Question

Background: As a salesperson for Candoo Computer Corporation (CCC), you have just received a call from...

Background:
As a salesperson for Candoo Computer Corporation (CCC), you have just received a call from your regional manager regarding a program now underway at one of your key accounts, Farmland Companies. Farmland is a national insurance company with agency offices spread across the United States. The company is in the early stages of designing and specifying a computer system that will place a computer in each agency office. The system will allow each agency to develop, operate, and maintain its own customer database to provide better service to customers. In addition, by linking through the CCC mainframe, agencies, regional offices, and CCC headquarters will be networked for improved internal communications and access to the corporate database.
Current Situation:
You have serviced this account for several years, and CCC equipment accounts for the biggest share of computers now in place at Farmland—some 35 to 40 percent of all units. As reflected in your share of this account’s business, you and CCC have a good reputation and strong relationship with Farmland. In talking with Aimee Linn, your usual contact in the Farmland purchasing office, you have learned that this agency network system is the brainstorm and pet project of Mike Hughes, a very “hands-on” CEO. Consequently, the probability of the system becoming a reality is high. While faxing a complete set of hardware specs to you, Linn has also let you know that, although Kerris Nicks, director of the Farmland MIS department, is actually heading up this project; the national agency sales director, Tim Long, is also very active in its design and requirement specifications. His interest stems not only from wanting to make sure that the system will do what is needed at the corporate, regional, and agency levels but also from the fact that he brainstormed and spearheaded a similar project two years ago that was never implemented. The previous effort did not have the blessing of Nicks in the MIS department, and it became a political football between the two departments. Each department wanted something different, and both sides accused the other of not knowing what it was doing. Primarily, because the CEO has commanded that it will be done, both sides seem to be playing ball with each other this time. Linn did hint at one concern, however; although corporate is designing and specifying the system, each agency has to purchase its units out of its own funds. Although the agencies exclusively represent only Farmland Insurance products, each agency is owned by the general agent—not Farmland. Some of the agents are not convinced that the system is worth the projected price tag of $3,500 per system, and Farmland cannot force them to buy the systems. As with other selling opportunities with Farmland, this has all the makings of a decision
that will be made as a result of multiple inputs from an assortment of individuals across the company—a buying team of sorts. As the salesperson having primary responsibility for this account, how would you go about identifying the various members of the buying center?
Using the worksheet provided, respond to the following activities.
Questions
1. Identify each member of the buying center and the role each participant plays, and estimate the amount of influence (low, medium, high, very high) each has on the final decision.
2. What are the major problems, needs, and expectations that you will need to address for each of the buying center members?
You will answer the above questions by creating and using a worksheet like the one provided with the case. Your answers should be logical and demonstrate understanding of the how each of the case characters affects the purchase process. The following is a sample answer.
Buying Team Role
Team Member Playing this Role
Level of Influence
Team Member’s Perceived Needs and Expectations
Initiators
Mike Hughes
High
• Needs a system that will provide the corporate office access to the information collected by general agents.

Homework Answers

Answer #1

1) There are multiple stakeholders involved here

Aimee Lee - Purchasing officer - She has very limited influence as decision making power is not vested within her

Mike Hughes - CEO - Very high influence as his decision can determine the outcome of the project

Kerris Nick - Director of project - Very high as he is heading the project and if he deems that it is not doable, the order wont take place

Tim Long - Muted influence as he is just helping out and does not have decision making power vested in him

2)

The major problem is the cost-benefit equation. each will have to shell out $3,500 and my job will be to make sure they see the potential returns on their hefty investment

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