COMMERCE 4ME3 SALES MANAGEMENT Fall 2012 Course Outline Marketing DeGroote School of Business McMaster University

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1 4ME3 - Fall of 14 COMMERCE 4ME3 SALES MANAGEMENT Fall 2012 Course Outline Marketing DeGroote School of Business McMaster University COURSE OBJECTIVE This course focuses on examining the essential functions of a Sales Professional in today s business environment. With the emerging nature of global and fiercely competitive markets, the onus is on the sales team within most business organizations to provide that vital edge. Importantly, almost one in five business students find placement in the sales function upon completing their undergraduate studies. It is critical, therefore, for the commerce grad to prepare to take on this challenge when faced with it. The course introduces students to key theoretical frameworks for a sound foundation in the science of selling and allows for enough opportunity to experience the practical application of this theory in a controlled setting. INSTRUCTOR AND CONTACT INFORMATION Section 1: Weds 4:30 5:20 Thurs 3:30 5:20 pm Classroom: DSB B107 Mandeep Malik malikm@mcmaster.ca Assistant Professor Office: DSB 228 Tel: (905) x23972 TA: TBA COURSE ELEMENTS Credit Value: 3 Team skills: Yes IT skills: Yes Global: No Avenue: No Verbal skills: Yes Numeracy: Yes Political: No Participation: Yes Written skills: Yes Innovation: Yes Social: Yes Evidence-based: Yes Experiential: Yes Final Exam: No Guest speaker(s): Yes COURSE SUCCESS SKILLS Proactive thinking and action; Creative problem solving; A responsible and self directed working style; Networking ability; Curiosity; Good interpersonal skills; Information mining skills; Analytical ability; Open mindedness; Interest in persuading and influencing people; Good Planning and Time Management; Team work skills.

2 4ME3 Winter Page 2 of 14 COURSE DESCRIPTION The primary purpose of this course is to acquaint students with the essential concepts and practices in B2B buying and selling. Selling is about dealing with customers and their needs, and it has less to do with the product or service than is commonly believed. The course therefore has a focus on customer decision process and an influence approach for each stage of buying. It will be taught using a mix of classroom workshops, guest lectures and observation in a work setting. Role-plays will be used to give practice in analyzing customer types, solving typical sales problems, and developing a consultative selling approach. The course attempts to maximize sales practice time by allowing students to open and / or lead class discussions. COURSE CHALLENGES 1. It will offer you many opportunities to sharpen your ability to think on your feet, develop your ability to improvise and work creatively in face-to-face transactions. 2. Your interpersonal ability and presentation skills will be tested in role-play situations and inclass presentations, helping you develop `public speaking confidence 3. Allow you learn through self critique and meaningful critique of peer ideas in class debates 4. Allow you to learn using the process of information search, information analysis and subject debate for all class discussions LEARNING OUTCOMES This course will help you to: 1. Understand the basics of professional selling practices, as they need to be applied today 2. Develop a strong foundation in the customer decision process for business buying and the related B2B sales process 3. Gain the knowledge and skills for a typical entry level sales position in the B2B environment REQUIRED ONLINE LEARNING RESOURCE Visit and sign up for an online sales training resource that will challenge you with a new sales situation in each session and help you to develop the skills to solve sales problems in face-to-face consultative selling situations. Your online progress will be tracked and you will be coached by the Class TA. Recommended Readings from the journals Journal of Personal Selling and Sales Management Industrial Marketing Management and Text on reserve Selling Building Partnerships by Weitz, Castleberry and Tanner Also use these reference web sites: Approx. $ 100 CAD

3 4ME3 Winter Page 3 of 14 EVALUATION Components and Weights Participation in Class Discussions... 20% (Individual) Leading Class Discussion on a Topic.. 05% Completion of Job Shadowing Report... 15% (due October 25th) Sales Role Play - Interim... 15% Sales Role Play - Final... 30% Performance in Online Learning Project... 15% (Individual) TOTAL 100% IMPORTANT: STUDENT EVALUATION METHODS ARE SUBJECT TO CHANGE Conversion At the end of the course your overall percentage grade will be converted to your letter grade in accordance with the following conversion scheme. LETTER GRADE PERCENT LETTER GRADE PERCENT A C A C A C B D B D B D F Communication and Feedback Students that are uncomfortable in directly approaching an instructor regarding a course concern may send a confidential and anonymous to the respective Area Chair or Director: Students who wish to correspond with instructors or TAs directly via must send messages that originate from their official McMaster University account. This protects the confidentiality and sensitivity of information as well as confirms the identity of the student. s regarding course issues should NOT be sent to the Administrative Assistant. Instructors should conduct an informal course review with students by Week #4 to allow time for modifications in curriculum delivery. Instructors should provide evaluation feedback for at least 10% of the final grade to students prior to Week #8 in the term.

4 4ME3 Winter Page 4 of 14 A. CLASS CONTRIBUTION (20% + 5%) It is our belief that highly interactive environments are the breeding grounds for excellence in stimulating idea generation, enhancing communication skills, improving analytical processes, fostering collaborative networks, testing assumptions, and having fun! This is also the time and place to develop the assertiveness and communication skills that are necessary for success in business. Consequently, we value and reward contribution. For our sales class, contribution relates to: - Being prepared for class discussion demonstrate fair knowledge of subject content; - Offering analysis in a critical and constructive manner; - Being eager / willing to debate issues using logic and integrating knowledge of basic sales/marketing concepts; - Listening and reacting to comments made by other students - Your ability to communicate clearly (i.e., quantity of dialogue is not the same as quality); - Demonstrate initiative to bring new and relevant knowledge to class discussions THIS COURSE WILL RELY HEAVILY ON `EMPOWERED LEARNING INVOLVING STUDENT LED DISCUSSIONS AND IN CLASS PRESENTATIONS ON THE TOPIC OF THE DAY. AS SUCH IT IS IMPERATIVE THAT YOU PREPARE FOR EACH CLASS THIS WILL DETERMINE THE TAKE HOME VALUE OF THIS COURSE TO YOU AND IMPACT YOUR LEARNING. Interim contribution marks will be posted about half way through the course. Come to see me then if your mark is low, or well before if you are concerned that it might be low. There are ways I can help you to participate more effectively. The key to high participation grades is making a quality contribution to every class. Marks will be awarded on both quality and consistency. Absence from class is a serious matter, since you obviously cannot participate if you re not there. If there are legitimate reasons for you to miss class, you need to provide documentation within one week of returning to school to the Academic Programs Office. GROUP WORK Groups will consist of two students. They will operate as a buyer seller team for the first roleplay and as a sales team of two for the final role play (this may change based on student needs or instructor choice regarding the nature of exam). Please note that 65% of your mark in this course is based on teamwork so choose your partner wisely. On or before 27 th September, you are required to submit the completed course team form to the instructor (the form is attached to this outline). All hand-in assignments will be completed as a group so even though you will job shadow individually, you will submit one report on the experience.

5 4ME3 Winter Page 5 of 14 OBJECTIVES OF THE GROUP The purpose of asking you to work in groups is to allow you to experience the process of addressing sales problems and tasks with a partner a reality you may be faced with in the field. Given the complexities encountered in selling, most technology and industrial product companies encourage teams to work on major accounts. Sometimes these teams are a combination of sales specialist and technical specialist, other times they may be sales manager and an executive. Today, I believe the sales professional and his or her buyer work as a team too. In the real world team formations have many different objectives. This classroom partnership will allow you to learn how to manage this process more easily, when you are faced with it in the working world. It will help you in areas like relationship building, communication, building trust, division of tasks, respect, handling conflict and motivating others to meet mutually agreed upon `win-win goals. B. HAND-IN ASSIGNMENTS Length and Appearance Job shadowing report: No more than ten pages (10 pages) plus any appendices that you choose to include. (Appendices consist of information that supports the main content of your report but is too detailed or voluminous to include in the body). Appendices not referred to in the body of the report will not be marked. In terms of appearance, your objective is to write reports using business standards. That means, your submissions should be typed and double-spaced, should have one inch margins all around and should employ a font size of no smaller than twelve points. Whole numbers ten or less should be written in words. Good English grammar and spelling count so edit carefully. Timing Written assignments will be accepted for grading only on or before the assigned due date and time. Please do not wait until the day the report is due to complete it. Viruses, printer problems, file or disc problems, etc. should all be detected and corrected before the due date. C. PROJECT DETAILS Job Shadowing Assignment Report (due in class on Thursday October 25th) This report will be based on your job shadowing experience and that of your partner you will, however, submit a group report that contrasts the two experiences and reviews the sales calls witnessed in relation to concepts discussed in class. You are required to job shadow a Sales Representative or a Sales Executive, preferably in a B2B environment. This should be a one-onone, minimum half-day `on-field experience in which you are witnessing face-to-face customer calls. Ideally, you should arrange it such that you get to witness a minimum of three customer interactions at different stages within the sales cycle. Members within a group must also choose two different companies however these can be within the same industry sector.

6 4ME3 Winter Page 6 of 14 Final Role Play Test (in the weeks of December 10 th and 17 th unless otherwise arranged given exam schedule) The situation, product / service and guidelines will be provided at least two weeks prior to the scheduling of the final test. It is typical in this test that you undertake a team selling effort to the buyer (played by the instructor or an external representative). It is possible that this role play be videotaped for our records. Your skills will be tested on each stage of the buying and selling process and you must demonstrate a good ability to apply / execute all selling steps. As a team you will have up to 40 minutes (subject to change) face-to-face with the buyer. In most instances the buyer will be quite cooperative, easy to deal with and interested in what you represent. CAUTION - You will be evaluated as a team and as individuals; so it is quite possible that if equal distribution of sales effort is not evident then you will not earn the same mark. Please keep in mind the grading will change if it is observed that parts of your pitch are not realistic or not professionally executed. For example a poor opening / introduction or an unexpected illogical argument during the process could earn you a FAIL even though other elements are properly executed. Besides the overall grading, your mark will also be adjusted using a scale of 0-10 with zero representing `highly unlikely to buy and ten as being `a definite purchase. PREPARING FOR THE INTERIM ROLE PLAY Within your groups you will be required to form a buyer seller team, and develop a scenario for a selling situation depicting opening, needs analysis, very basic discussion around a solution and close of meeting. It may reflect elements of objection handling or dealing with early customer resistance. You will then enact this role-play, only in the presence of your TA / instructor and will be graded based on the situation presented, and your performance. It is recommended that you develop B2B scenarios or in case of B2C then depicting sale of big-ticket items. These scenarios can be discussed and validated with me before hand. You are encouraged to use presentation material or product literature or demo equipment to make the role-play as realistic as possible. PLEASE DO NOT USE DUMMY LITERATURE FOR THIS PURPOSE. USE REAL PRODUCTS AND REAL BROCHURES / SALES LITERATURE. Use of laptop / tablet based presentations is encouraged. DETAILED GUIDELINES FOR THE INTERIM ROLE PLAY TEST This selling situation role-play will give you an opportunity to demonstrate your understanding of the buying and selling process and apply the key skills required for sales success. Please design your role-play using the following suggestions: 1. Develop a simulation of a business-to-business buying and selling situation lasting no more than twenty minutes. Use simple products or services, for example selling televisions to a school or university; selling cellular phones to a business for their service team; selling computers to a small business owner; selling maintenance services to a condominium complex owner; selling the services of a chartered accounting firm to a small business.

7 4ME3 Winter Page 7 of You should assume that you are meeting this buyer for the first time, in their office for a prearranged meeting. Cold calls are also acceptable. It is fair to assume elements like you are meeting this buyer based on an inquiry made by him/her or their firm, and that the person you are calling on is a decision-maker. All assumptions must be mentioned in the observer brief sheet - a half page summary of the situation you are going to demonstrate. This brief should be handed in to the TA/instructor before you begin the exercise. 3. The role-play should demonstrate the essential steps in the sales process including, opening, questioning to identifying needs, basic product proposition (using a Feature Benefit analysis or a product demo) and handling resistance. If you see time as a constraint, it is possible to close the call with agreement on the next proposed action; however, such sales calls must at least demonstrate identifying needs and the ability to overcome objections early on in the buying process / sales process. 4. Please try to obtain and use brochures for the products you are representing in the role-play. It is also possible for you to develop your own professional looking brochures, letters of reference or any other support documents for the sale. NOTHING SHOULD BE LEFT TO OUR IMAGINATION. ALL SUCH SALES TOOLS MUST BE REALISTIC. You can bring along product samples for demonstration, if they are easy to carry and demonstrate. 5. You should not be reading from or referring to a script. The role of the buyer should be well defined and the process should demonstrate a two-way interaction in which the buyer is participating actively. Otherwise both members of the group will lose marks. 6. Please dress for business and know the role-play is assessed as a professional business meeting. Any `un-business like behaviour will have a negative impact on your marks. Ideas that do not appear logical or realistic will not be accepted. 7. You will be judged on your presentation and communication skills, demonstration of and adeptness at the buying and selling steps, usage of sales tools and effort put in developing such tools, reality of the business script/situation and other such skills. GUIDELINES FOR THE JOB SHADOWING REPORT 1. Consider starting with a backgrounder on the company, the structure of their sales organization and their current market position versus competition. Include details on recruitment criteria and entry-level remuneration / reward packages. 2. Comment on overall `sales strategy, the recommended sales process, and external and internal factors that impact the sales cycle. Look at how the sales force is empowered, the resources provided, the training that they are given etc- for example, average annual training days, technological resources, service support

8 4ME3 Winter Page 8 of Compare what you witnessed during the day with what we discussed in class use the guest lectures, reference the text and other handouts to analyze the effectiveness of the interactions that you viewed. Consider the sales style of the individual, contrast theory to practice and offer observations on elements like conflict of buyer-seller goals. Depending on what you observed you may like to comment on specific aspects of the sales process, for example negotiation or objection handling, cold or planned call, single or multiple buyers. Make recommendations for change. Use references. 4. Use the sales history of the individual you were shadowing to draw learning for the new sales person from an experienced hand. Comment on success factors, typical problems / encounters and other market experiences. Also include comments on your understanding of their sales management practices daily/weekly/quarterly reports, planning and budgeting process etc. 5. You might also want to offer insights on the changes that the company or industry has implemented in their sales organization/strategy/process in recent years. You are encouraged to source and attach documents like recruitment advertisements for sales positions in this organization, job definition, examples of sales reports etc. The mark allocation for this report will generally be as follows: Background Info on Company (Audit of Sales organization): 15% Understanding of the B2B sales practices and the sales process witnessed: 25% Analysis of findings contrast of two companies given product, customer, industry: 40% Correlation to theory (including references): 10% Format and Creativity: 10% ACADEMIC DISHONESTY It is the student s responsibility to understand what constitutes academic dishonesty. Please refer to the University Senate Academic Integrity Policy at the following URL: This policy describes the responsibilities, procedures, and guidelines for students and faculty should a case of academic dishonesty arise. Academic dishonesty is defined as to knowingly act or fail to act in a way that results or could result in unearned academic credit or advantage. Please refer to the policy for a list of examples. The policy also provides faculty with procedures to follow in cases of academic dishonesty as well as general guidelines for penalties. For further information related to the policy, please refer to the Office of Academic Integrity at: In this course we will be using Turnitin.com which is a plagiarism detection service. Students will be expected to submit their work electronically to Turnitin.com so that it can be checked

9 4ME3 Winter Page 9 of 14 against the internet, published works and Turnitin s database for similar or identical work. If a student refuses to submit his or her work to Turnitin.com, he or she cannot be compelled to do so and should not be penalized. Instructors are advised to accept a hard copy of the assignment and grade it as per normal methods. The assignment can be subjected to a Google search or some other kind of search engine if the instructor wishes. To see guidelines for the use of Turnitin.com, please go to: REQUESTS FOR RELIEF FOR MISSED ACADEMIC WORK 1. Students may request relief from a regularly scheduled midterm, test, assignment or other course component in the following two ways: a) for absences from classes lasting up to five (5) days; or b) for absences from classes lasting more than five (5) days. a) For absences from classes lasting up to five (5) days Students must use the MSAF (McMaster Student Absence Form). This is an on-line, selfreporting tool, for which submission of medical or other types of supporting documentation is normally not required. Students may use this tool to submit a maximum of one (1) request for relief of missed academic work per term as long as the weighting of the component is worth 29% of the final grade or less. Students must follow up with their course instructors regarding the nature of the relief within two days of submitting the form. Failure to do so may negate the opportunity for relief. It is the prerogative of the instructor of the course to determine the appropriate relief for missed term work in his/her course. If the value of the component is worth 30% or more, students must report to the APO to discuss their situation and will be required to provide appropriate supporting documentation. b) For absences from classes lasting more than five (5) days Students cannot use the MSAF. They MUST report to the APO to discuss their situation and will be required to provide appropriate supporting documentation. Students who wish to submit more than one request for relief of missed academic work per term cannot use the MSAF. They must report to the APO and discuss their situation with an academic advisor. They will be required to provide supporting documentation and meet with the Director. The MSAF cannot be used during any final examination period. Students who require accommodations to meet a religious obligation or to celebrate an important religious holiday must make their requests in writing within three weeks of the start of term to the APO.

10 4ME3 Winter Page 10 of 14 Students seeking relief due to: work-related (for part-time students only) commitments; representing the university at an academic or varsity athletic event; and/or conflicts between two (or more) overlapping scheduled midterm exams, have the option of applying for special exam arrangements. Such requests must be made to the APO at least ten (10) working days before the scheduled exam along with acceptable documentation. There will be only one common sitting for the special exam. Instructors cannot themselves allow students to unofficially write make-up exams/tests. Adjudication of the request must be handled by the APO. STUDENT ACCESSIBILITY SERVICES Student Accessibility Services (SAS) offers various support services for students with disabilities. Students are required to inform SAS of accommodation needs for course work at the outset of term. Students must forward a copy of such SAS accommodation to the instructor normally, within the first three (3) weeks of classes by setting up an appointment with the instructor. If a student with a disability chooses NOT to take advantage of an SAS accommodation and chooses to sit for a regular exam, a petition for relief may not be filed after the examination is complete. The SAS website is: POTENTIAL MODIFICATIONS TO THE COURSE The instructor and university reserve the right to modify elements of the course during the term. The university may change the dates and deadlines for any or all courses in extreme circumstances. If either type of modification becomes necessary, reasonable notice and communication with the students will be given with explanation and the opportunity to comment on changes. It is the responsibility of the student to check their McMaster and course websites weekly during the term and to note any changes.

11 4ME3 Winter Page 11 of 14 COURSE SCHEDULE Date Topic Readings Methodology Thursday September 6 th Wednesday September 12 th Thursday September 13 th Participant Introductions and course success skills. Discuss course outline, project, role play assignments Review current recruitment ads for sales positions to identify commonly required skills and define learning goals GUEST SPEAKER from Momentium Communication Exercises Bring samples of sales recruitment ads TA coordinates Wednesday September 19 th Review of the paper `The evolution of the seven steps of selling By Moncrief and Marshall Industrial Marketing Management 34 (2005) Thursday September 20 th Review of the article - Creating Real Value for Customers by Neil Rackham The Personal Selling Process & Buying Process Paper and Chapter 1; Mega trends affecting selling; Use book on reserve Selling Building Partnerships by Weitz, Castleberry and Tanner Chapter 4 Student led discussion on how buying has changed ARTICLE ON RESERVE AT INNIS ARTICLE ON RESERVE AT INNIS Buying experiences exercise Wednesday September 26 th Organizational Buying; Buying Centres in Organizations Chapter 4 Thursday September 27 th Relationship Management in Selling; Communication with Different Customer Types and Adaptive Chapter 6 Social Style Matrix

12 4ME3 Winter Page 12 of 14 Selling Date Topic Readings Methodology Wednesday October 3 rd Prospecting and Pre-Sale Preparation. Chapters 7 and 8. Also read Journals / Magazine articles relevant to topic Video & Classroom exercise Thursday October 4 th The Sales Approach Opening and Developing a Sale Chapter 9 and Articles relevant to Sales Process Role Plays / Video Sales Letters for Prospecting (optional) Wednesday October 10 th REGISTER ON and complete first session Thursday October 11 th Rapport Building in Developing a Sale; In class role plays on Opening a Sales Meeting (first Buyer Seller interaction) Role plays Wednesday October 17 th The Questioning Approach - SPIN Selling Chapter 9 and articles on Value added selling Thursday October 18 th In-Class Role Plays Opening and SPIN Method for Needs Analysis Sales Letters to summarize and advance buying (optional) Wednesday October 24 th In-Class role plays SPIN Method Thursday October 25 th JOB SHADOWING REPORT IS DUE Wednesday October 31 st The Sales Presentation and Demonstrating Products using Feature Benefit Analysis Meeting and overcoming customer objections Chapter 10 Chapter 11and articles relevant to objection handling Bring in product samples for demo exercise Sales Letters for Proposals (optional)

13 4ME3 Winter Page 13 of 14 Thursday November 1 st Sales Negotiation Process Chapter 13 and relevant articles on Sales Negotiation Date Topic Readings Methodology Wednesday November 7 th INDUSTRY GUEST SPEAKER Thursday November 8 th Closing the sale Post sale support Chapter 12 and research published studies or opinion papers Role Play Wednesday November 14 th In-Class Role Plays Instructor led Thursday November 15 th Wednesday November 21 st Thursday November 22 nd Wednesday November 28 th Thursday November 29 th YOU MUST HAVE COMPLETED ALL ONLINE SESSIONS In class role plays and video case analysis Your Profile as a Sales Leader Leadership and Motivation in the Sales Function Decision making with objectivity Review Online Training Project Situational Leadership Theory The Tower Building Exercise Cave Rescue Exercise Session led by emz2 NOTE: THE COURSE SCHEDULE IS SUBJECT TO CHANGE. FLEXIBILITY WILL BE APPLIED TO BRING IN INDUSTRY SPEAKERS AND DEFINE TOPICS BASED ON PARTICIPANT LEVELS AND INTEREST.

14 4ME3 Winter Page 14 of 14 PROFESSOR MANDEEP MALIK COMMERCE 4ME3 - SALES MANAGEMENT COURSE TEAM COMPOSITION TEAM MEMBERS PHONE NUMBER & Proposed Job Shadowing Organizations and Contacts Sign Up for Online Learning Resource User ID User ID

COMMERCE 4ME3 SALES MANAGEMENT Winter 2014 Course Outline Marketing DeGroote School of Business McMaster University

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