CHAPTER 16
Planning, Stang, and Training Successful Salespeople
LECTURE OUTLINE
I. THE TREE OF BUSINESS LIFE: MANAGEMENT
sales managers.
B. Just as there is a Golden Rule of Sales, there is a Golden Rule of
II. TRANSITION FROM SALESPERSON TO SALES MANAGER
manager:
1. Perspectives change.
2. Goals change.
3. Responsibilities change.
B. The experience of being promoted.
Phase 1: Immobilization.
Phase 2: Minimization or denial of change.
Phase 3: Depression.
C. Problems experienced by new managers:
1. Lack of preparation for the job.
D. The keys to making a successful transition:
1. Have a learning attitude.
4. Make initial adjustments.
III. TECHNOLOGY IS NEEDED IN THE JOB – Computers have many
bene<ts:
A. Increased communication.
in>uencing the boss.
V. WHAT IS THE SALARY FOR MANAGEMENT?
A. The assumption is that the larger a company’s revenues, the
B. Salary is usually related to:
1. Annual sales volume of units managed.
2. Number of salespeople supervised.
C. Salary is just one part of compensation (e.g. vacation, pension,
VI. OVERVIEW OF THE JOB
A. The sales manager’s main goal is to achieve the level of sales
B. Sales managers are performance oriented. The look for ways to
VII. SALES MANAGEMENT FUNCTIONS
A. Planning.
B. StaDng.
VIII. SALES FORCE PLANNING.
A. Planning has two important functions:
1. Sales forecasting.
a. Used to predict a <rm’s future revenues when
b. Forecasts are made in terms of short, medium, and
2. The sales manager’s budget.
a. The amount of money available or assigned for a
c. Methods of developing sales force budgets.
(1)Arbitrary percentage of sales.
time period.
B. Organizing the sales force.
1. In deciding on the organizational design and structure of
a sales force, we:
a. Examine our customers in each market.
e. Set up the sales force organizational structure, which
2. Organizational design – the formal, coordinated process of
3. Organizational structure – the relatively <xed, formally
4. Organizational chart.
IX. STAFFING: HAVING THE RIGHT PEOPLE TO SELL
A. StaDng – activities undertaken to attract, hire, and maintain
B. People planning – how many and the type of people to hire.
1. Sales force size – depends on several factors such as
a. Breakdown approach – three steps for determining
sales force size:
Step 1: Forecast sales and determine sales potential.
Step 3: Determine number of sales territories.
2. Type of people.
a. Job analysis and descriptions.
(1)Job analysis – sales position in terms of speci<c
(2)Job descriptions – formal, written statements
b. Job speci<cations.
(1)Convert job descriptions into the people
(2)Job Speci<cations for successful salespeople:
(a)Education.
C. Employment planning.
a. Application.
b. Initial interview.
c. In-depth interview.
3. Legal framework for employment.
a. Equal Employment Opportunity Commission (EEOC) –
discrimination.
c. Education Amendments Act of 1972 – equal pay.
d. Civil Rights Act of 1964 amended by the Equal
able to do the job.
f. Discrimination is allowed if an employer can show
4. Diversity of the sales force.
including: age, disability status, military experience,
b. difference within each member of every group exist
5. The multicultural sales organization.
utilize and encourage it.
b. A multicultural organization fully integrates racial
and minority group members both formally and
6. Recruitment – <nding the right people.
a. Recruitment involves searching for, <nding, and
b. Applicants are attracted by the type of sales job, the
7. Selection – choose the best available!
a. Selection refers to the process of selecting the best
b. Steps to test whether a person is right for a company
and vise versa.
(1)Application.
(2)Personal interview.
D. A sales manager’s view of the recruit:
1. The search for a sales job begins with the applicant.
2. The key to obtaining the job is the applicant selling
himself.
3. The applicant should be aware of what recruiters look for.
X. TRAINING THE SALES FORCE
A. Sales training – the effort put forth by an employer to provide the
B. Training is designed to change or reinforce behavior to make
C. Purposes of training:
1. Primarily, to increase sales, productivity, and pro<ts.
resource, its salespeople.
D. Training methods:
1. Discussion – case studies and small or large discussion
2. Role playing – trainee acts through the sale of a product
following steps:
a. De<ne the sales problem.
b. Establish the situation.
3. On-the-job training.
a. New salespeople may accompany and observe on
b. Experienced salespeople get observed by the sales
E. Where does training take place?
1. Sales training is continuous.
3. Centralized training – for instruction of salespeople from
4. Decentralized training – conducted anywhere; it is the
training.
F. When does training occur?
1. For new sales personnel, the <rst day they report to work.
2. Training continues throughout the professional
3. Experienced salespeople are provided with periodic sales
G. Who is involved in training?
1. Corporate sta9 personnel – responsible for creation,
administration, and coordination of a <rm’s sales
experience to the training program.
3. Outside training specialists – for example, university
4. Combination of training sources – consultants,