SALES AND DISTRIBUTION MANAGEMENT

Group B12 Amrita Nadkarni Abha bhuskute Vijaya Suryavanshi Narsi Reddy Rahul Kumar

About Billie Daniels

y District Sales Representative for Consumer Food y y y y

Wholesalers Inc Strong believer in profit incentive and free enterprise Mailed one-fifth of his own commission to selected head storemen for maintaining CFW lines Declared Representative of the Year, two years after starting the above scheme Honest and candid in his beliefs

Context
y Fred Harper, national Sales Manager for CFW, received

complaints about head storemen being paid off by Billie

y Billie when asked, was candid in his admission y Fred didn t know about the scheme as he didn t go for

field visit in Billie s area

Issues
y Is it ethical to give gifts to storemen for expediting

sales?
y What should be the future course of action?

Sales representative giving gifts ethical or unethical?

Policy Not giving gifts to storemen/others Declaring the measures taken to expedite sales Pilferage of company money for gifts, is declared unethical Fulfill commitments towards the company Cooperate with management for the betterment of the company Applicability in CFW Assumed to be applicable Assumed to be applicable Assumed to be applicable Billie Daniels stance Violated Not violated Not violated

Applicable Applicable

Not violated Not violated

Evaluation of Present Status

Objectives Long term sustainability of the present situation of continuing to give gifts Should it be publicized Impact on the other sales representatives Impact on storemen Status Not sustainable No They will be motivated to take the same path All of them would want the extra incentive to push sales

Course of Action
y Not to expel Billie as he was not only honest

throughout, but also had the best interest of the company in mind
y Revoke the scheme immediately y Elaborate

on the company creed regarding giving/accepting gifts and issue strict guidelines against violation of the same

Thank You