Sales force management : Orgnising & Directing

Sales Force forecast model

Activities involved in Sales Force Management

Sales Force Planning, Recruiting & Selection

Training

Simulation of case studies

Eight Lecture

SALES FORCE PEOPLE-FORECAST MODEL

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

Responsibility for Recruitment & Selection

Line H.R. Consultant Employees

Managers Professionals

Major area of concern : Labour Turnover

Number of employees who leave in one year

Average number employed in past year

10-15% acceptable in modern large-scale companies

Above15% cause for concern

X 100 = %

Reasons for high turnover

• Low pay

• Long/unsocial working hours

• Absence of promotion prospects

• Bad recruitment/induction

• Bad management

Simulation Model for the selection of

Sales Executives

Core Competencies

1. People management capabilities

2. Communication and persuasiveness

3. Vision, change and accountability

4. Drive, motivation, planning and organising

5. Problem-solving and decision-making

6. Professional standards and values

7. Education, experience, business sense

We sell our skills and abilities!

We sell our skills and abilities!

Sales executives

Sales Executives

Sales Executives

Sales Executives

Activities involved in Sales Force Management

Recruitment & Selection

Recruitment & Selection (R & S) process

Planning, Recruitment & Selection

Step 1Planning

•R & S objectives

•R &S strategy

•Job analysis

•Job qualification/specification

•Job description

Step 2Recruitment

•Internal sources

•External sources

Step 3Selection:

1. Screen resumes

2. Receive application

3. Testing

4. Interviews

5. Assessment centers

6. Back ground investigation

7. Physical examination

8. Selection decision

9. Job offer

Planning Process : Five stages 1. Objectives: Type and size of sales force

Determine the present and future need in terms of number and type of sales force

Canalize resources into priority areas

Improve sales force effectiveness

Reduce the number of under and over qualified staff

Evaluate the effectiveness of recruiting sources and evaluation technique

Planning Process : Five stages 2. strategy

Decide on the scope and timing of recruitment

How will the job be portrayed in advertisement and media contents

When will the recruitment and selection done

Length of time to be given to the candidates to accept the offer

Type of training needs

Step 1 -Planning Process : Five stages3. Job analysis: Indicate what the sales man is supposed to do

Sales managers should have understanding of job profile of his sales force

Job profile is to be prepared in consultation with HR department

Job analysis should indicate what the sales force is supposed to do on the job

Investigation of tasks, duties & responsibilities

It may include existing accounts, new accounts, prospective, collection, demonstration, etc

Reporting relationship

Planning Process : Five stage 4. Job qualification: Basic qualification & Skills desired

Basic job qualification desired

Job qualification refers to aptitude, skills, knowledge, self motivation, personal traits and willingness to accept occupational conditions to perform the job

Sales experience

Inter personal and communication skills, managerial abilities, ability to work independently, etc

Planning Process : Six stages 5. Job description: Duties & responsibilities (cont)

1. Sales : regular calls get orders demonstration stock position estimate customer’ s potential needs explain company’s policy on price delivery and credits

2. Service install the product or display report product weaknesses, complaints handle special orders establish priorities

Planning Process : Six stages 5. Job description: Duties & responsibilities

3. Territory management: Arrange routs for best coverage Balance effort with customer against the potential volume Maintain samples, sales portfolio etc

4. Sales promotion Develop new prospects and accounts Train personnel of retail sales team, wholesalers, etc

5. Executive Make a daily work plan for next day Organize field activity for minimum travel and maximum calls Prepare regular reports on competition, new products, etc Investigate lost sales and reasons for loss Attend sales meetings Collect over due accounts

6. Good will Maintain loyalty and respect for company Counsel customers their problems

Step 2 : Recruitment Process: Locating prospective candidates

Internal sources: Locating prospective candidates through employee references Internal transfers

External sources: Advertisements On line Colleges/ institutes Placement agencies Un solicited application Tapping sales force from competing companies

Sourcing Internal Applicants

Advantages

Morale of ‘promotee’

Cheaper

Better knowledge of ability

Disadvantages

In-breeding

Political in-fighting

Sourcing External Applicants

Advantages

‘New blood’

Insights from competitors

Cheaper than training

Disadvantages

Orientation time

Morale of internals

May not fit-in

Step 3 : Selection process: Evaluation and Hiring

1. Screening job applications and resumes

2. Selection tests and second round of screening

3. Initial interviews and further screening

4. Assessment centers (GD, presentations, simulations, etc)

5. Intensive interviews and final short listing

6. Medical and background investigation

7. Selection decision & job offer

Training

Sales Training Programs: Objectives

1. Training is always a supplement to experience

2. To achieve improved job performance and productivity( higher sales/profits)

3. Prepare the sales force to handle new products, customers and equip with promotional techniques

4. Develop sales force for higher positions

5. Minimize sales force turn over rate

6. Create positive attitudes and improve sales force moral

Sales Training Programs: Objectives

7. Improve sales force socialization

8. Ensure ethical and legal responsibilities

9. Teach administrative procedures( expense accounts, call reports, etc)

10. Improve team work and cooperative efforts

Sales Training Topics• Company orientation

• Product, technology or service knowledge

• Market/Industry orientation

• Selling skills

• Internet training

• Time and territory management

• Ethical & cultural issues

Sales Training Programs: Five Major Decisions(A-C-M-E-E)

A-C-M-E-E

A: AIM (why) C: CONTENTS (what)

M: METHODS( how)

E: EXECUTION (who, when, where- trainer, timing, place)

E: EVALUATION (what is outcome/ results)

A: For Aim

1) Initial training needs and continuing training needs

2) Thorough job analysis (tasks, duties and responsibilities)

3) Conduct sales force audit (performance evaluation, work load, sales force problems, changes in training contents, morale, socialization etc )

4) Sales force survey( need for infusion of additional people or cut down the size, reporting procedure followed, etc)

5) Customer expectation

C: For contents

• Product Knowledge( consumer durables, industrial products, services, infra structure, etc)

• Sales techniques( how to sell)

• Markets( customers)

• Promotion

• Company information

M: For Methods

• Initial or break in training( induction training)

• Continuous, field or On the job training (OJT)• Lectures/ class room/ conference training

• Simulation( to improve his work habits/attitude towards his job, motivation of salesman to sell more and rewards/ incentives/ bonuses )

• Case discussion / group training method: hypothetical or actual sale model discussed role playing method by salesman( made to act out of a problem

situation) round table method( shirt sleeve method)-discuss ideas related to

particular subject Brain storming method Each one train one method( previously trained salesmen teach new

team)

E: For Execution

• Who will be the trainees

• Who will be the trainers( sales training staff, out side sales trainers)

• When will the training take place( timing for individual or group training)

• Where will the training take place( training center, main office, place of work, manuals, training aids etc)

E: For Evaluation

All training programs represent investment in TIME MONEY EFFORTS

Returns should commensurate with the investment; Performance against standards/ quotas/ targets Steady improvement in deployment of skills, personality traits, etc Periodic tests

Thank you