2011

3M Pakistan-Sales Report
A detail report on 3M Pakistan Sales Department and Strategy

Aazar Ali and Muhammad Ahsan Arif IBA-Sales Management Course 12/12/11

Serial # 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Company Profile About 3M 3M Values 3M Businesses Scotch Brite

Topic

Sales Program Strategy Development & Implementation Selling type Sales Design Based on Regions Designing the Territories Hierarchical Flow Chart of Sales Number of Control Units Incentives for Retail Outlets Environment Autonomy Prospecting Customers & Building Relationship Sales Forecasting Quota Quota Type Determining Sales Force Size Recruitment of Selling Units Rewards Sales Initiatives Rewards

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Motivation Training Appendix

and Protection Transportation Industry Manufacturing and Industry Office Home and Leisure About 3M 3M is fundamentally a science-based company. and they’re a leader in scores of markets . Our success begins with our ability to apply our . They serve our customers across a diverse range of markets:         Displays and Graphics Electronics. the company has embarked on a journey of delighting its customers by meeting and exceeding their expectations.Company Profile 3M is a diversified technology company serving customers and communities with innovative products and services. Electrical. Security. Ever since a local 3M presence was established in Pakistan in January 1994. its storehouse of breakthrough technologies and its relentless pursuit of excellence. They produce thousands of imaginative products. Our formula for success has been to identify customer needs and use 3M technologies to pioneer innovative solutions. Each of our six businesses has earned leading global market positions. Few companies in the world can match 3M's vast and diverse range of products. and serving the community by providing state-of-the art technologies and innovative products. they have been successful in creating a culture that promotes employee pride and well being.from health care and highway safety to office products and abrasives and adhesives. whilst supporting social and environmental responsibilities. establishing a high level of personal and corporate integrity and ethics. and Telecommunications Health Care Safety. In Pakistan.

3M Businesses 3M serves customers through six business segments. value and service. manufacturing.often in combination . Respect our social and physical environment around the world. These six businesses are: Consumer and Office Business Supplying an array of innovative products that keep homes cleaner. Value and develop our employees' diverse talents. 3M Values       Act with uncompromising honesty and integrity in everything they do. Display and Graphics Business Drawing on 3M’s powerful technology platforms. Scotch-Brite®. initiative and leadership. which increase speed and efficiency by sharing technological. They provide products—display enhancement . marketing and other resources. Earn the admiration of all those associated with 3M worldwide. global growth.technologies . all of this is made possible by the people of 3M and their singular commitment to make life easier and better for people around the world. offices organized and buildings well-maintained. Satisfy our customers with innovative technology and superior quality. including Post-it®. Of course.to an endless array of real-world customer needs. Provide our investors an attractive return through sustainable. Filtrete™. and Command™. O-Cel-O™. our consumer and office business is home to some of the world’s best-known brands. Nexcare™. Scotch®.

Electro and Communications Business They turn 3M technology into solutions for customers in electrical. high-performance electronic devices. consumers want one thing: for it to be done quickly and effortlessly. security and productivity of people. electronics and communications markets around the world. Security and Protection Services Business Our products—personal protective equipment.films. They contribute to reliable sources of electrical power. and drug delivery and health information systems. When it comes to cleaning. Industrial and Transportation Business They provide thousands of innovative products including tapes. Health Care Business Supplying innovative and reliable products that help health care professionals improve the quality of care.i Scotch Brite Scotch-Brite® carries a full line of home cleaning products for your home. That’s why. Safety. and speedy and dependable telecommunications network. They are a global leader in medical and oral care products. specialty materials and filtration systems to dozens of diverse markets – from automotive to aerospace to renewable energy to electronics. track and trace solutions and more — increase the safety. adhesives. facilities and systems around the world. They are also a leading supplier of roofing granules for asphalt shingles. reflective materials. eye-catching graphics. safety and security products. projection systems and more —that people around the world rely on every day. 3M and the Scotch-Brite brands have introduced smart cleaning solutions for every room of the . abrasives.

supervisors or sales team leader are guided as to how strategy needs to be implement. So. Supervision over implementation of strategy is carried by regular appraisals of performances. and then in order to pursue their goal. Strategy is essential in achieving the overall goal. After forming a strategy. In sales department. what is the pattern observed in recent sales. Dust Pan. next step undertaken is to implement strategy. or just dealing with everyday meals – Scotch-Brite brand products are up for the challenge. Accordingly measures are taken to plan a strategy. making sure efforts are headed towards right direction and contributing its share in achieving the overall goal. This is what 3M believes in and they come up with a potent strategy. Pot Pan & Dish and Utility) Vegetable Peeler Wipers and Broom Aluminum Foil and Fresh Wraps Toilet Bowl Cleaner Bathroom Cleaner Glass and Household Cleaner Kitchen Degreaser Sales Program Strategy Development & Implementation 3M Dubai sets an overall sales goal for the year in terms of profits which directs down to 3M Pakistan. they devise a strategy. .house. no matter the job – whether it’s bathroom/kitchen cleaning. Scotch-Brite® has a wide variety of products:              Scouring Pads Spirals Laminates Sponge Wipes Floor Wipes Brushes (Toilet Bowl. Goal set depends on the growth rate of sales.

Sialkot. Their targeted customers and accounts to be captured are retailers and wholesalers. Sales Design Based on Regions 3M Sales Department has divided the regions based on provinces and it has further divided them in to cities and towns. It encloses Karachi. Local Modern Trade such as Naheed and Imtiaz and General Trade. central region caters to Lahore. they have divided selling in to International Mordern Trade such as Metro. Rahim Yar Khan. Specifically. trying to make product available in market with covering maximum number of retailers and wholesalers. Trade selling basically involves selling products to wholesalers and retailers for the purpose of resale. It involves push strategy. and other parts of Interior Sindh. Makli. They use different techniques to deal with retailers and wholesalers. Faisalabad.South Region This region is divided between Sindh and Balochistan. Sargodha. Mardan. Makro and Hyper Stat. Gujranwala and many more. Thatta. Bahawalpur.Central Region In central region. Push strategy entails. Hyderabad. It plays a very vital role in raising product in-store visibility. Following are the details: 1. Swat and other regions in the province. 2. . It starts from Islamabad. 3. then Rawalpindi. Islamabad and Rawalpindi.North Region The north region is based basically catering to the sales of province Khyberpakhtunkhuwa. Also.Selling type 3Mare involved in trade selling. Multan. Quetta. They are supposed identify retailers and wholesalers needs and cater them. they have divided based on Punjab. then Peshawar.

Indeed. They implement the sales strategy in their respective regions 4. a salesperson can do 50 retails in section. Each salesperson generally goes to 6 days in to 6 different territories. Water-pump market. Firstly. defense market and garden market. Band Sales Manager . North and South Regions. Hierarchical Flow Chart of Sales 1. there must be 15-20 retail outlets. territories are also design based on salesperson potential. Also. Area Sales Manager He is responsible for generating sales for a region which means Area Sales Manager of Central. 3. They find out area potential through research and population density. they divide in to sections which in turn divided in to territories. told us about how they decide territories and their criteria to design them. He twice or thrice a month visits head offices in all the metro cities all together. For example. Also. 2. National Sales Manager National Sales Manager is based in Lahore. after deciding regions and their cities. Each section may have five to six territories. He is responsible of meeting the deadlines and targets of head office. General Manager of Marketing and Sales General Manager takes responsibility of all marketing and sales efforts in the organization. he develops strategy and implements them. These developed markets then become the territories. they have following criteria:       They should be logistically together such as Liaquatabad to Gulshan-e-Mayammar They are divided market wise. For designing territory. there are developed markets in different localities such as Nazimabad Market. In each section. Fahad Hasan Khan.Designing the Territories Mr.

Field Sales Manager Field Sales Managers are responsible for specific 2 to 3 sections in the city. There role is to go to particular territory. 6. . They are allocated generally to all Metro Cities of Pakistan.Band Sales Managers are divided city wise. 5. Sales Personnel These are the people who are responsible for territories of the specific city. take purchase order and push the products line. They report to Area Sales Managers.

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There is a central hub of control unit which lies in Karachi near Korangi SITE. Following are the control units in Pakistan.Hyderabad Depot 6.Islamabad Depot 4. It then distributes to all of the control units of Pakistan.Rahim Yar Khan Depot 13.5% discount Whole Sale 2% discount Large retail 3% discount Environment Environment comprises of internal and external environment. 2.Peshawar Depot 9.Bahawalpur Depot 12.Sialkot Depot 10. Defence Depot and Stadium Road Depot.Rawalpindi Depot 5. 1. They have a total workforce of 100 salespersons.Number of Control Units Control units are the warehouses of the distributors.5% discount 500+ Sales 2.Multan Depot Incentives for Retail Outlets For General Trade following are the discounts :     1600+ Sales 3.Sukkur Depot 7.Quetta Depot 8.Karachi: Landhi Depot. They take into account all the internal environment factors.Lahore Depot 3. 19 of which are .Gujranwala Depot 11.

Autonomy When asked about the autonomy. their salesperson enjoys. This way market size increases and various other techniques are employed. In response to competition. .deployed in Karachi. With old customers. their reply was quick and straight quoting zero autonomy. As regards external environment. as it generates about 45% of the total revenue. Competition bring with threats as well as opportunities. further complexities can be avoided by such policies on autonomy Prospecting Customers & Building Relationship They divide customers into two major accounts one being old customers and other new customers or prospects. You tend to give more attention to your product. There is a certain script that each salesperson has got and needs to follow that without any alteration or innovation. Summing up all the internal factors set goal for the sales force management. all necessary measures are taken to maintain business friendly and cordial terms to ensure future sales. after competition arises. especially competition we talked on. They employ palm tops for sales recording and each salesperson is handed over this device depicting technological capabilities. They stated. You start to explore markets that were not look upon previously and were left uncovered earlier. they advocate their price factor and if quality is superior to competition. it is exploited and is highlighting when making presentations to the customer. showing a congruence existing between human and financial resources. Regular follow up is maintained and any query popping up from the customer side is given immediate attention with all due diligence. As with experience they learnt their company would be better off if they keep salesperson minimal or close to zero. They enhance their visibility and work on merchandizing. once competition enters market and stand parallel to your product. their strong competition and they are unable to tackle Harpic because of their huge marketing campaigns and is now considered product generic as unlike their toilet cleaner. would actually further enlightens your product. they spoke about Harpic. When encountering competition they analyses their limitations as how much they could stretch themselves.

certain pressure is exerted on the salesperson too. trust of the customer that is retailers and wholesalers can only be won by the very salesperson dealing with customer. This methodology is followed after having an experience the aftermath of casually asking salesperson about his set target and without implying above mentioned tools. he is working with and has faith on them. The process of forecasting undergoes by taking into account the growth pattern of sales in recent years. After all this a customer is qualified. The set quota is then passed on to regions. They primarily depend on sales history. they plan sales for the coming year. They even look for salesperson advice on sales forecast that is sales force composite. asking about use any bookish method and response was an adverse one. Fahad Hasan Khan. Once he told about the perks that are placed for taking. Sales Forecasting First thing asked about sales forecasting was. The customer is then briefed about product’s feature. In regions it comes to consumer office and then it is finally . Quota Quota is set in Dubai and on basis of the contribution of sales and revenue generated. Along with conveying information on benefits. In order to avert salesperson under-estimating the sales. when they see potential in some areas in terms of generating more sales. an honest response regarding sales forecast can be expected from him.The quests for new retailers begin. if a bookish concept is applied. other products of the company. salesperson is informed about the benefits that are at his disposal. they are indulged in time series analysis for sales forecast. a subjective method of forecasting. Quota is decided on the basis of history that is the pattern followed in sales stated above in detail. The new customer is given reference of the product’s company. This is done to gain customers confidence and increase credibility of the salesperson. he is then made presentations and lastly regular follow up holds key in the entire process. Salesperson must make customer realize his significance and this possible by addressing to the problems of the customer conscientiously. Capitalizing on sales pattern. market demand. According to Mr. A bond of trust and reliability is shared by both the customer and salesperson. The salesperson has to make sure that customer believes in the people.

his sense of belonging to the area. For example if the cover 50 shops in 5 days and later their coverage size increase to 100 shops in 5 days. they have their own methodology rather than following a tested and proven bookish concept.arrives in jurisdiction of city sales team leader. On average a salesperson is required to cover at least 50 shops per day. break down or incremental method Recruitment of Selling Units 3M does not consider all salesperson as equal. before deploying a person in any respective area. subjective methods such as opinion of sales force is taken in to consideration while setting individual quotas. Factors considered are time that will be taken the salesperson to reach the desire destination for example distance between Gulshan to Korangi. but different factors are considered when allocating number of shops. Determining Sales Force Size Again for the determination of sales force size. There are 400 retail outlets in Karachi. In order to assess a salesperson potential they examine his relevant experience. They determine sales force size according to the coverage. The approach behind this move is to make intentional changes in the growth pattern of sales. Customers like naheed and imitiaz are massive accounts and time spend on them is higher compared to other customer. In order to increase sales quota they deviate from the historical pattern. They look for salesperson area knows how. This means total time he has for day is 300 minutes exceptions apart. sales force in such case an increment takes place in the number of salesperson. body language when interacting with other and . The sales team leader further distribute work load among worker. They don’t follow workload. Quota Type Quota is expressed in volume. However. All selling units are not considered equal because aptitude of every person varies. or company would find themselves ahead of growth rather always chasing behind the sales growth rate. Volume is determined by the sales pattern. on average a salesperson is required to spend 6 minutes on each shop and has to cover 50 outlets. this is done to make sure their presence is firmly established in the market.

they are given monetary rewards for example.Champions League ―A race for pride ― In order to reward and motivate. rather all measures are taken to develop those traits so that rotation among salesperson becomes possible and company does not overly becomes dependent on a single representative. Rewards Rewards basically consist of intrinsic and extrinsic rewards.his presentation skills. posters. They even deploy a salesperson who is not a native of that area. Sales Initiatives Rewards Scotch Brite. he replied due to prevailing instable conditions. as which reward is more preferred. salesperson very rarely goes for extrinsic rewards. for extrinsic motivation. people are more materialistic and lack values. After all this he is unable to cope with demands then a compromise has to be made or that individual himself opts for some other job. This activity goes for around 1 month where officers are assigned to promote scotch brite with different sales initiatives and promotion materials such as buntings. intrinsically as well as extrinsically to sale force. where it becomes imperative to place intrinsic rewards. for recruitment they have a minimum education criterion which is Intermediate but Bachelor in Commerce are preferred. Field Manager and Sales Officer. there are three trophies for different regions. If a salesperson lacks above mention traits. These days such ploy doesn’t work rather if enough intrinsic rewards are not present salesperson would make such situations take place. However. For intrinsic motivation. mobile . rewards such as ‘Pride’ and ‘Recognition’ are given to those teams. wobblers. he is not left alone. This activity takes place twice in a year. if he shows signing of quickly adapting to the given environment and developing relationships with others. Area Sales Manager gets PKR 6000. However. Promotion and recognition are tricks of the past to motivate an employee and makes him feel an incongruent part of the organization. Interviewee said these days. Field Manager PKR 5000 and Sales Officer PKR 4000. Each region is then divided in to different teams with Area Sales Manager. On even asking salesperson they said. On a question put to him. Mr Fahad Hasan came up with this idea to inaugurate Sales Competition know as ‘Scotch Brite Champions League’. family well-being is most important to them above anything else.

it would motivate you and inspire you in your hard times. Basically training that takes place is need based training. Motivation In order to motivate their sales representatives.  Objective : To improve the displays & achieve 100% placement In appendix you can find details of Scotch Brite Champions League. Mostly they have training and sessions on how sales representative can improve on his communication. If he does completes target 102% to 105% of his criteria target. Communication has been identified as an integral tool in the arsenal of the sales representatives. This would make you more dignifies and he will be willing to put his best efforts to raise his level of performance and prove his metal. a quarterly performance sheet is made where a salesperson has to fulfill his target.hangers and shelf talkers. here if a salesperson takes 3 SKUs for a particular outlet and ensures 100% delivery of the SKU. He gets PKR 10 for every new Bill he makes. If you have an example before you. every salesperson is motivated to meet the criteria. Quarterly Incentive Program After every 3 months. For such program. they in leader set example. Training Training takes place very rarely. They also do merchandising through improving visibility of each retail outlet in their respective areas. They also believe nothing better to motivate an employee to help him out of the situation when he needs your help most. SKU per Call SKU per call is the new incentive for sales force. He gets reward of PKR 6000 to 8000 added benefit in his salary. .

.Each training program has its own objectives. therefore such hype of training is created as to invoke sense of attending and excitement in relation to training. All salesperson are not interested in attending training sessions.

Appendix Exhibit1 Champions League Sales Initiatives .

Gondoloa .

Creative Display Gondola .

Gondola .

Poster .

Name Outlet of Section Evaluator Range Availability Product Display Utilization of POS Creative Display Shel f Spac e (0-5)* (0-5)* (0-5)* (0-5)* (05)* 1 2 3 4 5 6 7 8 9 10 11 .Grading Criteria for Champions League Exhibit 2 Name of Team S. No.

3 in 1 5 Nail Saver new 6 LAJAWAB PACK 5 in 1 7 B SCOURER Regular Pad (Formerly SMALL 600 1 PAD) 60 24 96 12 24 120 12 60 60 6 24 480 12 12 120 24 36 120 12 48 .Products and Availability Bench Exhibit 3 S.No Item Description Case Config General Modern trade Trade A LAMINATE Regular Laminate 180 36 48 1 Large Laminate 2 BUMPER SAVER PACK 3 LAJAWAB PACK 4 MULTI PACK .

Kitchen GLOVES YEL 1 MEDIUM 1 60 36 24 36 96 12 60 24 12 12 24 12 60 24 24 12 36 12 36 6 12 6 12 6 24 6 12 3 12 .Large Pad 2 240 12 60 Economy Pack (Formerly 3IN1 120 3 LARGE) Small Pad (Formerly CHOOTO 600 4 PAD) Bachat Pack (Formerly TWIN 240 5 C PACK) SPIRAL Scotch Brite Stainless Steel 180 1 Spiral Card Scotch Brite Stainless Steel 12 2 Spiral 12 pack Scotch Brite Stainless Steel 250 3 D Spiral 1 P SPONGE WIPE Sponge Cloth Regular 1 Sponge Cloth (3 in 1) 2 Sponge Cloth (5 in 1) 3 E Floor Care.Takki TURKISH TAKKI .Regular 1 TURKISH TAKKI ECONOMY 72 2 F PACK Personal Care.

44'' new 1 Wiper.GLOVES YEL 1 LARGE 2 Gloves Hduty-Large 3 Gloves Hduty-Medium 4 G ScotchBrite FOOD CARE 60 3 12 60 3 6 60 3 6 Aluminium Foil 20 Microns 48 1 450 mm X 7.new 1 Dustpan with Brush 2 Toilet Bowl Brush 3 J Retail Chemicals Toilet Bowl Cleaner 1 Scotch CLEANER 500ml. 34'' new 2 I Floor Care-Brushes Twister .Broom .6 Mtrs FRESHWRAP 2 H Floor Care-Others Wiper.With 12 2 K Small Laminate Imported Retail Chemicals Kitchen Degreaser 12 12 12 12 24 24 24 50 3 12 3 12 3 12 3 12 3 12 3 6 3 6 12 24 6 24 3 12 .

Imran Junaid Ali Tajammal . Khurram Akram Rais Abbas Mohammad Imran Noman Shamsi Zulfiqar Ali Zafar Coach Player Central Multan Multan Fighters Captain Abdalian Malik Ahmed Akhlaq /Mustafa Coach Player Kamal Pasha Lahore Lahore Lahore Ghazi Lahore Younkies Rana Gulzar Anwer Masood Zaman Khan Imran Munir Ahmed Zia M.1 Bath Room Cleaner 2 L Imported Brushes Utility Brush.Gulf Costing ( 1 Pot. Pan and Dish Brush 2 Vegetable Peeler 3 6 3 12 6 3 12 6 3 12 12 3 12 Champions League Details Exhibit 4 South Captain Mohammad Karachi Karachi South Commandos North Stars East Power puff Karachi Karachi Players Korangi Fighters Kamran Ahmed Muhammad Ayub Moazzam Hyderabad Strong Leopards Yamin Faisal Arbelo Chohan Ashfaq Asif Jameel Imran Choudary Riaz-ul-Hasan M.

Hussain Muneeb-Ur-Rehman Faisalabad Faisalabad Eagles Zulfiqar Ali Syed Gujranwala Gujranwala Stars Rizvi Tanzeem Aman Ullah Khan Zishan Bhatti Asim Naveed Ahmed North Rawalpindi Trend Setters Captain Mohammad Faisal FAISAL Coach Naseer Ahmed Player Anwar Aziz ASGHAR Islamabad Ice breakers YASEEN RIZWAN ZAKI HUSSAIN i http://solutions.3m.com.pk/wps/portal/3M/en_PK/about-3M/information/about/us/ .

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