Premium Essay

Hannover Bates

In: Business and Management

Submitted By will5
Words 603
Pages 3
Background Hannover-Bates Chemical Corporation is a leading distributor of processing chemicals for the chemical plating industry. In essence the company is a mixing operation; chemicals are purchased from various suppliers and are mixed according to consumer needs. While they do not produce commodity type chemicals, Hannover-Bates’ customers perceive minimal quality differences between them and their competitors. Currently, Hannover-Bates employs 40 sales representatives operating in seven sales districts and its products are made in four different plants located in Los Angeles, Houston, Chicago, and Newark. Sales representatives’ salaries range from $28,000 to $48,000 in addition to commissions of .5% of their dollar sales volume on all sales before reaching their sales quota, after their sales quota is reached the commission rises to 1% of total sales. Recently, Jim Sprague became the Northeast District Manager at Hannover-Bates. Sprague’s predecessor was known for his reluctant acceptance of the national sales plans and programs and was ultimately pressured in to an early retirement. The national sales manager decided to put Sprague at the head of the northeast division because of his management skills and fresh perspective to a struggling district. The northeast district is third in sales numbers, but dead last in terms of profit performance. Unfortunately for Jim there was some backlash from senior sales representatives; Hank Carver, a 34 year sales representative, is irritated that he was not given the position. Hank, the top salesman for the district, does not believe that Sprague is the right man for the job. Carver has been a sales representative for three decades, while Sprague has been at the national headquarters for two years. However, it is clear that the company needs to increase its profit margin and the fact that Carver is retiring in three…...

Similar Documents

Premium Essay

Case 3.2 Hanover-Bates Chemical Corporation

...Case 3.2 Hanover-Bates Chemical Corporation Hanover-Bates Chemical Corporation produces chemicals for the chemical plating industry. It has plants in Los Angeles, Houston, Chicago, and Newark. The production process involves taking chemicals purchased from other suppliers and mixing them into user-based formulas. The Hanover-Bates has a strong balance sheet and trades on the over-the-counter market. There are seven sales districts within the organization with a total of forty sales representatives. Each receives a salary, fringe benefits, and commissions of 0.5 percent of their dollar sales volume up to their sales quota. Field sales efforts are extremely important and quality control is critical with supplying the plater with the processed chemicals. These services are provided by the sales representatives of the firm. The northeast district sales manager had recently been persuaded to take early retirement and had been replaced by James Sprague. He has directives from the national sales manager to be responsive to the company’s sales plans and policies, improve the district’s profit performance, and to manage a group of sales representatives who are older, more experienced, and not very happy about his promotion. Problems concerning Hanover-Bates Chemical Corporation James Sprague accepted the position knowing what was ahead of him. He knew that his northeast district (District 3) had some problems that needed to be addressed. The first of those problems was......

Words: 1857 - Pages: 8

Free Essay

Bates Boatyard

...ASSIGNMENT 1 - BATES BOATYARD QUESTION What would you tell Bates concerning her accounting needs? ANSWER Sarah Bates has just bought a small boatyard business in the coast of Maine. The previous owner has kept some accounting records including the profit and loss for the tax purpose. However, concerning the various potential business activities in the boatyard, Bates is expanding the business. In this case, she is in the Stage 1 of the business, at the early stage it is important for Bates to identify what kind of financial records to keep, which the focus is on the cost determination and pricing. In order to develop the control the business operations, Bates needs to divide the main business activities into 5 profit centers. The activities mainly shown in the table below: |NO |PROFIT CENTRE |WINTER |SPRING |SUMMER | |1 |Boat Storage | | | | |2 |Hauling & Launching Services |X |X |X | |3 |Restoration, Painting & Finishing Work |X |X |X | |4 |Boat Construction |X |X | | |5 |Marine Hardware &......

Words: 341 - Pages: 2

Premium Essay

Bates Boatyard

...you tell Bates concerning her accounting needs? b) What businesses are being operated in the boatyard? c) What is the accounting impact of those businesses? 2. Future - What kind if accounting system is needed for the growth of the boatyard? Facts • Bates bought the boatyard using her savings and also a private mortgage • Bates realized the need for and adequate accounting system • Record on show just cash receipts and disbursements only • Balance sheets and profit and lost statements had only been prepared for tax purposes • There were several other business on property, not just boat manufacturing. • There is a large shed for storage of boats for the winter time • Large outdoor space for boats storage as well • Bates also get hired for hauling the boats to storage • There is a large shed with capacity to built up to 40 boat at a time • A store located on the property sold marine hardware and supply. • The wharf is also equipped with a gas pump • There are no other yacht clubs in down Analysis 1.(a) Bate needs to put a job order cost system in place so that she can know what her cost for manufacturing a boat is her job order. Once this system is in place she can determine the price point where she can make a profit after paying her debt. Bates did not have any proper accounting system; Bates only has record for cash disbursement and cash receipts. Bates......

Words: 1415 - Pages: 6

Premium Essay

Hanover Bates

...Benjamin vonWurmb Hanover-Bates Chemical Corporation Background The Hanover-Bates Chemical Corporation is a leading distributor of processing chemicals for the chemical plating industry. The company currently employs 40 sales reps in seven sales districts, and its products are fashioned in four plants which are located in Los Angeles, Houston, Chicago, and Newark. Hanover-Bates prepares its products for customer use by mixing chemicals from a broad range of suppliers. Salaries of Hanover-Bates sales representatives range from $33,000 to $45,000, with fringe benefit costs amounting to an additional 15% of their salary. A commission of 0.5 percent is paid, based on dollar sales, on all sales up to established sales quotas. Commission on sales in excess of quota is one percent. District sales manager’s salaries range from $47,250 to $52,000. (515) They are not paid a commission in excess to salary. Hanover-Bates and the majority of the firms in its industry produce the same line of basic processing chemicals. Minimal quality difference exists between Hanover’s products and those offered by its competitors, however, some of these chemicals, such as CHX (a protective post-plating chromate dip), provide a much higher gross margin than others. (See Exhibit 4) Introduction James Sprague is the newly appointed Northeast district (also know as District 3) sales manager for Hanover-Bates Chemical Corporation. He is now in charge of helping that district......

Words: 3189 - Pages: 13

Premium Essay

Case 2-5 Hanover-Bates

...would help immensely. Instead of going through the entire line of products with the customer, they should pick which ones fit the customers’ needs, and then go back to the others if there is time. Also, making extra sales calls to customers who are new, or are thinking of buying from somewhere else, would be beneficial as well. It would keep Hanover-Bates Chemical Corporation in the back of their mind. As far as new salespeople goes, I would not worry too much about hiring more people. If there happens to be an opening, they should try to fill the spot with someone who has had a college education. That does not necessarily mean that they will be a better salesperson, but I feel like they will be able to learn faster and adapt to fit customer needs. They should also begin implementing a CRM system. It would be a lot easier for their salespeople to keep track of every single aspect of the customers. Having knowledge about who they are selling to should help in the battle to keep a good relationship. Overall, I believe that the solutions I chose to implement will have a positive effect on the northeast district of Hanover-Bates Chemical Corporation. The big problem, low gross profit, could be broken down into several less serious problems. Each of these smaller problems could be remedied with the solutions I provided. James Sprague will not have to worry about respect issues once district 3 finally turns itself around. I feel like this district will become better and......

Words: 366 - Pages: 2

Premium Essay

Bates Boatyard Case Study

...700 Case Study 1 BATES BOATYARD Upon returning to civilian life after several years in the Navy, Sarah Bates sought a small business that she might buy. Being a thrifty person with no dependents, she had built up a fair amount of savings, the accumulation of which had been aided by the fact that she had seen considerable duty in areas where there had been nothing to buy. Bates finally located a small boatyard for sale in a town on the coast of Maine where she had spent many summers. The proprietor was getting along in years and wished to retire. He was offering the yard for sale at what Bates believed to be a fair starting price that could probably be worked down to a very reasonable figure through negotiation. It is not necessary here to go into the details of investigation and negotiation. Bates bought the yard. The business being somewhat larger than she could finance alone, she had borrowed the additional funds required from a friend, giving a mortgage on the property as security. Bates realized the need for adequate accounting records if she was to manage the business successfully. The records on hand were for cash receipts and disbursements only. Actual balance sheets and profit and loss statements that had been prepared for the former owner for tax purposes were also available. A person who was a reasonably capable bookkeeper and general office factotum had been inherited with the business. Having had a course in accounting in college, Bates felt capable of......

Words: 2337 - Pages: 10

Premium Essay

Bates Manor Furniture

...BatesManor Furniture, Inc. BatesManor Furniture, Inc. Case Analysis Khyatiben Patel Davenport University MKTG610 Dr. Loughran January 28, 2011 Case Recap In early 1900s, Charlton Bates’ great-grandfather opened BatesManor Furniture Inc.; the company manufactures medium-to-high-priced wood bedroom, living room and dining room furniture. BatesManor sells its furniture to independent furniture stores and high quality department stores nationwide; it’s very selective in choosing retail outlets. BatesManor had 10 full-time salespeople and 2 sales managers for fiscal year 20071. And sales personnel receive his salary and commission on the base of the sales. Bates believes that the company has been successful because they have employees who are committed to the company and they are not only taking the order but motivate the retail sales people and suggesting them about displaying the furniture in the store. The total promotional expenditures allocated by BatesManor for the operating year 2007 were $3,675,000, which did not include the salary of the vice president of sales. For the same year the company had net sales of $75 million. Problem Identification For year 2008, Mike Hervey, from BatesManor’s ad agency, proposed that they would increase the advertising expenditures by $225,000. This would increase new product exposure, brand awareness, and enhance the quality image of the manufacturer. However, the $225,000 increase in advertising is slightly out of......

Words: 1597 - Pages: 7

Free Essay

Hannover 96

...Hannover 96 was founded on 12 April 1896 as Hannoverscher Fußball-Club 1896, upon the suggestion of Ferdinand-Wilhelm Fricke, founder of the Deutscher FV 1878 Hannover.[2] Their initial enthusiasm was for athletics and rugby; football did not become their primary interest until 1899. Most of the membership of Germania 1902 Hannover became part of 96 in 1902, while others of the club formed Hannoverscher Ballspielverein. In 1913, they merged with Ballverein 1898 Hannovera (formed in the 1905 merger of Fußballverein Hannovera 1898 Hannover and Hannoverscher BV) to become Hannoverscher Sportverein 1896. Hannoverscher FC's colours were black-white-green, but they played in blue, while BV played in red. The newly united team kept black-white-green as the club colours, but they chose to take to the field in red, giving the team the nickname Die Roten (en: The Reds). The team's third jersey is in the club's official colours. The club made regular appearances in the national playoffs through the early 1900s, but were unable to progress past Eintracht Braunschweig, planting the seeds of a rivalry that has survived to this day. HSV continued to field strong sides and make national level appearances on into the 1920s. Under the Third Reich, German football was re-organized into 16 top-flight leagues in 1933 and Hannover became part of the Gauliga Niedersachsen. They appeared in the country's final rounds in 1935 and sent representatives to the national side the next year. They won their...

Words: 1425 - Pages: 6

Free Essay

Mrs Sophie Bates

...What is the ANWR? The Arctic National Wildlife Refuge is a national wildlife refuge in north-eastern Alaska, States. It consists of 19,286,722 acres. It is the largest National Wildlife Refuge in the country. It was established in 1960. What is a wild life refuge? A wild life refuge is a place which gives animals the space and freedom they need to feed themselves and raise their young. Because the land is protected they can do these things without clashing with people. Where is the ANWR and why is it being preserved? The Arctic National Wildlife Refuge is a national wildlife refuge in north-eastern Alaska, States. The reason why it is being preserved is because Robert Marshall in 1938 was able to understand how we would change the habitats of animals and destroys them to get the things we need like oil. So he proposed a ‘permeant American Frontier’ that would preserve a big chunk of Arctic Alaska wilderness. In the 1950’2, people who were worried about habitat loss and pollution proposed to Congress for that same frontier. In 1960, Congress created the refuge. When did they discover oil in Alaska and how much is estimated to be there? They discovered the oil i9n Alaska in 19870 at Prudhoe Bay it supplied two million barrels of oil a day. However as time has gone on the amount of oil that is in the Bay has decreased and is getting lower and lower each year, this has then lead to the U.S government having to find new oil supplies and one of these is in the ANWR....

Words: 653 - Pages: 3

Premium Essay

De Bate Topic

...Couples Wishing to Undergo IVF Treatment Should Be Awarded the Legal Right to Choose the Sex of Their Child: Abstract: Sex selection, also known as gender selection, has attracted great interest and controversy over the years. Gender selection has been associated with a number of ethical, moral, social and legal issues. Sex selection may be performed for medical reasons to avoid sex-linked diseases or for parental preference. The topics I will be covering include eugenics, beneficence, utilitarianism and pre-genetic screening in regards to sex linked diseases. Eugenics can be defined as the study or belief in the possibility of improving the qualities of the human species. In the context of IVF, treatment positive eugenics encourages reproduction by implantation of healthy embryos with inheritable desirable traits and negative eugenics seeks to identify and dispose of embryos found to carry undesirable inheritable traits. Introduction: Utilitarianism in the context of IVF sex selection and genetic screening is defined by the principle of utility, which seeks to judge moral rules, actions and behaviors based on their consequences. Where an action produces the best possible outcome, that being the greatest good for the greatest number it is seen as ethical and moral. Therefore, the testing, screening and disposal of genetically impaired embryos and implantation of only healthy and preferred embryos is justifiable because the......

Words: 2080 - Pages: 9

Free Essay

Bates Boatyard

...Bates Boatyard Table of Content i. Issues Pg 3 ii. Facts Pg 4 iii Analysis Pg 5 iv Conclusions Pg 6 Issues 1. (a) What would you tell Bates concerning her accounting needs? b) What businesses are being operated in the boatyard? c) What is the accounting impact of those businesses? 2. Future - What kind if accounting system is needed for the growth of the boatyard? Facts • Bates bought the boatyard using her savings and also a private mortgage • Bates realized the need for and adequate accounting system • Record on show just cash receipts and disbursements only • Balance sheets and profit and lost statements had only been prepared for tax purposes • There were several other business on property, not just boat manufacturing. • There is a large shed for storage of boats for the winter time • Large outdoor space for boats storage as well • Bates also get hired for hauling the boats to storage • There is a large shed with capacity to built up to 40 boat at a time • A store located on the property sold marine hardware and supply. • The wharf is also equipped with a gas pump • There are no other yacht clubs in down Analysis 1.(a) Bate needs to put a job order cost system in place so that she can know what her cost for manufacturing a boat is her job order. Once this system is in place she can determine the price point where she can make a......

Words: 329 - Pages: 2

Free Essay

Bates vs. Al

...The case of Bates v. Alumina, Inc. summarized The case is divided into three parts, to which the paper will later refer when discussing the Team Buddy recommendations to the CEO of Alumina, Inc. 1. In May, 2004, the Erehwon Reporter published a scathing article against Alumina, Inc., in which Kelly Bates charged that Alumina, Inc. had discharged polycyclic aromatic hydrocarbons (PAHs) into the waters of Lake Dira in violation of EPA standards, and therefore was responsible for her child contracting leukemia. Alumina, Inc. responded by ordering an internal audit, which concluded that it was not producing PAHs above the EPA standard levels. 2. Bates and the Erehwon Reporter then approached the EPA to obtain the environmental audit report that documented the Alumina, Inc. violation of the Clean Water Act five years ago. The EPA notified Alumina Inc. that disclosure of information under the Freedom of Information Act (FOIA) was being considered. Alumina, Inc. disclosed the environmental audit information to The Erehwon Reporter without releasing any confidential information. 3. Bates then threatened to file a million-dollar personal injury lawsuit against Alumina, Inc. to recover compensatory and punitive damages. Bates alleged that Alumina’s negligent conduct, evident in the “serious violation” of environmental laws five years ago, was the proximate cause of her daughter’s leukemia. Through the mediation of a neutral third party, AAA, a confidential settlement......

Words: 410 - Pages: 2

Premium Essay

Hanover Bates

...improve sales, round up everyone on the sales team to make them understand the need to improve areas where needed or promote Hank giving him the promotion he feels he deserves? With careful consideration, James needs to gain the trust and respect of his sales team, as well improve the Northeast district of Hanover-Bates Chemical sales. Therefore, the best decision for James and the company would be option; change the allocation of the sales effort to increase costs.  Accepting the position as manager of Northeast sales, James is to push the sales team to use the sales program based on selling the full line of Hanover-Bates products. The sales program also included the account call frequency guidelines to improve efficiency. The national sales manager was not content with the previous manager of Northeast sales. The previous manager did not support the sales program and looked to James to make the changes that are needed to improve the district’s performance. In order for James to succeed in his job, he needs to obtain support from Hank Carver and the sales team as well to promote team building. James should also speak to Carver to remind him of his great work in Hanover-Bates Chemicals. Carver should not have taken James suggestion offensive but as how to improve his sales efficiency. This way Carver is reassured as a top sales representative and creates a better work environment for all employees.   Plan of action The selected solution was chosen since it reaches......

Words: 1851 - Pages: 8

Premium Essay

Bates Manor

...------------------------------------------------- Bates Manor Join AllFreePapers.com Category: Business Autor: peter 29 March 2011 Words: 2148 | Pages: 9 INTRODUCTION In April 2008 BatesManor ("BM") merged with Lea-Meadows, Inc. ("LM"), an upholstered furniture manufacturer for living and family rooms. This merger was the result of the death Charlton Bates' father-in-law, who left Charlton's wife controlling interest in LM, a line that will fill the gap in BM's product mix. Lea-Meadows' is a 75+ year old company, selling upholstered products made of the finest fabrics and frame construction in the industry. Its net sales in 2007 were $5m and have increased 3% annually for the past 5 years. The total upholstered industry had sales of $15.5b and is anticipated to have sales reach $16.1b in 2008. LM has 15 sales agents, who represent several manufacturers of noncompeting lines. These agents spend approximately 10-15% of their in-store time on LM products. Those agents get 5% of sales as commission and there is little other cost associated with them. BatesManor sells medium-to high priced wood for bedroom, living room and dining room furniture. The company had net sales of $75m in 2007 and a before tax profit of $3.7m. The industry sales of wood furniture in 2007 were $12.4b and are projected to be $12.9b in 2008. The company currently employs 10 full time sales reps, who work off of an average salary of $70,000 (plus expenses) and a commission of......

Words: 2169 - Pages: 9

Premium Essay

Leg 500 Bate and Switch

...Bait and Switch Name Professor Law, Ethics, and Corporate Governance Date Betty drove three hours in one-hundred degree heat. Explain if this fact has any bearing on whether or not the dealer must perform in accordance with the published advertisement. The amount of time it took for Betty to travel to Rally Motors is no more significant than the weather and temperature. Because Betty experienced a great deal of inconvenience traveling to the dealership through extreme heat for an extended period of time, does not make it mandatory for the car dealership to accept Betty’s offer for the advertised vehicle. The critical piece of the puzzle is what was the driving force behind her actions? The advertisement in the newspaper that was placed and the offer that was extended to her by Tony. Customers are not forced to buy from any one retailer. If the retailer advertises an item, peaches for example, five pounds for $1.00 and the customer is unable to purchase those peaches because they are all sold out, the customer is able to leave that store and purchase those peaches from another establishment. This argument may be hold true for frequently purchased items such as peaches, but it does not necessarily hold true for large ticket items that are purchased less frequently, such as refrigerators or in this case, automobiles. If a consumer invests a considerable amount of time and effort in order to pursue an advertised special, as in the case of Betty driving 200 miles......

Words: 1320 - Pages: 6

Ajouter au panier | Maya Rasamee | Windows8