OnPointConsultants

MemorandumTo: Northwind Traders

From: Derek J. Carillo

CC: Professor Peterson

Date: 4/8/23

Re: Revenue Assessment

Thank you for the opportunity to assess your sales data in order to provide recommendations for increasing your sales. The analysis and recommendations below are based on the data you provided, which covers a period from May 2004 through June 2006. The analysis below is based on this data alone. Therefore, our recommendations should be tempered by your knowledge of business realities and your market. Please let OnPoint Consultants know if we can answer any questions concerning the analysis or the recommendations provided.

ANALYSIS 1- Salesperson Performance Analysis

Analysis

After comparing the sales performances OnPoint has found that Buchanan is the least successful sales person. Peacock is has made the most profit for Northwind Traders and remains fairly consistent. Although Buchanan has been out sold in every category by Peacock, he has had some strength in selling dairy products. The overall sales for dairy products are constant across the board and seem as though they may be selling themselves.

Graphic

Sum of Net RevenueLast Name Years Order Date TotalBuchanan 2004 Qtr3 $1,639

Qtr4 $6,7142005 Qtr1 $10,031

Qtr2 $7,021Qtr3 $13,700Qtr4 $9,996

2006 Qtr1 $17,822Qtr2 $1,870

Buchanan Total $68,792Peacock 2004 Qtr3 $15,240

Qtr4 $28,6052005 Qtr1 $41,958

Qtr2 $25,621Qtr3 $26,418Qtr4 $27,594

2006 Qtr1 $43,963Qtr2 $23,491

Peacock Total $232,891Grand Total $301,683

Recommendation

OnPoint recommends that Buchanan be advised and counseled on substandard performance that can lead to termination of employment. Productive sales representatives should be considered for this

position. Creating competition amongst top sales representatives such as Peacock will prove to be beneficial. Northwind Traders should also start a mentoring system in which the top sellers if willing can give tips to the lower lever sales reps in order to improve overall sales without interfering with the top seller’s productivity. Having incentive programs for the top seller and protégé will also add to the sales.

ANALYSIS 2- Gross Revenue by Country

Analysis

The top selling countries have had the benefit of having higher discounts which has led to high sales in those regions. Poland, Norway and Argentina have not been major consumers of Northwind Traders due to the discount rates being $0 in those countries. By comparing Norway and Mexico you can see the sales are nearly five times higher and the discount value is less than $500 in Mexico.

Graphic

Switz

erlan

d Total

Swed

en To

tal

Spain

Total

Portuga

l Total

Poland To

tal

Norway

Total

Mexico

Total

Italy

Total

Irelan

d Total

German

y Total

France

Total

Finlan

d Total

Denmark

Total

Canad

a Total

Brazil T

otal

Belgium To

tal

Austria

Total

Argentina T

otal

$0.00

$50,000.00

$100,000.00

$150,000.00

$200,000.00

$250,000.00 Gross Revenue By Country

Recommendation

OnPoint recommends increasing the discount rate to the low selling countries in order to spark sales in those regions. If people feel as if they are getting what they need for less, then they will spend more money more frequently. Sales representatives must pitch harder to those countries as well as keep good customer relations with the businesses that are buying Northwind Trader products creating a more comfortable business dynamic.

ANALYSIS 3- Product Sales

Analysis

Grains/cereals and produce are not selling as well than other items. This could be due to the cultures of the many countries in which Northwind Traders do business or a poor marketing plan put forth in the selling of these items. Produce is an item that can be shipped great distances but this can also affect the quality of the product depending on the method of transportation used to ship worldwide.

Graphic

Country (All)

Sum of Net Revenue Category Name TotalBeverages $267,868Condiments $106,047Confections $167,357Dairy Products $234,507Grains/Cereals $95,745Meat/Poultry $163,022Produce $99,985Seafood $131,262Grand Total $1,265,793

Recommendation

OnPoint suggest that Northwind Traders do more marketing research in each country in order to find out what type of product that is in demand and then provide those products at a discounted price. Produce must be

Bevera

ges

Condimen

ts

Confections

Dairy P

roducts

Grains/C

ereals

Meat/P

oultry

Produce

Seafo

od

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

Sum of Net Revenue

shipped by air as in order to preserve the quality of the product. Grains/Cereals must be tailored to each counties cultural preference in order to create a higher demand for those products worldwide.

SELF ASSESSMENT

From completing the Excel project, I have learned to identify the various file formats and applications in which the spreadsheet can accept incoming data such as *.csv, *.mdb, *.doc and *.txt files. Also to import the data into a spreadsheet using the appropriate data conversion tool. Prepare the data for analysis in the spreadsheet using appropriate string processing, pasting and formatting functions. Identify the appropriate spreadsheet features for analyzing data such as pivot tables, what-if analysis, scenarios, lists, 3-D formulas, multiple worksheets and graphs. Analyze data using the appropriate spreadsheet features, showing appropriate titles and labels for the components of the analysis. Prepare a report or email to management which summarizes the analysis and makes a recommendation.