Topic > Business Case - Belton Industries - 1126

Belton Industries, Inc.Toy and Bicycle ManufacturerSole StaffingAlbert Thompson, general sales manager for Belton Industries, Inc., was facing a problem or high employee turnover sales staff. He was led to believe that something was wrong with the selection process and that the selection procedure needed to be evaluated. Belton produced a wide range of children's toys and bicycles. Its sales organization consisted of 110 salespeople operating in seventeen branches. Branch sales managers reported directly to Thompson. Belton products were selectively distributed to department stores, discount stores, toy stores, bicycle shops, and general hardware stores. Belton Industries recruited its sales staff from colleges and universities across the country, as well as other sources. Branch sales managers conducted the initial screening interview at university placement centers and at branch sales offices in the case of candidates from other sources. The preliminary interview served as an initial "screen" to weed out obviously unqualified candidates. During the initial interview, candidates deemed "possible" were given a standard application form requesting information such as personal history, education, previous experience and the like. When the applicant returned the form, the branch sales manager contracted the business and personal references by post. As soon as the references responded, a second interview was scheduled. In the second interview, the applicant was provided with numerous information about the company, its history, organization, records, products, markets and, in particular, the specificity of the sales operation. The branch manager probed the applicant's habits, attitudes and motivations and very often, to get a measure of the individual's ability to react to the unexpected, he gave the applicant a pen, an ashtray or other useful object and asked him to make a presentation. of sales "on site". Additionally, the branch sales manager answered any questions the applicant might have asked. Immediately after completing the second interview, the branch manager completed an evaluation form. At this point, he forwarded to the general sales manager all the completed materials about the candidate, including the application form, letters of reference, evaluation form and a statement recommending acceptance or rejection of the candidate for the job. The general sales manager decided whether or not to hire the appellant, and then informed the branch sales manager, who, in turn, informed the appellant. The general sales manager believes that Belton's sales force turnover rate is excessive and cites a recent trade association study that reported that the average sales force turnover in the industry was 15 percent, compared to the turnover of the Belton del sales force 25%.