Q1) What are the organizational& operational issues that underline the problems facing BPS?Problems faced by theBPS:· Win rate is now projectedto be a dismal 15.5% which was originally forecasted a win rate of 17.
5%.Therefore, there was a decrease of 2% in the win rate.· The integration mechanismin place was not aligned and varied across each acquired company.· The renewal rate wasdecreased by 6% i.e. the rate dropped from 91% to 84%.
Organizational issues:Problem in meetingdeadlineThesales people were not getting timely assistance from sales support group whichlead to the problem of missing deadline. This is because the sales supportgroup are shared across sales division (hybrid structure) they don’t feelimportance of meeting proposal on time and the members also complained of highworkload and lack of time to finish off the work.No common integratingmechanism/ working methodologyTherewas lack of synergies among the acquired companies as all of them worked ondifferent technology platforms, service delivery process and even differentfiscal year and dates. Though most of the integration work has been completedthere was some integration mechanism which needs to be implemented. Provided,the competitive market that BPS is operating it cannot afford to miss out onmarket share due to lack of synergy.Problems due to differentselling seasonsAsthere are different selling seasons among industries sales division is occupiedwith work than others across quarters and the selling seasons also variesacross different companies as different fiscal year ends of the predecessorcompanies.
Operational issues:Underutilization ofresourcesAsthe resources were not utilized to the maximum extent and it varied acrosssales support functions (Exhibit-7) management sought out a plan to cross trainthe employees across various domains to increase the employee utilization. But,it’s very difficult to train the employees across various domains because it’sineffective and cost-prohibitive as the skills sets are very different.Underutilization of available employee resource occurs due to unplanned operationalstructure.
Workload variedextensively Workloadfor sales support group varied extensively across the range of spectrum that isthey are being provided with reasonable amount of assignments while on somedays the workloads are heavy which leads to backlog of requests. They also feltthat there was” lack of visibility into sales pipeline, being brought in lateon contract renewals and sales support requirements that varied widely from onesales opportunity to the next”. Q2) What alternatives areavailable for dealing with the problems in the Sales Support Group? How do youevaluate the alternative that you propose? What should Christy Conor propose toBrandon Ali?Onanalyzing the exhibit 4, it is evident that the supportive team is not able tomeet the demand.Themaximum sales support hours in three function falls outside the range ofstandard deviation.
So, it is better to redistribute the sales support to theindustry with the highest demand. Once this is done, the company should be ableto handle the capacity requirements in a more efficient way. Therefore, theseasonal variation can also be eliminated.1. ReorganizeIndustry-centric OrganizationByimplementing this, Sales support having 4 divisions as per sector and eachsector has responsibilities (data engineering, data analysis, proposal support& pricing). This might demand a significant increase in man power incurred. But this still might not address the issue of faster salesproposal.2.
Abandonindustry focused sales support team structureInsteadof going for industry focused sales support team, we can have teams fordifferent types of sales like New sales, Renewal, Expansion & Pilot. This makesit necessary that each team is cross trained across different industry. 3. Crosstraining of the workers TheExhibit 7 shows that the utilization level of the functions of the salessupport. There is a low utilization in 2 of the functions. .
this can beeliminated by cross training the employees. This would help them in enhancingthe capacity and meeting the deadlines in a more efficient way.Forcross training to be more effective, each team member needs to work in a particularrole for at least 3 months. Conclusion:Basedon the above options, we recommend cross training of the workers. Though thiswill add cost of cross training but the organization will still have competitiveadvantage than hiring new workers & training them which would incur morecost.
Also, as already mentioned, each team member needs to work in aparticular role for at least 3 months to make cross training effective.