FRIENDLY FORD

Group 2 Case Study

Viewpoint

The case

Time Context

The case takes place some time in the

middle to the latter part of the year
1989. The previous year, 1988 saw a
significant decline in car sales across the
United States.

Problem Statement

How do I improve long-term

customer satisfaction and
increase my overall profits to $1
Million this year?

Statement of the Objectives

Move the firm into the top 10 percent of

the Quality Commitment Performance
ratings within the year.
Increase sales volume to over 2000 units
from 1900 units within the year.
Achieve a profit of up to $1 Million this
year.

Areas of Consideration

Strengths

Existing clients
Satisfied sales force; Good at selling

Weaknesses

High turnover of sales force

Existing sales force structure

Areas of Consideration

Opportunities

Referrals from repeat customers

Threats

Low customer satisfaction

Dwindling economy

Alternative Courses of
Action

Empowerment of the sales force

organization to handle a sale from start
to finish thus closing the greeter and
closer gap.
Second is the improvement of Postsale
Follow-up by integrating it with the
salespersons compensation structure.
Outsourcing of postsales support.

Analysis

Sales Force Empowerment

Advantages
Faster

turnaround time.
Rapport is built.
Repeat sales and referrals.

Disadvantages
Takes

time.
Pricing concerns.

Analysis

Improvement of Postsales Followup and

Integration of QC-P scored to
compensation structure.

Advantages
More

commitment from sales force.

Repeat sales and referrals.

Disadvantages
Takes

time.
Demotivation from sales force.

Analysis

Outsourcing of postsales support.

Advantages
Professionally

designed.

Disadvantages
Impersonal.
Separate

entity.
Adds to costs.

Conclusion

Empowerment of the sales force

organization to handle a sale from start
Custome
to finish.
r
Ease of

ACA
Sales Force
Empowerment
Postsales
Followup and
Integration
Outsourcing

Satisfact Implementatio
ion
n

High

Medium to
High

Medium
to High
Low

Low to
Medium
Low

Cost

Low
Low
High

Plan of Action

Training of salesforce (1 to 3 months)

Deployment

Product presentation
Price negotiation
Processing
Actual dealings with customers

Tracking and Feedback

Surveys from customers

Tracking of sales figures.