Sales Management - Assignment Example

There were also reports of overstating his performance for assigned products. In this regard, as the Sales Director, the following concerns are hereby addressed: a. Explanation on How Paul can Create an Ethical Work Climate in his Department Upon review of the scenario, it was apparent that the top performing salesperson evidently violates codes of conduct by exhibiting unethical behavior, such as use of company resources and time for personal goals and interests; overstating reported individual performance to supposedly comply with the department’s quota, and coercing customers to purchase products with ill-intent.

Therefore, to respond to Paul on the ways to create an ethical work climate, the following areas need to be appropriately addressed: i. Policies and rules There is a need to evaluate the policies and rules of the organization in terms of provision and clear dissemination of policies on strict adherence to ethical, moral and legal standards. Likewise, there must be a system of rewards and punishments to impose sanctions for violating these rules and to provide incentives for exemplary performance.

There should also be a system of reporting (even through confidential means) of noted violations and appropriate committee to investigate the allegations. If proven that an employee indeed violates policies, sanctions ranging from reprimand, warning, suspension without pay, and dismissal must be enforced. ii. Trust and responsibility The organization must encourage corporate values of trust, responsibility, professionalism and social responsibility. These values must be clearly communicated to all personnel, together with the mission and vision statement; as well as the code of discipline and ethical behavior.

Any violations noted on policies, rules, and code of discipline should be subject to sanctions, as recommended. iii. Peer behavior It is the responsibility of colleagues within the organization, irrespective of rank or position, to ensure that ethical behavior is manifested at all times. Any manifestation of unethical behavior contrary to the values indicated and in violation of the policies and rules should immediately be reported to higher authorities for proper review, evaluation, and imposition of sanctions. iv. Bottom line sales emphasis The actions, roles, responsibilities of salespeople and other members of the organization should be noted as contributory to the increase in sales and bottom line (net profit).

These financial figures are needed in order for the organization to sustain and support continued operations in the future. In no way should employee behavior be exemplifying conflict of interests by focusing on personal gains and the use of company time and resources. v. Book and Hold Recording future sales transactions in current periods are contrary to the rules in accounting. Any transactions made to comply with sales quota for the current period could not be subject to reversals or refund.

In cases that customers refund products purchased, any recorded credits to salespersons’ quotas would be reverted to new levels (after the return) and any rewards or bonus rendered would be deducted in current sales performance. b. Description of the “Perceived Seriousness” of the Salesperson’s Behavior The behavior manifested and exemplified by the supposedly top performing salesperson is unethical and clearly violates policies, rules, codes of conduct and ethical behav