Lecture Dalrymple''s sales management: Concepts and cases – Chapter 1: Introduction to selling and sales management

Chapter 1 - Introduction to selling and sales management. This chapter presents the following content: Positions of personal selling and sales management in the marketing mix, marketplace changes and selling consequences, contrasting transactional and solutions selling models, traditional buyer-seller interface versus a team interface,...

THE BIG PICTURE

Chapter 1:

Introduction to Selling and  Sales Management

Sales Management

“I don’t care how many degrees you  have on the wall, if you don’t know  how to sell, you’re probably going to 

starve ”

“I don’t care how many degrees you  have on the wall, if you don’t know  how to sell, you’re probably going to 

starve ”

Heavyweight boxer George Forman’s

advice to his children

L.A Times, pg C2, Tuesday, March 25, 1997

Figure 1-1:

Positions of Personal Selling and

Sales Management in the Marketing Mix

Planning Motivating Budgeting Compensating Recruiting and selecting Designing territories Training Evaluating performance

Marketing mix Products Prices Promotion Distribution

Advertising relations Public Personal selling promotion Sales Internet

Sales management

Fewer Suppliers Rising Expectations Increasing Power

Competition

Global Competition

Shorter Production Cycles

Blurred Boundaries

Customer Expectations of Salespeople

“Be personally accountable for our desired

results”

“Understand our business”

“Be on our side”

“Design the right applications”

“Be easily accessible”

“Solve our problems”

“Be creative in responding to our needs”

Figure 1-2:

Figure 1-4:

Contrasting Transactional and

Solutions Selling Models

Emphasis on Sales skills Respond to Customer needs Provide good products,

Price, and services

Differentiate through

Products Sales/revenue

Focus Traditional customer

relationships

Emphasis on general Management skills Engage customer as collaborative partner Selling customer solutions

Differentiate through People

Customer lifetime value Trusted business advisor

Figure 1-5:

Traditional Buyer-Seller Interface

versus A Team Interface

Sales Purchasing Sales Team Customer Team

TRADITIONAL BUYER-SELLER

INTERFACE

BUYER-SELLER INTERFACE TEAM

Coaching Competency

Team Building Competency

Figure 1-6:

A Model of Sales

Management Competencies

Strategic Action Competency

Management Competency

Self-Strategic Action Competency

Dimensions

Understanding the Industry:

the industry and their implications for the

future

of competitors and strategic partners

their buying needs

Strategic Action Competency

Dimensions

Understanding the Organization:

goals of the organization

the organization with respect to market

opportunities and limitations

resources to meet the needs of the

customers

Strategic Action Competency

Dimensions

Taking Strategic Actions:

with the firm’s mission and strategic goals

dominance strategies

sustain and further develop the organization

firm’s strategy implementation

Coaching Competency

Dimensions

Providing Verbal Feedback:

 Provides specific and continuous performance and selling skills feedback

 Builds a feeling of appreciation and recognition

by taking the time to acknowledge a job sell

done, and effort beyond the call of duty or an important victory

 Reinforces successes and nice-tries to support desirable behaviors

Coaching Competency

Dimensions

Role Modeling:

others, and sharing best practices

 Adds value through communicating relevant

selling experiences

 Helps salespeople to “look good” through way communications

two-Teambuilding Competency

Dimensions

Designing Teams:

 Implements an organizational architecture that

will support teams

 Creates a reward system that is fair within the

context of a team effort

 Coordinates team goals with the overall goals of the organization

 Coordinates team activities with the requirements

of functional areas within the organization

Teambuilding Competency

Dimensions

Creating a Supportive Environment:

environment

sales team together to form a functioning

supportive team

Teambuilding Competency

Dimensions

Managing Team Dynamics:

team members and using their strengths to accomplish tasks as a team

the team moving towards its goals

Self-Management Competency

Dimensions

Fostering Integrity and Ethical Conduct:

foundation for a sense of integrity and ethical conduct by the sales team

people what they want to hear

responsibility for own actions

Self-Management Competency

Dimensions

Managing and Balancing Personal Drive:

 Seeks responsibility, works hard and is willing to take risks

 Shows perseverance in the face of obstacles and bounces back from failure

 Ambitious and motivated to achieve objectives, but does not put personal ambition ahead of the

organization’s goals

 Understands that goals are achieved through the success and development of the salespeople

Self-Management Competency

Dimensions

 Has clear personal and career goals and knows

own values, feelings and areas of strengths and

weaknesses

 Analyzes and learns from work and life experiences

 Willing to continually unlearn and relearn as

changing situations call for new skills and

perspectives

Developing Self-Awareness and

Management Skills:

Global Perspective Competency

Dimensions

Cultural Knowledge and Sensitivity:

 Stays informed of political, social, and economic trends and events around the world

 Recognizes the impact of global events on the market and the organization

 Sensitivity to cultural cues and ability to adapt quickly in novel situations

 Travels regularly and has a basic business

vocabulary in languages relevant to the position

Global Perspective Competency

Dimensions

Adapting Global Selling Program:

 Adopts an appropriate sales force architecture for global accounts

 Appropriately adjusts sales force measurement,

competency creation and motivation systems to the local culture

 Appropriately adjusts own behavior when

interacting and managing people from various

national, ethnic and cultural backgrounds

Technology Competency

Dimensions

Understanding of New Technology:

increase sales force efficiency and

effectiveness

Technology Competency

Dimensions

Implementing Sales Force Automation:

benefits that are possible

procedures

selling technology

EXECUTIVE MANAGEMENT FUNCTION MANAGEMENT – GENERAL MANAGEMENT

DIRECTOR

ASSOCIATE DIRECTOR

MANAGER

Human Resources

Customer Business Development

Sector/

Multi-Sector Sales

Human Resources

Customer Business Development

Sector/

Multi-Sector Bus Devel

Sector Sales Merchandising

Geographic

or Team Account Exec

Other Field or General Office Roles

Operations Manager

ACCOUNT MANAGER

Geographic

or Team Account Exec

Other Field or General Office Roles

Operations Manager

• Advertising

• Product Supply

• Management System

• Human Resources

• Finance

• Other