Porter Building Products (PBP) is a company that concentrates in the construction of national building supply. The companies headquarter is located in Smallcity, Indiana. The main business of the company is producing and selling of building products in small and large retail outlets. Although the management team of the company is committed to ensuring work efficiency, PBP is faced with some problems, which need to be addressed so as to improve its performance.
One of the problems facing PBP relates to ineffective customer service. The support team, which is focused on dealing with customer services, is not connected to the customers. This creates a situation whereby the support team lacks information required in providing feedback to the customers. The web application used in linking the customers and the support team does not indicate the communication that happened previously between the support and the client. Inefficiency in customer service has made it difficult for the employees in the company to offer the required service to the customers. Additionally, it has made it problematic for the customers to get required feedback before they make a purchase decision.
The other problem in PBP relates to the lack of a system that collects data relating to marketing and sales in the company. The existing system only connects the process relating to placing order and billing process, which limit the collected information relating to company’s interaction with the customers. This system does not collect data relating to marketing process and number of sale. Additionally, the transaction systems do not gather the required for the management team to determine applicable marketing and sales strategies. Thus, it is difficult to ascertain the impact of product marketing on sales. The web interface used in the company does not collect data relating to a transaction made within a given period. It also makes the process of responding to client extremely difficult.
Another PBP’s problem relates to the poor performance of customer relationship management (CRM). The company lack customer focus, systems, and business operations. The company website also lacks contact center and e-mail channels, which negatively affect the management of customer relations. Lack of contact center makes it hard for the employees to respond to the customers’ inquiries through phone calls. Similarly, lack of e-mail channels makes it difficult for the support team in the organization to respond to client’s emails and offer the required feedbacks. There is a need for the top management to improve on customer focus, operations, and systems so as to increase the return on investment in CRM.
Another major problem facing the company relates to the lack of discipline in the sales force. There is inefficiency in the manner in which the salespersons communicate the pricing of different products to the customers. The salespersons always offer the prices to the customers before checking the price list. This creates a serious problem because the sales department is required to reduce the price of particular products so as to meet the prices of local supplies. One the price is cut to one local supplier, the price has to be adjusted in the system so as to reflect the same pricing. This effects the earnings and revenue generated because the company is forced to reduce the price. This, in turn, affects the profit margin because the operational cost at PBP is fixed.
Stakeholder Analysis chart
|Meet their need
Every company has the smart objective, which is used to guide business operation and help in improving the performance of the business. Like any other company, PBP has a smart objective that aims at dealing with the problem facing the business and increasing its growth and development. The SMART objective of PBP is to meet company annual goal of increasing sales by more than ten percent by improving customer relationship management, to facilitate interaction between the company and customers, which will help in influencing customer buying decisions.
PBP’s SMART objective is important to the improvement of the company’s performance because it targets to increase annual sales. Sales are important to PBP because they influence the amount of revenue and profit realized by the company. By improving customer relationship management, the support team can effectively offer the required information. Once the customers get the required information about the products, including their prices, they would be willing to buy the products. This would in turns help in increasing the annual sales by more than ten percent.
|1||Responding to voice response unit (VRU) would help in improving customer relationship management. Having worked in PBP fir a duration of ten years ago, Mary will work with the same customers, particularly through VRU calls.||1st to 4th month
|2||Improving customer relationship will positively influence sales in PBP. How does the improvement in customer relationship translate to increased level of sales? Jennifer will use her seven-year experience as a sales associate to respond to customers, particularly offering the required information like prices, so as to persuade them to buy.||5th to 8th month|
|3||Offering quick feedback will positively influence the purchase decision, which will, in turn, increase annual sales. John will be responsible for the management incoming e-mail and orders from the Web. It is recommended that the John check the company websites regularly so as to ensure that all mails are replied on time.||9th to 12th month|
Relating Consultation Process to a Personal Experience
Consultation is an important process because help the management team in the organization to seek to realize the efficiency in the business procedure. Consultation in business can be related to the experience of getting a job. The process of looking for a job involves seeking the required information on available openings. Once one gets the information, the candidate can consult about the application process. Through consultation, one can effectively prepare for job application materials, including resume, cover letter, and other relevant documents, which would influence individual success in getting the job. This is similar to consultation in a business where the management team realizes important information and knowledge, which once implemented lead to the realization of organizational goals.