Operations Management: Analysis and Improvement of Sales Department Processes

This course project analyzes the management processes of the operations of the sales department of LLC DEZSNAB-TRADE with the identification of deficiencies and proposes a project to improve the process. The project aims to make changes to the structure of the sales department, develop strategies to promote goods through the Internet, and increase the company's profits.

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Operations Management
Name:
Course
Professor’s name
University name
City, State
Date of submission

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Executive Summary
In this course project will be analyzed the process of managing the operations of the sales
department LLC "DEZSNAB-TRADE". The company is engaged in the production and sale of
disinfection means, disinfection, disinfestation, the main sales market are private and state
customers of Russia and the CIS countries, a dealer network is also formed. In particular, this
department includes an expanded number of functions performed, in addition to working with
the client and leading it to the transaction, as well as coordinating the company's purchasing and
storage centers. The sales department of LLC DEZSNAB-TRADE is key in the process of
making a purchase, because it is here that the client decides whether to work with the company
in the future. That is why the process of managing operations in an organization’s sales
department is important.
The purpose of this course project is to analyze the management processes of the
operations of the sales department of LLC DEZSNAB-TRADE with the identification of
deficiencies and the project proposal to improve the process (Carnes, Hitt, and Xu, 2015). The
objectives of the course design: making changes to the structure of the sales department - hiring
or training new employees, developing strategies to promote goods through the Internet.

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Introduction
The object of the study is the company's sales department engaged in attracting, advising,
the process of making sales, monitoring the transaction process and coordinating the work of the
purchasing department and warehouse complexes. The proposed project activities will improve
the efficiency of the organization - in the long term in terms of financial results (increase in
company profits), which will be justified by calculations of the economic efficiency of
implementations (Christopher, 2016).
Description of the organization
The company "Dezsnab-Trade" was founded in May 1996 (Dezsnab-trade. Ru) . The main
activities of the company are the development, production and sale of disinfection, deracination,
and disinfection. The company "Dezsnab-Trade" closely cooperates with the Research Institute
of Disinfectology of Russia and annually develops, registers and introduces into serial
production new products for disinfection, disinsection, deratization. Consider the functions of the
department in more detail:
1. Consultation of customers by phone.
2. Calculation of the required amount of goods.
3. Reservation of goods in stock.
4. Drawing up shipping documents, documents for receipt, providing the client with the schemes
of travel to the warehouse or the organization of delivery.

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5. Providing the customer with warranty cards, certificates, instructions on the use of drugs. The
sales (sales) department of DEZSNAB-TRADE LLC cooperates with the following divisions:
Suitable operation objectives for the sales department
There are various operational objectives for the company sales department, they include;
1. Developing the job knowledge and skills that help them in thriving in the sales
department, taking on additional relationships and pursue greater sales.
2. To support or advance the organizations mission, values, visison, principles, goals and
strategies.
3. To collaborate the efforts of the sales people and the vision for the department
4. Plan and implement successful initiatives and projects
5. Remain resilient and learn about the setbacks in the sales department
Full control of all functions performed, the resolution of issues on products, on the
systems of discounts provided, the provision of a report on the work done. Accounting -
verification of the state of non-cash payments, after which the shipping process starts, receipt of
bank statements, etc. 3. Interaction with third parties - shipping.4. Warehouse - making
shipments, accounting for goods in stock.1.4 Analysis of the existing system (process) of
operations management the organization faced two problems: customer leakage to competitors,
no influx of new customers. We can highlight the following management system weaknesses
(Epstein, 2018). Insufficiently developed advertising strategy, t. to. the goods are specific and
often aimed at specialized services (destructions, processing enterprises), advertising campaigns
are conducted only through mailings and exhibitions. Bad personnel policy - no personnel
training takes place, which leads to unqualified advice, one employee performs a large number of

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functions and duplication of work by sales managers. There is no customer distribution system in
the sales department (Flammer, 2015)
Characteristics of the operating system of the organization
The main goal of operations management is to ensure that operations are executed in the
right amount, at the right time, and of the required quality. That is the main goal in ensuring the
provision of basic and related sales services in the amount that is required for the order in due
time. In the course project is considered the company's sales department.
Designing products and services
All control in operating systems can be divided into strategic, tactical and operational.
Strategic management of operations includes the following processes: management of the
development of product and service strategies; operations management in developing a process
strategy; management of operations when choosing the location of the organization; operations
management in the development of equipment layout strategy; operations management in the
placement of industrial and office premises; management of operations in the complex
preparation of the production of goods and services (Haksever, and Render, 2018). The strategy
of products (services) or the design of products (services) - there is a choice or development of
products (services), the development and documentation of products and services. The goal of a
product (service) strategy is to provide a competitive advantage.
Concepts, Theories, tools and Techniques
1. The Product

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Designing products (services) includes the following stages: studying the needs of the
market, the development of technical specifications (specifications); development of project
documentation; development of working documentation; transfer to production (Heizer, Render,
Munson, and Sachan, 2017). At the stage of studying the needs of the market (this process
should be continuous), the need to produce a particular product (service) is assessed, a positive
decision identifies which characteristics are necessary for the consumer (this leads to the need to
choose either a new product (service) or to upgrade the existing one).
2. Price, promotion and Distribution
An impetus to the modernization of products (services) can be internal transformations in
production (for example, the development of new equipment or technology) (Hitt, Xu, and
Carnes, 2016). There are a number of factors that can objectively lead to the need to produce
new products (services): economic (increasing incomes of the population leads to an increase in
purchasing power) abilities); social (reducing the average family size leads to an increase in the
purchase of houses); scientific and technical (inventions, patents, etc., determine the need for the
emergence of new products and services); political (new laws determine the need to modernize
goods and services).
3. Sales theory and Practice and life cycle of products
The life cycle of products (services) should also be taken into account: implementation,
growth, maturity, and decline.At the stage of implementation, it is necessary to take into account
the additional costs associated with the development of products (services). At the growth stage,
the main task is to increase production capacity. At the stage of maturity it is necessary to carry
out activities to increase competitiveness. At the stage of recession, it is necessary to switch to

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the production of new or modernized products (services) in time (Kortmann, Gelhard,
Zimmermann, and Piller, 2014). At the development stage of the technical specification
(specification); defines the main characteristics of the product (service); composition of products
(services) and equipment; design; life time; key economic indicators; estimated volume of
release; characteristics of quality, reliability, safety, manufacturability, probable production
technology; the main deadlines and performers of the project, etc .At the stage of development of
project documentation the following documents are developed: technical proposal; draft design
and technical design (Laudon, and Laudon, 2016). Technical proposal - a set of design
documents containing a feasibility study for the development and selection of a possible design
solution. Draft design - fundamental design solutions that give an idea about the device and the
principle of operation of the product or service content, the main parameters and dimensions. At
this stage engineering drawings and specifications of materials, parts and assemblies are
developed. The question of what components to do and what to buy. Technical project - the final
technical solutions that give a complete picture of the device of the goods or the content of the
service.
Current Management of sales operations and how quality could be improved
Designing the production process of services (service process) Recently, the most
effective tool used during the drafting of a maintenance process is a service plan use of special
flowcharts. A unique feature of the service plan is the so-called “visibility trait”, which shares
operations that the customer does not oversee and operations that take place before the
customer’s eyes. The service plan is compiled by levels: On the first - the operations performed
by the client are shown (Liou, Tamošaitienė, Zavadskas,. and Tzeng, 2016). The following are

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the operations that are performed by the manager, but controlled by the client. In the third
operation, performed without the participation of the client. In the fourth - intra-company
accounting and accounting operations.
At the stage of development of working documentation, a working draft is formed of the
design documentation intended for the manufacture or modernization of a product or service. At
this stage, the following is developed: assembly drawing, assembly diagram, route sheet, work
instructions. At the stage of transferring to pilot or pilot production, the decision is made to
transfer production and create a support group. When designing a service, it is necessary to take
into account the factors that distinguish the service design process from product design : the
design of the service and its development are combined; the service cannot be stored; high
degree of service flexibility; the package of services cannot be accurately determined; Many
elements of the package are determined by the level of staff training in the process of service
there is no legal protection.
Need to apply the models and concepts choosen
These factors determine the features of the strategy (design) of the service, which is
determined by the chosen priorities. Here are the most common: attentive and courteous attitude
to customers, high speed and convenience of providing services, flexible discount system and a
wide variety of services, unique staff skills, high quality of materials used in the presentation of
services.
Horizontally, the service plan includes four stages: preliminary actions; problem
diagnosis; performance of work; the final stage. In drawing up a service plan, the complex

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“avoid errors” method is used to solve problems that arise during the maintenance process,
which is aimed at blocking errors in this process. The method consists of preventive methods and
methods of physical or virtual contact. When designing the process of production of services, the
following basic approaches are used: office-workshop; self-service; individual approach
(Richards, 2017). When using the office-workshop approach, the main attention is focused on the
maximum distance of the customer from the service provision process while implementing this
opportunity, the traditional principles “rules of production organization, i.e. The process of
providing services in this case can be viewed as a production process using appropriate strategies
(in particular, product-oriented strategies).
At the same time, where participation of the client is necessary, “office” activity is
organized, everything else is hidden from the client’s eyes in the “workshop”. This approach
reduces the overall costs of a service, but its quality may suffer. As an example, we can give
different levels of quality of service when cutting meat in a store, where the buyer chooses from
pre-chopped products, and in a specialized butcher's shop, where the buyer has the opportunity to
choose a particular piece of meat. Naturally, the cost of providing services in the first case will
be less (Saeidi, and Saaeidi, 2015).
Features of strategic capacity planning
Features of strategic capacity planning in the production of services Strategic capacity
planning in the production of services (capacity planning of a service organization) is largely
carried out according to principles that coincide with capacity planning in the production of
goods, however, there are a number of features. Service capacities are more dependent on
location, their degree of use affects the quality of service, they are much more susceptible to

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fluctuations in demand; service capacity is needed at the time of service (Stevenson, 2014). The
main issue that needs to be addressed in the process of strategic capacity planning in the
production of services is to determine how much power is optimal. The service organization
loses most of its unique characteristics due to the obsolescence of equipment, premises, etc. At
this stage, the main tasks of strategic capacity planning are the modernization and replacement of
existing premises and equipment, as well as the ability to update the overall service concept.
Conclusion
The sales department of Dezsnab- trade LLc has to operate efficiently according to the set
operational management needs. After the analysis, weaknesses in the functioning of the
operations management system were identified and measures for its improvement were
proposed. The economic efficiency of the planned costs necessary for the implementation of the
implementation plan was also substantiated. It was concluded about the feasibility of the project,
which was expressed in increasing the company's profits, reducing the complexity of providing
services, improving the working conditions of staff and the climate in the team.

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References
Carnes, C.M., Hitt, M.A. and Xu, K., 2015. A current view of resource based theory in
operations management: A response to Bromiley and Rau.
Christopher, M., 2016. Logistics & supply chain management. Pearson UK.
Epstein, M.J., 2018. Making sustainability work: Best practices in managing and measuring
corporate social, environmental and economic impacts. Routledge.
Flammer, C., 2015. Does corporate social responsibility lead to superior financial performance?
A regression discontinuity approach. Management Science, 61(11), pp.2549-2568.
Haksever, C. and Render, B., 2018. Service and Operations Management. World Scientific
Books.
Heizer, J., Render, B., Munson, C. and Sachan, A., 2017. Operations management: sustainability
and supply chain management, 12/e.
Hitt, M.A., Xu, K. and Carnes, C.M., 2016. Resource based theory in operations management
research. Journal of Operations Management, 41, pp.77-94.
Kortmann, S., Gelhard, C., Zimmermann, C. and Piller, F.T., 2014. Linking strategic flexibility
and operational efficiency: The mediating role of ambidextrous operational capabilities. Journal
of Operations Management, 32(7-8), pp.475-490.
Laudon, K.C. and Laudon, J.P., 2016. Management information system. Pearson Education
India.

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Liou, J.J., Tamošaitienė, J., Zavadskas, E.K. and Tzeng, G.H., 2016. New hybrid COPRAS-G
MADM Model for improving and selecting suppliers in green supply chain
management. International Journal of Production Research, 54(1), pp.114-134.
Richards, G., 2017. Warehouse management: a complete guide to improving efficiency and
minimizing costs in the modern warehouse. Kogan Page Publishers.
Saeidi, S.P., Sofian, S., Saeidi, P., Saeidi, S.P. and Saaeidi, S.A., 2015. How does corporate
social responsibility contribute to firm financial performance? The mediating role of competitive
advantage, reputation, and customer satisfaction. Journal of business research, 68(2), pp.341-
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Stevenson, W., 2014. Operations management. McGraw-Hill Higher Education.
Websites
(Dezsnab-trade. Ru)