Sales Planning and Operation Report: British Gas Case Study Analysis

This report provides a comprehensive analysis of sales planning and operation, using British Gas as a case study. It begins with an introduction to sales planning and operation, emphasizing its role in increasing sales and profits. The report then explores how sales strategies are developed in line with corporate objectives, using a scenario involving a sales advisor and a potential customer. It also delves into the importance of recruitment and selection procedures, outlining the steps followed by British Gas. The report further examines the roles of motivation, remuneration, and training in sales management, highlighting their impact on employee performance. Additionally, it explains how sales management organizes sales activities and controls output, including forecasting, team selection, and target setting. The report also covers the use of databases in effective sales management and the development of sales plans for products and services, along with an investigation into opportunities for British Gas in the Chinese market and the use of exhibitions and trade fairs. The report concludes with a summary of key findings and provides a list of references.

SALES PLANNING AND
OPERATION

TABLE OF CONTENTS
TASK 2............................................................................................................................................1
A. INTRODUCTION .....................................................................................................................1
b. Explaining how sales strategies are developed in line with corporate objective ...................1
c. Importance of recruitment and selection procedure for British Gas ......................................2
d. Role of motivation, remuneration and training in sales management ....................................4
e. Explaining how sales management organizes sales activity and controls the output of sales
.....................................................................................................................................................5
f. Explaining the use of database in effective sales management ..............................................6
g. Developing the sales plan for the products and services ........................................................7
h. Investigating the opportunities for the British Gas for selling the product in Chinese market
.....................................................................................................................................................8
i. Investigating the opportunity for British Gas for using exhibition and trade fairs .................9
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................11

ILLUSTRATION INDEX
Illustration 1: Recruitment process of British Gas...........................................................................3

TASK 2
A. INTRODUCTION
Sales planning and operation is the business management process which is used to
increase sales and profits of the enterprise. Each and every firm has the separate sales department
which helps in handling all the sales related operations of the company (Sales and Operations
planning (S&OP), 2016). . This is due to the fact that, with the help of given section only the
sales targets which are set by the company for the specified period of time will be met. This
function also helps in attracting and influencing large number of customers towards the
enterprise in an effectual way.
The present report is based on the case study of British Gas. It is the United Kingdom
(UK) based energy and home service provider company. British Gas is the part of Centrica group
which is formed in the year 1997. The given firm offers wide range of services such as gas,
electricity, home appliance services, renewable energy along with boilers and central heating
services. The essay will focus on the principles which are associated with the personal selling
process. In addition to this, the study will also state the role of sales management team within the
organization.
b. Explaining how sales strategies are developed in line with corporate objective
The sales strategies of the firm must be developed with the main corporate objectives.
Being the heating sales advisor of British Gas, I am having meeting with one of the prospective
customer of the company named as John. With the given task, I have the role to influence
respective customer for purchasing goods and services of the enterprise. However, before
conducting meeting with the John, I have set some sales strategy or plan which will give answer
to the following questions:
Primary objectives behind arranging the given meeting:
 My first sales objective is to influence John to purchase central heating services from the
company.
My objective is to resolve all the queries which are put up by Mr. John regarding the central
heating services. Another aim is to perform significant improvement in sales and profits of British Gas.
How would I know if I the meeting was successful or not
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After arranging meeting with John, if John will approach me regarding the installation of
central heating system in its store, then in the given situation I can conclude by saying that I have
achieved success in the meeting. However, if I will not get positive response from the client then
in the given situation meeting will be considered as unsuccessful.
Secondary objective
I have prepared secondary sales plan also which I will use when my primary sales
objectives does not work. In this context, my secondary objective is to negotiate with the client
and offer them discount on the respective services.
How tactics are in line with British Gas corporate objective
The above framed sales strategies are in line with the cited firm corporate objective. For
example, British Gas has the corporate objective to provide high quality services to the client.
The sales objectives of firm reflect the overall company’s vision of the cited enterprise.
Resolving the queries put up by the firm's customers is regarded as one of the aspect of high
quality services (Attia and Honeycutt Jr, 2012). Here, with the help of given approach only
British Gas can maintain satisfaction level of its buyers. Thereby, it can influence them to
purchase services and products from the corporation in an effectual way.
c. Importance of recruitment and selection procedure for British Gas
The recruitment and selection procedure has importance for the cited firm. But, before giving
explanation about the same, number of steps identified which is followed by British Gas HR
manager for the purpose to make the recruitment of skilled and talented employees (Ferrell,
2012). The detailed description about recruitment and selection phase is depicted in below:
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 Decision taken regarding the recruitment: At the first stage, manager of British Gas will
make the decision that whether there is a need to carry out recruitment within the firm or
not. This decision is taken because there are some circumstances in which the demand
relating to employees will be met by the firm through internal sources only. This means
that the company will not recruit employees from outside the organization. For example,
British Gas requires sales staff which can handle all the gas and energy related operation
of it. Job description: Here, on the basis of vacant post job description will be prepared by the
HR manager of the cited firm. It is the document which gives detailed account of all job
roles and responsibilities which needs to be fulfilled by the candidates who will be placed
in the respective position. The cited firm will prepare job description of the cited firm’s
sales staff (Hu, Yang and Islam, 2010). Job specification: After preparing the job description, in the next phase manager of
British Gas will prepare another document which will give explanation regarding the
skills which the company want to see in its appointed employees. This document plays
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Illustration 1: Recruitment process of British Gas
(Source :)

very important role in the recruitment process. It helps the firm in selecting right
candidate for the respective post. Plans are prepared how and when to advertise: In this step, manager of British Gas will
make the strategies for informing the candidate about the vacant post. Here, in order to do
the same corporation will place the advertisement about the respective post in number of
means such as newspaper and magazines etc. Applicants are shortlisted and references are requested: The advertisement as being
prepared by the firm tend to attract large number of individuals who are searching for job.
With an aim to shortlist the candidates, British Gas will set different criteria such as age,
educational qualification and experience etc. Selection tests and interview: The shortlisted candidates will be invited for an interview
and selection test. It is the final phase hence the candidate who give their best will be
appointed for the respective job (Hübner, Kuhn and Sternbeck, 2013).
 Signing the employment form: Finally, at the end all the paper works related with the
recruitment will be completed. The selected candidate will sign the employment forms.
The above mentioned recruitment and selection process which is being followed by the
British Gas has importance. By using the given process, manager of British Gas can fulfil its
demand relating to the skilled and talented employees in an effective way (Importance of
recruitment and selection process, 2016). Furthermore, the process will also assist in giving the
information about the conditions prevailing in the labour market of respective country. For
example, if firm has identified that it is getting sufficient number of skilled employees from
recruitment process (Ivert and Jonsson, 2010). Then in the given situation, it can assess that
labour market condition of the country is good. Moreover, the given process will also help firm
in placing right employee at the right position. Overall, it can be said that the respective process
has significant role within British Gas.
d. Role of motivation, remuneration and training in sales management
In order to manage the sales of firm, the approaches such as motivation, remuneration
and training plays very important role. These techniques help British Gas in the process of
attaining its overall sales goal. In accordance with the given context, it has been seen that the
person who handle sales operation has to work in a field. These individuals do not enjoy the
pleasure of getting the things done by simply seating on air conditioned office. In addition to
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this, the sales team of British Gas also handles the queries of different types of customers which
sometime seems to be most frustrating and irritating task (Kennedy and Avila, 2013).
Furthermore, sales team of firm also deal with different type of buyers who behave in a varied
manner. For example, some buyers greet the sales personal in a friendly way however some will
not. These all given situation tend to cause direct impact upon the motivation level of the
employees. Hence, it is due to the presence of given situation only, the need of enhancing the
motivation level of workers arises in front of the British Gas manager.
Besides this, remuneration also has very important role within cited firm. Remuneration
is the reward which employees receive in return of giving high quality services to the firm
(Remuneration, 2016). Remuneration has the significant role as this helps in maintaining or
enhancing the satisfaction and motivational level of the workers who works in sales department.
Here, in the aim of getting the reward from the employer, the sales team of British Gas tends to
give its high quality of services to the enterprise. Due to this, the strategic aims and objectives of
the corporation will be met in an effectual way.
The manager of British Gas performs significant changes in the policies which it frames
for the different type of services. The policy which firm changes needs to be communicated by it
to the sales staff. This is because, if it is not done by corporation at that time it becomes difficult
for the sales personal with regard to give thorough information regarding the services which is
being given by the firm to the buyers (Rudberg and Cederborg, 2011). However, the amendment
which firm has made in its policy will be communicated by it through the training program.
Furthermore, with the help of training and development programs only, necessary product selling
technique can be developed among the sales personnel of cited corporation. Due to this, British
Gas can get the benefit in the form of increased profits and sales.
e. Explaining how sales management organizes sales activity and controls the output of sales
It is not an easier task for any firm to organize the sales activity. It is due the fact that,
with an aim to organize sales activity manager of corporation will have to gather the thorough
information regarding the environment where it is operating its operations. In this regard,
following steps assessed which British Gas can use with an aim to arrange its sales activity: Forecasting the sales:In the first step manager of cited firm will forecast about the sales.
In this regard, it will gather the information about that specific services whose sales will
be increased in the future. In order to assess the same, the cited organization manager can
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take help from the tool such as bench-marking. With the help of given tool, British Gas
can compare the past and present sales data for the specific services (West and Saker,
2012). Accordingly, it can make the selection that particular services which sales will be
increased in the future. To make the selection of particular sales team: After forecasting the sales of specific
services which is being given by the cited firm. Here, in the second phase corporation
will make the selection of sales team who have the ability to handle the sales related
operation of the enterprise in an effectual manner.
 Finally setting the sales target: In the last step, manager of British Gas will set specific
sales target for each members of sales team (Usui, 2011). The target which manager set
needs to be completed by the team within the given specified time limit. Thus, by
following all the given steps only the framed sales target of the enterprise will be met.
In order to control the sales output, pricing tactic plays very important role. For example,
by decreasing the prices upon the services which is being given by firm, it can increase the sales
of them. In the similar way, the sales of services can be declined or minimized by increasing the
prices of respective services.
f. Explaining the use of database in effective sales management
Database is the collection of information which are basically used with an aim to make an
appropriate and an effective decision about the enterprises. It is important for all the firms
irrespective of their industry that are to maintain the record of their prospective and existing
customers. These all records will be maintained by the firm in the software which is called by
the name of database management system (DBMS). In accordance with the given context, it can
be said that the database has its significant importance because with the help of it corporation
like British Gas can gather the information about its existing customers. In addition to this, with
the help of given mean only, corporation can get the answer to the different type of questions.
For example, how often firm uses the services of British Gas and among all given services which
services of British Gas is liked by its buyers etc (Storbacka and et.al., 2010). Here, on the basis
of assembled information manager of cited firm can set its sales target in an effectual way. For
instance, from the information gather through database it has been assessed by the manager of
corporation that many of its existing buyers are linking its central heating services. Then, as per
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the gather information firm will set the sales target with regard to the given services. This is
done, with an aim to increase the sales and profitability related condition of enterprise.
In addition to this, manager can also feed positive and negative review of its buyers
regarding the services which is being given by it. Here, by working upon the negative review of
the buyers, corporation can influence them with regard to again use the goods and services of the
enterprise. Thus, it is through this way only manager can influence its customers for repeatedly
using its services in an effectual way. Moreover, the database will also help in giving instant
information about the mailing address of the respective buyers (Márcio Tavares Thomé and
et.al., 2012). By getting the respective information, British Gas can effectively respond to
complaints of its buyers. Through this way, it can maintain the satisfaction level of its respective
buyers. Thus, it can perform significant improvement in its sales and profitability related
condition.
g. Developing the sales plan for the products and services
British Gas offers number of services to the buyers. It consists of gas, electricity, home
appliances services and central heating etc. The firm has decided to expand its operation in some
other country. For this purpose, China is selected. Here, firm has taken the decision to launch
home appliances services in the respective market. Here, on the basis of given scenario following
sales plan has been prepared for the cited corporation. The plan will cover the following points:
 Introduction to the chosen services: The service chosen for the Chinese market is related
with home appliance. In this regard, British Gas offer the repairing services wherein it
will repair all the white goods of its respective buyers. The firm has set fixed prices with
regard to the given services (Converse, 2010). Furthermore, corporation also possess the
team of competent and talented employees who provides assistance in task of repairing
the white goods of buyers. Sales objective: With regard to the selected services, firm has the objective to give
information about the home appliance services among large number of Chinese buyers
within a two year tenure. Sales channel to be used: With an aim to sale the services, direct distribution mean will
be used. In this context, agent will be appointed who will give information to the sales
team regarding the customers who will require assistance for repairing their home
appliances (Dewsnap and Jobber, 2011).
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 Target customers: The target customers of firm would be both individual and
organisational buyers. Individual buyers for the firm could be all the family who resides
in China. However, all the hotels which are operating within the country will be
considered as the organisational buyers (Hinterhuber and Liozu, 2015). It is very
important for the corporation that it should give services to the both type of buyers. This
is because, through this way only the sales which is being forecasted by the firm will be
met. Sales forecast: The firm has the sales forecast that its sales will be increased by 10% in
Chinese market within two year tenure. This forecast can be used by the firm as the sales
target.
 Conclusion: It can be stated that the manager of cited firm can meet its sales related
objective effectively if it will comply with the above prepared plan in an effectual manner
(Burrows III, 2012).
h. Investigating the opportunities for the British Gas for selling the product in Chinese market
China is people republic nation which is counted among world's most populous country.
In addition to this, it is the growing and emerging economy which possess many opportunities
for both new and existing enterprise (Miller, 2012). In accordance with the given context, there
are number of opportunities assessed which can be availed by the manager of British Gas while
making the decision for expanding the operation in the respective nation. The detailed
explanation regarding assessed opportunities are depicted in below: To avail cheap sales personnel: Being the most populous country, one of the most
significant problem which is being faced by the government of nation is related to the
unemployment. This does not mean that the nation lacks skilled and talented personnel.
But, the only problem which country faces is unavailability of sufficient number of jobs
for its citizens. Furthermore, it has also being seen that many of the Chinese people are
ready to work at limited amount of salary because of ineffective condition relating to the
employment. Hence, by starting operation in the respective market manager of British
Gas can meet its demand related to talented and skilled labour within cost effective prices
(Brown, Blackmon, Cousins and Maylor, 2013). The given thing will provide opportunity
to the cited firm with respect to sale its services at the limited prices. Hence, through this
way it can meet its sales objective in an effectual way.
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 Diversification of business failure risk: By expanding operation in international market,
manager of British Gas can avail the opportunity of diversification of business failure
risk. For example, it has been assessed by the corporation that it is constantly gaining
losses in the United Kingdom market where it is operating its operation. Then, in the
given circumstance the corporation can compensate its losses from the profits of other
country. Here, through this way only corporation can reduce its business failure risk and
thereby it can continuously operate its function in the respective nation where it is
earning losses.
 Gaining the exchange rate benefits: British Gas earns its major profit from the United
Kingdom market. In this context, it has also being identified that the value of yen is
cheaper than the pound (Caffarella and Daffron, 2013). Thus, the profits which firm earn
in UK market can be utilised by it with regard to establish its operation in the Chinese
market. Overall, it can be said that British Gas has huge opportunity in Chinese market.
i. Investigating the opportunity for British Gas for using exhibition and trade fairs
British Gas has an opportunity to make the promotion of its services in the exhibition and
trade fairs which are organizes within country. In this context, it is analyzed that there are
number of trade fairs organizes by the Chinese government. For example, China retail trade fair,
Canton fair and ProWine China fair etc. Among all given trade fair, China retail trade fair seems
more suitable for the cited company (Ingram and et.al., 2012). The main objective behind
participating in the respective trade fair is to give information about the presence of company in
the respective market. In this context, a tentative budget will be prepared for the China retail
trade fair. The budget set will include all the cost which firm has invested with an aim to enroll
itself in the respective fair. Besides this, high amount of sales will be generated by the firm if
it will design its trade fair stand in a innovative and attractive manner. In the front side of the
stand, banner of British Gas will be placed which will give description regarding the type of
services which is being given by firm. In addition to this, in order to generate the sales varied
offers will be given by firm to its buyers. For instance, get free white good repairing services. It
is very essential for the corporation that it should evaluate the success of its trade fair. This can
be performed by the firm by making the comparison between set and actual sales data. For
instance, if actual sales figure exceed the standard one then it can be depicted by the firm that it
has worked well in Chinese market trade fair (Johnston and Marshall, 2013).
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CONCLUSION
It can be concluded from the given essay that it is very important for the manager to
prepare the thorough plan with regard to the tactic which it wants to achieve within a given
specified time limit. By complying with such activity, firm can set its direction towards the
correct path. Furthermore, it can raise its possibility of gaining high profits and sales in an
effectual way. In addition to this, for any firm recruitment and selection activity also plays very
important role. This function enables the enterprise to recruit skilled and talented employees who
will assist the company in attaining their strategic tactic. In the similar way, other aspects of
human resource (HR) such as motivation and training etc also have very critical role within the
cited company. Here, with the help of given aspects, effectiveness of the performance of workers
can be enhanced. Moreover, with the use of database firm can gather thorough information
regarding views and opinions which are given by the buyers. Thus, on the basis of this, British
Gas can perform significant changes in its existing operation and thereby can raise its sales and
profits.
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REFERENCES
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