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IIMT COLLEGE OF MANAGEMENT GRETAER NOIDA

TOPIC-ORGANIZING SALESFORCE

PRESENTED BY MITHLESH KUMAR SINGH MBA- 4th SEM


SDM-Ch.5 1

Concepts of Sales Organization


A sales manager efficiently The basic are:

organization assists the sales to carry out needed tasks and effectively to achieve results concepts of the sales organization

Degree of centralization Degree of specialization Line or staff positions

SDM-Ch.5

Basic Types of Sales Organizations


Sales organizations are generally classified into four basic types:
Line Organization Line and staff organization Functional organization Horizontal organization

SDM-Ch.5

Line Organization
Head Marketing Sales Manager Area Sales Manager3 Area Sales Manager4

Area Sales Manager1

Area Sales Manager2

salespeople salespeople salespeople salespeople

Characteristics: All managers have line authority to direct and control subordinates. Used in small firms / departments Advantages: Simple organisation, clear authority, quick decisions, low cost Disadvantages: No support to line managers from subordinates who have specialised knowledge / skills. Less time for planning / analysis
SDM-Ch.5 4

Line and Staff Organization

Head-Marketing

Marketing Research Manager

Sales Manager

Promotional Manager

Customer Service Manager

Area Sales Manager-1 Salespeople

Area Sales Manager-1 Salespeople

Area Sales Manager-1 Salespeople

Characteristics: Specialist staff managers are available for senior marketing / sales managers. Staff managers role is to assist / advise line managers. Used in medium and large size organisations Advantages: Better marketing decisions, superior sales performance Disadvantages: High cost and coordination, slower decision making, conflict may arise if staff managers role is not clear
SDM-Ch.5 5

Functional Organization
Head-Marketing

Marketing Research Manager

Sales Manager

Promotional Manager

Customer Service Manager

Area Sales Manager #4

Salespeople

Characteristics: Each functional specialist has line responsibility over salespeople. Used by a large firm with many products / market segments, minimising line authority to functional managers Advantages: Qualified specialists guide salesforce, simple to administer Disadvantage: confusion due to more managers giving orders to salesforce
SDM-Ch.5 6

Horizontal Organization
Research & Design Team: Customer Research Product / Service Design

Operations Team: Production / Operations Quality Assurance Systems Engineering

Planning Team: Strategic Planning Accounts, Finance HR, Administration Chief Operation Officer

Customer Support Team: Information Service Training

Customer Satisfaction Team: Sales & Marketing Pricing, Promotion Channels, Logistics

Characteristics: Removes management levels & departmental boundaries. Except planning team, all others are members of cross-functional teams. Used by firms having partnering relationships with customers. Advantages: Reduction in supervision, unnecessary tasks, & cost; Improved efficiency and customer responses.
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