Monday, January 28, 2013

Cross Selling or Cross Purposes?

by Ford Harding

The merger between TopTek and Rossberg Lee was suppose to be a great success for both parties. CEO John Vaunt has noted to his trusted VP for HR Anna Tucker that since the acquisition many problems have arose. Complaints from customers, his own sales staff and newly acquired consultants has him thinking that his company needs some restructuring. Vaunt employs Tucker to troubleshoot from the inside out o try and discover what changes need to be made to keep TopTek flourishing. What Anna finds through discussions between the different divisions is that the transition since the merger has been anything but easy and profitable. The sales force believes the consultants are unable to effectively sell to customers. The consultants feel that the sales force is not tech savvy enough to sell solutions after initial sale. The biggest issue was the compensation structure that rewarded the sales force who had won the account years ago and still gave the sales force commission for the consultants current sales.

Key Issues with Suggested Solutions


  • Consultants feeling short changed because commissions are going to the sales force. TopTek's current commission structure could be modified to appease the complaints of the consultants. However, this may lead to appeals by the sales force who have worked with this structure  and have found the most efficient way to meet their quotas. 
  • The sales force perception of the newly acquired consultant firm. Many of the sales force voiced their opinions regarding the consultants as not being able to trust them with their clients. This is a very crucial problem which needs to be fixed. Both sides of this merger appear to be unhappy so management needs to mend these relationships before it becomes detrimental to accounts. A company wide training or meet and greet could promote better bonds within divisions of the organization. 
  • Customer dissatisfaction after the recent merger. Trying to push sales to an established client will only lead them to feel overwhelmed and annoyed by your staff. Both companies should educate one another on current clients needs and the direction the account reps are currently taking to ensure a fruitful and continued business relationship.
  • Better strategy with productive pairing. There was one case where both sides from the sales force and consultants worked great together. Each person had only the best to say of the other and together they were able to seal an large account for a good amount of business. Using this as an example TopTek should work to try and mold better pairings among the divisions so that there is a trust built between the individuals. This would create a better work environment for both sides that may lead to less concern about the commissions structure and focus on account handling. 
Consultant's Viewpoint

The current commission structure is asinign and unfair. Why am I working so hard to sell solutions to these clients if the commission is going to someone I haven't even met yet here at TopTek? Sure they closed the account years ago but now I am the one adhereing to the customers needs and introducing new products to them, where is my cut? This structure needs to change in order to be more rewarding for my hard work and time.

Sales Force Viewpoint


Although I can see the frustration among the consultant division, I must ask them who they would be selling these new solutions to if we hadn't closed the account? We are trying to bring in more and more accounts that the consultant division can continue to grow the account. Shouldn't they be grateful for our continued success of closing new clients rather than complaining about commission? Now that we've merged our structure should not change to appease their shortcomings.

CEO Viewpoint

After hearing from both sides, the best course of action would be to integrate the way both divisions work in order to highlight the best that both do. With the sales force becoming more knowledgeable of the customer's and the consultants realizing when and how to sell to a client we can be more productive without losing any key members from either staff. Potentially in the future we can discuss a restructuring of commissions but for now we will continue to use the current system.

1 comment:

  1. I like how you identify the key problems of the article and pinpointed why and what actually happened between the new companies. The viewpoints from sales force, CEO and consultants are a better way than the sellers/buyers points.

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