Book Report: Michael Krause

Pages: 17 (4753 words)  ·  Bibliography Sources: 14  ·  Level: Master's  ·  Topic: Business  ·  Buy This Paper


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Regardless the type of employee, direction is needed. But, the employee also needs to have an effective leader that will not lead them astray. As far as organizational behavior, this may be one of the most important aspects that a company can demonstrate. The internal culture of a company, who it is as an entity, is greatly affected by the values the managers establish and actually carry out. This is one of the central focuses of Krause's message.

Organizational behavior is also discussed specifically in the fourth chapter which is about SWOT analysis. The acronym itself stands for strengths, weaknesses, opportunities and threats. The goal of this type of analysis is for the person or team conducting the research to discover what an organization offers. The first step was for the members of the organization to know the product, then they must have proper leadership, but the organization must also know what it is. A SWOT analysis allows the employees and the managers to understand what the company is and how strong it is. Krause (2011) says that the employee "too must you know your business. Assets, strengths, weaknesses, and vulnerabilities -- the ability to pinpoint these factors accurately is critical to your organization's potential for long-term success." The organizational behavior that Krause suggests throughout the book is a change in the perceptions of the employees with regard to who they, their leaders and company are.

Conclusion and Discussion

As for organizational behavior, Krause does not mention the phase specifically in the book, but he does give the lessons that an employee will need to change her or his thoughts on sales, and how that affects the overall organization. But it is difficult to draw conclusions when only part of the book has been discussed so far. So the next few paragraphs will be a detailed overall look at the book.

In the first chapter Krause give a general overview of the technique he is going to describe, and also discusses how the sales people can get started. The discussion of his selling technique truly begins in the second chapter in where he asks the question "What are you selling?" He gives some general information then he allows the reader to try and describe what they are selling while he gives a few leading writing assignments. The main portion of the chapter discusses unique selling proposition (USP) and unique value proposition (UVP). He describes these two terms as "Your USP is what is unique about the service or product you provide -- in essence, the unique advantages you offer your customer & #8230; Your UVP refers to specific value (benefit) for the specific customer or prospect to whom the service or product is being offered -- the overall package as it benefits or helps the recipient" (Krause, 2011). The sales people who work with the product or services must understand why the customer values the product and what benefits it offers them before they can successfully sell a given product. The author then talks about a few methods the company can use to find out what the customer really needs from the product, so that the sales people can discuss those aspects of the product.

The third chapter talks about strategic planning. The author calls this the most important sales technique because it is how a leader builds a strong company. Team members are only as strong as the leadership they receive. Krause (2011) writes that "Sustained, strong sales can only be built on a strong foundation of growth and strategic planning." This stance is backed up by Griffith and Sawyer (2010) who point out the advantages of strong leadership in molding the organizational culture.

The next chapter is about the SWOT analysis which was already discussed, but the fifth chapter takes the reader through how to engage their clients. Even the most able sales person has bad days with clients. Sometimes no one is responsive to what the individual is selling, but that does not mean that they should necessarily try a different strategy entirely (Sliter, Sliter & Jex, 2012). The salesperson needs to think back on the previous lessons that they have learned so that they can see aspects of the product that they may not have been emphasizing before. But the salesperson also needs to remember that the most important person in the organization is the customer. That is the emphasis of this chapter. Krause says that it is important to work with the company's top customers and make sure that they are actively engaged. He states that with this strategy the organization will:

"Eliminate spending too much time on customers who net you the least amount of return for your efforts

Create targeted marketing campaigns for specific large-reward customer categories

Establish incentive programs to attract less active customers into your top range

Develop a relationship package to secure relations with your most valued customer groups, such as a bronze, silver, gold, or platinum level" (Krause, 2011)

This does not mean that the company is to stop looking for customers or that it is to completely ignore the 80% of customers who give the company 20% of its total sales. These customers are important because they do offer some amount of revenue an because they do offer value to the company. One of these customers may also one day become part of the top 20%. However, there can be too much time spent trying to engage these customers that is better spent with the actual sales producers.

These middle chapters are all about increasing the profits of the company, and at this point it seems more like a management or leadership book than one designed for sales people in particular. The main point in this chapter is to maintain or build cash flow because "insufficient capital or cash flow is one of the top reasons for business failure" (Krause, 2011). It is true that a salesperson or sales staff can definitely affect the cash flow that a business generates, but it is difficult for them to have any direct effect on the plans that are implemented for this to happen. If the sales staff does their job competently, they will create positive cash flow. However, the title for this chapter is somewhat puzzling. He calls it "Fill the Gunwales" which is strange because if they are filled, they can cause a ship to tip over in a storm. He should have more appropriately called it "Fill the Hold" which is where a ship stores all of the goods it is carrying.

Chapter six has already been discussed to some extent as it is about knowing and influencing organizational culture. This chapter will be discussed in even more detail in another section of the paper. It is the one that deals primarily with subjects that have to do with organizational behavior.

At the beginning of chapter eight Krause says, "In much the same way, it is incumbent upon you as a business owner to know the internal workings of your organization. If not, when adverse things happen, there is little that can be done to anticipate how changes will impact your operations." Again he is deviating from talking directly to sales people to looking at the overall organization and how it can influence sales. Specifically, he talks about the structure of the organization from the CEO down, and how the entire environment can affect he sales people. In part he says that

"An organization's structure is constantly shifting and adjusting. People are hired, new products and services launch, committees are formed, informal alliances change and systems within the infrastructure are updated or reconfigured. This dynamic shifting has direct ramifications on your organization's ongoing ability to function at its most productive pace. It also subtly affects your sales people's ability to sell efficiently to your clients, whose organizations are also probably in the throes of their own structure shifts" (Krause, 2011).

If the sales people do not know what is happening from one day to the next, they could have problems making sales to generate revenues because they are caught up in the chaos. The responsibility of the executive managers to make sure that balance is maintained so that employees can be as productive as possible.

He ends with the eighth and final strategy in this chapter. He asks whether the company and the individuals in the sales staff are ready to make the changes necessary to see the increase in sales that he is preaching. Krause (2011) believes "That enterprise's stable, sustainable growth requires a vision, a strategic plan, motivated talent, tools and the right materials. Successful business owners begin with the completed organization firmly in mind." Unless the captain of the ship is willing to make the necessary adjustments to the ship and give the leadership needed to head it in the right direction, it will not make any progress toward the goal.

The final few chapters of the… [END OF PREVIEW]

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APA Format

Michael Krause.  (2012, April 17).  Retrieved July 17, 2019, from

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"Michael Krause."  17 April 2012.  Web.  17 July 2019. <>.

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"Michael Krause."  April 17, 2012.  Accessed July 17, 2019.