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SALES MANAGEMENT
FUNCTIONS
• A sale is the pinnacle activity involved in selling products or
services in return for money or other compensation. It is an
act of completion of a commercial activity. Sales is
everything that you do to close the sale and get a signed
agreement or contract.
DIFFERENCE B/W SALES & MARKETING
• Sales starts with seller & is preoccupied all the time with the needs of
the seller.
• Marketing starts with the buyer and focuses constantly on the needs
of the buyer.
Emphasizes on saleable surplus available with the company.
Emphasizes on identification of market opportunity.
Seeks to convert products in to cash.
Seeks to convert customer needs in to products.
Views business as – goods producing process.
Views business as – a customer satisfying process.
• Sales views the customer as the last link in the business. Marketing
views the customer as the very purpose of business.
BRIEF HISTORY
• The history of salesmanship is an old as human civilization –Paul Herman.
• Sales people were not held in high esteem by the society.
• Existed before industrial revolution started.
• The techniques of modern sales management and selling techniques were
refined by John Henry Patterson – Father of Modern Sales Management.
SALES MANAGEMENT DEFINED
• Sales management originally referred exclusively to the direction of sales
force personnel and lately the term transformed into broader aspect in
addition to the management of personnel selling.
• In general view Sales Management refers the management of overall
marketing activities such as advertising, sales promotion, marketing
research, physical distribution, pricing and product merchandising.
• According to American Marketing Association : Sales management refers
“The planning, direction and control of personnel selling, including
recruiting, selecting, equipping, assigning, routing, supervising, paying
and motivating as these tasks apply to the personal sales force”.
INTERNATIONAL SALES MANAGEMENT
• The multinationals and other companies with foreign production and
marketing operations look to sales management to implement sales
related marketing policies in each national market.
• International sales managers have to guide and coordinate the efforts
of the sales organization in countries where the company does
business.
FUNCTIONS OF SALES MANAGEMENT
1. Managerial Functions:
• Planning: This involves, forecasting demand, sales territory planning,
personal selling and promotional efforts.
• Organizing: This involves structure, resource allocation, responsibility
assignment and delegation of authority etc.
• Direction: This involves leadership motivation, communication and
promotional steps including personal selling
• Control: This involves delegation, quota fixing, performance evaluation,
incentives and budgets.
• Co-ordination: This involves liaison, integration of various elements,
internally, P.R. and good will by contact with customer / general public.
FUNCTIONS OF SALES MANAGEMENT CONT.
2. Staff Functions:
• This is related to staff functions of sales force such as the following:
Recruitment and selection. Deployment and evaluation of performance.
Training and development. Career development. Compensation and
incentives. Motivation and empowerment.
3. Advisory Functions:
• This is related to advisory functions of sales management: Product
attributes / quality aspects. Pricing policies. Promotional steps and
personal selling aspects. Distribution policies and channel selection
criteria. Advertisement policies such as media selection and target
audience. Transportation and warehousing aspects.
FUNCTIONS OF SALES MANAGEMENT CONT.
4. Liaison Functions:
Liaison with departments such as the following: Production department.
Finance department. Marketing department. R&D department. Distribution
network. After Sales Services department.
SALES GOALS & STRUCTURE
Managers Need Good Data on:
What Existing Clients Are Likely to Purchase
Where in the Territories They are Located
Sales Organizations Need Structure:
• How Many Levels of Management
• Span of Control
BUILDING A SALES PROGRAM
Hiring:
• Sources of Recruiting.
• Careful Screening.
• Training:
• Company’s Products/Services.
• Company Operating Procedures.
• Selling Skills.
• Assigning Territories:
• Optimize Effectiveness and Customer Service.
• Minimize Costs.
MANAGING THE SALES FORCE
Leadership
• Guide by Example
• Develop Rapport
• Motivation
• Incentive Programs
• Recognition
Compensation
• Money is a Prime Motivator for Sales People
• Mix of Salary, Bonuses, Commissions, Expenses and Benefits •
MANAGING THE SALES FORCE CONT.
Evaluation
• Sales Data
• Quantity Sold
• Mix of Products
• Costs
• Impact on Profits
MANAGING THE SALES FORCE CONT.
• Foster Continuous Improvement
• Do It Right The First Time
• Workers closest to the process usually have the best suggestions for
improvement - involve them
TOTAL QUALITY MANAGEMENT
• Job Skills
• Organizational Skills
• Leadership
• Time Allocations
• Selling
• Administration • Account Service/Coordination • Travel/Waiting • Internal
Meeting
MANAGING THE SALES FORCE CONT.
THE FIELD SALES MANAGER
• Administration
• Management of Sales Office
• Training
• Budgeting,
• Expense Control
• Compensation Plans

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SALES MANAGEMENT FUNCTIONS NEW.pptx

  • 2. • A sale is the pinnacle activity involved in selling products or services in return for money or other compensation. It is an act of completion of a commercial activity. Sales is everything that you do to close the sale and get a signed agreement or contract.
  • 3. DIFFERENCE B/W SALES & MARKETING • Sales starts with seller & is preoccupied all the time with the needs of the seller. • Marketing starts with the buyer and focuses constantly on the needs of the buyer. Emphasizes on saleable surplus available with the company. Emphasizes on identification of market opportunity. Seeks to convert products in to cash. Seeks to convert customer needs in to products. Views business as – goods producing process. Views business as – a customer satisfying process. • Sales views the customer as the last link in the business. Marketing views the customer as the very purpose of business.
  • 4. BRIEF HISTORY • The history of salesmanship is an old as human civilization –Paul Herman. • Sales people were not held in high esteem by the society. • Existed before industrial revolution started. • The techniques of modern sales management and selling techniques were refined by John Henry Patterson – Father of Modern Sales Management.
  • 5. SALES MANAGEMENT DEFINED • Sales management originally referred exclusively to the direction of sales force personnel and lately the term transformed into broader aspect in addition to the management of personnel selling. • In general view Sales Management refers the management of overall marketing activities such as advertising, sales promotion, marketing research, physical distribution, pricing and product merchandising. • According to American Marketing Association : Sales management refers “The planning, direction and control of personnel selling, including recruiting, selecting, equipping, assigning, routing, supervising, paying and motivating as these tasks apply to the personal sales force”.
  • 6. INTERNATIONAL SALES MANAGEMENT • The multinationals and other companies with foreign production and marketing operations look to sales management to implement sales related marketing policies in each national market. • International sales managers have to guide and coordinate the efforts of the sales organization in countries where the company does business.
  • 7. FUNCTIONS OF SALES MANAGEMENT 1. Managerial Functions: • Planning: This involves, forecasting demand, sales territory planning, personal selling and promotional efforts. • Organizing: This involves structure, resource allocation, responsibility assignment and delegation of authority etc. • Direction: This involves leadership motivation, communication and promotional steps including personal selling • Control: This involves delegation, quota fixing, performance evaluation, incentives and budgets. • Co-ordination: This involves liaison, integration of various elements, internally, P.R. and good will by contact with customer / general public.
  • 8. FUNCTIONS OF SALES MANAGEMENT CONT. 2. Staff Functions: • This is related to staff functions of sales force such as the following: Recruitment and selection. Deployment and evaluation of performance. Training and development. Career development. Compensation and incentives. Motivation and empowerment. 3. Advisory Functions: • This is related to advisory functions of sales management: Product attributes / quality aspects. Pricing policies. Promotional steps and personal selling aspects. Distribution policies and channel selection criteria. Advertisement policies such as media selection and target audience. Transportation and warehousing aspects.
  • 9. FUNCTIONS OF SALES MANAGEMENT CONT. 4. Liaison Functions: Liaison with departments such as the following: Production department. Finance department. Marketing department. R&D department. Distribution network. After Sales Services department.
  • 10. SALES GOALS & STRUCTURE Managers Need Good Data on: What Existing Clients Are Likely to Purchase Where in the Territories They are Located Sales Organizations Need Structure: • How Many Levels of Management • Span of Control
  • 11. BUILDING A SALES PROGRAM Hiring: • Sources of Recruiting. • Careful Screening. • Training: • Company’s Products/Services. • Company Operating Procedures. • Selling Skills. • Assigning Territories: • Optimize Effectiveness and Customer Service. • Minimize Costs.
  • 12. MANAGING THE SALES FORCE Leadership • Guide by Example • Develop Rapport • Motivation • Incentive Programs • Recognition Compensation • Money is a Prime Motivator for Sales People • Mix of Salary, Bonuses, Commissions, Expenses and Benefits •
  • 13. MANAGING THE SALES FORCE CONT. Evaluation • Sales Data • Quantity Sold • Mix of Products • Costs • Impact on Profits
  • 14. MANAGING THE SALES FORCE CONT. • Foster Continuous Improvement • Do It Right The First Time • Workers closest to the process usually have the best suggestions for improvement - involve them TOTAL QUALITY MANAGEMENT • Job Skills • Organizational Skills • Leadership • Time Allocations • Selling • Administration • Account Service/Coordination • Travel/Waiting • Internal Meeting
  • 15. MANAGING THE SALES FORCE CONT. THE FIELD SALES MANAGER • Administration • Management of Sales Office • Training • Budgeting, • Expense Control • Compensation Plans