Sales and Operations Planning

This assignment delves into the principles and practices of Sales and Operations Planning (S&OP). It examines the core concepts of S&OP, its role in aligning business functions, and the benefits it brings to organizations. The assignment utilizes a range of academic sources to provide a comprehensive understanding of S&OP.

SALES PLANNING AND
OPERATIONS

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Evaluating how personal selling supports promotion mix....................................................1
1.2 Comparing buyer behavior and decision making process in different situations..................1
1.3 Role of sales teams within marketing strategy......................................................................2
M1................................................................................................................................................2
D1................................................................................................................................................3
TASK 3............................................................................................................................................3
3.1 Sales strategies developed in line with corporate objectives.................................................3
3.2 Importance of recruitment and selection procedures.............................................................3
3.4 Explaining how sales management organize sales activity and control sales output............4
3.5 The use of databases in effective sales management.............................................................4
M3................................................................................................................................................5
D2................................................................................................................................................5
TASK 4............................................................................................................................................5
4.1 Developing sales plan for a product......................................................................................5
4.3 Investigating opportunities for using exhibitions or trade fairs.............................................6
D3................................................................................................................................................7
CONCLUSION................................................................................................................................7
REFRENCES...................................................................................................................................8

INTRODUCTION
The concept of sales planning and operations is a business process that aimed at
determining the optimum level of production or output in the market. It plays a crucial role in
balancing and equalizing supply and demand of goods and services in the company. The present
report discusses various aspects of sales planning in respect of Primark which is a famous Irish
retail clothing store chain.
TASK 1
1.1 Evaluating how personal selling supports promotion mix
The oral or direct communication with potential buyers to sale a product is referred to as
personal selling. It plays a major role in finding new customers and communicating with the
existing clients along with gathering information and allocating available stocks. Three main
components of selling tasks are: getting an order, taking it and providing personnel support after
sale (Slack, Chambers and Johnston, 2010). Through personal selling process, Primark is able to
gather market information which helps in preparing better marketing plans and strategies for
their products. The concept supports promotional mix strategy in creating awareness and
attraction in the minds of customers for a service.
1.2 Comparing buyer behavior and decision making process in different situations
There are seven stages of buyer decision making process:
 Need and desire.
 Gathering information.
 Evaluating alternatives.
 Purchase of product.
 Post purchase evaluation.
Corporate decision making process is a complex process as it involves functioning of
multiple people as compared to consumer buying process (Feng, D’Amours and Beauregard,
2008). The sales representatives of Primark have a great impact on buyer’s decision making
process whether it be B to B or B to C. In business to business concept, a product manufactured
by one firm act as raw material for the other, they are major clients of sales people. While, in
business to consumer process the produced good is the final product which is consumed by the
customers directly. Here, promotional tools like personal selling are important to operate.
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1.3 Role of sales teams within marketing strategy
The sales department of Primark plays a pivotal role in achieving sales targets of an
organization and generating revenue and profit maximization (Jacobs, Chase and Chase, 2010).
Following are some responsibilities of this team:
 The team prepares strategies and techniques that are required to achieve consumer’s
needs, demands and desired results.
 The future course of actions are identified and analyzed properly on the basis of
information gathered.
 They are responsible for product and brand promotion that makes the goods popular
among huge mass.
 Close and prosperous customer relationships are built and maintained to aware its
fashion-conscious clients (Katz and Green, 2009).
M1
The present scenario of UK reveals that the increasing trend of online shopping has
resulted in fading the concept of personal selling. Although, it plays its on part in marketing
process which is as follows:
 Prospecting and
searching for
new clients and
customers.
 Communicating
with the existing
and potential
consumers.
 Enhancing sales of
the company by
solving queries of
clients.
 Providing after
sales service
which builds
better customer
relations of the
business.
 Obtains information
of clients through
feedback which
help in framing
strategies.
 During product
shortage time, it
helps to allocate
available stocks.
D1
In order to improve the personal selling process as compared to online shopping, few
recommendations can be made. The managers should establish strong customer relations by
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taking periodic feedback from the targeted group (Rouse, 2016). After-sale services should be
delivered in order to retain and attract the clients. Primark can adopt various strategies of
personal selling and comprising their own merits and demerits as: Customer interaction: In order to understand the needs of individuals, the mangers
should make cross questions. Queries should be asked in such a manner that it doesn't
make an awkward situation to deal with.
 Follow-up: Feedback to plan new strategies are sometimes affected by external factors
that do not reveal the real facts (Wallace, 2006).
TASK 3
3.1 Sales strategies developed in line with corporate objectives
The organizational goals determine what a business wants to achieve. The corporations
always aim for profit maximization, return of investment, increase market share, goodwill and
customer satisfaction. These objectives are achieved through sales strategies to a small extent.
Primark establishes its market by making simple design and fabrics with the most popular sizes
in bulk. The company does not believe in spending heavily on advertising rather than on the
fashion fans and value seekers eagerly who wait for its new collection and range (Gupta and
Kohli, 2006). It targets the mass market from males, females and kids clothing and
confectionery.
3.2 Importance of recruitment and selection procedures
Recruitment and selection process forms the core concept of acquiring, developing and
rewarding the human resource factor of an organization. It identifies organizational needs to
employ required number of workforce and selects right people for the right post in the given time
period. Training and development of the employees and adoption of measures to retain and
attract skilled and qualified members contributes a lot in achieving the organizational objectives
(Grimson and Pyke, 2007).
The Irish retail clothing company also focuses on recruiting and selecting innovative and
skilled fashion designers. The managers seek to approach designers who are fashion lovers and
value seeker.
3.3 Role of motivation, remuneration and training in sales management
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 As it is well-known fact that motivation is reliable tool to provoke and encourage an
individual to gather strength and efforts in particular direction (Riley, 2009). In sales
management, motivational tools like salary and commission based remuneration;
financial incentives and team building play a crucial role in encouraging sales
representatives.
 The clothing company effectively implements recruitment and selection process which
results in better sales and acquiring desires outputs. It also adopts training initiatives like
ongoing training, continuing professional development and training on specific products
to build its sales team knowledge and skills to deal significantly with the clients.
3.4 Explaining how sales management organize sales activity and control sales output
Sales management administers the personal selling component of an organization's
marketing program. For Primark, to plan and organize sales activities, it is essential to implement
sales management components and measures properly (Thomé and et.al., 2012). The primary
functions and responsibilities performed are briefly discussed below:
 Firstly, identify and set goals for sales force, to encompass strategies related to products,
price, promotion and distribution.
 Secondly, planning, budgeting and organizing a program to achieve those goals.
According to financial priorities and constraints of the company, its budget will be passed
and actions will be performed accordingly.
 Now, the sales team requires implementation of marketing program and monitoring its
results. The management also includes evaluating the actual outcomes arising out of the
prepared plan.
3.5 The use of databases in effective sales management Retain customer’s details: The clothing company makes use of database management to
uphold customer’s tastes and preferences, contact details, purchasing and billing receipts.
As it is hard to remember key details of the clients, this system facilitates anytime access
to customer’s database. Security and data protection: Client details are secured and protected in order to avoid
situation of hacking or dis-lawful activities that can have negative impact on its
consumers.
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 Sales and profitability: The clothing company focuses on better sales and higher profit
generation for the smooth functioning of business activities (Oliva and Watson, 2011).
The ultimate objective of increasing sales is achieved through sales management.
 Targeted marketing: Through targeted marketing, the sales representatives of Primark
are able to monitor and focus its product collection to a particular group of clients. This
results in specialization which ultimately provides better results.
M3
The HR department of Primark will take in consideration candidates who possess skills to
design both simple and stylish costumes for its fashion fans. While recruiting and selecting staffs
for selling cars will require technical knowledge about cars and different automobiles. Though
both the sectors will need qualified, dedicated and loyal employees to provide better services to
the customers and achieve the desired targets (Krajewski, Ritzman and Malhotra, 2007).
D2
Personal selling for sports product helps to contact and directly deal with the clients who
are present in the market. The sales person is able to interact, explain advantages of the sport
product and also clarify the doubts and queries of the customers. Thus, it not only increases
sales, but promotes the concept of relational marketing.
TASK 4
4.1 Developing sales plan for a product
Vision: To increase the profit of sports line products by 5% .
Objectives:
1. Rise the sales of sport line within the time period of two years.
2. Increase the number of customers from 300 to 600 for Primark sports shoes.
Strategies:
1. Appoint sales team of five members to organize and manage sports line.
2. Contact to five prominent sports accessories retailers.
Actions:
1. Recruit and train sales representatives of the company.
2. Perform regular visits to retailers to identify customers’ needs and demands.
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3. Organize weekly meetings with the sales managers for further implementation of sales
activities.
4.2 Investigating opportunities for selling product internationally
Now, in order to explore international market for the sports shoes product line of
Primark, the sales executives will make use of advertising, licensing and franchising techniques
to increase its profit. Advertising of shoes through direct mailing, social media and search engine
optimization will make the dormant segment of customers to try out this exclusive range of
company (French and Rumbles, 2010).
Primark can make use of licensing policy to take direct advantage of its real existence in
particular company. This implies that the company will establish its plant in a targeted company
band produce sport shoes range according to the current scenario of the country.
Another concept of franchising will indirectly help to access the international market.
The initiative of opening different franchise stores and outlets all across the globe will help the
company to make handful advantages of higher sales and profit.
4.3 Investigating opportunities for using exhibitions or trade fairs
There are various measures to promote and advertise a product or service in the market.
One of the promotional tool to investigate opportunities for sports shoes range of mentioned
business entity is exhibitions and trade fairs. There are lots of advantage in promoting a product
in person within different environment (Milliken, 2008). Trade shows and exhibitions will target
the people involved or interested in knowing a product. It facilitates brand image and awareness
in the market. It provides a wide platform to Primark to interact with the youngsters and retailers
in the market.
D3
ISPO MUNICH is world's largest trade fair for sports goods and sportswear. Primark
participation in this trade show will present its innovative sports shoes model to attract not only
customers but the eminent business entities of respective field. The company needs to present
samples of shoes in the best booth design.
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CONCLUSION
This assignment builds up the significance of sales planning in achieving organizational
goals of a business entity. It explains the role of personal selling in framing marketing strategy of
a company and compares various buyer behaviors and decision making process in different
situations. The concept of sales management elucidates development of sales strategies with
reference to corporate objectives of the mentioned company. At the end, a sales plan is
developed for Primark sports shoes wear.
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REFRENCES
Books and Journals
Feng, Y., D’Amours, S. and Beauregard, R., 2008. The value of sales and operations planning in
oriented strand board industry with make-to-order manufacturing system: Cross
functional integration under deterministic demand and spot market
recourse. International Journal of Production Economics. 115(1). pp.189-209.
Grimson, J.A. and Pyke, D.F., 2007. Sales and operations planning: an exploratory study and
framework. The International Journal of Logistics Management. 18(3). pp.322-346.
Gupta, M. and Kohli, A., 2006. Enterprise resource planning systems and its implications for
operations function. Technovation. 26(5). pp.687-696.
Jacobs, F.R., Chase, R.B. and Chase, R., 2010. Operations and supply chain management.
McGraw-Hill/Irwin.
Katz, J.A. and Green, R.P., 2009. Entrepreneurial small business. Boston: McGraw-Hill Irwin.
Krajewski, L. J., Ritzman, L. P. and Malhotra, M. K., 2007. Operations management: processes
and value chains.
Milliken, A.L., 2008. Sales & operations planning: building the foundation.The Journal of
Business Forecasting. 27(3). p.4.
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.
Slack, N., Chambers, S. and Johnston, R., 2010. Operations management. Pearson education.
Thomé, A.M.T. and et.al., A.J., 2012. Sales and operations planning: A research
synthesis. International Journal of Production Economics. 138(1). pp.1-13.
Wallace, T., 2006. Forecasting and sales & operations planning: synergy in action. The Journal
of Business Forecasting. 25(1). p.16.
Online
French, R. and Rumbles, S., 2010. Recruitment and Selection. [PDF]. Available
through:<http://www.cipd.co.uk/NR/rdonlyres/01F95685-76C9-4C96-B291-
3D5CD4DE1BE5/0/9781843982579_sc.pdf>. [Accessed on 16th Feburary2016].
Riley, J., 2009. Explain the role of corporate objectives in business strategy [Online]. Available
through:<http://www.tutor2u.net/business/blog/qa-explain-the-role-of-corporate-
objectives-in-business-strategy>. [Accessed on 16th Feburary2016].
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Rouse, M., 2016. sales and operations planning. [Online]. Available
through:<http://searchmanufacturingerp.techtarget.com/definition/Sales-and-operations-
planning-SOP>. [Accessed on 16th Feburary2016].
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