The Problems and Dilemma in Hanover-Bates Chemical Corporation

The Hanover Bates Chemical Corporation is a leading manufacturer and distributor of chemicals that are employed in the chemical plating industry. The company has its main operation in manufacturing and production of the chemicals while a sales division handles the sales for the company. The chemicals that are manufactured at the company vary in terms of their use, their characteristics as well as the suppliers to which they are sole to ranging from specialized clients operating in a niche market to more mainstream clients. The company as depicted in the case has a strong balance sheet and a favorable price-earnings ratio on its stock.

The main problem that is being faced by the company pertains to the resignation of one of the most effective and experienced district salespeople of the company which has triggered job insecurity issues in the company.

As mentioned earlier, the Hanover Bates Chemical Corporation operates in a highly specialized industry that requires a business to business selling. In such a scenario it is paramount to create customer loyalty with the clients to encourage business and sales for the Hanover Bates Chemical Corporation. The job design of the position of the district sales representative pertains to building relationships with clients and effectively monitoring and using selling strategies to channel the product in the market through various distribution strategies. The resignation of the most experienced sales representative with The Hanover Bates Chemical Corporation came as a huge shock to the employees of the company who were unsure of their positioning the company under the newly appointed Northeast District Sales Manager.

Moreover, the company faced a large gap which needed to be filled by an equally qualified and experienced person with the resignation of the senior sales representative. Other representatives were unwilling to fill this position as they did not feel qualified enough to take on the responsibility while the industry did not offer any willing senior representatives who could take on the position at the Hanover-Bates Chemical Corporation.

In order to solve the problem that is faced by the Hanover-Bates Chemical Corporation, the new District Sales Manager will have to take drastic steps to regain the confidence of his staff while appointing a qualified person to the job of the senior district sales representative. One of these options is to reconcile with the current resigned sales representative. However, it may be difficult under the settings of the parting to gain the confidence of the person again. Instead, a temporary senior sales manager can be appointed while the company searched for a more qualified candidate who can take on the job on a more permanent basis.

The third option that is available to the company is to appoint the candidates according to the succession plan of the company to the position, even though they might not be qualified enough. This candidate can be trained and developed through a mentoring and training program whereby the candidate can be made aware of his position, the requirements of the job, and the specific roles that he could need to fill. The mentoring and training program can also provide the candidate with experience in the position to better take on the role of the senior representative at a permanent level.

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