Sales Personnel Planning and Recruiting

Sales personnel planning means planning about the number of salespeople that will be required by a company for the effective sales. The management has to consider three steps for planning salespersons.
1)

Analyzing salespeople needs.

2)

Sales people available

Other factors.

3)

In analyzing sales people needed we have to consider about following steps

Careful planning, Avoiding hiring mistakes. Prediction. Five years forecast. Per-salesperson sale. Trend analysis.

 Carefully

planning in terms of hiring sale people as per company requirement.

Avoid

hiring mistakes: Company should hire appropriate number of sale people, neither lees nor more than requirement, as it will be a matter of expense for company.

 Any

prediction about sale force depends upon the long-range sales that a company wants to make in future. five years forecast about sales is a good base for sale force planning.

Usually

According

to experts the standard sales are expected to be 150 million in coming five years, 600 sales people will be required.

 Per

Salesperson Sale: similarly if we want to find persalesperson sale in150 million then it will be 250.000 at the end of five years. but units sold can varies from company to company

Trend

analysis in which the management considers about sales figure of last 5 years and the number of salespersons who achieved that sales target.

2)

Salespeople Available.

The sales planners must determine that how many salespeople will be available within the firm at the end of five years.
Predicting the number of salespeople available in future also needs some historical data.

Turnover rate means how many employees leave the job in one year. Promotion policy means how many salespersons a company promotes to managerial levels.

 If

the turnover rate is 5%, and a company required sales force is 500, then in case of 500 employees after 5 years company will be consisting of 475 employees.

Therefore

the management should decide the number of sales people keeping the turnover rate in mind.

3) Other Factors:

Other factors should also be considered in planning sales personnel.

These include overall economic conditions of the country, and the competitors.

Thank you!