In short, the Northeast Sales District is on auto-pilot in terms of sales strategy and needs to be given entirely new and more challenging objectives to shift the focus of the teams to more profitable selling strategies.
Recommendations
James Sprague needs to motivate his sales team to re-align their selling strategies and he has to earn their trust and respect as well. Hank Carver being passed up for a promotion looks like age discrimination to the other Sales Reps and this decision by senior management will have undermined Jim Sprague's ability to gain trust as well. For any sales manager to effectively introduce shared vision and drive accountability into an organization trust must be attained first (McNeilly, Lawson, 1999). Jim Sprague needs to focus on communicating his vision for the sales district and also give each sales representative more autonomy, a chance to master the sales development plan, and a sense of purpose through incentive programs. Combining autonomy, mastery and purpose are the three determinants of increasing ownership for a job and critically important for long-term growth to occur (Kuster, Canales, 2008). Second, the Sales Reps in the Northeast Sales District need to be held more accountable for the distribution of calls they make by account category and report back on a monthly basis how they have allocated their time. This will need to be reported company-wide so that the senior management has visibility into this as well. Jim Sprague's effectiveness as a manager in re-aligning the amount of time spent with each category of account will be tested by this strategy yet it must be done if the profitability of the Northeast Sales District is going to be turned around. Using transformational leadership strategies Jim Sprague needs to motivate the Sales Reps to accomplish this and explain why it's critical. Reporting purely to transactional leadership (Forsyth, 1986) is not going to be as effective as recognition- and cash-based incentives. Third, the company needs...
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