Question: Case: A sales manager is planning a new time and territory management program to make time investment decisions. In order to establish an efficient plan,
Case: A sales manager is planning a new time and territory management program to make time investment decisions.
In order to establish an efficient plan, the manager classified the accounts in priority order applying a simple A, B, C, D, E designation of categories as follow:
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A accounts: Top 10% of the accounts generating 65% of sales
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B accounts: next 20% of the accounts generating 20% of sales
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C accounts: next 50% of the accounts generating 10% of sales
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D accounts: next 10% of the accounts generating 3% of sales
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E accounts: next 10% of the accounts generating 2% of sales
| Distribution of sales | ||
| Customer Classification | Percentage of Customers | Percentage of Total Sales Volume |
| A | 10 | 65 |
| B | 20 | 20 |
| C | 50 | 10 |
| D | 10 | 3 |
| E | 10 | 2 |
| Total | 100 | 100 |
If the group of accounts are classified as follow:
| Group of Accounts | |
| Accounts | Expected Value |
| A | $100,001 and over |
| B | $50,001-100,000 |
| C | $30,001-50,000 |
| D | $20,001-30,000 |
| E | Under 20,000 |
And, the call frequency patterns based on potential and return on time invested are as follow:
| Call Frequency Pattern | ||
| Accounts | Weeks Between Calls | Number of Accounts |
| A | 2 | 10 |
| B | 4 | 20 |
| C | 6 | 45 |
| D | 8 | 12 |
| E | 10 | 10 |
Thus, a call cycle in this territory will cover two weeks. This means that in eery two weeks cycle the salesperson will call on these accounts:
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All of the As
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Half of the Bs
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One-third of the Cs
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One quarter of the Ds
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One-fifth of the Es
Question:
Using the above information, the call frequency patterns and following table, develop a sales call cycle.
Call Cycles
| Account | Number of | Cycle | Cycle | Cycle | Cycle | Cycle |
| Classification | Accounts | 1 | 2 | 3 | 4 | 5 |
| A | ||||||
| B | ||||||
| C | ||||||
| D | ||||||
| E | ||||||
| Number of Calls |
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