be attained. Further, it
is essential for firm to improve customer satisfaction and thus increase the value of goods and
thus estimate the number of sales people so that annual sales can be determined which helps in
attaining best results (Honey, Ford and Simintiras, 2003). Moreover, in regard to manage the
workload it is essential for firm to balance the same with the help of dividing the territories. With
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the help of such technique it is considered as an effective approach and thus work load could be
managed appropriately to attain desired goals and enhance the business performance in market.
Sales managers are required to decide proper compensation and remuneration for its
workforce that aims to motivate them and thus work effectively towards the business objectives.
Therefore, each and every enterprise focuses upon identifying the sales potential and thus
generating innovative ways through which sales performance can be improved. Providing
different types of compensation plan such as fixed salary, commission and salary and
commission both helps in encouraging workers to target the particular customer group which
helps them to improve the sales performance (Hoyer and maclnnis, 2012). It is the best way
through which sales operations can be carried out and satisfy the needs of employees through
which they are encouraged and thus best results can be attained. Moreover, workers are required
to adopt time management strategy effectively which helps them to accomplish their work on
time and thus take few breaks so that performance could be encouraged in an effective and
efficient way. For instance, employee of Hilton hotel focuses upon taking dew breaks and thus
deliver best quality products or services to consumers in regard to enhance sales and profitability
of firm in market (Johnston and Marshall, 2013).
There are different factors that helps in encouraging sales people in regard to behave in
an ethical way because it is essential for them to carry out such role so that business operations
can be carried out in an effective and efficient way. Here, recruitment is considered as one of the
effective way that assists in recruiting or selecting skilled workforce and thus expand the
business operations in market (Oliva and Watson, 2011). Thus, recruitment is the best way
through which HR management could focus upon recruiting effective sales team and thus expand
the business operations so that best results can be carried out within firm. Further, after carrying
out the recruitment process, business aims to provide training to its workers and thus enhance
their skills and capabilities so that appropriate results can be attained. Training is considered as
the best way through which sales people could enhance their skills and capabilities and thus
provide required product information or knowledge to consumers. Thus, it aids in enhancing
sales and profitability of firm in market (Tavares Thomé and et, al., 2012). Therefore, sales
manager need to assess proper training needs of workers and thus provide them similar training
sessions so that they can improve their ability and perform effectively.
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Training is considered as one of the effective area which helps in encouraging sales
people in regard to behave ethically and thus provide them best information about products or
services so that sales can be enhanced. Thus, it is essential for business to provide best training
program to its workers which would result in improving the sales efficiency so that appropriate
results could be attained (Thome, Sousa and Carmo, 2014). Training and development needs to
be assessed by the HR manager of firm and thus provide them specific training session so that
skills could be encouraged which would result in attaining desired results. Here, sales managers
of IKEA are focused upon using such techniques and thus using different ways through which it
helps in influencing the performance of their sales people and motivate sales people to
accomplish desired results. Therefore, it is the responsibility of the manager of IKEA to
determine the training needs of people and thus enhance their performance efficiently which
helps in motivating workforce and thus helps in encouraging them so that set goals can be
attained (Wacker and Lummus, 2012). Through such way managers influences the performance
of its sales personnel and motivate individuals so that they can attain desired results within firm.
Hence, it is significant for manager to get influenced from the performance of their sales people
and thus encourages them to work hard to attain desired results.
Further, it is essential for managers to encourage it sales personnel and for that they need
to provide them proper motivational benefits such as rewards and awards so that success can be
attained. Through introducing different types of motivational benefits such as rewards and
awards that helps in influencing people to satisfy their needs and wants. It is the best way
through which sales people are encouraged and thus they could be influenced in regard to behave
ethically (Markgraf, 2014). Motivation is considered as an crucial factors that would result into
improving the efficiency of individual and thus they are encouraged to work hard in regard to
satisfy the needs of customers. For instance, the managers of IKEA and Hilton uses both
financial and non financial rewards so that sales people can be encouraged to work towards
stated goals such as attaining customer satisfaction. All such factors are crucial which helps in
encouraging sales personnel and thus uses by the firm in regard to influence the sales
performance and encourage sales people to work ethically towards business objectives (Johnston
and Marshall, 2013).
There is another crucial factor that also needs to be considered by the sales manager in
regard the control the business operations and thus uses such factor which results in influencing
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the performance of individuals and motivating them to work toward desired results. Here,
working ethically is essential means they should not adopt any unethical measures or wrong
ways so that it should not affect the business performance (Kerzner, 2013). Adopting unethical
measures by IKEA such as not informing the clients regarding product quality or any other
specific feature helps in affects the business as well as individual from such operations.
However, it is essential for managers to undertake effective ethical practices and thus avoids
unethical practices so that it does not affect business operations in market. For instance, if
business operates its functions in an unethical way than it would avoid firm to improve its
business performance and thus result in attaining losses. Thus, in order to attain best results in
the form of high profits it is essential for employees of IKEA and Hilton to avoid unethical
behaviour and thus attain best results (Wood, Reiners and Srivastava, 2013).
In the current era of globalization, it assesses that within the international selling
environment, business helps in improving the sales performance of firm and thus attain best
results. Therefore, it is essential for each and every firm operating in global environment to
promote the products or services with ethical behaviour and try to avoid unethical conditions so
that best results could be attained (Wallace, 2013). IKEA aims to enhance its business in
different countries and thus uses ethical behaviour which would result into performing best
results so that legal and ethical issues are identified in regard to overcome the business
performance. There are various skills required for training sales managers in regard to motivate
them and improve business as well as individual performance. It involves different skills such as
career planning, conflict and time management. Delegation and decision making etc. helps in
improving the skills of sales manager so that IKEA can accomplish the desired targets so that
they can attain desired results.
Here, sales professionals are required to control the sales process and use different
techniques that would help firm to undertake effective customer choices so that sales
representatives could persuade clients to perform in an effective way and attain best results (Dai
and Chao, 2013). There are different techniques use in regard to control sales such as-
Sales Funnel- It is considered as one of the effective sales control technique so that sales
management and representatives are required to control the objective regarding moving the
customers from being initial leads so that sales of product can be enhanced. Sales funnel are
called an effective approach as it helps in carrying out the process so that customer relationship
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could be build. Here, sales personnel identifies the best way through which they are focused
upon looking at the customers number and thus determine their level that best results can be
attained (Kumar and Srivastava, 2014).
Sales forecasts- Further, there are certain aspects of sales that could not be controlled such as
certain products that go out of date. Therefore, it is essential for sales personnel to forecast the
sales and make appropriate adjustment so that best results can be attained. Thus, it would help in
improving the workers performance and carry out best results so that success can be attained in
an effective and efficient way (Grinyak, Mozharovskii and Degtyarev, 2011).
Pricing- It is another technique that would result into identifying effective factors of pricing that
focuses upon controlling the spending habits of individuals and thus providing them appropriate
price range so that they can purchase the required products and thus enhance the sales and
profitability of firm in market. Also, it is crucial for firm to encourage individuals and thus offer
best products or services and attain desired results (Lyus, Rogers and Simms, 2008).
Scarcity- It also identifies the needs and wants of customers so that it increases the chances of
consumer product choices and thus helps firm to enhance the sales and attain desired results in an
effective and efficient way. Therefore, business aims to adopt effective options that could help
them to enhance customer relationship and thus attain success (Oliva and Watson, 2011).
Sales control is considered as one of the effective aspect which helps management to
make sure that sales attainment and profit objectives of firm could be attained in regard to carry
out coordination effectively and efficiently to attain best sales functions. Further, it is essential
for firm to prepare proper sales budget and thus carry out audit and analysis that would result
into performing best action so that desired success can be attained. It would results firm to
maintain consistency and thus improve the sales performance so that success can be attained
effectively and efficiently (Wacker and Lummus, 2012). Therefore, proper action plan needs to
be prepared that aims to establish proper sales budget and analyse the business functions so that
set results can be attained in an effective and efficient way. However, providing proper training
would result into improving business functions and thus improving the skills and capabilities of
individual in market and thus attain desired results. Also, it is essential for firm to measure the
evaluation process and thus aims to motivate people and attain best results. Moreover, it is
essential for employees to undertake effective motivational benefits that influences individuals in
regard to carry out the desired task and attain best results. It involves job satisfaction, security
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etc, that needs to be carried out effectively and thus improve the business performance. Job
satisfaction and security encourages workers to carry out the task in an effective way and thus
improves the business performance in market.
Illustration 1: Sales control
(Source: Markgraf, 2014)
International selling involves economic and cultural factors that needs to be assessed by
firm so that best results can be attained. It is the best way through which pricing, legal and
ethical issues are discussed by firm which helps in identifying the issues and thus consider
appropriate measures for evaluation and improvement of success so that best results can be
attained. Therefore, proper suggestions for improvement needs to be discussed and thus analyses
the choices so that evaluation of success could be gained (Jacobs and et. al., 2011). International
selling carried out by IKEA in global market required to determine proper pricing, ethical and
legal issues so that it does not affect the business operations as well as customer in worldwide
market. Business needs to focus upon empowering sales personnel so that they can attain best
results.
CONCLUSION
It can be concluded form the study that operations in sales planning needs to be planned
effectively so that sales managers of business aims to evaluate their performance and thus attain
successful towards company goals. Also, they are efficient enough to be able to influence the
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performance of their sales people and provide them appropriate training and development
sessions as well as motivation factors that would result in attaining high market share and
customer satisfaction. Further, using different techniques for controlling sales performance needs
to be evaluated effectively and thus attain success.
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REFERENCES
Books amd Journals
Dai, Y. and Chao, X., 2013. Salesforce contract design and inventory planning with asymmetric
risk-averse sales agents. Operations Research Letters. 41(1). pp. 86-91.
Gray, D. C., 2010. Sales and Operations Planning Standard System: With Reference Software.
Trafford Publishing.
Grinyak, V. M., Mozharovskii, I. S. and Degtyarev, K. I., 2011. Neural network model of
seasonal sales planning. Information Technology. (7). pp. 48-53.
Honey, E. D., Ford, J. B. and Simintiras, A. C., 2003. Sales Management: A Global Perspective.
Psychology Press.
Hoyer, D. W. and maclnnis, J. D., 2012. Consumer behavior. Cengage Learning.
Jacobs, F. R. and et. al., 2011. Manufacturing planning and control for supply chain
management. McGraw Hill Professional.
Johnston, M. W. and Marshall, G. W., 2013. Sales Force Management: Leadership, Innovation,
Technology. Routledge.
Kerzner, H. R., 2013. Project management: a systems approach to planning, scheduling, and
controlling. John Wiley & Sons.
Kumar, R. and Srivastava, S. K., 2014. A Framework for Improving'sales and Operations
Planning'. Metamorphosis-A Journal of Management Research. 13(1). pp. 16-25.
Lyus, L, Rogers, C. and Simms, J., 2008. The role of sales and marketing integration in
improving strategic responsiveness to market change. Journal of Database Marketing &
Customer Strategy Management. 18(1). pp. 39-49.
Oliva, R. and Watson, N., 2011. Cross-functional alignment in supply chain planning: a case
study of sales and operations planning. Journal of Operations Management. 29(5). pp.
434-448.
Tavares Thomé, A. M. and et, al., 2012. Sales and operations planning: A research synthesis.
International Journal of Production Economics. 138(1). Pp. 1-13.
Thome, G. A. M., Sousa, S. R. and Carmo, S. A. R. I. L., 2014. Complexity as contingency in
sales and operations planning. Industrial Management & Data Systems. 114(5). pp.678 –
695
Wacker, J. G. and Lummus, R. R., 2012. Sales forecasting for strategic resource planning.
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International Journal of Operations & Production Management. 22(9). pp.1014 – 1031.
Wallace, T., 2013. Sales & Operations Planning: Where Is It Going?. The Journal of Business
Forecasting. 32(2). pp. 20.
Wood, L. C., Reiners, T. and Srivastava, H. S., 2013. Expanding sales and operations planning
using sentiment analysis: demand and sales clarity from social media.
Online
Markgraf, H., 2014. The Roles and Responsibilities of a Sales and Marketing Team. [Online].
Available through: <http://roles-responsibilities-sales-marketing-team-65580.html>.
[Accessed on 25th November 2016].
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