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CASE STUDIES IN SALES MANAGEMENT |
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FOR
MARKETING its products to relevant segments of consumers, an
organization has to communicate with these consumers. The channel of
communication may be impersonal (e.g., advertisements) or personal
(e.g. Salesmen). To handle personal communications with consumers,
most organization employ a sales force. The primary responsibility
of the sales force is to promote the organization's products, but it
may also be used to distribute the product, service the product and
gather market intelligence. Sales management is concerned with the
planning, direction and control of sales force's activities.
Sales
management is an important activity in the Indian marketing system
where commercial firms as well as non-commercial organizations employ
substantial field forces to promote and distribute products (or
services); to service and assist prospects, clients, and middlemen;
to report on consumer preferences and competitive activity, etc.
With the increasing economic and social pressure to enter rural
markets, The importance of sales management is increasing; it is not
possible for manufacturers to rely entirely on the trade for
developing the rural markets. The increasing diversity of our
industrial structure is also creating a need for more sophisticated
methods of sales management. Special selling skills are required in
high technology industries, chemical intermediate industries,
decentralized sector and small-scale units, social programmes, etc.
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DUTIES OF THE SALES MANAGER |
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The
sales manager holds a unique position in the sales organisation. He
plans, organises, directs, staffs and coordinates the whole of the
sales organisation. There
are several connotations of the sales manager like sales executive,
sales director, marketing manager, marketing executive, etc. He is
the person who steers the wheels of sales organisation. His status
and power depends on the size of the organisation in his charge. In
small firms the general manager or managing director performs the
duties of the sales manager. But in big manufacturing firms there
usually a sales manger. Here the sales manager. Here the sales
manager is appointed by the top management and he is responsible to
them. In giant sized companies for some territories and/or products
sales managers are appointed. Whatever the position of the sales
manager, he is the guiding and driving force of the sales
organisation.
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FUNDAMENTALS OF SUCCESSFUL SELLING |
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In
every game or competitive sport there are certain principles which
have to be learnt and practiced. For example, a professional boxer
has to spend a number of hours each day on exercises, like skipping,
running, punchbag-practice, etc. to maintain his health and improve
his skill. Even after a professional boxer attains the championship
standard, he still has to go through his training programme regularly
as before and is assisted by his coach during and after every
practice about so that errors not be repeated. There is an
analogy between competitive sports and salesmanship. As in
competitive sports so in salesmanship there are certain principles
which have to be mastered. Some fundamentals in selling
must be
learnt and mastered for best results. The new and inexperienced
salesman, like the boxer, must first study and learn what the
fundamentals are and try to put them in practice. An intelligent
salesman combines the study and actual practice of these fundamentals
by intelligent analysis and improvement of defects. In course of
time, the use of the important fundamentals becomes a habit for the
salesman.
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INTRODUCTION |
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Organisation, quite simply
defined, is the process of assigning responsibilities and activities
to the various members of the work group in accordance with the plans
designed to achieve the objectives established. Its aim is to
produce the mos efficient and effective effort on the part of both
the individual group members and the group as a whole toward the
common goals. In the planning process, objectives have been
established, resources have been allocated, and an action program for
achieving these objectives with the resources available has been
developed. The organisation process begins when we start to
translate action programmes into specific responsibilities assigned
to individuals.
Since, in the planning
process, objectives have been established, the action to be taken
broadly defined, and price tags and timetables attached to those
actions, organization in its simplest from consists in assigning the
objectives, actions, price tags, and timetables to the appropriate
individuals and securing their understanding and acceptance.
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METHODS OF ACQUIRING PRODUCT KNOWLEDGE |
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The
average salesman in a retail organisation is required to handle a
very large number of articles and it is very difficult for him to
know the exact details of the materials used in the manufacture as
well s regarding the method of manufacture of each article.
Therefore, manufacturers today assist the retail salesmen in many
ways with a view to acquiring the desired knowledge about their
manufacture. Some manufacturers have now introduced the novel idea
of printing a brief selling description on the package with a few
selling points so that even the least experienced salesman can say
something definite to his customer by glancing at the package. Other
manufacturer print on the back of counter display cards a few useful
selling points so that the salesman may glance at these points and
thus use them as selling points in his sales talk. Salesmen can a
also be induced to acquire greater knowledge about their goods by
means of contests, e.g. By pitting one division of a department
against another. A salesman should take advantage of all the
facilities he may be permitted in this regard.
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QUASAR CORPORATION (A) |
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Evolving a System for Salesmen's Remuneration
IN FEBRUARY 1971 the
Divisional Manager of the Consumer Durables (C.D.) Division of
Quasar Corporation was pondering over many issues that had gained
considerable importance of late. Some of these issues related to
certain types of conflicts that were coming to the fore amongst the
divisional salesmen, the expanding network of dealers and anew
category of supervisory staff (called Sales Organisers) ; also
involved was the aspect of salesmen's remuneration.
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SALES FORECASTING |
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In the
field of production and manufacture and manufacturing organisations
the most burning problem of today is not the problem of the
production but that of sale. It
attaches much importance for an enterprise to forecast the sales so
that the production is neither more nor less to that of demand made
by customers. Sales forecasting has assumed dynamic importance
mainly in the industries where the problem of large scale production,
and mass distribution have to be encountered. To know what a
business will do, we must know its future sales, which means that we
must have forecast, without them, both short and long range planning
rests on foundation much less substantial than sand.
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SELECTION OF SALESMEN |
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Selection
involves three basic aspects, namely, consideration of-
(1) the
number of salesman required (2) the qualities required in the
salesman (3)
the selection procedure to be adopted
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TRAINING OF SALESMEN |
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The old
belief, that still persists in certain quarters, is that the ability
to get along with people and physical personality are all important,
and that the selling ability is something intangible which a person
may or may not have. Fortunately, progresive sales executives
realise that, provided basic characteristics are present, salesmen
are not born but made. This has resulted in the application of
scientific management techniques in developing salesmen, the emphasis
being placed on (1) adequate selection procedures, (2) appropriate
training and (3) sufficient supervision. Selection is important even
from the training aspect as it would be a waste of good money to
train bad material. The training aspect is thus connected with
recruiting and selecting salesmen.
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| Instruments of sales manager's organization |
| The nature of the plans made will determine the nature of the organization task required. In most companies, much of the sales manager's organization task is obviated through such instruments as these Read Full Article Instruments of sales manager's organization |
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| Areas of sales management organization |
| Since the types of field sales activity to be organized will very according to the specific details of the sales programme, it is difficult to generalize upon this aspect of the field sales manager's organization function. Read Full Article Areas of sales management organization |
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| Organizing the budgets of Areas of sales management organization |
| The organization of budgets consists in assigning specific elements of the over-all expense budget to those individuals who will be expected to operate within the limits thus imposed and who can exercise control over the expenditures involved. Read Full Article Organizing the budgets of Areas of sales management organization |
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