Chapter Six

Salesforce Management

Course: Sales Management

Course Code: BAMK2203
Specialization: Marketing
Department of Business Studies
Personnel Management in the Selling Field
Sales force management is a kind of personnel
management function applied to a special field.
Whatever be the functional area of business,
personnel activities are involved.
Salesmen work in the field, they are not under the
direct supervision all the time. To make them work
for the organization and to motivate them is quite
challenging.
Some amount of self-control and direction is expected
in a selling job. Sales persons are also deprived of the
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family life.
Turnover of sales personnel

A company with 300 sales people witnesses 30 separations during the year.
It has a sales personnel turnover ratio of 10 per cent.
The turnover rate affects the cost of managing the sales force. Each
recruitment and selection process means a heavy expenditure in terms of
advertisements, campus interviews, executive time and so on.
For each selected person, there are several who are rejected. But even these
rejections cost us heavily. There are sometimes travelling costs. The
recruited and selected persons are then trained. Training itself is expensive.
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High rate of turnover is never good. It affects the bottom line. Newly recruited
persons also require more supervision and motivation. There may be lost
business due to their inexperience.
A very low turnover rate indicates the presence of many senior personnel who
may not have the capacity to work as much as a young man.
The turnover rate guides us about manpower planning of the sales force. A
turnover rate of 20 per cent means that the sales force is being replaced every
five years. The recruitment and selection process must be planned accordingly.

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JOB ANALYSIS
Is a process by which minute details of a job are accurately
collected. It includes the functions and conditions of the job as
well as personnel requirements of the job.

Some authors call it job study. Arun Monappa and Mirza

Sayadain consider job analysis as 'the process by which data in
regard to a job is systematically observed and noted. It provides
information about the nature of the job and the characteristics
or qualifications that are desirable in a job holder."

Job analysis thus leads to both the job description and job
specification. It indicates the difficulties involved in performing
the duties, the basic duties and responsibilities, the conditions of
work and the personal characteristics required to handle the job.
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SALES JOB ANALYSIS
Sales job analysis provides the nature of
the selling task, specific duties and
responsibilities.
It also considers sales and its interface
with other functions. This detailed study
makes the role of salesperson clear.
It indicates the selling style - whether
technical, new business, trade or
missionary.
The qualities required in a salesman may
include the general qualities, the specific
qualities and technical qualities. 6
SALES JOB DESCRIPTION
To present properly a lot of information gathered in the job
analysis in a manner that will help in the selection of employees is
job description.
The following information is given in the job description:
1. The title of the sales job.
2. Description of the selling job in brief.
3. The objectives of the job.
4. Functions of the selling job.
5. The reporting relations of this job to the other jobs. The selling
job description spells out to whom the job holder reports, who
report to him, what is expected of him, how he is to go about it
and how his performance will be measured.
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PROCESS OF JOB ANALYSIS AND JOB DESCRIPTION
The entire process can be put into the following steps:
1. To determine the objectives.
2. To decide what information is to be gathered.
3. To collect this information through questionnaires,
interviews, observation and other methods like
conferencing.
4. To analyze the collected information by tabulation,
reconciliation of different viewpoints and
classification.
5. To present the information by writing a job
description. This involves reporting relationships, job
objectives. duties and responsibilities and standards
performance set. 8
Job description is reviewed in
terms of objectives, reporting
relationships, and duties and
responsibilities whenever the
environment changes radically.

Alternatively, a check-list can be

prepared listing activities and
sub-activities of what is
commonly perceived to be a sales
person's job.

This check-list generates the

duties and responsibilities section
of the job description. 9
SALES JOB SPECIFICATIONS
The job description explains duties and responsibilities a sales person is expected to
perform.
That indicates what qualifications will enable him to do justice to the expected
duties and responsibilities. The qualifications constitute what is known as job
specification.
Job specifications also spell out personality characteristics necessary to perform the
job.
Such characteristics for a selling job may include the capacity to take initiative, the
ability to empathies with the prospects and trade, the maturity to handle the
situations, the integrity of character etc.

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Minimum requirements of
qualifications and age are
prescribed in the job specification.
These are tenable legally if it can be
proved that these are essential for
the performance of duties. The
academic inputs required in the
different selling jobs vary widely.
Job specifications are a good
screening device while recruiting.

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 Recruiting Sales Personnel
Putting the sales staff in the field is one key responsibility of the sales department.

Once we know what type of sales people we need, we undertake a detailed job
analysis, leading to job description and ultimately job specification which match the
job and the person.

After knowing how many persons need to be recruited considering the sales
objectives, sales personnel turnover and the market realities, we try to source these
persons.

Recruitment is thus a positive process while selection is a process of elimination.

Both recruitment and selection are important components of implementing the
sales strategy.
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Recruitment and selection is done at various levels in an organization.

Generally, sales representatives are selected in a decentralized manner.

The supervisor and the regional manager may do the recruitment and
selection. They are better aware of the local conditions.

Sales persons of the middle level and senior level are selected by the top
management.

Smaller companies can assign recruitment and selection to the personnel

department. But all medium and large-sized organisations do recruitment
and selection in the sales department on their own, in consultation with
the personnel department.

Personnel department at best helps them in preliminary screening. 13

The following are the sources from
which recruitment can be made:

1. Internal, from our own staff as

well as recommendations from the
existing salesmen or customers.

2. External, like (a) advertisements,

(b) employment agencies,

(c) educational institutions and

(d) from competitive companies. 14
RECRUITMENT SOURCES
Word of Mouth
The existing team of Sales Representatives is a
good source of leads to new recruits. Sales
Representatives have a wide social circle.
Both on the job and off the job; they interact with
people. They may suggest some good people as
they understand the requirements of the job.
Disadvantage: it may lead to nepotism where
people are recommended on the basis of personal
feelings towards friends/relatives. These should
be weeded out by the company through its
selection process. 15
Distributors of the company, other employees, suppliers of the company,
retired employees may also recommend few of their contacts for filling up
the positions.

Whenever an applicant suggested by a present Sales Representative is

rejected, the grounds of such rejection should be explained to him.

In remote territories, these recommendations are a great help. Sales

Representatives working nearby know more about territorial requirements
and local sources of personnel than distant executives

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Sales Representatives of Competing Companies

The ethics of hiring the competitor's sales persons can be

debated. They are trained on the job and off the job. They are
experienced.

The key question that figures is: what is the reason for them to
leave the present job? Perhaps, when both the jobs are on par
in terms of pay and prospects, the desire for a change may be
due to personality conflicts or instability.

However, job dissatisfaction does not mean that the applicant

is at fault.

There may be sound reasons for job hopping. The applicant

may be given an opportunity for productive work.
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Salesmen of Non-Competing Companies
Candidates working for non-competing companies are a very attractive
source for getting sales persons.
These sales people have already the selling experience, some of which is
readily transferable.
Those who have worked in allied/related industries like cosmetics, chemicals
and other consumer non-durables can easily adapt themselves to
pharmaceutical selling.
The fact that they have selling skills make their training an easy proposition.
The reasons for change-over must be considered, however, before
employing them. Their loyalty may not be as steadfast as that of internal
promotees. 18
Internal Transfers
Some employees working in other departments
may show an inclination for selling. They can be
trained to the detailing job.

They are familiar with the company's

environment, and need less induction.

Production and office employees may consider

transfer to a selling job as promotion.
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Campus Recruitment From Educational Institutes
Many companies find it easier to pick up the best talent straight
from colleges; and universities.
These candidates are suitable since they possess the necessary
technical knowledge.
These recruits are easily adaptable than their more experienced
counterparts. They can be molded into the organizational culture
of the organization, since they have no fixed mindset.
Their main limitation is lack of detailing experience. They need
training, and reach a desired productivity level after some time.
It is necessary for the industry to maintain a rapport with the
academic 'World to tap this source profitably.
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Placement Firms
There are many placement firms whose services the organizations hire to recruit
the sales persons.
recruit through this source when they start new divisions.
The fees charged for recruitment are normally between one or two months of
the sales person's gross emoluments. The fees are collected from the client
company.
All placement firms maintain a data bank which is constantly updated. The
placement firm chosen must understand the job requirements of a salesman.
The choice of the placement firm and our relationship with it go a long way in
paying rich dividends.
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Advertisements
Advertisements are both a source of recruits and a method of
communicating with them.
Newspapers, magazines and trade journals are extensively used media
for advertisements for ensuring nation-wide competition for several
openings, national newspapers and magazines to some extent are used.
For employing sales persons in a particular region or territory, local
newspapers may be used.
The main advantage of advertising sales persons positions is its capacity
to generate a large number of applications in a short time; and at a low
cost.
The major drawback is the screening involved to weed out unsuitable
applications; since the average quality of applicants may be
questionable. 22
TRAINING PROGRAMMES:
A variety of sales training programmes are developed. The first
is the programme of induction training for the fresh appointees.
Later, there are specialized short-term and long-term
programmes.

These can be arranged periodically, depending upon the

training needs. Some companies not only train their own sales
force, but also arrange training programmes for the
distributor's sales force.

Some programmes are designed to create selling faculty. There

is a great need for trainer's training. Each programme has
different aims, and the contents of the programme reflect these
aims.
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AIMS OF THE TRAINING

The objectives of training are to provide the following types of information to the
salesmen.

(i) Knowledge of the company

(ii) Knowledge of the company's products

(iii) Knowledge of the customers

(iv) Knowledge of the sales and other procedures

(v) Training in the art of selling or salesmanship

Training aims are derived ultimately by identifying the training needs. We come to know
about these needs through initial training programmes and further on-going training
programmes 24
CONTENTS OF THE TRAINING
PROGRAMME
PRODUCT KNOWLEDGE:
Any organization would expect the sales people to
become acquainted with the products it makes and
markets. Those organization which have technical
products put more emphasis on product knowledge. But
routine products require a passing acquaintance with the
product.
A sales person should be clear about a product, its
applications, its uses, its shortcoming and should know
how it helps the customers.
Good product knowledge puts self-confidence into a
salesman. 25
SALES TECHNIQUE
Sales persons must be trained in the sales techniques.
Presentable, educated person conversant with product line makes a successful
salesman.
Most of the experts feel that some training in sales techniques is essential.
A salesman must be taught how to sell.

MARKETS
A salesman must know the market like the lines on his palm. He should know who his
customers are, what motivates them to buy, what their needs are and what their
paying capacity is. He should know both the customers and their buying behaviour. If
these things are not covered in the training, the sales person takes a long time to
acquire this knowledge.
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COMPANY INFORMATION
A salesman must know what is the mission of a company, what its
marketing objectives are, and what are its sales-related marketing
policies.
A salesman must be conversant with the pricing policies to answer
the queries raised by the customers.
A salesman must also know the exchange policy, the after sales
policy, the credit policy, the maintenance policy and the customer
relations policy of his company.
A sales person must be aware of corporate history, the
contributions the company is making towards social causes, the
place of the company in the industry, and the relations it maintains
with its public. 27
TRAINING METHODS
On-the-job training
Demonstration and Examples
Off-the-Job Methods
Lectures
Conference Method
Seminar
Case Study
Role Playing
Programmed Instruction 28