CASE-3

MAHA RESEARCH LABS: SALES FORCE EXPANSION

INTRODUCTION

The organization was established by Mohammed Isaquddin Kureshi in the year 2007. At first it
had 5 workers and 7 brands that it advertised in 8 deals an area for the underlying 3 years. As
time passed it extended its items, by 2017 it had 50 brands and 75 workers which it showcased in
19 deals an area.
In the year 2007 it had accomplished a deals of 670 million and for the coming year 2018 it will
accomplish a deals of 1 billion and furthermore by 2018 it needs to grow in various pieces of
India, to do so he should thing of different things identified with the Salesforce. To do so, the
Organization had to thing few of the things related to sales target like How they can increase
their sales. what will be the solution towards this problem. Morethan that what will be the size of
the salesforce

MISSION OF THE ORGANIZATION

The organization needs to extend and have a skillet India nearness by entering western, eastern,
northern and southern India with deals income worth ₹2 billion. For this they have to change the
business structure.

MAJOR PROBLEM FACED BY THE COM PANY

 How should the sales Organization be designed?
 What would be an appropriate sales force structure?
 Company should opt for the generalist sale force.
 Optimal size for the sales force?
 What process should company follow to design the sales force

FACTORS TO DECIDE SALES TARGET

 Business situations
 Economic Factors
 Problems by PSO
 Legal Support
TYPES OF SALES FORCE STRUCTURE
A. Generalist Structure
B. Specialist Structure
C. Hybrid Structure

SALES MANAGEMENT OF THE ORGANIZATION

Apart from deals the sales rep additionally went about as an advancement, it was on the grounds
that the sales rep was answerable for keeping up a decent connection with the clients and
furthermore discovering the expected clients.
Right now it has got 50 Professional sales officers these 50 PSO’S were allowed a Area Sales
Manager (ASM) , there were 7 ASM. The zonal manager was responsible for looking after the
ASM and also reporting to the director of the company.
During the on boarding the went for a 14 days training in the company’s facility and also had a
refresher course which was for 1 week in the same facility. Every month the ASM would work
with the PSO’S for 3 days to review their performance and for the field training.
Currently organization having -
 The PSO’S are having 3 categories of customers i.e. A,B & C
 Min of 220 call per month and 132 pharmacy visits in the month
 The time invested by the salesperson is divided amongst the different categories
 Total of 180 customers
The structure of the business power is generalist and is an area based deals structure which helps
in decreasing the duplication of endeavors in addition to helps in limiting the movement time
while the pharmaceutical business which has got claim to fame drugs follow an expert deals
structure as the extraordinary medications frequently require the sales rep to be outfitted with
acceptable information on the items, with the information on the items the salesman can
deliberately focus on the clients and furnish them with great bits of knowledge of the item in this
manner helping in sustaining a decent relationship.

SOLUTION AND SIZE OF THE SALESFORCE

To accomplish their objective of 2 billion income by 2 billion, they have to grow to a few
geology and to do this they have just got the generalist deals structure, yet the issue emerges with
the new items that the organization will dispatch which are the strength drugs for this they will
truly need to pick the pro structure. Best case scenario to understand their fantasy of 2020 they
should attempt to join both of the structures such that the expert structure ought to likewise be
centered around specific areas so as to lessen the movement cost.
Sales force can be calculated by the workload method.
Step 1 :
Classifying the prospects according to the sales potential:
There are 3 categories of customers, they are mentioned below along with the number of
physicians in each category
Category A : 10,000
Category B : 18,000
Category C : 7000

Step 2 :
Desired frequency ( no of working days considered as 300)
Frequency for different categories of physician :
Categ. A : once in 15 days = 300 days/ 15 = 20 visits
Categ. B : once in 30 days = 300 days / 30 = 10 visits
Categ. C : once in 45 days = 300 days/45 = 7 visits

Step 3 :
Workload to cover the entire market
Categ. A : total targeted physicians : 10,000 × 20 (frequency per year of A) = 200000
Categ. B : total targeted physicians :18,000 × 10 ( frequency per year of B) = 180000
Categ. C : total targeted physicians : 7000 × 7 ( frequency per year of C) = 48000
= 428000

Step 4 :
The T. worktime available per salesperson
Calls made by POS per year : 10 min × 22 days × 12 months = 2640 min (In whole year)
Step 5 :
T. no. of salespersons needed = T. Workload/Calls made by POS per year = 428000/2640
= 163
CONCLUSION
As MRL was poised to expand ,helping to realize Kureshi’s vision of achieving sales revenue
worth Rs 2 Billion by 2020. While the company’s location-based sales structure and company
management had taken decision of hiring POS more than sufficient to match the total workload
Moreover extra POS will also help During high demands for the company.