An Appraisal Of Sales And Distribution Management In Eif Oil Plc
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An Appraisal Of Sales And Distribution Management In Eif Oil Plc
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AN APPRAISAL OF SALES AND DISTRIBUTION MANAGEMENT IN EIF OIL PLC

ABSTRACT

 

          This study is a research into an Appraisal of Sales and Distribution management in act on PLC the Eastern regional headquarters which based in Enugu was used as a limit it is encouraged by the desire to explicating understand the sales and distribution management in ELF Oil they sought to find out whether the sales and distribution systems are effective and efficiency.  In attempting to suggest possible solutions to the problem.  The survey method (using questionnaire approach) serves as a means of generating primary data to compliment the secondary materials available through review of related literature.  The Z test method I used in testing the hypothesis.

The study found out from it tests of hypothesis that the inefficiency in the distribution system has an effect on the sales level.  The study recommends that there should be a total restructure of the organization structure increase in the distributions outlets etc. 

          The researcher also found from the population of study that the location of EIF Oil PLC is in Enugu Metropolis and through the sample size and pilot survey the researcher also finds in the dealers of EIF Oil PLC with the top men’s formular.

          Through the analysis of questionnaire for collection of data it was learnt that from the network sales assistant that the company as at 1994 retrenched most of the casual at a time and recruited worker with minimum qualification.

          Finally the company should increase their personal motivation drive to spur workers to greater heights, which will in turn be beneficial to the company.

 

CHAPTER ONE

BACKGROUND TO THE STUDY

 

          Estimating the worth of sales and distribution management is not a time wasting venture.  In recent times based on the fact that we are living in a dynamic environment therefore organizations.  Firms and companies that must and want to remain in business must embrace this never ending dynamic change and this is by delegating persons to personal to their eyes, nose, ear and mouth as regards their environment.  These personnel must see, sniff, hear and say all that is relevant for the organizations progress or growth the responsibilities of these personnel is to ensure that customers or prospects are contacted and convinced to accept the values offered in exchange for a value desired by the organization.  These personnel that are delegated with these duties are traditionally known as salespersons and they make up the sales force of the organization

          Sales management is therefore the organizational efforts necessary in planning sales objectives, specifying selling efforts needed in realizing the objectives, selecting training, motivating compensating, spurring appropriate sales force and controlling their operations towards ensuring the full realization of sales objectives.  The recruiting selecting training motivating, supervising and control justifies the popular marketing slogan that says ales men are not just born but made which is a major task of management.

          Appraising distribution in an oil industry it is important to firstly understand what distribution is all about in an organization in the market context distribution is seen and regarded as one vital element of the marketing mix. 

According to Philip Kotler (1991:pg 68) is defined as “the set of marketing tools that a firm uses to pursue its objectives in the target market” and this consists of the products, the price, the promotional activities and place (which is distribution in other words).

          Distribution on it’s own is the planning implementing and controlling the physical flow of materials and final goods from point of origin of use to meet customer needs at a profit according to Lee and Dobler 1977 page 23.  Distribution has come to be known as the other half of marketing.  The advocates of this view marketing as comprising two parts conventional marketing (marketing research product development pricing and promotion and distribution it plays a very important role in the marketing context, in that there would be no trade without the creation of distribution channels therefore distribution provides times, place and ownership utilities by buying the goods and services at the right time and place and where they are needed by those who need them.

          ELF Oil PLC is one amongst the many Oil and gas industries in Nigeria that account for 80% of National Total Exporting Earnings and about 70% of total government revenue.  The activities in the Oil Gas Industries is divided two the upstream segment and the downstream segment.

          EIF Oil International is the parent to EIF Oil Nigeria PLC and is under the upstream segment, which covers all activities to the exploration, discovery and extraction of oil and gas and their treatment EIF Oil PLC is an operator of the NNPC/EIF Joint Venture.  EIF Oil Nigeria PLC is under the down stream segment their comprises all activities following delivery processing plants and marketing of finished products and other related ancillary services.

According to the National Association of Petroleum Industry (NAPI) “Petroleum Product Marketing would seem sealed except by establishing independent marketing outfits or aspiring to establish dealership with the marketers”.  Indeed as these opportunities remain viable.  ELF OIL international established oil Nigeria which has ELF Oil Marketing as a subsidiary established.  In 1993, with skeletal station in the Western states of the country.

          Since the creation of EIF stations network there has been a dynamic change with different consumer needs emerging to meet these needs.  ELF Oil Marketing Company adopted petroleum net work marketing”  By increasing their retail diversification to include marketing which is sales and distribution of special products white products and lubricants on the acquisition of the NNPC “Oil prospecting Licence” (OPL) ELF Oil qualified to purchase refined special products like the process oil different and the population base oil they are also qualified to market in the domestic markets product like premium motor spirit (P.M.S otherwise known as petrol).  Dual-purpose kerosene (DPK) Automotive Gas (AGO) other wise known as Diesel.  Low poor fuel oil (LPTO) liquefied petroleum Gas (LPG or cooking gas) wax asphalt carbon black and polypropylene here in Nigeria specially selected ELF Lubricant range is being marketed.  It include:

ELF Sport, 25w50 – ELF C40 TRANS ELF E.P TRANS ELF B As an organization their markets oil and gas products nation wide.  ELF Oil PLC organized their sales job based on geographical territories within the regions each sales manage is assigned a special region to take care of sales activities with other sales network assistants helping him in executing the task.

 



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