海红市场销售人员人力资源管理

SINOTRUST MANEGEMENT CONSULTING 24th Feb, 2000 SHEKOU 机密 DIAGNOSIS AND SUGGESTIONS ON HEMPLE-HAI HONG SALESMAN HR MANAGEMENT SINOTRUST/MC Hempel-HR PAGE 2 SINOTRUST 新华信管理咨询 MAIN PROBLEMS IN SALESMAN HR MANAGEMENT Problem one: All HR managing responsibilities are burdened by sales managers. Without the position of HR manager, many functions of HR management can not be realized. Problem two: Because of the absence of HR plan, HR supply and demand is decided by feelings of sales managers. The recruitment is arbitrarily implemented. Problem three: Hemple-hai hong has no complete training system. Without the demand analysis, summarizing after training and proper implementation, the training programs can not meet salesmans requirement or give them right guidance. Problem four: Without salesman career development design, the goals of salesman can not conform to those of hempel-hai hongs. Problem five: Low evaluation result increases salesmans comfort and passiveness, leading to low efficiency of salesman. Problem six: The motivating system has not been related to salesmans performance evaluation, which can not stimulate salsmans enthusiasm. Problem seven: The compensation system is unreasonable, which quenches salesmans motivation. SINOTRUST/MC Hempel-HR PAGE 3 SINOTRUST 新华信管理咨询 CONCENTS recruitment Training and development Performance management and motivation Compensation and benefit suggestionsoverview bachground HR plan recuitment training Competence development Career development evaluation structure problems drawbacks principles HR suggestionsmotivation SINOTRUST/MC Hempel-HR PAGE 4 SINOTRUST 新华信管理咨询 MAIN PROBLEMS IN SALESMAN HR MANAGEMENT 资料来源：新华信访谈和分析 P1： Absence of HR system. P2： Absence of HR plan and recruitment plan. P3： Uncomplete training system. P4： Absence of salesman career development plan. P5： Uncomplete evaluation system for salesman P6： Uncomplete motivating system for salesman P7： Unreasonable compensation structure for salesman SINOTRUST/MC Hempel-HR PAGE 5 SINOTRUST 新华信管理咨询 PQM MODEL SHOWS THAT HEMPLE-HAI HONGS MOST ERGENT PROBLEMS ARE TO SET UP HUMAN RESOURECE SYSTEM, ESTABLISH PERFORMANCE MANAGEMENT AND REASONABLE COMPENSATION STRUCTURE 5 4 3 2 1 E D C B A BestWorst Most unimporant Most important P1 P3， P4， P2 P7 P5 P6 SINOTRUST/MC Hempel-HR PAGE 6 SINOTRUST 新华信管理咨询 PRINCIPLES OF ESTABLISHING HR SYSTEM: PEOPLE FOCUS, STRENGTHENING IMPLEMENTATION Principle one: to maintain hemple-hai hongs tradition, take people focus and establish active and harmonious environment . Principle two: to complete every step of HR management, and transmit from management without rules and regulations to management by rules and regulations. Principle three: to complete the HR system from job analysis and focus on the cost control SINOTRUST/MC Hempel-HR PAGE 7 SINOTRUST 新华信管理咨询 HR MANAGEMENT FRAME SHOULD BE ESTABLISHED IN SALES DEPARTMENTS Responsibilities of HR managers are burdened on the sales managers. HR management are relied on the individaul knowledge and competencies. Former According to HR management characteristics and hemple -hai hongs current situation, working flow and process should be regularized . Individuals should be assigned to concrete works and given professional guidance. Future SINOTRUST/MC Hempel-HR PAGE 8 SINOTRUST 新华信管理咨询 THE PERFORMANCE MANAGEMENT AND COMPENSATION STRUCTURE SHOULD ACCORD TO BUS CHARACTERISTICS strategy Market position and development stage Compensation strategy Compensation mix Develop by investment (protective paint) Merge or rapidly develop Adequate motivation High level pay and above medium performance awards, medium benefit Maintain profit and protect market (marine paint and decorative paint) Mature stage by normal development Awarding skilled management Average pay and medium performance awards, standard benefit Harvest profit and change invest direction (container paint) No development, recession cost control focus Compensation below average, awards according to cost control, standard benefit SINOTRUST/MC Hempel-HR PAGE 9 SINOTRUST 新华信管理咨询 PERFORMANCE MANAGEMENT AND MOTIVATING SYSTEM SHOULD FOCUS ON THE GUIDING ON SALESMAN, ADJUSTING THE NEEDS OF HEMPLE HAI-HONG AND INDIVIDUAL DEVELOPMENT Individual development plan Company development that salesman senses B B B B A A A A CC C C Salesmans three moods Performance management and Guide for performance development should give salesman definite direction, leading them to develop their competencies according to the GUIDE SINOTRUST/MC Hempel-HR PAGE 10 SINOTRUST 新华信管理咨询 PERFORMANCE MANAGEMENT SHOULD BE SET UP, EVALUATING SALESMANS COMPETENCIES, OBJECTIVES AND RESULTS, KEY RESPONSIBILITIES C competenciesA objectives and results Interpersonal skills influencing people development* communication judgement and decision making planning and execution attitude customer service Sales volume withdrawls price sales cost B key responsibilities safety quality leadership* performance management* profitability teamwork training and development* implementation business development identifying and meeting customer requirements process-project management technical skills *: only for sales manager SINOTRUST/MC Hempel-HR PAGE 11 SINOTRUST 新华信管理咨询 EVALUATION SHOULD CONFORM TO BUS CHARACTERISTICS marine container protective decorative characteristics Fixed account and big account, having support of hemple global net Fixed account and big account, having support of hemple global net Many but scattered projects, periodic accounts and shared information Main accounts are projects, and periodic accounts Main concerns of evaluation Focus on attitude Focus on cost control Focus on efforts Focus on efforts and cost control SINOTRUST/MC Hempel-HR PAGE 12 SINOTRUST 新华信管理咨询 PERFORMANCE MANAGEMENT FOR MARINE PAINT: FOCUS ON KEY RESPONSIBILITIES, WITHDRAWALS AND SALES COST C competenciesA objectives and results Interpersonal skills influencing people development* communication judgement and decision making planning and execution attitude customer service Sales volume withdrawls price sales cost B key responsibilities safety quality leadership* performance management* profitability teamwork training and development* implementation business development identifying and meeting customer requirements process-project management technical skills *: only for sales manager SINOTRUST/MC Hempel-HR PAGE 13 SINOTRUST 新华信管理咨询 PERFORMANCE MANAGEMENT FOR CONTAINER PAINT: FOCUS ON KEY RESPONSIBILITIES, WITHDRAWALS AND SALES COST C competenciesA objectives and results Interpersonal skills influencing people development* communication judgement and decision making planning and execution attitude customer service Sales volume withdrawls price sales cost B key responsibilities safety quality leadership* performance management* profitability teamwork training and development* implementation business development identifying and meeting customer requirements process-project management technical skills *: only for sales manager SINOTRUST/MC Hempel-HR PAGE 14 SINOTRUST 新华信管理咨询 PERFORMANCE MANAGEMENT FOR PROTECTIVE PAINT: FOCUS ON SALES VOLUME AND WITHDRAWALS C competenciesA objectives and results Interpersonal skills influencing people development* communication judgement and decision making planning and execution attitude customer service Sales volume withdrawls price sales cost B key responsibilities safety quality leadership* performance management* profitability teamwork training and development* implementation business development identifying and meeting customer requirements process-project management technical skills *: only for sales manager SINOTRUST/MC Hempel-HR PAGE 15 SINOTRUST 新华信管理咨询 PERFORMANCE MANAGEMENT FOR DECORATIVE AND ROAD PAINT DEPARTMENT: FOCUS ON SALES VOLUME, WITHDRAWALS AND SALES COST C competenciesA performance Interpersonal skills influencing people development* communication judgement and decision making planning and execution attitude customer service Sales volume withdrawls price sales cost B key responsibilities safety quality leadership* performance management* profitability teamwork training and development* implementation business development identifying and meeting customer requirements process-project management technical skills *: only for sales manager SINOTRUST/MC Hempel-HR PAGE 16 SINOTRUST 新华信管理咨询 SELF-APPRAISAL MONTHLY AND EVALUATION ANNUALLY Evaluation index Evaluation means monthly B key responsibilities C competencies self appraisal of salesman monthly evaluation by boss per season and feedback annually A objectives and results B key responsibilities C competencies First, self-evaluation by saleman second, evaluation by boss and feedback third, making development plan for next year objective leading salesman to develop according to performance management standard Summatizing one years performance SINOTRUST/MC Hempel-HR PAGE 17 SINOTRUST 新华信管理咨询 HEMPLE-HAI HONG SHOULD ADOPT KINDS OF MOTIVATING STYLES TO PROMOTE SALESMANS ENTHUSIASM competencies performance key responsibilities promotion bonus salary awards Boss courage and praise To make salesman feel responsibility and fullfillment, satisfying their needs of self development Direct way to confirm the performance To confirm salsmans performance and competencies To courage some special talents and competencs of salesman Simple way to let salesman feel respected and concerned SINOTRUST/MC Hempel-HR PAGE 18 SINOTRUST 新华信管理咨询OVERVIEW TO THE STRUCTURAL SYSTEM OF CEMPENSATION AND BENEFIT Restructuring the current system of compensation and benefit The new compensation system named “Structural System” includes pay and bonus based on the district differentiation called the district coefficient. Consider the three dimensions, the performance of the company, business unit, individual to assign the year bonus to motivate the sales effectively. Set up CEO Award to award the outstanding performance. Obey the lab law and the social security policies to reduce the conflict between the employer and employees. Standardize the benefit. Establish the rules of Housing Loan with the reimbursement planning, otherwise, announce housing Loan unavailable. SINOTRUST/MC Hempel-HR PAGE 19 SINOTRUST 新华信管理咨询 ADJUST THE CURRENT SYSTEM OF COMPENSATION AND BENEFIT Current compensation and benefit system compensation benefit pay bonus allowance Basic pay Floating pay 13th month pay Bonus annually Travelling allowance Benefit internal House loan lunch fee fruit fee . Social security Medicare dole annuity Add CEO award Simplify Standardize Segment Renamed Bonus monthly Maintain Standardize Set up a series of indicators SINOTRUST/MC Hempel-HR PAGE 20 SINOTRUST 新华信管理咨询 PRINCIPLE, GOAL AND PERSPECTIVE OF THE ESTABLISHMENT OF COMPENSATION AND BENEFIT SYSTEM Principles: equitable, reasonable and consistent with hemple-hai hongs development strategy goals: 1, to resolve the unfair differentiation among four BU 2, to resolve the unfair differentiation among each office 3, to resolve the disconnection of performance and bonus 4, to establish reasonable compensation system, establishing proper expectation perspectives： 1, to arrange proper structural system, adjust current differentiation by establishing reasonable position and level 2, establishing coefficient to adjust district differentiation 3, relate performance management to bonus SINOTRUST/MC Hempel-HR PAGE 21 SINOTRUST 新华信管理咨询 RESTRUCTURE COMPENSATION AND BENEFIT SYSTEM Compensation and benefit system Basic pay 13th month pay Level pay seniority pay Monthly bonus CEO award Bonus annually compensation benefit pay bonus Benefit internal Social security Position pay SINOTRUST/MC Hempel-HR PAGE 22 SINOTRUST 新华信管理咨询 SUGGESTION ON BASIC PAY AND MONTHLY BONUS restructure current pay, dividing it into basic pay and monthly bonus the future structural pay will be as following: standard pay=basic pay+monthly bonus =basic pay(1+) is the coefficient of monthly bonus or floating, 0 1 basic pay=(position pay +level pay+seniority pay)district coefficient position: sale representative, regional manager, manager, general manager level: junior, senior, advanced,and in each level can divide to 1,2,3 sublevels salesmans basic pay comprises of level pay, position pay and seniority pay. With the increasing of any of the three, the monthly bonus increases, which is proper as different position pay or level pay means different responsibilities. Monthly bonus has the same ratio to the basic pay but different value. Monthly bonus is decided by general manager . We suggest that in condition of not contravening the regulation, the monthly bonus should not be discounted. SINOTRUST/MC Hempel-HR PAGE 23 SINOTRUST 新华信管理咨询 IMPLEMENTATION OF BASIC PAY AND MONTHLY BONUS First, to analyze the current pay second, to decide on the quantity of seniority pay, level pay and position pay. Establish transitional pay structure: compare thecurrent pay with the future one, the odds is reserved pay. So the current pay structure changes into: pay=standard pay+reserved pay=(basic pay+monthly bonus)+reserved pay reserved pay can be controlled in a certain scope, which can be adjusted by the demarcating of position and level. Third, the transitional pay structure will change to standard structure and the reserved pay should be abolished gradually. SINOTRUST/MC Hempel-HR PAGE 24 SINOTRUST 新华信管理咨询 ALLOCATION OF THE ANNUL BONUS SHOULD CONSIDER FOUR MAIN FACTORS Decide on corporate bonus 事业部奖 金总额 decide the annual bonus of each BU Each BUs completi on of objectiv es Corporat e perform ance as a whole Salesmans performanc e evaluation annually 事业部奖 金总额事业部奖 金总额 bonus of each BU Individual bonusIndividual bonusIndividual bonus Decide individu al bonus Macro- economy each BU facing BUs objectives： the BUs evaluation indicators should be decided according to the development strategy of hemple-hai hong, industrial situation of each BU. 1 2 3 4 Individual bonusIndividual bonusIndividual bonus Individual bonusIndividual bonusIndividual bonus SINOTRUST/MC Hempel-HR PAGE 25 SINOTRUST 新华信管理咨询 SUGGESTIONS ON THE ALLOCATION OF BU ANNUAL BONUS The annual bonus is taken out from corporate annual profit according to the corporate performance. At the beginning of the year, objectivs and evaluation indicators of each BU are decided according to the corporate strategy and insutrial situation. So we can get evaluation index Im, Ic, In, Id at the end of the year. Considering the possible uncertain factors, we set a special coefficient, S, to adjust and balance the bonus allocation of each BU. With the number of people of each BU and the allocating factor calculated, we can get the sum of BU annual bonus. Formula: Bm Bc Bp Bd gSmImNm gScIcNc gSpIpNp gSdIdNd Individual bonus are allocated according to the salesmans performance evaluation. SINOTRUST/MC Hempel-HR PAGE 26 SINOTRUST 新华信管理咨询 FORMULA OF BU ANNUAL BONUS Evaluation index I=i1(Fa1/Ff1)+ i2(Fa2/Ff2)+.+ i n(Fan/Ffn) (i1 i2 in=1) Allocating factor g = G/(SmImNm+ ScIcNc + SpIpNp + SdIdNd) BU annual bonus Bm= gSmImNm ； Bc= gScIcNc ； Bp= gSpIpNp ； Bd= gSdIdNd notes： m、 c、 p、 dmeans marine paint, container paint, protective paint, decorative paint Fa: means evaluation indicators SINOTRUST/MC Hempel-HR PAGE 27 SINOTRUST 新华信管理咨询 BU ANNUAL BONUS CALCULATION step one: to calculate evaluation index （ I ） of each BU I=i1(Fa1/Ff1)+ i2(Fa2/Ff2)+.+ i n(Fan/Ffn) i1 i2 in=1 1.1 To decide on the evaluation indicators, we suggest to adopt two-four financial indicators such as sales volume, profit, withdrawals and sales cost. 1.2 At the