Sales Force Management

Sales Force Management

1.

Define a sales strategy: SWOT (strength/weaknesses) interne /opportunities/threat) extern

4p/6p               Price/Product/Promotion/Place/People/Processes[pic 1]

PESTEL: Political/Economical/Social/Ecological/Environmental/Legal

2. Set strategy/Find objectives

Witch product you want to sale

3.

Implement

B 2 Channel : un distributeur achète et le dispatche entre les entreprises (carrefour)

 B2b/ B2c/ B2govt

• Face to face (vendeur/client)
• bricks+mortar= physical building ( tu vas directement dans le magasin acheté sans chercher de vendeur)
• E-commerce (computer)
• M-commerce (tablet/ mobiles)
• Telephone

Fast Moving Consumer Goods (FMCG) (ex: L’Oréal) (coca, soup)

Durable Consumer Goods (laptop, etc.)

Push and pull strategy: promotion in store[pic 2]

Voir schema 1 cour papier

[pic 3][pic 4][pic 5][pic 6][pic 7][pic 8][pic 9]

Direct sales- generalisation

[pic 10]

Indirect sales- generalisation

• 
  Many contraints to sales-force both internal and external[pic 11]
• Finance and budgetary: constraints exist for most organization choosing what to invest in and when can make a difference
• Depending on what you’re selling- complex/expensive product take an important investment in time and resources
• Where a product has little or low value serious consideration should be given to which “channel” is used for sales and distribution
• The roles and activities of competitors the way they structure there sales force
• Seeking out opportunities; where competitor are weaker or not present geographical
• The size of the organization: dictate the time available for management of the sales force
•  Legal and regulatory constraints

Many options for constructing a sales-force: some examples

(Voir schema 2 du cour)

There are also choices between the number of permanent and temporary employees

(Voir schema 3 du cour)

Territory management:

• The concepts of zones/sectors, this is particulary important for franchise type businesses
• The zones should be balanced in terms of opportunities for individual sales representatives.

Territory considerations and design

• Potential of the clients- in sales terms
• Client availability
• The general economic situation
• Transport infrastructure
• Type of sector- rural or urban
• Placement and reach of competitor

Sale-force activity planning- the calculations

(voir schema 4 du cour)          

Skills and competencies

• Competenciesare abilities or attributes, described in term of behavior, key to effective and highly effective performance within a particular job
• They are applicable across a range of jobs, unlike specialist or technical skills which may be job specific
• They provide a common language for describing performance and the abilities displayed by individuals
• They focus on “how” tasks are achieved, not “what” is achieved

 Job description:

• Title
• Company/department
• Responsabilities
• Skills (measurable)
• Competencies             

Roles and responsibilities: Understand what this means to the role and the rest of the organization

RACI:

Responsible: The person who carries out the process or task assignment. Responsible to get the job done

Accountable: Automatic responsible, only one person, delegate responsibility

Consulted: People who are not directly involved with carrying out the task, but who are consulted

Informed: Those who receive output from the process or task, or who have a need to stay informed

Recruitment and selection

[pic 12]

The options for creating the recruitment pool:

• Recruiting externally: Using an agency/expensive/risk to recruit the wrong person
• Recruiting internally: saves time/integration is easier/the team understand there are opportunities to progress in organization
• Publishing announcements: trade magazine/social network/radio/ TV
• Other methods: Permanent recruiting if turnover is high/ Spontaneous candidates

Remuneration (P.14 cour): Fixed salary/ Commission only/ Mixed regime (fixed plus bonus/fixed plus commission/fixed plus commission plus bonus)

A commission is an amount that is calculated on the basis of either the value of gross sales or the margin achieved. The percentage can vary depending upon the criteria chosen as part of the objective setting process.

Bonuses: payable against different criteria, agreed at objective setting. Guaranteed bonuses can include items like, end of the year, 13 th month etc. Collective bonuses, if these are contractually in place they can only be changed by contract. Individual bonuses can be declared where they are contractually required to be. Voluntary bonuses can be paid for one-off achievements, for example record overall profits for a financial year.

SMART objectives: Exactly describe what you want to achieve

Specific: It describes exactly what needs to be achieved

Measurable: Achievement or progress can be measured objectively

Achievable: They should be accepted by those responsible for delivering

Realistic: It is possible to attain the objective

Timed: The period for achievement is clearly stated

Trois colones dans les objectifs : un tableau comme ceci

The objectives for the sales organization are relatively short term in nature, usually 6-12 months

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