Presented By:

Arisha Mukhtar
Dua Ghani
Dua Nadeem Shamsi
Sanodia Abrar
 LETTER OF TRANSMITTAL
8th August, 2019

Mr. Kashif Rasool

Institute of Business Management,
Karachi

Subject: Submission of Term Report

Dear Mr. Kashif Rasool

We are submitting herewith our term report on Sales Force Management

at Haier. While preparing this report we have tried to collect the most
updated information along with giving it our best effort to accumulate all
needed information.
We wish to express our appreciation to the Haier’s officials for their
engagement and participation in this process. We shall be available to
answer any question for clarification and thanking you especially for this
assignment and sincere support to make it efficiently.

Yours Sincerely,
Arisha Mukhtar
Dua Ghani
Dua Nadeem Shamsi
Sanodia Abrar
 Table of Contents

 EXECUTIVE SUMMARY
 COMPANY INTRODUCTION
 POWER BRANDS
 COMPANY HISTORY AND COMPETITORS
 VALUES
 SALES PLANNING AND FORECASTING
 SALES HEIRARCHY
 SALES PROCESS
 KEY ACCOUNTS AND MANAGERS
 BUILDING CUSTOMER RELATIONSHIPS
 SALES FORCE BUDGET
 TARGET SETTING
 SALES REPS AND ORDER BOOKERS
 SALES QUOTAS AND STRATEGIES
 SALES TRAINING
 EVALUATION
 MOTIVATING AND REWARDING
 SKILLS
 ETHICS
EXECUTIVE SUMMARY

This report is primarily based upon the sales operations of Haier.

In a series of extensive interviews with an official of Haier who
is sales director, we were able to identify how Haier operates in
terms of sales. The processes at Haier is essentially very
streamlined and by the standards of a multinational organization.
The report has Haier’s sales process, major accounts that the
company holds and planning and forecasting procedures.

COMPANY INTRODUCTION:

Haier is the leader in the home appliances market in Pakistan

with an overall market share of 40%. Haier leads in most major
home appliance categories including air conditioners and
washing machines and refrigerators and deep freezers. To date it
is the only company in Pakistan producing locally assembles
laptops.
Haier’s manufacturing facility is located in the Haier industrial
park in Lahore and sprawls 63 acres with a built up area of
1,000,000 sq. feet housing various production lines. With a
designed production capacity of 3,000,000 units p.a. across all
product categories Haier Pakistan’s product portfolio has
expanded rapidly from the refrigerators, air conditioners, and
washing machines to include Deep freezers, commercial air
conditioners, laptops, LED TVs, microwave ovens, water
dispensers, and small domestic products together comprising
several hundred models of home appliances.
Aggressively implementing a policy of taking Haier to the
doorsteps of the people, Haier Pakistan has built up a strong
sales and distribution network comprising of 3,000 dealerships
and dedicated sales shops covering the length and breadth of
Pakistan. This is supported by an equally strong network of after
sales service and maintenance outlets manned by well trained
technicians.
FLAGSHIP PRODUCTS:

Washing Machine
Deep freezer
Refrigerator
Air conditioner

History:

The company was founded on December 26, 1984. Under the

guidance of the time-evolving management theory and business
philosophy of Zhang Ruimin, Haier Group rode the
development trend of the times and continuously implemented
strategic transformation. Having gone through the five strategic
development stages of brand building, diversification, and
internationalization, global branding and networking, Haier has
morphed from a collective small factory on the verge of collapse
into a leading ecosystem enterprise of the IoT era. In 2018,
Haier Group’s global turnover reached 266.1 billion yuan with a
year-on-year increase of 10%, and global profits and taxes were
33.1 billion yuan with a year-on-year increase of 10%. In 2018,
Haier Group’s annual ecosystem revenues hit 15.1 billion yuan,
up by 75% year-on-year. Haier Group boasts 10 R&D centers,
25 industrial parks, 122 manufacturing plants and 106 marketing
centers across the world.

COMPETITORS:

Dawlance
LG
Siemens
Waves
PEL
Orient

Haier's Core Value:

Rights and Wrongs – Users are always right while we need to

constantly improve ourselves.
Development Concept – Entrepreneurship and innovation spirits
Interests Concept – Win-win Mode of Individual-Goal
Combination

CONTACT PERSON:
We contacted Mr. Sohaib Rathore, sales director of HAIER
Pakistan. He was a very humble and knowledgeable man who
gave all the answers very fluently.

SALES PLANNING AND FORECASTING:

The first step taken by sales force of HAIER is to identify the

gap, they evaluate the market and find out the needs that are to
be fulfilled. Prices are set keeping in mind the rates at which
competitors are selling and discounts are given accordingly.

SALES PROCESS:

Two types of selling method are followed; sell in and sell out.
In sell in Haier sell its products to the retailers whereas in sell
out Haier sell its products to customers through retailers.

CHANNELS:

- HAIER’S store:
It has the complete range of HAIERS products.
- Key dealers:
These dealers have multiple shops (can be 50-150 shops) they
create monopoly for best buying consumers.
- Installment dealers:
Haier provides complete range of products in a particular
market, retailers are rewarded for their selling efforts.

KEY ACCOUNTS:
Surmawala
Lahore center
Rafi electronics
Al Fateh electronics
Imran electronics

KEY CCOUNT MANAGERS:

There are 5 key account managers for different cities that

are, Karachi, Sialkot, Lahore, Multan and Faislabad.
Reason for key accounts managers to be stated in these
particular cities is the placement of head offices of key
accounts in said cities.

TRAINING:

Mostly On The Job training is preferred so that skills can

be gained while trainees carry out their jobs. Employees
learn in the real work environment and gain experience
dealing with the tasks and challenges that they will meet
during a normal working day.
An experienced member of staff will help trainees learn
skills and processes through providing instructions or
demonstrations (or both). And shows how to deal with the
customers and how one must have all the knowledge about
the products.
Apart from this trainees are also sent to LUMHS for
training purpose.
MOTIVATION OF SALES PERSONNEL:

They are motivated by few ways;

Set Goals:
You need to give your salespeople a goal to reach. Without
a goal, they won’t know what to aspire to or what
constitutes success. Choose something that’s achievable,
but not easy. It should still be a reach.
Focus on purpose:
People who love their jobs tend to do better at their jobs.
As a manager, it’s your job to keep your salespeople
engaged and fully supportive of your company’s mission.
Start by explaining what that mission means to each person
on your team and how they play a part.
Culture of recognition:
Sales reps want to be rewarded. But a commission alone is
not enough. Commissions are expected, so you need to
push beyond that for your sales reps to truly feel recognized
for their achievements.
Building trust:
To be an effective leader, you need to have your
employees’ trust. The best way to build trust is to be as
direct and straightforward as possible. Don’t try to hide
things. If there is an issue going on, let your team know.

COMPENSATION AND REWARDS:

There is no fixed salary, it varies region wise. In some

regions the salary given to sales reps is more than the other
and vice versa.
 Compensation is on PBC (personal business commitment)
the more the employee is hardworking and loyal the more
he will be paid and PUI (per unit incentives) the more the
sales rep will sell the product the more he will be paid
because of commission.

SKILLS REQUIRED TO BECOME A SALES

MANAGER:

 Communication skills: they listen first and speak second.

They are aware of the message they transmit to their team,
how it’s delivered, and how it’s perceived.
 Integrity and trust: They never ask their reps to do
something immoral, illegal, or something that goes against
a company’s core values.
 Ability to build relationships with peers, cross-functional
counterparts, and upper management: They are committed
to helping others be successful.
 Empathy and ability to understand customer viewpoint and
customer service
 Ability to unite a team under a shared vision and know
what motivates each member.
 Analytical skills: They use data-driven reports to spur sales
coaching sessions and empower reps to take ownership of
their opportunity pipelines. They understand pricing,
margins, and discounting impacts.
 The ability to prioritize and effectively manage time

ETHICAL RESPONSIBILITY OF A SALES

MANAGER:
• Always make accurate, understandable, and verifiable
statements about the product and its use.
• Avoid making exaggerated claims.
• Ensure that customers have the necessary knowledge and
skills needed to use the product in the proper manner.
• Caution customers against using the product in an improper
manner.
• Review sales literature, warnings, and labels to be sure they
are accurate and complete.
• Remind customers to read warning labels.
• Be able to verify any statements made about competitors.