Reducing Hangups at Georgia Outdoor Liquidators (gol)

Team Presentation - Case Reducing Hangups at GOL

Ernesto González Carranza

Marlene Margarita Rangel Gaona

Dayana Rodríguez Cuevas

Manuel Alejandro Zapata Valdés

City University of Seattle

Case Reducing Hangups at GOL

• Executive Summary

Georgia Outdoor Liquidators (GOL) is a small retailer of recreation merchandise created in 1996 by Dan Terriat. Its primary mood of selling is through a catalog and website.

Right now, the objective of the manager is to eliminate the telephone orders and start focusing entirely on e-commerce.

However, the chief operations officer, Gretchen Beck, told Dan that eliminating the telephone contact with customers is not the most appropriate thing to do because phone orders represent 38 percent of the GOL sales.

Gretchen reviewed the telephone order process, which is represented in the following diagram.

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Problem 

1. The CEO of GOL company, Dan Terriat, wants to eliminate the cost that cost associated with the telephone order process, which is labor costs associated with the staffing phones.
2. The telephone order process is long and stressful; customers can get tired and bored giving, as a result, their cancel of the order or losing them as customers. This process is affecting the customer satisfaction and GOL needs to increase the quality in the purchase order process.
3. Catalog sales limit the market that can be reached.

Possible solutions

The company has an old sale process that does not allow them to take the proper advantage of the resources the company has, and the company’s lack of innovation will make the sales to decrease.  A restructuring of the sales process is necessary if the company wants to cover more portion of the market and obtain a greater profit margin, it needs to be able to increase its sales capacity without increasing the current costs of it.