LV thạc sỹ_Improving sales competencies of project sales executive in sain gobain vietnam

ACKNOWLEDGEMENT
This study would not have been completed without the guidance and the help of several
individuals who contributed and extended their valuable assistance in the preparation and
completion of this study.
First and foremost, I would like to express my utmost gratitude to Dr…..
Finally, I would like to thank all my colleagues who warmly helped and took part in surveys as
without it I could not complete this study with sufficient information.

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ABBREVIATION

AAC:

Autoclaved aerated concrete

GIC:

Gyproc Installer Club

GM:

General Director

HN:

Hanoi

HCM:

Ho Chi Minh

KPI:

Key performance Index

PM:

Project Manager

SGVN:

Saint Gobain Vietnam

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EXECUTIVE SUMMARY

The project sales team of Saint Gobain Vietnam (SGVN) had been set up for two years. Since
then there is no official research about sales competencies of project salesmen. This is the first
research for SGVN about how to improving sales competencies in highly competitive
Vietnamese gypsum market today.
Objectives of this study are:
 To assess the current competency of project salesmen in SGVN
 To find out the gap between desired sales competency and current competency of
project salesmen in SGVN
 To draw a plan for improving sales competencies of the project salesmen in SGVN
To reach the objectives, the following research methods had been used:
 Data collection through questionnaire survey and in depth interviews

 Data analysis in quantity and quality, with the support of Microsoft Excel
And here is the result of this study:
A sales competency frame work for project salesmen of SGVN was built up from two concrete bases:
 Internal Focus: From Sales process, internal & external relationship of project salesmen
and requirement of sales & marketing managers.
 External Focus: From the World Class Sales competency and the Seven Emerging Sales
Competency
A survey was conducted to analyze the current sales competencies status of project salesmen. It
is shown that the most advantage of project salesmen in SGVN is experience and product and
market knowledge as well. But they have some abilities and skills need improving:
 Pro activeness
 Building and maintaining relationships with stake holders in project

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 Personal Accountability
 Consultative Problem Solving
 Understanding Financial Impact of Decision
The research also reviewed current sales performance assessment (KPI table) of SGVN and find
out that it need adjusting to be more fair and suitable. Because it might have leaded to low
motivation in working and affects badly to sales competency improvements.
Some recommendations are made which focus on solving the three most important issues to
improve sales competencies
 Adjusting the sales performance assessment (KPI table)
 Sales Training to improve the lack competencies
 Motivation Sales Force
It is necessary to solve the three issues together because SGVN need to have a comprehensive
plan to improve sales competencies and maintain high sales performance in future.

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TABLE OF CONTENT
Problems with leniency and strictness....................................................................................................10
Problems with central tendency..............................................................................................................10
Problems with personal prejudice...........................................................................................................10
Problems with halo effect.......................................................................................................................10
Problems with recent performance effect................................................................................................10
1.3 Developing an externally-Focused, Market-driven Model................................................................13
1.5.1 Sales Competency Assessment Process..........................................................................................17
1.5.1.1 Determinant of Sales Competency..............................................................................................17
1.5.1.2 Appraisal Participants................................................................................................................17
1.5.1.3 Assessment Process.....................................................................................................................18
1.5.2.2 360 degree competency assessment............................................................................................19
1.5.2.4 Behaviorally anchored rating scales...........................................................................................20
CHAPTER 2...........................................................................................................................................21
2.1 About Saint Gobain Vietnam.............................................................................................................21
2.1.1 Saint Gobain Vietnam Company Chart..........................................................................................21
2.1.2 The Saint Gobain Vietnam Sales Chart..........................................................................................22
2.1.3 Distribution Channels of Saint Gobain Vietnam............................................................................23
Chart 2-5 Distribution Channel of SGVN...............................................................................................24
Relationship among the two departments and customers.......................................................................24
2.1.4 Competition Analysis of Saint Gobain Vietnam.............................................................................25
2.2Building a sales competency framework............................................................................................29
2.2.2 Mapping the sales process.............................................................................................................30
2.2.3 Building Sales Competency Framework for Project salesmen of SGVN........................................33
2.2.3.1 Sales Process Based....................................................................................................................33
2.2.3.2 Internal and External Relationships Based.................................................................................35
3.3Motivating the project salesmen........................................................................................................53

3.3.1 Motivation defined.........................................................................................................................53
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3.3.2 Determinants of action and inaction..............................................................................................53
3.3.3 Motivational tools..........................................................................................................................55
3.3.4 Motivation, Job satisfaction and Performance..............................................................................57

INTRODUCTION
1. Introduction
1.1 Introduction of the topic
In business today, salesmen become more and more important. They are the ones who directly
create revenue and make profit for any companies whether you are in service or production field.
Coming back to some arguments that salesmen is not important and selling is an easy task
because when services or products are good enough, customers will know to choose
themselves. It could be misled and totally wrong.
I do not want to deny the truth that if services or products are not qualified enough or met the
demand of customers, nobody will buy it. But who makes them buy, who consult and convince
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them to change their awareness about products and help them understand the need that even
they do not know it exists, that is salesman. That’s why I say, salesmen is the key influential
factor to sell services or products or in some other sayings “they not only to educate market but
also inspire the need of market”
This research helps to understand the way to build and develop competencies of project
salesman in business with customers (users or distributor) so that Saint Gobain Vietnam
(SGVN) will find it useful and feasible in highly competitive market today.
1.2 Rationale of this research
Saint Gobain Corporation is a giant in global construction material, ranked 126 th in 500 biggest

corporation in the world currently (in 2009)
In 2005, Saint Gobain acquired BPB and became the No1 in the world with based Gypsum products.
SGVN was then established in 2007 with an European Standard factory in Nha Be district, Ho
Chi Minh, selling its gypsum boards (brand name Gyproc) through some Vietnamese main
distributors: three in the North and three in the South.
Up to present, all main distributors are doing very well as the roles of distribution channels,
they account for nearly 100% total revenue of factory so the truth that “the successful business
of SGVN is mainly Abilityd by them is undeniable”
.
And SGVN also awares that it is depending much on domestic distribution channels. What will
happen if the distributors become “unhealthy” or they do not want to cooperate with Saint
Gobain in future? And what is the role of leading market of SGVN as the manufacturer?
Besides, the competitors in gypsum field in Vietnamese market are increasing. They come from
developed countries: France, China, Japan, and America. They could be equal or lower quality,
comparing to SGVN but they always try to innovate their products and technology.
In 2007 – 2009 period, people in construction field only know about Gyproc or Lagyp, the two
biggest gypsum French companies in Vietnam with standard boards (board with normal
function). But at present, there are many brand names from other countries like: Daiken,
Armstrong, Owa, Smart Board,..with various functional boards for specified purposes (fire
stop, moisture resistance, strong robust, sound reduction or insulation..).
Moreover, such competitors are building or already have good project salesmen. Their project
salesmen not only have good specified background about gypsum in construction filed but they
are also very sensitive with customers and the trends of market.
In fact, with the same projects in certain areas, project salesmen of other gypsum companies
has quicker and better way to approach customers than SGVN. They could have larger business
networks or relationships; they could be more sensitive in communicating with customers that
make them always come one step faster than us. Even with the first sight, they always show a
very professional and customer-oriented attitude.
They are also good at following, taking care of customers. Creating contacts with customers is
difficult but maintaining and developing them is much more difficult. Otherwise, we will lose

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customers. Frankly to say, SGVN project salesmen usually lose 20% of customers after some
first contacts because we cannot manage to follow them.
In term of soft skill or knowledge, our project salesmen are not good or equipped enough to win
most of business cases, comparing to other project salesmen or our strength and advantage are not
really clear.
With current situation, SGVN knows that product is not our sole advantage at all so the project
salesmen will play the most important role to the success or failure of winning projects.
There are two biggest rising problems that will affect directly Gyproc Brand name if we do not
have competent project salesmen:
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Our competitors will surpass us and take over Vietnamese market shares, Gyproc brand
name will lose its position in customers’ mind
Main distributors will always act more initiatively than SGVN and they will become
less depend on SGVN in term of price and products.

1.3 Problem statement
Competitors and distributors are preparing or already have competent project salesmen. They
are professional and experienced enough to take main role in Vietnam Gypsum market.
The share market is being divided into pieces for current competitors and the slower in
approaching and keeping customers are the strong proofs showing that it is necessary to
improve sales competencies of project salesmen in SGVN.
SGVN must play a truly active role as a bridge between main distributors and customers. We
must take initiative movements in market and become closer to customers.
We must have competent project salesmen” otherwise “SGVN will continue to depend on
distributors and could not compete with other competitors”.
2.

3.

Objectives of this study are:
To assess the current competency of project salesmen in SGVN
To find out the gap between desired sales competency and current competency of project
salesmen in SGVN
To draw a plan for improving sales competencies of the project salesmen in SGVN
Scope and limitation of the research

3.1 Scope of research
Because of time constraint, I propose to focus on improving competencies for the project
salesmen, which are useful and compatible with Vietnamese market. Meaning I might refer to
global sales competencies model but only try to improve the ones which are suitable with
current status of SGVN.

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The main objects in this research are project salesmen in Marketing Department of SGVN and
the directors, managers of this department because they are the ones who involve and take the
most benefit from this research.
Other reference to other project salesmen if any, only to main competitors in Vietnam market:
Lagyp (Gypsum board manufacturer of Lafarge Corporation), other light brick manufacturers.
Time to collect data:
-

Primary data: Taking from August to September 2011, it was a busy time of Marketing
Department with many events and meeting so salesmen who were surveyed could not
take part in fully to show their most accurate output for survey
Secondary data: Taking from sources on internet, company database but it is not highly

accurate because it is public or they are secret figures to SGVN.

3.2 Limitation of research
This research only study on current sales competency of SGVN. It does not represent for
project salesmen in Saint Gobain Group in other countries.
SGVN has just recently restructured its sales function and the project sales team is a new
department under Marketing & Technical Department. This research was done for the purpose
of improving of sales competency of project salesmen at the moment. It may not be applied for
when project sales team will work for a longer time in future
External data: Due to limitation of time and because this is first building sales competency of
SGVN. This research will not do the survey from customers as usual sales competency
assessment. So this may lack the aspect from customers’ opinions this time.
4. Methodology of research
4.1 Data collection
•

Secondary data will be collected through: company’s database, other sources on internet to
study the sales competencies regarding to competency assessment framework.
- Company database: market share, labor, revenue, competitors…
- Source on internet: world competency model, world emerging sales competencies
These data help to describe more clearly the situation of project salesmen in SGVN and
make a better reference to the world standard sales competency

•

Primary data will be collected through:

- Survey:
Questionares
- For creating questionnaires, I will base on the objectives of this study. So the

information or criteria in questionnaires should be sufficient and concise.

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-

The information from survey will be collected and structured according to the sales
competency assessment frame using to assess project sales competencies.
Questionnaires will be conducted among salesmen in Marketing Department of SGVN.
Size of doing survey by questionnaire is 15 as the whole project salesmen from four
levels: Director, Manager, Senior and Executive.
The questionnaire was distributed online to all participants. The research was conducted
during the months of August to September 2011.

There are three type of question:
- The graphic scales questions: 05 questions
- The check list question: 05 questions
- Open questions for comments and proposals: 10 questions
(Detail content of questionnaire is shown in Annex 1)
There will be some problems when doing survey:
Problems with leniency and strictness
The leniency bias crops when some raters have a tendency to be liberal in their rating by
assigning higher rates consistently
Equally damaging one is assigning consistently low rates.
Problems with central tendency
Some raters appraise all salesmen around the middle point of the rating scale and they
avoid rating the people higher or lower level.
They follow play safe policy because of answer ability to management or lack of
knowledge about the job and person he is rating or least interest in his job

Problems with personal prejudice
If the rater dislikes any salesmen, he may rate them at the lower end and this may distort
the rating purpose and affect the career of these `.
Problems with halo effect
To minimizing the halo effect, we should appraise all the salesmen by one trait before
going to rate on the basis of another trait.
A person outstanding in one area tends to receive outstanding or better than average
ratings in other areas as well, even when such a rating is undeserved
Problems with recent performance effect
In general, raters remember the recent appraisal of the salesmen and they usually follow
appraisal results last time.
- In depth interview:
Main objects of interview are the director and manager of Marketing Department in SGVN
From interviews, we can collect the comments and requirements about project sales team
competencies.
(Guideline of in depth interview and list of interviewee is shown in Annex 2)

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4.2 Data analysis
Data collected from survey will be analyzed in quality and quantity.
Quantitative data: Microsoft Excel will be used to analyze frequency, percentage and summary.
Descriptive statistic could be used to describe more clearly the gap between current situation
and requirements.
Qualitative data: It is compared to competency criteria in assessment frame to find out the lack,
weakness and the gap between required and current competency.

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CHAPTER 1
THEORETICAL BACKGROUND ON SALES COMPETENCY
1.1 Overview Sales Competency
1.1.1 What is Sales Competency
Sales Profession: The occupation required to effectively develop, manage, enable, and execute
a mutually beneficial, interpersonal exchange of goods, services, or solutions for equitable
value within the full context of the buying and selling relationship
This ramification of this definition should not be underestimated. This definition not only help
frame the model of sales competency but also helps the advancement of the sales profession.
This definition sets forth that:
- Selling requires a system approach to be effective
- The focus of the profession in the human agents involved in the exchange between customer and seller
- The purpose of the profession is a financial exchange based on value between buyer and seller
To understand competence, we must first understand that its building blocks are person’s ability
to process and make sense of information from the environment. This information is then
turned into knowledge, skills and Abilities.
Competency: The skill sets or actions, sometimes called critical behaviors, which relate to that
work context.
Sales competencies: It is the abilities of a person which comprises ability, skills and knowledge
considered critical for successful sales performance.
-

Ability: Qualities inherent in the individual’s psychological makeup, which contribute
to overall sales success.

-

Skills: The abilities required to perform individual elements of the sales function, which
when combined, contribute to overall sales success

-

Knowledge: Information about products or services, market, customer, competitor and
company approaches to doing business.

1.1.2 Today’s Sales Job Requirements
The sales process is now increasingly a relationship-driven process. The fact that the sales
proposition is often complex, particularly in terms of its financial components, meaning that the
sales cycle often takes considerable time from first meeting to final decision and implementation.
This means that the job of sales is complex, and becoming more complex all the time.

The outstanding salesperson must:
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-

Be confident in him or herself in an ever-changing sales environment
Create new sales opportunities and leverage them for success
Take the time to build lasting customer and industry relationships

1.2 Sales Competency Framework
1.2.1 What is Sales Competency Model
A competency model is the name given to a set of skills, knowledge and behavior which, when
applied to the whole sales team, deliver significant performance improvement. They are seen as
an essential vehicle for achieving improved business performance through focusing and
reviewing an individual’s capability and potential.
The framework consists of a number of different competencies that form the profile of the ideal
sales person. Each sales person is then marked against these competencies to determine where

their strengths and weaknesses are. The gaps identified then form the basis for that individual
development path.
The sales person then has a set of objectives to work towards and is clear about how they are
expected to perform their jobs
1.2.2 How to build sales competency framework
- Identify the competencies that make up the sales profile which sales team are looking for
(Ideally 8-10). It is important to ensure that the competencies are measurable.
- Build the competencies into a delivery mechanism that is efficient and inexpedient. Whilst
previously paper-based, an online assessment function will work far more effectively – both in
terms of cost and time.
- Determine the most effective way of benchmarking each individual – through assessment
centers, manager assessment or external provider.
- Structure the process to ensure that on completion of the competency assessment there is a
deliverable training and development programs. This should be blended in its format,
consisting of one-to-one training, reading, classroom sessions, online learning etc. Ideally, the
delivery mechanism will also then recommend the development plan automatically rather than
needing manual management intervention.
1.3 Developing an externally-Focused, Market-driven Model
In turbulent business environment, sales professionals fill multiple roles, both formally and
informal, and are faced with making many decisions that drive the outcome of their work.
Sales team members who clearly understand their roles are those who are the most successful.
Conversely, a vaguely defined role can have a negative impact on a sales person’s job
satisfaction and performance. It can impair his or her ability to communicate with other
salespeople and understand what is necessary for success.

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A clear definition of world class competencies can help better prepare salespeople to tackle the
increasingly complex challenges of selling in a global marketplace collapsed timeframes and

sophisticated solutions. It is time to evolve the way organizations view that preparation and to
change to a more systematic competency mindset from the just-in-time, on the job skill
acquisition that many companies have used.
Developing an externally-Focused, Market-driven Model
It is critical that organization adopt a market-oriented view when designing and developing
sales training, Competency models based on internal systems, processes, and tool will miss the
mark. An externally focused model, however, based on market changes and incorporating
customer needs and industry trends will help organization drive more revenue.
In today’s buying and selling relationships, customers expect salespeople to change along with
them. They expect salespeople to be professional who can understand changes in customers’
business and to identify and satisfy their needs.
So the suggestion that buyers most want:
-

-

-

-

-

Business understanding and savvy: Salespeople must deeply understand the customer’s
business. This means knowing the customers’ systems, strategies, challenges, and
organizational culture. Intimate customer knowledge is now a prerequisite to being a valueadded professional.
Creativity and out-of-the box thinking: When buyers have a business problem and pursue
outside assistance, it is frequently because they perceive their problem as unique and
unsuited to conventional internal solutions. They want innovation and fresh ideas for
solving their problems. This type of thinking is a major source of value in today’s
salesperson.

Problem solving: Customers want salespeople to think beyond technical features and
function to the actual implementation of the product or service in the customer’s unique
business environment. Customers want to know what the offering will do for them. The
new sales professional must be a business consultant who can visualize a solution and
ensure the delivers results for the customer.
Accessibility: Creating a customer expectation that sellers are available 24/7
Personal accountability: Customers do not want a salesperson to close the deal and run;
they want to work with a business partner who is personally committed to a successful
outcome. B2B customers are usually accountable for the results inside their organizations,
and they want a partner in that accountability.
Loyalty and team spirit: Buyers expect salespeople to be their internal advocates, adapting
the selling company’s processes and practices to the customer’s benefit.
A solution mindset: Buyers expect a professional salesperson to diagnose, prescribe, and
resolve their issues, not just sell them products.

These seven needs are real customer expectations that have evolved in the past five to ten
years. They are not secret; they are demands that salespeople encounter everyday. Salesman
must put these demands in the context of their own sales force and create an organization of
people who can meet these customer needs with the right skills and abilities.
This is how world class sales organization set them apart. Their sales forces have evolved with
their customers, cultivating new and complementary capabilities. They have identified the
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organizational approach that drives success with their customers, and they provide their
salespeople with necessary knowledge, skills, and abilities to navigate that approach that drives
success with their customers, and they provide their salespeople with the necessary knowledge,
skills and abilities to navigate that approach.
Often, organizations strive to manage or change salesperson behavior to achieve a goal.
Managers learn to measure important metrics of salesperson activity, such as the number of

calls to make an appointment or the number of proposals to close a deal. Many managers
determine who to hire based on the past behavior of the salesperson – again, often measured by
metrics. Because the sales profession is so quantifiable, it seems appropriate to use past metrics
as determinant of future success, because they seem to be reflective of a salesperson’ ability to
get the job done.
But because selling is really about attaining business results, competencies can better help to
define the knowledge, skills, and abilities need to produce results. Competencies provide a far
more effective way to predict future results and outputs.
High competent salespeople exhibit the right behavior at the right time, with the high level of skills.
For many salespeople, this ability is developed naturally. New salespeople are expected to learn the
most effective way to accomplish a task, and often learn it by trial and error.
So “Why are some salespeople more effective than others?” Hypothetically speaking, if people
can experience the same environmental dynamics, theirs results should be similar.
Effectiveness derives from a person’s behavior. Goal setting, performance management,
attention to detail, and team building skills provide the foundation for effectiveness. Taking
initiative, inspiring, setting an example, delegating, coaching, creating, learning, coordinating,
and acting strategically are demonstrable results or outputs of effectiveness.
Because of the complexity of buyer-seller relationship, highly effective salespeople have their
own internal frameworks for organizing knowledge and responding to needs. In other words,
their hidden competencies become observable through their actions, in the form of an output.
Then, based on customers’ response, sales people reinforce their positive abilities and correct or
remediate their negative ones. Yet this process of reinforcement and correction is often
completely unconscious.
A results-based competency model highlights the competencies required to produce outputs or
results. The key to improving performance lies in externally defining and organizing world
class sales competencies, which include knowledge, skills and abilities.
1.4 Seven Emerging Competencies
1.4.1 The Seven Emerging Sales Competencies
The first competency, Engaging in Self-Appraisal and Continuous Learning, was most
predictive of strength in the other competencies. Historically, sales candidates have been

screened for their impervious egos, which often refuse to recognize any room for improvement.
Bur self-appraisal has become more and more critical to success in today’s flatter sales
organization. A higher ratio of salespeople to sales managers entails fewer joint calls and less
face to face coaching. The largest gap between the top salespeople was in Listening Beyond
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Product Needs. Less effective salespeople stop after determining expressed client needs; the
good ones press on to identify the business issues underlying them.
The most competency to develop was Orchestrating Internal Resources. Successful
salespeople treat company resources with the same degree of importance and creativity as their
prospects. Many of the most successful spend up to half their time building collaborative,
customer-focused relationships inside their organization.
Salespeople who excel at Aligning Customer/ Supplier Strategic Objectives look to further the
interests of their customers’ firms as well as their own. They keep current on developments that
affect customers’ business strategies, welcome opportunities to customize products or services,
and have a long term perspective on the way they do business with customer
Establishing A Vision of a Committed Customer/ Supplier Relationship requires expanding
the customer’s understanding of what a business relationship can be. A sales rep must build a
flexible relationship that is responsive to market-place changes, and communicate achievable
objectives for the relationship while challenging the creativity of both organizations.
Sales people who are adept at Understanding the Financial Impact of Decisions use their
internal resources in ways that are appropriate to the potential profitability of serving individual
customers. They also look for ways to contribute to customers’ profitability.
Consultative Problem Solving requires anticipating possible problems and inviting discussion
on how overcome them. It means determining the cause of a problem and identifying various
constraints, then proposing innovative solutions that go beyond the immediate application of
the product or service.
1.4.2 Successful salespeople Often Disregard Manager’s Directive
Some traditionally oriented sales managers are not fully attuned to the need for salespeople to

use these emerging competencies. For example, they want reps to try to capitalize on every
opportunity and every customer’s expressed need. In contrast, the top salespeople are very
selective. They try to maximize strategic alignment for both customer and supplier. They may
even suggest buying from a competitor if it is in the customer’s best interest.
In another example, top salespeople generally hold back on product introductions they feel are
premature, and may not introduce products until well into the sales cycle. Some manager,
however, may pressure them to meet sales goal, irrespective of the customers’ needs. Because
successful salespeople look for long term success for their customers as well as their own
company, they require the solution they offer to undergo a more rigorous analysis.
In still another example, many sales managers usually want their reps to spend as much time as
possible with customers. The top people, however, spend time building relationship with
internal experts in such areas as info tech or manufacturing. This enhances their knowledge
base and their ability to build cross functional solutions that they meet unique customers’
challenges. There are still managers who discourage, or at best fail to reinforce, the use of
technology. They see time spent on the computer as down time and believe that time should be
spent only on revenue-producing activities. The top salespeople, on the other hand, are adept at
using technology, in the sales process. They are particularly skilled at building presentations,
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facilitating pre and post call planning and qualification, and analyzing account and profitability
potential.
One can still find sales managers who stress standardized product sales. But good sellers place
more emphasis on tailoring products in order to meet the precise needs of their customers. Sales
managers are often under pressure to compress the sales cycle, even at the expense of overall
relationship potential.
1.5 Sales Competency Assessment Procedure
1.5.1 Sales Competency Assessment Process
1.5.1.1 Determinant of Sales Competency
- Ability: They are physical and psychological characteristics of an individual which

inherent in oneself since they were born or through training as time passing by.
Those abilities of individuals create certain advantages for people in job from the
beginning. For example, some people may be smarter or have stronger physic
then others. That make them naturally do job more quickly and effectively.
- Skill: Job skills can also be called transferable skills, since they are the type of aptitudes you
acquire through work experience that can make you valuable to other employers, even
in different fields from the one you currently work. Sometimes people refer to their
job skills as a skill set, and it’s important to showcase your skill sets on resumes,
especially if you are planning to seek work in a different field. Even if you don’t have
tremendous experience in the new field in which you’d like to work, your knowledge
and sense of what makes an employee more valuable can help you get a job.
- Knowledge: Job knowledge measures one’s mastery of the concepts needed to perform certain work.
Job knowledge is a complex concept that includes elements of both ability (capacity to learn)
and seniority (opportunity to learn). It is usually measured with a paper-and-pencil test. To
develop a paper-and-pencil test to assess job knowledge, the content domain from which test
questions will be constructed must be clearly identified. For example, a job knowledge test
used to select sales managers from among salespeople must identify the specific knowledge
necessary for being a successful sales manager.
1.5.1.2 Appraisal Participants
Depending on type and custom of company, participant in sales competency assessment may be
salesmen, supervisors, peer, subordinate, or even persons outside the company.
Normally, there are 03 positions:
Employee: The people who are the main objectives of competency assessment. They may be
the most important in assessment process. However, they usually show positive
assessment about their own competency.

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Peer: Sometimes, peers have better view of colleagues than supervisor because they work

together day by day. But peers usually are not strict or partial enough to give out
biased assessments.
Supervisor: Sales competency assessment received from supervisors is the most common
rating source. They are in the best position to give a partial and honest assessment.
The danger of their assessment is the substantial amount of power and influential
power, often by hand of a single rater.
1.5.1.3 Assessment Process
- Identify sales competency requirements
- Communicating sales competency requirements
- Measuring sales competency
- Comparing requirements & actual sales competency
- Discussing results
Identify sales competency requirements
Number of sales competency requirements is from 10 – 12 competencies
The sales competencies requirements should be clear, easily understandable
The sales competencies requirements must be the authority for approval from direct managers.
Communicating performance criteria
Sales assessment procedure should be informed to all level of sales management and executives.
The executives should be informed and the standards should be clearly explained in order to help
them understanding their roles and to know what exactly is expected from them. Sales
competency should also be communicated to the appraisers or the evaluators and if required.
Measuring performance
- Prepare.
Preparing all materials, notes agreed tasks and records of performance, achievements,
incidents, reports etc – anything pertaining to sales competency.
- Inform the sales team
To ensure the salesmen is informed of a suitable time and place and clarify purpose and type of
assessment
Give the salesmen the time to review and assess their sales competencies
- Review and measure

Managers / supervisors, salesmen review the sales competency requirements then compare to
the actual sales competencies.
- Agree an action plan
An overall plan should be agreed with the salesmen, which should take account of the sales
responsibilities and review strengths and weaknesses.
Comparing with desired criteria
The actual sales competency is compared with the desired criteria
Discussing results
The result of the assessment should be communicated and discussed with the salesmen
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The feedback should be given with a positive attitude as this can have an effect on the
salesmen’ future performance
The purpose of the meeting should be to solve the problems and motive salesmen to perform better
The results, the problems and the possible solutions are discussed with the aim of the problem
solving and reaching consensus.
1.5.2 Sales Competency Assessment Methods
Sales competency assessment is a very important part of every sales team in term of measuring
the progress of and developing salesmen into the type of people that the organization wants on
its staff. There are many different ways to measure sales competency
1.5.2.1 Graphic Rating Scale
Graphic Rating Scale method lists a set of competency factors that the supervisors use to rate
salesmen performance using an incremental scale. This method provides a high degree of
structure for assessments. Each salesmen competency is rated on a bipolar rate, ranging from
“poor” to “excellent’, usually 03 point (good, average and poor)
Advantages:
Rating scale method is quick, easy to use and understand as they are structured and
standardized. The concept of the rating scale makes obvious sense; both appraiser and appraises
have an intuitive appreciation for the simple and efficient logic of bipolar scale. The result is

widespread accepted and popularity this approach. It takes a little time, so the supervisor can do
many reviews in a relatively short period of time.
Disadvantages:
- Unclear standards: The rating scale may be too open to be explained that have little
relationship to sales competency which could be chosen
- Halo Effect: The assessment of supervisor to rate all salesmen as average
- Strictness/ Leniency: This has about the same effect as central tendency. The supervisor ranks
all off the salesmen high, or all of them as low.
- Bias: It happens when all supervisors allows individual factors such as age, gender to affect
ratings of certain salesman.
(See Annex 3 – example of Graphic rating scale)
1.5.2.2 360 degree competency assessment
In the formatted from of 360-degree competency assessment, the competency of a salesman
will be assessed based on ideas of many other different people, for example customers,
suppliers, peers and direct reports. In case of using 360-degree competency appraisal, it is vital
that the process be implemented in secret so that the subordinate reviewers (or staff) are made
sure that all their assessments on competency are kept anonymous.
Advantages:
- Offer a more comprehensive view towards the competency of salesman.
- Improve credibility of competency appraisal.
- Such colleague’s feedback will help strengthen self-development.
- Increases responsibilities of salesmen to their customers.
- The mix of ideas can give a more accurate assessment.
- Opinions gathered from lots of staff are sure to be more persuasive.
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-

Not only manager should make assessments on its staff performance but other colleagues

should do, too.
People who undervalue themselves are often motivated by feedback from others.
If more staff takes part in the process of competency appraisal, the organizational culture of
the company will become more honest.

Disadvantages:
- Taking a lot of time, and being complex in administration
- Extension of exchange feedback can cause troubles and tensions to several staff.
- There is requirement for training and important effort in order to achieve efficient working.
- It will be very hard to figure out the results.
- Feedback can be useless if it is not carefully and smoothly dealt.
- Can impose an environment of suspicion if the information is not openly and honestly managed.
360 degree appraisal has four components:
• Self appraisal
• Subordinate’s appraisal
• Peer appraisal.
• Superior’s appraisal
1.5.2.3 Weighted Checklist
This method describes a competency appraisal method where rater familiar with the sales job
being evaluated prepared a large list of descriptive statements about effective and ineffective
competency on sales jobs.
Advantage:
This method helps the manager in evaluation of performance of the salesmen
Disadvantage:
The rater may be biased in distinguishing the positive and negative question. He may assign
biased weights to the questions.
This method also is expensive and time consuming.
It becomes difficult for the manager to assemble, analyze and weigh a number of statements
about salesmen’s competencies.
(See Annex 4 – Example of Weighted checklist)

1.5.2.4 Behaviorally anchored rating scales
This method used to describe a competency rating that focused on specific behaviors or sets as
indicators of effective or ineffective competency.
It is a combination of the rating scale and critical incident techniques of salesman competency
assessment.
Advantage:
This provides a very accurate way to rate a salesman. The supervisor can usually tell what a
salesman would do in a certain situation, and has ‘anchors’ to compare the salesman to.
Disadvantage:
It takes time to split sales task into dimensions. It is also difficult to develop for positions with
varying and complex responsibility.
(See Annex 5 – Example of Behaviorally anchored rating scales)
20


CHAPTER 2
ASSESMENT OF CURRENT PROJECT SALESMEN COMPETENCY IN SAINTGOBAIN VIETNAM
2.1 About Saint Gobain Vietnam
2.1.1 Saint Gobain Vietnam Company Chart
Saint Gobain Vietnam (SGVN) was found in 2007 with a factory, manufacturing European
Standard Gypsum Board and opened Hanoi representative office in 2008.
Total staffs are 120 in office and factory with six functional departments in the north and the south.
GM of SGVN

HR
Department

Finance
Department

Logistic
Department

Sales
Department

Marketing
Department

Manufacture
Department

Chart 2-1 Organization Chart
Products of SGVN:
There are four types of products which SGVN is supplying: Plaster board, Ceiling Tiles, Metal
Components and Plasterboard Adhesive & Plaster
With Plaster boards (made of Gysum) in Vietnamese market, SGVN is producing Standard
Board; the remaining functional boards: Fire Stop, Moisture Resistance, High impact
Resistance are manufactured in Thailand due to more advanced technology.
P r o d u c ts R a n g e

P la s te r b o a rd

C e ilin g T ile s

M e ta l c o m p o n e n ts

P la s te rb o a r d F in is h in g
A d h e s iv e & P la s te r

G y p B o a rd

C a s o p ra n o
G yrex
C e lo te x
G y p to n e

G yp F ra m e

P r o F in
P r o S tic k
P r o P la s te r

Chart 2-2 Product range of Saint Gobain Vietnam
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Since 2007, SGVN sold out average 16 millions square meters gypsum board yearly, using in
constructing ceiling and internal wall. The revenue scale is 50 – 50 percents equally for the
South and the North.
With ceiling constructions, mostly 80% of building uses gypsum board for interior design
(other material could be mineral fibre board, aluminum board, PVC board…). But with internal
wall constructions, only 20% of building uses gypsum board. People mostly prefer brick wall
(clay-brick, cement brick or light brick) or soft cements to gypsum. Because comparing to
gypsum, they have some certain advantages like: more durable, more solid, more concrete and
easy to break and almost cheaper…
Annual Growth:
The Vietnamese Gypsum Market has developed quickly in recent three years. Although coming
later than other competitors but SGVN had a very smart marketing strategy. The event of
buying back Vinh Tuong Gypsum factory in 2007 is one of strong evidence. It was to settle

concrete foundation for SGVN in Vietnam because Vinh Tuong is a giant in Vietnamese
gypsum market with the widest distribution channels than the remaining distributors. And
frankly to say, the success of SGVN up to present still depends much on Vinh Tuong. They
account for nearly 70% of gypsum board revenue of SGVN.
(Unit: VND)
Year
2008
2009
2010

Revenue
343,398,199,05
1
372,029,807,61
1
539,741,145,64
0

Growth

8%

Gross Profit
50,284,501,00
6
57,303,221,73
0

45%

80,859,895,105

Growth

14%
41%

(Source: Internal Auditing Report of SGVN)
Table 2-3 Annual Growth of Saint Gobain Vietnam
2.1.2 The Saint Gobain Vietnam Sales Chart
In this part, I would like to focus on describe more details about the two departments which
directly and the most involve in sales activities of SGVN and the relationships among people in
this two departments:
-

Sales Distribution Department (08 people) which is in charge of managing
distributing channels. They mostly work with primary distributors of SGVN in term of
commerce, logistic and whole sales prices.
Marketing & Technical Department (22 people) which is in charge of marketing
strategy, technical issues and product developments.
They mostly works with Sales Distributions Department in term of marketing activities,
distributing channels, technical supports, marketing strategy and with customers
(distributors, buyers, installers) in term of technical support, promotional prices,
training activities.
And project salesmen (15 people) are in Marketing Department but we work directly
with project stake holders (investor, architects, PM…).
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Project salesmen are different from normal salesmen because they do not sell directly.

Project salesmen will always try to meet, present and convince the stake holders in
project to use gypsum wall instead of other kind of materials. If customers are interested
in gypsum wall and they want to have the prices. The project salesmen have to ask
distributors or installers to get the prices.
The project salesmen do not have any rights to decide prices because SGVN does not
sell directly, it sells through distributors. The only impact that project salesmen will
have is “With big projects, from 20.000 square meters and above; project salesmen can
consider to propose reasonable discounts for them.
So we could see that which distributors or installers win the project is not important; the
most importance is “Project salesmen are successful in convincing the projects to use
products and wall systems of SGVN”. Generally, project salesmen work as marketing
officer and sales supporter in same time. They are the bridges connecting direct sellers
(distributors, installers) and buyers (the stake holders in projects).

GM of SGVN

Marketing
Department

Marketing
Team

Technical
Team

In charge of
the South and
the North

In the South

In the North

Sales Distribution
Department

Project Sales
Team

In the South
In the North

South
Sales Distributions
Team

Vinh Tuong
Tong Hy
Hy An

North
Sales Distributions
Team

Vinh Tuong
Huy Hoang
Thanh Binh

Gyproc
Installer Clubs
(HN and HCM)

Chart 2 -4 Structures of the Sales Distribution and Marketing - Technical Department

2.1.3 Distribution Channels of Saint Gobain Vietnam

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Primary Distributors of Saint Gobain Vietnam
Currently, SGVN has five primary distributors: Vinh Tuong (branch in Hanoi), Huy Hoang,
Thanh Binh (in the north) and Vinh Tuong (head quarter), Tong Hy, Hy An (in the south).
Among five primary distributors, Vinh Tuong is the strongest. They account for nearly 60%
revenue of gypsum board of SGVN. Because they have the unique advantage comparing to
other distributors in Vietnam: “Unlike others have to import or by steel frame, Vinh Tuong
manufacture steel-frame themselves, so they have huge advantage competitiveness”
In any case, Vinh Tuong is active to sell full packages (gypsum board, frame and labor) with
better prices than others. That makes them maintain the No1 position in gypsum market share
in construction field of Vietnam.
SGVN
Distribution Channel

Distribution in South

Vinh
Vinh Tuong
Tuong
(head
(head
quarter)
quarter)

Tong
Tong Hy
Hy

Distribution in North

Hy
Hy An
An

Vinh
Vinh Tuong
Tuong
(Branch)
(Branch)

Huy
Huy Hoang
Hoang

Thanh
Thanh Binh
Binh

Chart 2-5 Distribution Channel of SGVN
Relationship among the two departments and customers
The two departments: Sales Distribution Department and Marketing & Technical Department.
Customers: Primary distributors, secondary distributors, installers and GIC.
-

Primary distributors: Vinh Tuong, Huy Hoang, Thanh Binh, Tong Hy, Hy An
Secondary distributors: They are under and managed by primary distributors. They
could also be installers.
Installers: They are installers working in construction field in market and they could
buy gypsum board of SGVN through above channels.
GIC (Gyproc Installer Club) is a special installer club including qualified installers who
are chosen by Marketing Department. They could be secondary distributors or not. But
they have very good skills in installing gypsum board for building (ceiling and internal
wall). SGVN also organizes training course for improving theirs skills. And with GIC,
Marketing Department has direct promotional prices for specified projects. Meaning
when GIC has projects which reach certain level of volume set by Marketing
Department, they would submit directly to SGVN while they do not need to submit
24


through primary distributors. SGVN has this special policy because we want the discount
money could flow directly to installers who have the good merit to promote Gyproc
brand name of SGVN to market.
Now we could see that, the three parties: Sales Distribution Department, Marketing Department
and “Customers” have integrated relationships… It is two-side way when talking about each
connections among these party.

Project Sales Team
(In Marketing Dept)

Distributing Channels
Technical Support
Marketing Activities

Technical Supports
Discount prices

Distribution Team
(In Distribution Dept)

Distributors
Commerce Channels
Logistics
Whole sales prices

GIC

Chart 2-6 Relationship among Project Sales team, Distribution Team, Distributor & GIC
2.1.4 Competition Analysis of Saint Gobain Vietnam
SGVN is a gypsum board manufacturer, using for built internal wall in high rise buildings.
People like to use gypsum wall because it has some more excellent performance compared to
traditional burned clay brick wall. For example:
-

Sound and thermal isolation, aestheticism, conformity, safety and high efficiency of using
Average weight is only 1/10 of brick wall and 05 times quicker in installation
Saving total 7% investment cost of building in average

But in construction material market today, there are some kinds of bricks which could have
same excellent performance comparing to traditional clay brick. The most preference are kind
kinds of cement brick or light-weight brick.
We could see clearly that, SGVN has the two competitors in term of alternative construction
materials for building wall in market today:
-

Direct Competitor: Other gypsum board manufacturers
25