Buddys Snack Company

By Russell Casey, Clayton State University, and Glorida Thompson, University of Phoenix

Buddys Snack Company is a family-owned company located in the Rocky Mountains. Buddy Forest started the business in 1951 by selling homemade potato chips of the back of his pickup truck.

Nowadays, Buddys is a $ 36 million snack food company that is struggling to regain market share lost to Frito- Lay and other fierce competitors. In the early 1980s, Buddy passed the business on to this son, Buddy Jr., who is currently grooming his son, Mark, to succeed himself as head of the company.

Six months ago, Mark joined Buddys Snacks as a salesperson and after four months was quickly promoted to sales manager. Mark recently graduated from a local university with an M.B.A. in Marketing, and Buddy Jr. was hoping that Mark would be able to implement strategies that could help turn the company around. One of Marks initial strategies was to introduce a new sales performance management system. As part of this approach, any salesperson who receives below- average performance rating would be required to attend a mandatory coaching session with his/her supervisor. Mark Forest is hoping that these coaching sessions will motivate his employees to increase their sales. This case describes the reaction of three salespeople who have been required to attend a coaching session because of their low performance over the previous quarter.

Lynda Lewis

Lynda is a hard worker who takes pride in her work ethic. She has spent a lot of time reading the training material and learning selling techniques, viewing training videos on her own time, and accompanying top salespeople on their calls. Lynda has no problem for advice and doing whatever needs to be done to learn the business. Everyone agrees that Lynda has a cheery attitude and is a real team player, giving the company 150 percent at all times. It has been a tough quarter for Lynda due to the downturn in the economy, but she is doing her best to achieve her sales targets. Lynda feels that failure to make quota during this past quarter results not from lack of effort but just bad luck in the economy. She is hopeful that things will turn around in the next quarter.

Lynda is upset with Mark for having her attend the coaching session because this is the first time in three years her attend the coaching session because this first time in three years that her sales quota has not been met. Although Lynda is willing to do whatever it takes to be successful, she is concerned that the coaching sessions will be held on a Saturday. Doesnt Mark realize that Lynda has to raise three boys by herself and that weekends are an important time for her family? Because Lynda is a dedicated employee, she will somehow manage to rearrange the familys schedule.

Lynda is now very concerned about how her efforts are being perceived by Mark. After all, she exceeded the sales quota from the previous quarter yet had not received a thank you or good job for those efforts. The entire experience has left Lynda unmotivated and questioning her future with the company.

Micheal Benjamin

Michael is happy to have his job at Buddys Snack Company, although he really doesnt like sales work that much. Michael accepted this position because he felt that he wouldnt have to work hard and would have a lot of free time during the day. Michael was sent to coaching mainly because his customer satisfaction reports were low; if fact, they were the lowest in the company. Michael tends to give canned presentations and does not listen closely to customers needs. Consequently, Michael makes numerous errors in new sales orders, which delays shipments and loses business and goodwill for

Buddys Snack Company. Michael doesnt really care since most of his customers do not spend much money and he doesnt think it is worth his while.

The companys commission structure recently changed, so instead of selling to the warehouse stores and possibly earning a high commission, Michael is now forced to sell to lower volume convenience stores. In other words, he will have to sell twice as much product to earn the same amount of money. Michael does not think this change in commission is fair, and he feels that the coaching session will be a waste of time. He feels that the other members of the sales team are successful because they are getting all of the good leads. He doesnt socialize with others in the office and attributes others success and promotions to who they know in the company rather than their hard work. He feels that no matter how much effort is put into the job, he will never be adequately rewarded.

Kyle Sherbo

For three of last five years Kyle was the number one salesperson in the division and had hopes of being promoted to sales manager. When Mark joined the company, Kyle worked closely with Buddy Jr. to help Mark learn all facets of the business. Kyle thought this close relationship with Buddy Jr. would ensure this close relationship with Buddy Jr. would ensure his upcoming promotion to the coveted position of sales manager and was devastated to learn that Mark received the promotion that he thought was his.

During the past quarter, there was a noticeable change in Kyles work habits. It had become commonplace for Kyle to be late for appointments or miss them entirely and to not return phone calls or follow up on leads. His sales performance declined dramatically, which resulted in a drastic loss of income. Although Kyle had been dedicated and fiercely loyal to Buddy Jr. and the company for many years, he is now looking for other employment. Buddys Snacks is located in a rural community, which leaves Kyle with limited job opportunities. He was, however, offered a position as a sales manager with a competing company in a larger town, but Kyles refuses to leave the area because of her strong family ties. Kyle is bitter and resentful of his current situation and now faces a mandatory coaching session that will be conducted that will be conducted by Mark.

Based on the case study above;

a. You have met three employees of Buddys Snacks. Explain how each employees situation relates to equity theory.

b. Describe the three needs identified by McClelland. How are they related to worker behavior in each situation?

c. Analyze, compare and contrast the three relationships of expectancy theory. To which employee situation does each apply?

please,2000 words