Chapter-3 S&D NMA

SESSION-18 Chapter-3 SALES FORCE MANAGEMENT: 

SESSION-18 Chapter-3 SALES FORCE MANAGEMENT Introduction. Although selling is an extremely important function in most organization. It does have something of a bad reputation. This has mainly come about from the kind of hard selling associated with door-to-door selling. This image is quite far removed from the majority of selling that takes place especially in the business-to-business sector. Much of salesperson’s time is not actually taken up by selling but with a variety of other tasks that they have to undertake in order to achieve the sale.

Selling to customers. : 

Selling to customers. There are, in essence, two key concepts of selling: adaptive versus standardized selling techniques and soft versus hard selling. Managing the sales effort concerns the allocation of time or calls, the focus to be given to old versus new accounts and tour planning. All this has been aided by the use of computer-aided selling (CAS).

Managing the sales force. : 

Managing the sales force. Managing the sales force itself involves a number of key areas including, performance measurement, selection and training of salespeople, and motivational methods.

Organizing the sales force: 

Organizing the sales force Sales force organization refers to the type and size of the sales force. The type determines the degree of controllability while the size has profit implications. If the sales force is large the organization has to decide about the kind of specialization and co-ordination to use.

The future. : 

The future. The future of selling will be determined by technological advancements in electronic media and telecommunications which will have a direct impact on an organization’s ability to access more customers in a shorter amount of time, therefore, such aspects as selling time allocation, tour planning, and territory design will lose importance.

Conclusion. : 

Conclusion. Sales-force management involves three different tasks. Firstly, methods for selling and managing a sales territory. There are no prescriptive methods for doing this and, if anything, an adaptive approach to selling is probably best. Secondly, supervision by management which should include valid performance measurement and suitable motivational methods. The third task in concerned with the setting up of a sales force in terms of its organization. Key changes in the future are likely to be concerned with technological advancements and information handling.

SESSION-19 OBJECTIVES: 

SESSION-19 OBJECTIVES 1. To consider the role of selling in modern organizations, whether it is selling to consumers, to resellers, or to businesses. 2. To identify the tasks that sales people must fulfil . 3. To consider how a firm can identify the best salespeople. 4. To recommend ways of managing and motivating a sales force. 5. To consider appropriate compensation plans and the setting of quotas for salespeople. 6. To discuss how to set up a sales organization and the best way to design sales territories.

STEPS IN MANAGEMENT OF SALES FORCE: 

STEPS IN MANAGEMENT OF SALES FORCE Recruitment of sales personnel Selection of sales personnel Training of sales personnel Motivation of sales personnel Compensation of sales personnel Controlling of sales personnel

Sales job description: 

Sales job description Title of the job Duties and responsibilities expected from the new sales persons Technical requirements Experience and qualifications Reporting methods Territory to be covered Degree of authority

Sources of sales recruits: 

Sources of sales recruits Current employees Referrals Educational Institutions Suppliers and customers Competitors Internet Advertisements Employment agencies Professional and trade associations Job fairs and seminars

Selection of sales personnel: 

Selection of sales personnel Recruitment and Selection are closely related terms. Recruitment is the process to find out potential candidates and encourage them to apply for jobs. Its positive in its approach and build reserviours of potential candidates. Selection is the process of choosing the required candidate out of the large reserviour provided by recruitment. Selection is the process of offering jobs to one or more candidates from among those who have applied for jobs in the organisation. It’s the process of weeding out or rejecting the misfits. Its negative in approach and its matches the main specifications with job specifications.

SESSION-19 SELECTION PROCESS: 

SESSION-19 SELECTION PROCESS REJECTION OF THE CANDIDATE APPLIDATION BANK RESUME PRELIMINARY INTERVIEW SELECTION INTERVIEW REFERENCES PSYCHOLOGICAL TESTING PYSICAL TESTING JOB OFFER

TRAINING OF SALES PERSONNEL: 

TRAINING OF SALES PERSONNEL The purpose of sales training is to achieve improved job performance. In the absence of training, job performance improves with experience. Training substitutes for job experience to enable trained sales personnel to achieve high job performanc faster. All the companies put new and inexperienced sales people through an orientation towards sales training program. This program improves their selling skills, learn about new products and improves their time and territory sales management practices.

Slide 14: 

There are two distinct forms of sales training Formal sales training Informal sales training Formal sales training involves carefully planned programs complete with training schedules, lesson plans, visual aids and other teaching devices. Informal sales training involves continual professional development of sales people. Salespersons are guided on their daily activities and advised to improve their selling skills

SESSION-21 OBJECTIVE OF SALES TRAINING: 

SESSION-21 OBJECTIVE OF SALES TRAINING It motivates sales persons to develop their skills and raise their morale. It makes salesperson more adaptable and creative and enables them to meet changing competitive conditions. It improves salesperson’s relationships with the customers by showing them the right way to do the business.

Slide 16: 

It reduces the cost of supervision and controlling sales activities . Well trained sales persons require less attention from their executive. It help in increasing sales volume. It reduces high turnover of sales profits.

SESSION-22: 

SESSION-22 Presentation by the students

SESSION-23 TRAINING TECHNIQUES/METHODS: 

SESSION-23 TRAINING TECHNIQUES/METHODS LECTURES DEMONSTRATIONS DISCUSSIONS ROLE PLAYING VISUAL AIDS VIDEO-CONFERENCES

GOOD SALES TRAINING PROGRAMME: 

GOOD SALES TRAINING PROGRAMME The contents of sales training programme are derived from the training needs of all sales persons. The training program of sales persons must cover all key aspects of the sales person’s job, product to be sold, market to be covered and the selling policies of the company. Training programme aims at giving knowledge about the products, market, selling techniques and about the company

Contents of good sales training programme: 

Contents of good sales training programme KNOWLEDGE OF PRODUCTS KNOWLEDGE OF MARKET KNOWLEDGE OF SELLING TECHNIQUES KNOWLEDGE OF THE COMPANY

SESSION-24 presentation: 

SESSION-24 presentation

SESSION-24MOTIVATION OF SALES PERSONNEL: 

SESSION-24MOTIVATION OF SALES PERSONNEL Sales people, especially field sales forces, require high degree of motivation. Motivation is goal-oriented behaviour fulfilling certain needs and desires. Motivation is the force within us that directs our behaviour. Sales personnel's require motivational help from management as individual and as group members to reach and maintain acceptable performance levels. Management faces a challenge in motivating sales people. People differ in what motivates them and the motivations change over a person’s life.

Slide 23: 

The motivational needs of different sales persons may be different. A young sales person is more likely to be motivated by money while an older salesperson may be more interested in status and recognition. To motivate sales personnel, a sales executive is expected to understand the needs and emotions of his sales force.

NEED FOR MOTIVATION: 

NEED FOR MOTIVATION The inherent nature of sales job Role conflicts Tendency towards apathy Group identity

WHAT MOTIVATES SALES FORCE: 

WHAT MOTIVATES SALES FORCE Recognition and Honours Awards Fair Pay-Pocket Opportunity for Advancement Job Enrichment Social Acceptance Desire to Excel

COMPENSATION OF SALES PRESONNEL: 

COMPENSATION OF SALES PRESONNEL Designing and administering an effective sales compensation plan is a big part of sales manager’s job. establishing a compensation system calls for decisions concerning the level of compensation and the method of compensation. no compensation plan is said to be satisfactory in absolute terms as it involves conflicting objectives of the pay-masters and pay-receivers. an ideal compensation plan must reconcile these conflicting objective. It should try to meet the expectations and aspirations of the sales-force and overall objectives of the sales organisation.

OBJECTIVES OF COMPENSATION PLANS: 

OBJECTIVES OF COMPENSATION PLANS To motivate sales persons Ro correlate efforts and results To have longing loyalty To have sound employer-employee relations To control sales person’s activities To provide customer satisfaction

DESIGNING A SALES COMPENSATION PLAN: 

DESIGNING A SALES COMPENSATION PLAN Defining the sales job Identifying specific objectives Establishing the level of compensation Developing the method of compensation