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HRM 4

The sales manager of a small manufacturing firm is considering how to handle a situation where a salesperson committed to fulfilling an order from a small retail chain with two dozen stores, but has since received an opportunity for a larger order from a nationwide retailer with over 100 stores. The sales manager knows the company cannot fulfill both orders. The sales manager is considering misleading the smaller retailer to divert deliveries to the larger one. However, the summary suggests the sales manager should be ethical and honest, try contacting both retailers for a delivery extension, fulfill the larger order only if extensions are denied, and explain the situation truthfully to the smaller retailer.

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JAY MARK TANO
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65 views1 page

HRM 4

The sales manager of a small manufacturing firm is considering how to handle a situation where a salesperson committed to fulfilling an order from a small retail chain with two dozen stores, but has since received an opportunity for a larger order from a nationwide retailer with over 100 stores. The sales manager knows the company cannot fulfill both orders. The sales manager is considering misleading the smaller retailer to divert deliveries to the larger one. However, the summary suggests the sales manager should be ethical and honest, try contacting both retailers for a delivery extension, fulfill the larger order only if extensions are denied, and explain the situation truthfully to the smaller retailer.

Uploaded by

JAY MARK TANO
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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2.Consider a sales manager working for a small manufacturing firm.

As salesperson in the
field phones with a problem. Yesterday he committed to a deal to provide products to a
retail chain operating in three state with two dozen stores. Today, he can close a deal with a
nationwide retailer with over 100 stores, but he wonders whether his firm can supply
enough product to fulfill both customers’ demands. The sales manager knows the answer
to this question. There is no way the company can fulfill the deal signed yesterday and meet
the demands of the larger retailer. So the sales manager is considering whether to have the
salesperson mislead the smaller retailer while diverting deliveries to the larger retailer.
What should the sales manager do?

In this case, the sales manager should be wise in making decision because both the small
and large retailers can be an opportunity for the business. Again, if we go back to the sales
manager’s checklist, we can see that the manager’s thought should be set aside because it is
unethical to mislead the smaller retailer where in fact it was the first one who made the deal. On
the other side, a sales manager must think of a way to not lose the larger retailer because it
would bring a great profit to the company. So first, the sales manager should ask his sales
people to try reaching out to both the small and large retailers and ask them for a few days’
extension of the delivery. If both of them agrees, then you won’t have a problem anymore. But, if
they both disagree, then you have to choose the retailer where the company can get the most
benefit. Obviously, it’s the larger retailer so in this case, the sales manager should try to make
the small retailer understand the situation. It may be a selfish act but this time, you were honest
to your clients and you were able to show some respect and courtesy to them

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