ORGANIZING THE SALES FORCE

The

Increasing Importance Of Sales Organization Decisions Purpose Of Sales Organization Horizontal Structure Of The Sales Force Organizing To Service National & Key Accounts Vertical Structure Of The Sales Organization Startup Of New Sales Force Some Additional Question

The Increasing Importance Of Sales Force 1. . Organizing activities and management of the sales force is a major part of strategic sales planning Performance problems arose  The importance of designing an appropriate organizational framework for the sales force as an integral part of firm’s sales program and examines issues involved in developing such a framework. 2.

Purpose of Sales Organization  Division and specialization of labor   Line organization Line and Staff organization   Stability and Continuity of organizational performance Co-ordination and integration .

Line and Staff sales organization .

Horizontal Structure of the Sales Force  Deciding on a company sales force or independent agents  Types of agents   Manufacturer’s representatives Selling agents  Deciding when outside agents are appropriate    Economic criteria Control and strategic criteria Transaction costs and its analysis      Geographic organization Product organization Organization by customer type or market Organization by selling function The role of telemarketing .

Cost comparison between a company sales force and independent agents .

Geographic Sales Organization .

Sales force organized by Product Type .

Sales force organized by Customer Type .

Organizing to Service National and Key Accounts  National or key accounts    Assigning key accounts to sales executives A separate key account division A separate sales force for major accounts Team selling Selling center  Team selling      Multi-level selling Co-marketing alliances Logistical alliances and computerized ordering .

Vertical Structure of the Sales Organization        Key questions How many levels of managers should there be? Span of control Selling responsibilities Sales – related functions The Impact of new technologies Staff support and outsourcing .

Startup Of A New Sales Force       Start with a strategy Appoint an expansion team Leverage existing strengths Go to the press Avoid compensation Provide support .

2. 3. How many sales people a firm should hire? How should these people be deployed? How should sales territories be defined? What quota. if any.Some Additional Questions 1. should be assigned to each sales territory? . 4.

Six C’s of finding a good sales representative .

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