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Where to start? I believe that the problems start at the top. Company (Common) policy between the Management is to take as many sales calls as is possible. Thus, bringing the commissions down for the Inside/Outside Sales staff. Base pay is fairly low according to industry standards ($40k inside - $54k outside). Commissions run at about $500 mth (MAX) (Inside Sales Rep). Base pay is on Salary and Overtime is not paid (2 hours per day + Saturdays). However, according to Labor Law it is required. They know that, but believe that they are above it. Complaining about it will only get you terminated. At present, ALL sales staff is looking for employment elsewhere. For good reason. With the outside sales position, no budget is set in place. The management decides on their own at the end of the month what it WAS. Sales cannot be achieved while doing outside sales as clients find it MUCH easier to call orders into order desk when it is required. The Calgary GM makes it a regular practice to adjust pricing when clients call their orders into him, and ask for a price adjustment to match other suppliers. In order for reps to adjust pricing, they need to have management approval. The clients know this, so they go directly to Management. Thus, the representatives loose commissions. It seems that the only one that is unaware of this "Hidden" practice is President/CEO. Other management actively encourages this practice. Outside Sales Rep must work inside for 2 days out of the week to obtain any commissions. ($300 mth ….max). As well, the Calgary GM requests that the Outside Sales Rep rotate to work additional Inside Sales on alternating Saturdays. There are no wage increases to keep with yearly cost of living increases. Thus, there will be a roll back every year in staff wages. The head Sales Manager does not know how to operate the reporting program . So, he requires the Sales Reps to hand in hard copies once per week. (Which he rarely reads.) The person in charge of the program (the Edmonton GM) does not feel that it is important, as it does not affect his Edmonton territory. Thus, Sales Reps have no real organized reporting system. Territories are not defined after hiring. So the Outside Sales Reps continued to make sales calls in each other’s territories. Complaints can be made to the GMs. However, no interest will be given in correcting the problem. The Calgary GM is more of a follower than a leader. He cares more about his position, and himself, than any of his staff. He will turn his back on his staff at the drop of a dime. The same attitude is evident with the other management as well. The Calgary GM is unaware of what is going on in his own facility, and is more concerned about his "Theft" of sales from his own sales team. At the end of the day he will brag to the sales staff about how many sales he has made. Thus, making the situation even worse. He has been told by staff on numerous occasions that they are aware of what he is doing, but he still continues. The Head Sales Manager and CEO/President has been made aware of this as well by the Sales Staff, with the same outcome. There also exists very little staff incentive. No Christmas/Staff/Birthday Appreciation Parties. Staff has a very low moral overall. When the Head Sales Manager is present he exerts a "Bully" attitude towards staff. He is more than ready to feed staff an untactful insult. He is a very arrogant individual. This affects his relationship with staff. The Calgary GM s attitude always changes when Upper Management is around to put on a show for them. Usually at the staffs expense. He will abide by all company policies, and allow staff to take blame for his shortcomings (i.e. All HIS Price Adjustments). After Management leaves, he reverts back to his old ways.
What they need to do in order to "Fix" the problems:
Develop company handbook to contain up to date, detailed, positional requirements. Communicate with Outside Sales Rep as to what his/her monthly budget is (At beginning of month). Outside sales position needs a "Detailed" structure to promote growth, not client maintenance as it is right now.
Structure needs to be made by entire sales team. Not just the one representative. Begin having bi-weekly Outside Sales conference call meetings. That way everyone is sharing their knowledge of what is occurring in the industry and responses. Hire a New General Manager for Calgary; demote the Calgary GM to an Assistant GM position or terminate. Have the Outside Sales Rep be an Outside Sales Rep, not inside. Stress with the Calgary GM that he is not a vehicle/product delivery person or a taxi service. Trust that the Outside Sales Rep is doing his/her job. There is NO need for reporting in to the office first thing in the morning in person. It only slows down his day, and allows the Calgary GM to hold him back from being outside. Have more company gatherings outside of work to promote a team atmosphere. Have management show more of a caring attitude with staff. (At least a card at Christmas/Birthdays etc). Communicate with staff as to where THEIR "Social Fund" is at. It is "Their" money, and they should have a say in how it is spent. Use bottle money for the same. Not to subsidize underage’s in the cash register. Find the mistake, don't steal money from staff. Have the Calgary GM delegate all sales to the Sales Reps. That is how they will gain a better rapport with the clients. Have Calgary GM "Manage". That is what he was hired for. NOT as a Sales Rep . Strictly enforce that. Have a 6 month review for Management by staff. Reviews should be placed in an envelope, and given to a non-managerial delegate to send to Grande Prairie HQ President/CEO. Have a separate review for President/CEO. It should be made by staff and Management, and sent to company owners in same fashion. This way everyone is accountable for their actions. The OWNERS need to force these changes as CTP is getting/has a bad name for itself in the industry.
Starting Pay - $40k/yr base (Inside Sales), $54k/yr Outside Sales
$400-$500 mth commissions (Inside Sales)
$300-$400 mth commissions (Outside Sales)
Vacation Pay as per Provincial Law.
No Overtime Payed (Not as Per Provincial Labor Law) (Have pending law suits)
Reimbursement for Hotels, $40 day food, 35 cents per km (VERY POOR).
NO OTHER PERKS (Bonuses, RRSP Matching, Christmas Parties etc)