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Implementation Plan: Bames and Nobles - Essay Example

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Implementation Plan: Barnes and Nobles Connie Johnson July 15, 2011 University of Phoenix Barnes and Nobles realized that the firm had to make changes in order to keep the company profitable in the long term. The book industry has experienced stagnant sales during the past few years…
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Implementation Plan: Bames and Nobles

The plan also includes financial cost breakdowns and forecasts. The organization is going through a transitional period that requires innovative solutions. The objectives of the company are to maintain profitability and to continue its market leadership in the book industry. The diversification strategy that the firm used in the past helped the company increase its revenues, but the long term sustainability of that approach will not help the firm stay on top of the book industry. The firm has identified two alternatives that are aligned with the firm’s objectives. The first strategy involves creating close relationships with universities and publishers in order to persuade colleges to switch from textbooks to digital books for classroom purposes. The second strategy is based on the acquisition of Papyrus Australia (PPY) to use the firm’s patented technology to create new books made out of banana ply paper. Barnes and Nobles has to revamp its human resources to be able to achieve its new strategic goals. The company must immediately start a recruiting round to get the required personnel for the plan. The recruiting action item must be completed in a span of six weeks. The company has to hire specialized sales representatives. The credentials required for this job include having writing experience, a graduate degree, and superb interpersonal and negotiation skills. Barnes and Nobles needs 20 sales representatives. The United States will be divided into ten geographic regions. Two sales representatives will be assigned per region. These representatives will be traveling on the road all the time to different universities looking for business. They will be assisted by the marketing department of Barnes and Nobles. When a salesperson convinces a university to pursue the digital textbook idea an expert negotiator from the marketing department will assist the salesperson in closing out the deal. Once the six week recruiting period is complete the next step is to train the sales staff. The human resource department in alliance with the marketing department will develop the training sessions for the salespersons. The sales personnel will also received independent training from a consulting firm that specializes in e-book technology. These two training initiatives will take 30 days to complete. The final training will be implemented while the sales representatives start their job duties. The third training consists of other aspects of the job including organizational culture, business ethics, and additional sales techniques. The total elapsed time for implementation of the alternative solution is 90 days. The alternative solution requires sufficient budget for the option to have a chance to work. The sales staff will cost much more than your traditional sales staff because the job is very demanding and the firm requires employees with graduate degrees. The minimum educational requirement for the job is a master’s degree, but doctorate degrees or PhD are preferable. In order to attract top candidates the firm must offer a very good salary. The basic starting salary for the position is $150,000 plus commission. The travel expenses per employee are estimated at $50,000 consisting of lodging, diet, and car rental. The training costs for the staff are estimated at $100,000. The project cost is approximately $4.1 million without taking into consideration commission expenses which is a variable cost. The digital ... Read More
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