Question 1&2

DIAMOND HOUSEWARES Problems with a Veteran Account Manager Tt's time to talk about Dan. He's not cutting it, socialized latle, whervas Ricker had an eutgoing not getting the job done these days. You've been personality and many friends. Ricker developed a Iprotecting him, but 1 fust alled up his numbers highly profitable business for the company in the on our CRM-he hasn't hit quota for two years. southwestem territory by working long and hard He serves some of our most important accounts. developing the department stores and the emergWhy haven't you done something about it before. ing mass distributing firms as accounts. this?" Kurt Diamond, CEO of Diamond Housewares, Dave Mitchell was more than a little surprised Dast demanded of Dave Mitchell, the company's sales at Kurt Diamond's sudden interest in Dan Ricker. manager. Diamond Housewares had been formed 40 est in the sales force for a long time. Usually he years ago by Kurt Diamond's father to sell a line had something to say only when sales were down. of imported products for the home. As the years which fortunately they seldom were, or when one passed, the company began to develop its own of the company's new productsflopped. Of course, products and have them manufactured by subcon- any product failure was the fault of the sales force tractors. As plastic and rubberized goods increas- and product failure was the fathing to do with the product! Mitchell ingly displaced metal products in the housewares understood how that game was played, which was industry, the company purchased a financially dis- one reason he had kept his job for so long. He had tressed, local plastic injection molding company in joined the company mone than two decades ago, Chicago, Illinois. It began making some of its own and had been sales manager for about 10 years. products. Kurt Diamond focused on production Actually, Dan Ricker had been offered the sales and product development. Sales were left in the manager position ahead of Mitchell-but Ricker Diamond housewares was financially sound tumed it down because he was afraid it would hands of Dave Mitchell and highly profitable due to the steady introdue- be a pay cut. Being paid on straight commission, new products that found ready-ker had eamed substantially more than the . products that found ready arket sales manager did. However, that had changed in te company did little advertising recent years as his performance declined. preferring instead to spend its promotional moncy Mitehell paused after Diamond stopped talkat the houseware industry's tride shows. It main - ing and then said, "Do you want an answer, or tained sales office and showrooms in the major was that just some therapy we went through?" trade marts. Dan Ricker was the account manager He didn't wait for a verbal answer. One was writworking from the Dallas Trade Mart, an important ten on Diamond's face. "OK, no need to give you market for the company. One of his key accounts the Dan Ricker history. We both know how much was Costco. he has done for us. He's been a top producer for Dan Ricker had been hired right out of college. years, and he has been loyal to us. Time and again. He was a marketing major from the University of some competitor has tried to lure him away, but Oklahoma. Ricker's father and Diamond's father he never bit. So don't you think we should cut had been close friends, so Ricker and Diamond him a little slack, give him time to work out his had known each other most of their lives, but they problems?" were not considered close since they had contrast- Diamond replied, 1 recall a punch line that ing personalities. Diamond was an introvert and went 'What have you done for me lately?" Then he asked, "What do you mean problems? What's hopeful these problems will work themselves out. going on?" "Evidently, more things than Dan can handle he'll be back with us full-time" all at once First, you remember his daughter Kay Diamond responded, "Come on, give me a and that guy she married. We, he lost his job as a break. Dan Ricker is a has-been. He's burned out pharmaceutical rep, and hasn't been able to find and tired. Tired of working. Tired of hustling " He another one. He's been out of work for a year. They continued, "If you don't do something, we lil be had to sell their home and have moved in with losing some key customers..Im worried." Dan, two kids and all. So now Dan is out about The discussion was suddenly interrupted by $40,000 a year trying to keep Kay's family intact. a telephone call for Dave Mitchell. It was from the If that wasn't enough, his son Matt has gotten into buyer at Costco. some serious legal trouble with substance abuse and that's also costing Dan a lot of money and Questions: worry. To top that off, Im not so sure about his 1. What should Dave Mitchell do about Dan health. He's not that old -in his early fifties-but Ricker? he's been dragging a bit and doesn't look too good to me." 2. Pretend you're Dan Ricker. What would you Mitchell shook his head as he contimued, "I've do in response to what was recommended in talked with him about his problems, but what can I say? I haven't got any solutions for them, but I am