Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions
Mail Us support@pass4success.com
Location US
Mob_nav_barsMENU

CIMAPRO19-P03-1 Exam - Topic 2 Question 71 Discussion

M plc is an IT company thatbids for large contracts to sell computer systems and also to serviceexisting systems. M plc's senior management hasalwayssetbudgets which are hard to achieve andhavemade no allowances for the recession.The economy has improved andM plc's senior managershave made the budget even more optimistic. The budgetedsalestargethas been increased by 40%.In the past,sales staffhave not tried to achievethe budgetsales because itwas generallybelieved that the targets wereimpossible to reach.M plc has recently appointed a new Sales Directorwhohas decided that sales staff will bedismissedif they fail to meet sales targets for three successive months. He is also looking forhighersalesmargins than wereachievedbefore.What are the likely consequences ofthe new Sales Director'spolicy?
B) Sales staff will tender for riskier contracts. and E) Sales staff will feel more settled and secure in their jobs.
A) Sales staff will be happier in their jobs.
C) Sales staff will encroach on other sales staff territories to get more work.
D) Sales staff will look for new jobs.

CIMAPRO19-P03-1 Exam - Topic 2 Question 71 Discussion

Actual exam question for CIMA's CIMAPRO19-P03-1 exam
Question #: 71
Topic #: 2
[All CIMAPRO19-P03-1 Questions]

M plc is an IT company thatbids for large contracts to sell computer systems and also to serviceexisting systems. M plc's senior management hasalwayssetbudgets which are hard to achieve andhavemade no allowances for the recession.

The economy has improved andM plc's senior managershave made the budget even more optimistic. The budgetedsalestargethas been increased by 40%.

In the past,sales staffhave not tried to achievethe budgetsales because itwas generallybelieved that the targets wereimpossible to reach.

M plc has recently appointed a new Sales Directorwhohas decided that sales staff will bedismissedif they fail to meet sales targets for three successive months. He is also looking forhighersalesmargins than wereachievedbefore.

What are the likely consequences ofthe new Sales Director'spolicy?

Show Suggested Answer Hide Answer
Suggested Answer: B, E, F

by Owen at Jul 02, 2024, 06:36 AM

Limited Time Offer

25%

Off

Get Premium CIMAPRO19-P03-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

0/2000 characters
Submit Cancel
Francis
9 months ago
Who thinks they'll actually meet those crazy targets?
upvoted 0 times
...
Adelina
10 months ago
They might go after riskier contracts, but that's a gamble!
upvoted 0 times
...
Dean
10 months ago
I doubt the sales staff will be happier with these targets.
upvoted 0 times
...
Kent
10 months ago
Totally agree, they'll be looking for new jobs for sure.
upvoted 0 times
...
Bulah
10 months ago
Sounds like a recipe for high turnover.
upvoted 0 times
...
Arlene
10 months ago
I can't see how anyone would feel secure with such high stakes; option A seems really unlikely to me.
upvoted 0 times
...
Brandon
11 months ago
This situation reminds me of a practice question where competition among sales staff led to conflicts. So, option C seems plausible too.
upvoted 0 times
...
Ramonita
11 months ago
I’m not sure, but I think if the pressure is too high, some might take risks with contracts, like option B suggests.
upvoted 0 times
...
Lenna
11 months ago
I remember discussing how unrealistic targets can demotivate staff, so I think option D could be likely.
upvoted 0 times
...
Amber
11 months ago
I feel pretty confident about this one. The new policy is clearly going to create a lot of stress and insecurity for the sales staff. They're probably going to start looking for other job opportunities rather than trying to hit those unrealistic targets.
upvoted 0 times
...
Stephanie
11 months ago
Okay, I've got a strategy for this. The key is to focus on the policy changes and how they might impact the sales team's behavior. Things like taking on riskier contracts or trying to poach each other's clients seem like the most likely outcomes.
upvoted 0 times
...
Alease
11 months ago
Hmm, I think the most likely consequence is that the sales staff will start looking for new jobs. The pressure to hit those high targets or risk getting fired doesn't sound like a great work environment.
upvoted 0 times
...
Hermila
11 months ago
This seems like a tricky situation. The new sales director's policy of dismissing staff who don't meet targets for 3 months could really put a lot of pressure on the sales team.
upvoted 0 times
...
Dorethea
11 months ago
I'm not sure how to approach this one. The increased sales targets and threat of dismissal could lead to some risky behavior from the sales staff, like encroaching on each other's territories.
upvoted 0 times
...
Felix
11 months ago
Okay, let me think this through. The question says the document is related to the Account, but the user needs to access it from the Contract. So I'm thinking option C, a custom detail page link on the Account, might be the way to go. That would let the user easily navigate to the document from the Contract.
upvoted 0 times
...
Barrett
11 months ago
I'm leaning towards option C, but it could also be about reducing the use of forecasts. Both seem relevant.
upvoted 0 times
...
Carmen
11 months ago
If I recall correctly, we had a similar question in practice where we analyzed different conditions based on credit scores and income. It definitely required a more detailed breakdown.
upvoted 0 times
...
Dannie
1 year ago
This is just a train wreck waiting to happen. The new Sales Director sounds like a real hardliner, and the sales staff are probably going to start jumping ship (D) as soon as they can. Although, maybe they could try bribery or blackmail to meet those targets? Just kidding, that's probably not the best approach.
upvoted 0 times
Bulah
1 year ago
Sales staff will look for new jobs.
upvoted 0 times
...
Renato
1 year ago
Sales staff will encroach on other sales staff territories to get more work.
upvoted 0 times
...
Christiane
1 year ago
Sales staff will be happier in their jobs.
upvoted 0 times
...
Silvana
1 year ago
Sales staff will look for new jobs.
upvoted 0 times
...
...
Blondell
1 year ago
Ha, I can just imagine the sales staff trying to outdo each other and getting into some serious turf wars. It's gonna be like the Wild West out there! And forget about feeling 'happier' or 'more settled' (A, E) - these poor people are gonna be stressed to the max.
upvoted 0 times
Rashad
1 year ago
Sales staff will look for new jobs.
upvoted 0 times
...
Krystal
1 year ago
Sales staff will encroach on other sales staff territories to get more work.
upvoted 0 times
...
...
Daniel
1 year ago
Ugh, the senior management at M plc sound like they're living in la-la land. Impossible sales targets and no allowance for the recession? That's a recipe for disaster. I bet the sales staff will be doing whatever they can to encroach on each other's territories (C) just to hit those numbers.
upvoted 0 times
...
Corinne
1 year ago
Definitely, I can see sales staff feeling unsettled and insecure in their jobs.
upvoted 0 times
...
Layla
1 year ago
Oh man, this one's tricky. The new Sales Director's policy is definitely going to have some serious consequences. I can see the sales staff feeling super stressed and looking for new jobs (D) if they can't meet those crazy sales targets. Riskier contracts (B) might be tempting, but that's a recipe for disaster.
upvoted 0 times
Charlene
1 year ago
Sales staff will encroach on other sales staff territories to get more work.
upvoted 0 times
...
Lenny
1 year ago
Sales staff will be happier in their jobs.
upvoted 0 times
...
Camellia
1 year ago
Sales staff will feel more settled and secure in their jobs.
upvoted 0 times
...
Bernardine
1 year ago
Sales staff will look for new jobs.
upvoted 0 times
...
...
Selene
1 year ago
I agree, the pressure to meet unrealistic targets may lead to sales staff looking for new jobs.
upvoted 0 times
...
Corinne
1 year ago
I think the new Sales Director's policy is too harsh.
upvoted 0 times
...

Save Cancel