Grantpac Ltd is a packaging company formed through the merger of Grant Packaging and Cardpac. It faces challenges integrating the two sales forces and improving sales performance. The Managing Director, Paul Green, has retained a consultant to advise on tasks for the new National Sales and Marketing Manager role. The consultant should address issues of management style, sales performance, and integrating the plastic and cardboard sales teams in a 3000 word report with recommendations over 18 months to 2 years. Feedback on the report will be provided within 4 weeks.

1. Part B: Individual Case Study – Grantpac Ltd (80% of module
mark)
Note:
1) Please refer to and read the attached case study and
assignment brief carefully.
2) The case is not based on an actual organisation.
Brief
You have been retained as a consultant by Paul Green, the
Managing Director of Grantpac Ltd, to advise on the tasks
facing the new appointee to the role of National Sales and
Marketing Manager.
When you have reviewed and analysed the company information
below, you are to write a report for him which must address his
concerns with regards to:
· The issues of management style / practices including
recruitment and training (30%)
· Sales person performance including motivation, control and
remuneration (30%)
· The pressing need to integrate the two sales forces (30%)
You should define actions to be taken and your expected
outcomes for these actions. Your recommendations should relate
to proposals for the next 18 months to 2 years.

2. Paul Green has an MBA as well as a degree in Chemistry so he
expects both practical and theoretically sound analysis and
proposals. You therefore need to provide underpinning,
including academic referencing and examples as appropriate.
A further 10% is awarded for the presentation of the report,
including formatting, referencing, spelling and grammar.
Your report should be approximately 3000 words in length.
(Appendices, bibliography and Executive summary are not part
of the word limit)
Please remember the University Regulations concerning
plagiarism
FEEDBACK
Date generic feedback will be available:
3 working weeks from submission
How generic feedback will be returned to you:
x-stream
Date provisional mark will be available
4 working weeks from submission
How provisional marks will be returned to you:
x-stream
Date individual feedback will available
Following exam board
How individual feedback will be returned to you:

3. Hardcopies available from admin
Case Study: Grantpac Ltd
Grantpac Ltd is a medium sized privately owned company based
in Coventry and was formed in October 2012 by the merger of
two companies: Grant Packaging Ltd based in Coventry
specializing in plastic packaging and Cardpac Ltd based in
Halifax who specialised in cardboard packaging. It is owned by
the directors who acquired the original companies through a
series of buy-ins. Paul Green is the Managing Director and
owns a 40% share. The Marketing Director, Finance Director,
Technical Director and Production Director each own 15% of
the Company. The Marketing Director, Ian Slater (aged 63), was
previously Managing Director of the cardboard packaging
company, the other directors all came from Grant Packaging.
Due to ill health Ian is about to retire and sell his stake in the
company to the other existing directors. His role will be
replaced by a new postion, the National Sales and Marketing
Manager.
From its’ factory in Coventry Grantpac supplies a wide range of
plastic packaging products used in fmcg industries such as food
and drink and consumer cleaning products.
Products include:
· ‘PacTray’ a range of plastic trays for the food industry
And
· ‘PacBot’ – a range of plastic bottles for still and carbonated
drinks and other liquids
All products meet international performance, health, safety and
other legal requirements. In addition to a standardised range of
products, special products to customers’ specific requirements

4. can also be supplied. The company has its own technical
experts, designers and manufacturing facilities based in
Coventry. Sales of plastic products for 2012 were £36 million a
6% growth on the previous year.
From its’ factory in Halifax the company supplies a wide range
of cardboard packaging products.
Main products include:
· ‘PacAge’ – a range of cartons for liquids such as milk and
fruit juice
And
‘PacWrap’ a range of cardboard sleeves and boxes for food
packaging.
All products can be printed or labelled to customer requirements
and all meet international performance, health, safety and other
legal requirements. Sales of cardboard products fell by 4% in
2012 to £20million.
The rationale behind the merger was that many of Grants’
customers also required a cardboard element to their packaging
and that by providing both elements the company would be able
to supply a complete packaging solution and consequently
become a more valued supplier.

5. Following the merger, Grantpac faced a range of challenges.
Morale had slipped amongst the former CardPac staff following
the merger. Several production and a number of sales staff left
the company to join competitors, whilst the closure of the
Halifax sales office, in order to rationalise the sales
administration process had also seen 5 staff made redundant.
There was also disquiet amongst the former Grants’ sales people
who felt that the former Cardpac sales people received better
salaries and benefits than them. 2013 had also seen Grantpac
fail to capitalise on its’ new ‘complete solution’ with a failure
to capture a number of important new contracts with some major
end users.
Paul Green has become increasingly concerned that, due to his
ill health, Ian Slater, had paid insufficient attention to the sales
function over the past year or more. Paul has expressed his
concern about the company's position and longer term
prospects. In particular, he is worried that in recent months he
has seen a loss of focus and leadership in the sales team. The
loss of two well respected and long serving Area Sales
Managers [ASMs] had not helped. This left their sales teams
without satisfactory leadership, as well as losing the company
considerable market knowledge and close relationships with
important members of the DMUs of some larger accounts. The
ASMs were replaced, one by promotion and one by recruitment.
Slater undertook the selection process by himself, as he does for
all sales posts. He has no formal system for recruitment or
selection as he “knows a good sales person as soon as he sees
one”.
While you will need to undertake further analysis the following
information is available:

6. basis. There are effectively two sales teams: one for cardboard
products and one for plastic. The territories have not been
changed since the company was established through the merger.
Each sales person is responsible for all the accounts/customers
in their area who buy their specific product, irrespective of the
size or importance of the account.
function was rationalised with Halifax closing and all sales
administration being moved to Coventry. The number of area
sales people remained the same at 25. In the past year 4 sales
people and 2 ASM’s have left to join other companies. All have
been replaced.
n based on the assumption that there
will be continued year on year growth in each territory. Each
year, projected total sales have been largely determined by the
Directors. The figures were given by Slater to the Area Sales
Managers who had little involvement in setting the overall
target but broke the figures down, allocating targets to the
territories. The annual sales expenditure budgets have always
been set according to a financial resources view of what the
company can afford. Individual sales people feel they have no
influence on forecasts or targets. A ‘top-down’ management
approach and autocratic leadership style seems to be present,
especially from Slater.
salary based on whatever they negotiated individually when
they joined, together with various increments related to their
length of service with the company and their achievement
against their previous year's sales target. Basic salaries range
from £28,000 to £43,000 with the mean salary in 2013 standing
at £37,200. All have company cars, non-contributory pension,
‘office allowance’ [£800 pa to run a personal office in their
home] and the usual expense allowances. An annual bonus of
10% is paid based on company performance. All the cardboard
sales people were rewarded the bonus in 2013.

7. basic salary for of £15000 and commission of 0.5% for every
pound of sales. The mean salary in 2013 was £31,500. All have
company cars, contributory pension and the usual expense
allowances.
statutory ‘bank’ holidays.
cardboard sales force.
description for their role of ASM as
they have all ‘grown into’ their jobs. The ASM recently
appointed in Scotland (for cardboard products) had been with
the company for 11 years as a salesman, so it was felt by Ian
Slater that he would be able to ‘step-in’ to the role.
of which 3 are to be made to prospects. Customers are expected
to receive an average of 20 calls per year though this may vary
due to customers individual requirements. Visits can take
between 30 minutes and 2 hours, the latter where there are
technical discussions or meetings with several DMU members.
sales person’s sales achievement against target. Any training or
development relies on the management style and approach of
the ASM for the area in which they work. There is consequently
considerable variation. No formal training process is in place
because Slater believes sales people learn best ‘on the job’.
sales order processing is part of the financial
computer system, sales people keep their own paper based
records of visits, plan their own activities and communicate
with the internal sales office by telephone and email. Paul
Green has suggested that a more sophisticated computer based
system might be helpful, especially as the 6 staff in the sales
office have complained to their manager, the Chief Accountant,
that they are not being kept up to date with changes in customer
organisations. Slater is no great enthusiast for computers.
annum. 5 are located in the southern area (plastics); 2 in the

8. midlands area (plastics), 1 in the north (cardboard) and 1 in the
midlands (cardboard). In each case the account is serviced by
both a plastics and a cardboard area sales person.
products.
The sales force structure is shown below
Sale force (Plastic Products)
Sales Director
(Ian Slater)
General Sales Manager (Plastic Products)
(Ben Wishaw)
_____________________________
| | |
ASM (Midlands ASM (South) ASM (North &
Scotland)
& Wales)
| | |
4 sales people 4 sales people 3
sales people
Sale force (Plastic Products)
Territory
Sales 2013
(£ millions)
Number of accounts
New accounts in 2013
Midlands & Wales
12

9. 143
14
South
14
126
11
North
10
109
8
TOTAL
36
378
33
Sale force (Cardboard Products)
Sales Director
(Ian Slater)
_____________________________
| | | |
ASM (Midlands) ASM (South) ASM (North) ASM
(Scotland)
| | | |
4 sales people 3 sales people 5 sales people 2
sales people
Sales force cardboard products
Territory

10. Sales 2013
(£ millions)
Number of accounts
New accounts in 2012
Midlands
7
106
6
South
5
125
3
North
7
104
3
Scotland
1
34
1
TOTAL
20
369
13
Page 7 of 8
Case Study: Grantpac Ltd
Grantpac Ltd is a medium sized privately owned company based
in Coventry and was formed in October 2012 by the merger of
two companies: Grant Packaging Ltd based in Coventry
specializing in plastic packaging and Cardpac Ltd based in
Halifax who specialised in cardboard packaging. It is owned by
the directors who acquired the original companies through a

11. series of buy-ins. Paul Green is the Managing Director and
owns a 40% share. The Marketing Director, Finance Director,
Technical Director and Production Director each own 15% of
the Company. The Marketing Director, Ian Slater (aged 63), was
previously Managing Director of the cardboard packaging
company, the other directors all came from Grant Packaging.
Due to ill health Ian is about to retire and sell his stake in the
company to the other existing directors. His role will be
replaced by a new postion, the National Sales and Marketing
Manager.
From its’ factory in Coventry Grantpac supplies a wide range of
plastic packaging products used in fmcg industries such as food
and drink and consumer cleaning products.
Products include:
· ‘PacTray’ a range of plastic trays for the food industry
And
· ‘PacBot’ – a range of plastic bottles for still and carbonated
drinks and other liquids
All products meet international performance, health, safety and
other legal requirements. In addition to a standardised range of
products, special products to customers’ specific requirements
can also be supplied. The company has its own technical
experts, designers and manufacturing facilities based in
Coventry. Sales of plastic products for 2012 were £36 million a
6% growth on the previous year.
From its’ factory in Halifax the company supplies a wide range
of cardboard packaging products.
Main products include:
· ‘PacAge’ – a range of cartons for liquids such as milk and

12. fruit juice
And
‘PacWrap’ a range of cardboard sleeves and boxes for food
packaging.
All products can be printed or labelled to customer requirements
and all meet international performance, health, safety and other
legal requirements. Sales of cardboard products fell by 4% in
2012 to £20million.
The rationale behind the merger was that many of Grants’
customers also required a cardboard element to their packaging
and that by providing both elements the company would be able
to supply a complete packaging solution and consequently
become a more valued supplier.
Following the merger, Grantpac faced a range of challenges.
Morale had slipped amongst the former CardPac staff following
the merger. Several production and a number of sales staff left
the company to join competitors, whilst the closure of the
Halifax sales office, in order to rationalise the sales
administration process had also seen 5 staff made redundant.
There was also disquiet amongst the former Grants’ sales people
who felt that the former Cardpac sales people received better

13. salaries and benefits than them. 2013 had also seen Grantpac
fail to capitalise on its’ new ‘complete solution’ with a failure
to capture a number of important new contracts with some major
end users.
Paul Green has become increasingly concerned that, due to his
ill health, Ian Slater, had paid insufficient attention to the sales
function over the past year or more. Paul has expressed his
concern about the company's position and longer term
prospects. In particular, he is worried that in recent months he
has seen a loss of focus and leadership in the sales team. The
loss of two well respected and long serving Area Sales
Managers [ASMs] had not helped. This left their sales teams
without satisfactory leadership, as well as losing the company
considerable market knowledge and close relationships with
important members of the DMUs of some larger accounts. The
ASMs were replaced, one by promotion and one by recruitment.
Slater undertook the selection process by himself, as he does for
all sales posts. He has no formal system for recruitment or
selection as he “knows a good sales person as soon as he sees
one”.
While you will need to undertake further analysis the following
information is available:
basis. There are effectively two sales teams: one for cardboard
products and one for plastic. The territories have not been
changed since the company was established through the merger.
Each sales person is responsible for all the accounts/customers
in their area who buy their specific product, irrespective of the
size or importance of the account.
office
function was rationalised with Halifax closing and all sales
administration being moved to Coventry. The number of area
sales people remained the same at 25. In the past year 4 sales
people and 2 ASM’s have left to join other companies. All have

14. been replaced.
will be continued year on year growth in each territory. Each
year, projected total sales have been largely determined by the
Directors. The figures were given by Slater to the Area Sales
Managers who had little involvement in setting the overall
target but broke the figures down, allocating targets to the
territories. The annual sales expenditure budgets have always
been set according to a financial resources view of what the
company can afford. Individual sales people feel they have no
influence on forecasts or targets. A ‘top-down’ management
approach and autocratic leadership style seems to be present,
especially from Slater.
d a basic
salary based on whatever they negotiated individually when
they joined, together with various increments related to their
length of service with the company and their achievement
against their previous year's sales target. Basic salaries range
from £28,000 to £43,000 with the mean salary in 2013 standing
at £37,200. All have company cars, non-contributory pension,
‘office allowance’ [£800 pa to run a personal office in their
home] and the usual expense allowances. An annual bonus of
10% is paid based on company performance. All the cardboard
sales people were rewarded the bonus in 2013.
basic salary for of £15000 and commission of 0.5% for every
pound of sales. The mean salary in 2013 was £31,500. All have
company cars, contributory pension and the usual expense
allowances.
statutory ‘bank’ holidays.
cardboard sales force.
they have all ‘grown into’ their jobs. The ASM recently
appointed in Scotland (for cardboard products) had been with

15. the company for 11 years as a salesman, so it was felt by Ian
Slater that he would be able to ‘step-in’ to the role.
of which 3 are to be made to prospects. Customers are expected
to receive an average of 20 calls per year though this may vary
due to customers individual requirements. Visits can take
between 30 minutes and 2 hours, the latter where there are
technical discussions or meetings with several DMU members.
sales person’s sales achievement against target. Any training or
development relies on the management style and approach of
the ASM for the area in which they work. There is consequently
considerable variation. No formal training process is in place
because Slater believes sales people learn best ‘on the job’.
computer system, sales people keep their own paper based
records of visits, plan their own activities and communicate
with the internal sales office by telephone and email. Paul
Green has suggested that a more sophisticated computer based
system might be helpful, especially as the 6 staff in the sales
office have complained to their manager, the Chief Accountant,
that they are not being kept up to date with changes in customer
organisations. Slater is no great enthusiast for computers.
annum. 5 are located in the southern area (plastics); 2 in the
midlands area (plastics), 1 in the north (cardboard) and 1 in the
midlands (cardboard). In each case the account is serviced by
both a plastics and a cardboard area sales person.
products.
The sales force structure is shown below
Sale force (Plastic Products)
Sales Director
(Ian Slater)

16. General Sales Manager (Plastic Products)
(Ben Wishaw)
_____________________________
| | |
ASM (Midlands ASM (South) ASM (North &
Scotland)
& Wales)
| | |
4 sales people 4 sales people 3
sales people
Sale force (Plastic Products)
Territory
Sales 2013
(£ millions)
Number of accounts
New accounts in 2013
Midlands & Wales
12
143
14
South
14
126
11
North
10
109
8

17. TOTAL
36
378
33
Sale force (Cardboard Products)
Sales Director
(Ian Slater)
_____________________________
| | | |
ASM (Midlands) ASM (South) ASM (North) ASM
(Scotland)
| | | |
4 sales people 3 sales people 5 sales people 2
sales people
Sales force cardboard products
Territory
Sales 2013
(£ millions)
Number of accounts
New accounts in 2012
Midlands
7
106
6
South
5
125

18. 3
North
7
104
3
Scotland
1
34
1
TOTAL
20
369
13
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