ORGANIZING THE SALES FORCE

Subject: Sales Force Management By: Zohrab, Naveed, Ahsan MBO-02

ORGANIZATION

An organization is simply an arrangement of activities involving a group of people.

STRUTURE:
Division of activities into tasks and the related coordination

Structure

Sales Management Rules

Compensation
Performace Evaluation
Recruiting /Selection

Training Program

Tasks of Sales Organization

o

Maintenance of order in achieving sales force goals and objectives. Assignment of specific tasks and responsibilities. Integration and coordination with other elements of the firm.

Characteristics of Good Organization Structure

Market Oriented Build around activities not around people Right assignment of Jobs Reasonable span of Control Stable and flexible Balanced and coordinated activities

Developing a Sales Organization

Formal and Informal Organization

Horizontal and Vertical Organization
Centralized and Decentralized Organization

Line and Staff Marketing Organization Functional Organizations

Formal Organizations

Management created relationships between departments and between individuals.

Informal Organizations

Communication patterns formed from the social relationships existing with the formal organization.

Centralized sales Organizations

Organization in which responsibility and authority are concentrated at higher level of management

Decentralized sales Organizations

Organizations in which responsibility and authority are delegated to lower level of management.

Vertical Organization

Communication patterns formed from the social relationships existing within the formal organization

Horizontal Organization

Organization in which the number of management levels is small and the number of managers at any particular level is large

Vertical Organization
Chief sales executive Regional of zonal sales manager District sales manager Sales supervisor Sales person

Horizontal Organization
Chief sales executive

District A sales Manager

District C sales manager

District B sales manager

International sales manager

Line & Staff Organization

Vice President Marketing
Assistant

Marketing Research

Advertising

GENERAL SALES MANAGER

Distributor relations

Sales Planning

Sales analysis

Sales Training

Regional sales Manager A

Regional sales Manager B

Regional sales Manager C

Functional Organizations
President

Finance & Accounting

Production

Personnel

Sales & Marketing

Types of Sales Organizations Geographic specialization

Organization in which selling personnel are given the responsibility for direct selling activities in a given geographical.

General sales manager

Regional sales manager Regional sales manager

Regional sales manager

Regional sales manager

Regional sales manager

Regional sales manager

Regional sales manager

Regional sales manager

Regional sales manager

Regional sales manager

Regional sales manager

Regional sales manager

Customer specialization

Sales organizations in which selling personnel are organized by particular customers or industries

BY DISTRIBUTIONAL CHANNEL

By distributional Channel

Domestic Sales Manager

Export sales Manager

General Sales Manager

Sales Manager Industry A

Sales Manager Industry B

Sales Manager Industry C

By Type of Industry

General Sales Manager

Sales Manager Major Account

Sales Manager small Business

Sales Manager Institutional market

By General type of Customers

Product Specialization

Sales organizations in which selling personnel concentrate their efforts on particular product lines, brands, or individual items.
General Sales Manager

Sales Manager Product A

Sales Manager Product B

Sales Manager Product C

Sales Manager Product D

Functional Organizations
The Combination Organizations can be characterized by the following traits.

Market, Product and function Decentralized staff and line personnel Complex staff-line relationships Overlaid organizational mechanisms

Major trends in Sales Organizations

Telemarketing:
Use of telecommunications technology in personal selling.

Direct Marketing:
Marketing approach that bypass intermediaries to deliver goods and services directly from seller to buyer.

Inbound Marketing:
Telemarketing efforts in which potential customers contact the selling company.

Outbound telemarketing:
Telemarketing efforts in which selling company contact prospects and customers.

Thats all Thanks for Your Concentration