A SAMPLE CASE ANALYSIS

SALESFORCE MANAGEMENT: KRAMER PHARMACEUTICALS

I. Statement of the Problem

Bob Marsh, a manager of a prescriptive department in a major drugstore in Toledo,

Ohio, joined Kramer Pharmaceuticals as a sales representative. He maintained a clean
record in the community where he lives and an impressive professional work profile that
convinced John Meredith to hire him as a salesperson. Bob Marsh work performance
pleased his district managers, even the President of the company. However, in the
succeeding quarters, his performance wavered. All of his immediate superiors have
common feedback on his work performance. Each of them had their pushing and
motivation styles to improve Bob Marsh’ performance, which eventually gave increased his
performance ratings. Unfortunately, only for a short while. Despite of their efforts and
encouragement to increase his performance rating in work performance, work attitude,
and planning and organization, and further save him from going below the standard
requirement for work performance, his performance rating continued to deteriorate.
Consequently, this resulted to his discharge on July 1972. This decision of the Kramer
Pharmaceutical’s management created a bad stir and dismay to the doctors, pharmacists,
and hospitals, which turned out to be the clients of Bob Marsh who believed in his
performance and having established great rapport with them. Because of this move of the
company, the discharge of Bob Marsh from the company had been the talk of the industry,
putting into question the reputation of Kramer Pharmaceuticals whom they know for
having strong ethical policies. Therefore, the company faces a problem as to:

Whether Bob Marsh’ dismissal a management failure? And, if it was, what could be
done about correcting the situation?

II. Analysis Of The Different Areas Considered

Performance of Bob Marsh

Bob Marsh performance record with Kramer Pharmaceuticals was like a roller-
coaster ride. Six district managers that Bob Marsh had worked with had its own story to tell
of his performance:

With John Meredith. Meredith’s assessment on Bob Marsh work performance was
both positive and negative. He noted Marsh’ eagerness to do well in his job, a hardworking
and loyal employee who was welcomed by doctors and hospital personnel. He was also
noted to be appreciative and follows instructions and suggestions, and displays
cooperation with his fellow associates. However, he was also noted to have the tendency to
prejudge the customers, poor in planning and organization, and was advised to be more
responsive to management directives. Consequently, his salary was increased, which
somehow resulted to his above-average overall performance rating.

With Bill Couch. Mr. Couch’s assessment on Marsh’ work performance was
somehow the same with Meredith. He was able to know of Marsh good rapport with the
doctors and hospital personnel and even pharmacists, which contributed to the increase of
sales of sales of Kramer products due to prescriptions. However, his planning and
organization skills remain his weakness point. Couch gave him a steady Satisfactory
performance rating and a steady salary increase. Couch gave him additional responsibility
to oversee a distributor. After three (3) years, his work performance rating increased to
well above-average, same with his attitude ratings.

With Jim Rathburn. Bob Marsh’ excellent rapport with people in his territory was
the first thing that Jim Rathburn observed. This led to his impression on Bob Marsh as a
potential salesperson who needs to take advantage and use his people skills to its fullest
advantage. Despite of his positive trait, his poor planning and organization would always
be his drawback. Added to this bad impression is the discovery of Rathburn on Marsh’
falsifying reports on his call to doctors, which would tantamount to outright dismissal. And,
due to his low sales performance attributed by his poor attitude, careless organization, and
inattention to planning and follow-up, he was into probation for 90 days. After the
probation period and after intense effort in heeding Rathburn’s expectations, his
performance rating returned to satisfactory.

With Vince Reed. Vince Reed’s number of years of service in Kramer

Pharmaceuticals is the same with Bob Marsh. Same with the previous district managers, his
excellent rapport with clients was noticed by Reed. However, it was discovered that there
was slow acceptance of their new products in Bob Marsh’ territory, his planning and
organization was declared by Reed as still deficient. Eventually, his Satisfactory
performance rating turned to Completely Unsatisfactory, and once again confined to
probation for 90 days. Seemingly, Marsh was just required to fill-out the master plan
prepared by Vince Reed. He was not given the chance to give his suggestions on how he can
improve himself, or of his concerns in relation to his work. Everything was spoon-fed and
which could be a cause for demoralization on his part.

With Tom Wilkens. Given a short period managing Bob Marsh, he had the same
observation with his predecessors in terms of Marsh performance.

With Ted Franklin. Mr. Franklin was quite different from the other district
managers. He was able to see the potential of Bob Marsh as a salesperson. According to
him, he could be remodeled into an above-average salesperson given the proper guidance.
Franklin scheduled a weekly conference with him to discuss his daily progress. A step-by-
step program was designed in support of the master plan to walkthrough his performance,
and was required to sign each page of the plan signifying that he understood everything
that was laid down. When Peter Mallick assumed as the new manager, Bob Marsh
performance deteriorated, and got worse.

The various observations, comments and recommendations cited by the district

managers of Bob Marsh could have been seriously considered in finding ways on how to
sustain progress of Bob Marsh work performance. It should not have been left the way it
was. The inconsistent and erratic performance trend of Bob Marsh, despite of the
interventions made by the district managers, is a sign that their approach was not the right
formula to solve the problem. Bob Marsh’ good reputation with his clients is a competitive
advantage that the company can capitalize to increase its sales. However, if there were
proper actions from the top management to correct his failings then Bob Marsh could
continue to be an asset of the company.

Promotion and Growth Policies in Kramer Pharmaceuticals

Bob Marsh had been with Kramer Pharmaceuticals for twelve years, yet he was not
given a chance to rise up to the managerial level. Though, the planning and organization
skills and attention to details are not his forte, still he exerts efforts to meet the
expectations. However, human as he is, Bob Marsh was wanting of a motivation that would
persist his drive towards meeting the standards and expectations of the management,
which his environment failed to provide. His only source of encouragement and feeling of
being valued was that of the President of the company’s praise during his anniversary with
the company.

Management Style/Approach
The management styles initiated by the district managers of Bob Marsh were almost
the same. It was a one-way traffic approach, a single direction approach. They set
standards, give instructions, provides feedback but never allowed Bob Marsh to express
what’s on his mind, and heart, nor allowed him to give suggestions on matters concerning
his performance. They know the potentials and admired the positive traits of Bob Marsh
but they never allowed him to grow “naturally” with the company. The managers could
have reconsidered the impact of their decision to dismiss Marsh to the company’s clients –
the doctors/physicians, and the hospitals, which is their captured market before they
discharge Bob Marsh. Though it is the concern of the district managers to increase the sales
performance of their units, they should also consider the growth potential and
opportunities of Bob Marsh.

III. Conclusion
 From the basis on the discharge of Bob Marsh, it looks like there had been lapses
made by the district managers, in particular, and the top management, in general. The
problem on Bob Marsh irregular performance rating had been with the company for twelve
years. The increase of his salary almost every year plus benefits and incentives which
placed him at par with other colleagues, is an inconsistency to the overall performance
ratings he received from his district managers down to his last year with the company. In
addition, it was unfair for the President of the company to be in a hot seat in answering to
the issues raised by the clients on Marsh discharge, where in his belief, Bob Marsh made
great contributions to the company and a good employee. And, the President has to save
the good image of the company and save the market.

IV. Recommendations

1. Kramer Pharmaceuticals should bring back Bob Marsh to the company.

Kramer can bring Bob Marsh to the company banking on his good rapport with
clients or interpersonal skills, and just for the reason to save their captured
market, and not bring them to court litigations. This time as a manager.

2. Kramer Pharmaceuticals should review their policies on promotion. To

avoid similar problems to occur, the company should have a clear guidelines and
policies on promotion and growth.

3. Kramer Pharmaceuticals should promote human resource development

through trainings and workshops. The company should consider the well-
being of their employees of prime importance. The sense of being valued and
given the chance to be heard and be given the chance to contribute and be
involved in the planning and decision-making, is more than the motivation that
employees would look forward to.