Question
Sally Hise is the new district sales manager. It is time for her to make base-pay raise allocations for her salespeople. She has been budgeted
Sally Hise is the new district sales manager. It is time for her to make base-pay raise allocations for her salespeople. She has been budgeted $30,000 to allocate among her seven salespeople as pay raises. Past allocations have caused some ugly grievances in other sales teams, so Sally has been advised to base the allocations on objective criteria that can be qualified, weighted, and computed in numerical terms. After she makes her allocations, Sally must be prepared to justify her decisions.
The evaluative criteria available to Sally are summarized in the following table:
Sales-person | EEO Status | Seniority | Sales Performance1 | Absentee Rate | Selling Skills | Initiative | Attitude | Personal |
David Bruce | Caucasian male | 15 yrs. | 90% | .5% | Good | Poor | Poor | Nearing retirement; wife just died; having adjustment problems |
Eric Cattalini | Caucasian male | 12 yrs. | 115 | 2.0 | Excellent | Good | Excellent | Going to night school to finish his B.A. degree |
Chua Li | Asian male | 7 yrs. | 112 | 3.5 | Good | Excellent | Excellent | Legally deaf |
Marilee Miller | Black female | 1 yr. | 88 | 10.0 | Poor | Poor | Poor | Single parent with three children |
Victor Munoz | Hispanic male | 3 yrs. | 94 | 2.5 | Poor | Average | Good | Has six dependents; speaks little English |
Derek Thompson | Caucasian male | 11 yrs. | 98 | 8.0 | Excellent | Average | Average | Married to rich wife; personal problems |
Sarah Vickers | Caucasian female | 8 yrs. | 100 | 7.0 | Good | Poor | Poor | Womens activist; wants to create a union |
1 Percent to quota. For example, 110% means a performance of 10% over quota for the past 12 months.
In this assignment, you are playing the role of Sally. After reviewing the table above as well as the content covered in this chapter, determine how to allocate the $30,000. In your write-up, you must list out how much of a raise should be given to each of her seven salespeople. You must also clearly explain your rationale for this decision.
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