The Sales Management Process Reengineering Of JILIN TONGGANG INTERNATIONAL TRADING CO., LTD.

JILIN TONGGANG INTERNATIONAL TRADING Co., LTD. (JTIT) established in May 2004 is a wholly-owned subsidiary of TONGGANG GROUP, registered capital 400 million Yuan. JTIT offers steel products and services of TONGGANG GROUP, from long products to flat, from by-product of Metallurgical to iron ore. JTIT also imports iron ore and exports steel products.Enterprises'aim is to achieve sustainable development. Now enterprises no longer exist independently, but in the value chain on the value-added points. Only enterprises make products to be value-added in the value chain can survive and develop. For a trading corporation, offering services of products is an efficient way to that. And effective operation process is the foundation of the services offered by the corporation. Therefore we'll focus on the process of trading corporation, and find problems of JTIT'S operation. Then try to provide solution plan for JTIT'S development and research how to reengineer its business process and restructure its organization. In today's market competition circumstance, this is very significant to the company's surviving and development; it's also the reason of reengineering of JTIT'S sales management.In the beginning of 1980s enterprise recycling theory is from the United States as a comprehensive transformation of the business model, which is developed to improve their overall competitiveness by U.S. major industrial enterprises after the comprehensive study Japanese manufacturing total quality management (TQM), lean production (Lean produce), in time manufacturing (Just-in-time), zero defect (Zero Defect), and other outstanding management experience.In 1993, Michael Hammer and James A. Champy, co-author of the book, Reengineering the Corporation: A Manifesto for Business Revolution. They argue that, 200 years, most still organize on the principle of division of labor set forth by Adam Smith to build and management enterprises, which is segmenting a job into the simplest and the most basic steps, but the idea combining several jobs into one, letting workers make decisions, performing the steps in a process in a natural order, and performing work where it makes the most sense."Reengineering", in Western companies, has be paid a high degree of attention, thus promoted rapidly, and brought significant economic benefits. There are many successful examples. Through reengineering, American Express has reduced cost over 10 billion per year; semiconductor sector of Texas Instruments has reduced the order time of IC(integration circuit) processing more than a half, and changed the customers'satisfaction from worst to best, also drawn unprecedented income. The main problems in JTIT, firstly, are resource allocation, and pricing policy failed to keep pace with the market rhythm. Secondly, split functional departments and long sales process leads to decision delayed and restriction between departments. The third, there were few people concerned about company's imagine, let alone CRM. Last, be lack of frontline sales stuff.Now, JTIT is undergoing a rapid expansion, also proposing new requirements of all aspects about management and seeking solution to the problem of restricting its development. The problem is traditional organizational structure and business process has no longer met the new market circumstance, thus it is very necessary to reengineer the business process.Overall, the general goal of JTIT'S reengineering is to rebuild thin and flat organizational structure, and to set up the most direct and simplest process, to remove the barriers between different departments, and to eliminate the phenomenon of evading duties, and realize to work with teamwork spirit.After reengineering, the business process starts from the continual marketing information provided by the sales dept. and procurement dept. Then, considering the JTIT'S own resource and allocation mechanism, marketing dept. makes the sales plan by collecting and summarizing the information. Meanwhile, financial dept. and Comprehensive Office need to audit the plan and the not signed contracts. Last, sales dept. ends the sales process by signing the contracts with customers. Usually, future trading is for the sales of steel, so after the sales process, procurement dept. and operation dept. is responsible for transport of the goods, and the sales dept. deliver the goods with no doubt.BPR is a continual process and not once done and forever. With the development of the time and the change of customer, competition and the environment, it is inevitable for the coming of a new round of BPR.After the process of BPR, the new organization structure and business process are running inside JTIT. New process makes the sales management more efficient and effective, and the stuff is more confident. We can conclusion that a very distinctively enhancement of the organization's economic benefit will emerge.