Chapter 08 Staffing and Sales Teams.ppt

Copyright © 2001 by Harcourt, Inc. All rights reserved.

STAFFING THE SALES TEAM


PLANNING FOR AND

RECRUITING SUCCESSFUL

SALESPEOPLE


What sales human resource management is and what its key relationships are.

The importance of planning for sales personnel needs.

What people planning and employment planning are.

What recruitment means and why it is so important.

The recruiting process: what it is, who does it, and where recruits are sought.

LEARNING OBJECTIVES

A successful sales force is determined by who is hired; this is the end result of sales human resource management. This chapter should help you understand:


WHAT IS SALES

HUMAN RESOURCE

MANAGEMENT?

Sales human resource management (SHRM) refers to activities undertaken to attract, develop, and maintain effective sales force personnel within an organization.


FIGURE 8.1 ACTIVITIES INVOLVED IN MANAGING A SALES FORCE’S HUMAN RESOURCES

Sales H um an R esource M anag em ent

P eo p le P lan n ing E m p lo ym ent P lann in g

H ow M any to H ire?

T yp e o f P eo p le?

R ecruitm ent Selec tio n So cializ atio n


FIGURE 8.2 FROM INTERVIEW TO TERRITORY: A LONG TIME

D eterm in e H o w M an y

to H ire

F irst I n terv iew

G raduatio n B egin W o rk

T rain in g E n ds

A ssign ed T errito ry

T im e L in e


What’s a salesperson worth?

A salesperson’s worth depends on what the salesperson costs to the company and on the profits from the products he or she sells.


Selecting someone who will become an above-average performer improves the overall performance of the sales group.

A successful hire is someone who performs above average.

Goal: Hire above-average performers.


WHO DOES THE PLANNING?

• National sales manager.

• Field sales managers.

• Top management.


FIGURE 8.3 SALES FORCE PEOPLE-FORECAST MODEL: FACTORS TO CONSIDER WHEN DETERMINING HOW MANY TO HIRE

Sales F orce O b jectives

Strateg ic P lan s

T errito rial D esig n

C urren t Sales F orce P erson nel

+H iring , P ro m otions, T ransfers I n

-

Q uits, T erm inatio ns, P ro m o tions, T ransfers O ut, o r R etirem ent

=P eo p le F o rec asts


DETERMINING THE TYPE OF

PERSON FOR THE JOB

A job analysis refers to the formal study of jobs to define specific roles or activities to be performed in sales promotions.

The three steps in the job analysis are to:

1. Examine the total sales force and each job, and determine how each job relates to other jobs.

2. Select the jobs to be analyzed.

3. Collect the necessary information through observation of what people actually do in the jobs, interviews of people in the jobs, and questionnaires completed by job holders.


JOB DESCRIPTIONS AND

SPECIFICATIONS FOR

SUCCESSFUL PEOPLE

Job specifications convert job descriptions into the qualifications.


TABLE 8.1 FORMAL JOB DESCRIPTION, TRANSTEX AUTOMOTIVE SUPPLY CORPORATION

Position: Sales Representive Reports to: District Manager

Organizational Unit: replacement Parts Date: ( When Job Was Described)

NATURE OF JOB

Responsible for developing new accounts and reaching profitable sales goals in assigned territory.

PRINCIPAL RESPONSIBLITIES

Meeting total sales goals for product lines and individual products.

Maintaining an average of six daily sales calls.

Maintaining an average of one monthly product presentation to wholesalers.

DIMENSIONS

Develop strong promotional support from retail and wholesale customers.

Plan effective territorial coverage resulting in high sales/call ratio.

Inform management of activities by submitting daily and weekly call and sales reports to district manager.

SUPERVISION RECEIVED

General and specific tasks are assigned for each sales period. Every two months work with supervisor for a

minimum of one day.

SUPERVISION EXERCISED

None


WHAT ARE JOB SPECIFICATIONS FOR

SUCCESFUL SALESPEOPLE?

• Intelligence

• Education

• Personality

• Experience

• Appearance


TABLE 8.2 SELECTED CHARACTERISTICS OF SUCCESSFUL SALESPEOPLE

1. High energy level 8. Good physical appearance

2. High self-confidence 9. Likable

3. Need for material things 10. Self-disciplined

4. Hardworking 11. Intelligent

5. Requires little supervision 12. Achievement oriented

6. High perseverance 13. Good communication skills

7. Competitive


PROFILING THE SUCCESSFUL

CANDIDATE

• Intelligence

• Prospecting ability

• Ability to create a follow-up system

• Ability to influence people’s decisions and opinions

• Ability to cultivate long-term client relationships

• Ability to negotiate contracts and prices

Success in a company may include the following:


PROFILING THE SUCCESSFUL

CANDIDATE continued

• Ability to determine prospects’/customers’ needs (hot buttons).

• Computer skills.

• Selling ability.

• Conceptual ability.


RECRUITMENT’S PURPOSE

Recruitment is the set of activities and processes used to legally obtain a sufficient number of individuals in such a manner that the recruits’ and the sales force’s best interests are taken into consideration.


FIGURE 8.4 MAJOR INFLUENCES AND COMPONENTS OF SALES RECRUITMENT

Sales H u m an R eso urce P lann ing

R ecru itm ent

I nternal Sou rces

E x ternal Sou rces

A p p lican t P oo l

Q u alifi ed A p p lican t P oo l

E valuate R ecruitm en t R esults

Selection


Equal Employment Opportunity Commission (EEOC) is the principal governmental agency responsible for monitoring discriminatory practices.

LEGAL INFLUENCES


TABLE 8.4 ANTIDISCRIMINATION LAWS AND ORDERS, UNITED STATES OF AMERICA


TABLE 8.4 ANTIDISCRIMINATION LAWS AND ORDERS, UNITED STATES OF AMERICA continued


TABLE 8.5 INTERVIEWING CAN AND CANNOT DO’S


To be an effective recruiter, a sales manager must have the answer to several questions, including:

• How many people do I need to recruit?

• Who does the recruiting?

• Where do I find recruits?

• How can I develop a qualified pool of applicants?

• How can recruiting programs be evaluated?

RECRUITMENT OF

SALESPEOPLE


2

3

30

120

R ecru itm ent P yram id R atio D ays

R eport to W ork

O ffer/ H ires

Interv iew / O ff er

L ead s/ In terv iew

2:2

3:2

10:1

4:1

21

14

21

30

FIGURE 8.5 RATIO AND DAYS FROM SALES JOB ANNOUNCEMENT TO REPORTING TO WORK


• Current Employees.

• Promotions.

• Transfers.

SOURCES OF RECRUITS –

WHERE ARE THEY FOUND?

INTERNAL SOURCES

Internal recruitment sources come from inside the company:


EXTERNAL SOURCES

• Walk-ins. • The Internet.

• Employment agencies. • Internships.

• Radio and television. • Colleges and universities.

• Newspaper advertisements. • Competitors.

• Telephone-in advertisements.


REALISTIC JOB PREVIEWS HELP BOTH COMPANY AND RECRUITS

A “realistic job preview” means that a person is given pertinent information about the job without distortion or exaggeration.


• Newly hired salespeople have a higher rate of job survival than those

hired using traditional previews.

• Salespeople hired indicate higher satisfaction.

• Managers can set the job expectations of new salespeople at realistic

levels.

• Realistic previews do not reduce the flow of highly capable applicants.

Companies can expect these results from realistic previews:


THE QUALIFIED

APPLICANT POOL

The organization should find out:

• How candidates obtain information regarding job availability.

• What attracts people to the job.

• What the likes and dislikes are about the job.

• Why the person took the job.


THE BOTTOM LINE

Sales human resource management (SHRM) is comprised of two elements: people planning and employment planning.

Developing a successful sales team requires the planning of personnel needs and analyzing the sales jobs to achieve more efficient use of human resources.

Job analysis is the definition of specific roles or activities to be performed.

The goal of managing sales human resources is to hire above-average performers.

In order to hire the right person for the job, there must be a recruitment strategy.

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Chapter 08 Staffing and Sales Teams.ppt

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