Fusilier Technology: Old Hand or New Blood
interoffice memorandum to: Bill macleod from: TEST subject: oll hand or new blood date: [ 9/3/2012 ]
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case analysis
Fusilier Technology has experienced flat sales for the past five years, and recently they lost a 40 million dollar contract to their competition. In addition to Fusilier’s recent performance, the company is also experiencing a talent dilemma with the retirement of the vice-president of sales, and the stalling of the company’s new growth strategy to sell customized business solutions. Bill MacLeod, Fusilier’s CEO, has to choose between two different candidates for the top sales job: a veteran sales director who has excelled in the past under the product based sales model, or a brash outsider who has experience selling solutions but does not know the industry. The new customized sales solution has made the decision more difficult because all the incentive programs, as well as training and processes for the sales force for the product based solution, needs to be re-worked to be applicable to the new enterprise based solution.
Another probable cause for the talent dilemma is the result of a shift in the overall strategy. There has not been a universal buy-in from the three different departments, especially the retiring VP of Sales, Mark Hartley. Further, there has been a lack of cooperation between the departments to work toward selling a solution based product due to the constraints of incentives for sales as well as interdepartmental financials. Currently, departments are set-up as standalone financial reporting units, so selling products across departments are not financially incentivized.
The following are three potential solutions to mediate the immediate situation at Fusilier: * Keep the overall current structure and promote Elena Gonzalez to replace Mark Hartley. * Pros: Internal promotion of an employee who has had a proven track record and has the respect of her
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case analysis
Fusilier Technology has experienced flat sales for the past five years, and recently they lost a 40 million dollar contract to their competition. In addition to Fusilier’s recent performance, the company is also experiencing a talent dilemma with the retirement of the vice-president of sales, and the stalling of the company’s new growth strategy to sell customized business solutions. Bill MacLeod, Fusilier’s CEO, has to choose between two different candidates for the top sales job: a veteran sales director who has excelled in the past under the product based sales model, or a brash outsider who has experience selling solutions but does not know the industry. The new customized sales solution has made the decision more difficult because all the incentive programs, as well as training and processes for the sales force for the product based solution, needs to be re-worked to be applicable to the new enterprise based solution.
Another probable cause for the talent dilemma is the result of a shift in the overall strategy. There has not been a universal buy-in from the three different departments, especially the retiring VP of Sales, Mark Hartley. Further, there has been a lack of cooperation between the departments to work toward selling a solution based product due to the constraints of incentives for sales as well as interdepartmental financials. Currently, departments are set-up as standalone financial reporting units, so selling products across departments are not financially incentivized.
The following are three potential solutions to mediate the immediate situation at Fusilier: * Keep the overall current structure and promote Elena Gonzalez to replace Mark Hartley. * Pros: Internal promotion of an employee who has had a proven track record and has the respect of her
References: Cespedes, F. V., Gardner, A., Kerr, S., Kelley, R. D., & Dixon, A. L. (2006). Old hands or new blood? Harvard Business Review, 84(7/8), 28-40. Lang, D. (2012). Notes for a lecture on managing human capital: Attracting and acquiring talent. Executive MBA, Kennesaw State University, Kennesaw, GA. Sears, D. (2003). Successful talent Strategies : Achieving superior business results through market-focused staffing. New York, NY: AMACOM. The tussle for talent. (2011). The Economist, 398(8715), 68.