1. SALES MANAGEMENT

2. Welcome to
the world of sales

3. Reference book
Sales Management by
Edward W Cundiff,
Richard R Still,
Norman A.P Govoni

4. Sales Management as a career
Advantages
Fast growth opportunities
Measurable performance
Opportunity to Build wide network/ relationship
Helps Build emotional intelligence
Opportunity to gain Industry knowledge
Inter Personal Skills
Can be the of the company
More scope to enrich in all job functions
Generally turn to be good in HR
Personality becomes aggressive

6. Sales Management as a career
Perils
Non performance easily identified
Some tend to remain just good salesmen
First to take the brunt of Non Performance

8. The Modern Sales Personnel
Is good at:
Planning
Building and Maintaining effective Organization
Control and Monitoring
Implementation
Achieving end Result

10. Responsibilities in Sales Management
Achieve Targeted Sales
Contribute to Profit
Maintain Growth

11. Manufacturing had Higher
Evolution of Sales function (Pre-Industrial Era)
Demand > Supply
Buyer Seek Sellers
Manufacturing had Higher
Importance
No Mass Production

12. Mass Production Commenced Specialized Departments for
Evolution of Sales function (Post-Industrial Era)
Mass Production Commenced
New Markets to be found
Specialized Departments for
Personal Selling
Competition Forced it
further

13. How marketing Function got Split?
Sales
Advertising
Market
Research
Promotion
Credit/
Collection
Export
Traffic /
Shipping
Merchandis
sing

14. Activities in Sales Management
Planning
Control of Personal Selling
Recruitment
Training
Equipping
Assigning
Motivating
Routing
Supervising
The Above activities are related to Personal Sales Force
Sales and Marketing Dept work together
Sales is both and Operational and Executive function

15. Sales Management and Financial Results
Sales - Cost of Sales = GROSS PROFIT
Gross Margin - Expenses = NET PROFIT
Hence Sales has a Direct Influence on the Profitability
Any impact on Sales speaks on the Profit Directly

16. Sales, Expenses and Profit relationship
Situation
Growth in Sales with Higher Growth Expenses
Solution
Maintain Sales growth but shrink Expenses
No result- shrink both Sales and Expenses
Catch
At times Sales Organization get blind to expenses in
sight of Sales Volume

17. Sales Manager as a
Co-ordinator

19. Organizing & Co-ordination function
What do they co-ordinate ?
Co-ordinate different order getting methods
Cross objectives of different channels
Co ordinate with other Marketing activities
Co ordinate personal Selling with Advertising and
Sales Promotion
Sales to capitalize on Advertising
How do they co ordinate ?
Co ordination by participate method
Advertising and Sales promotion an arial support.
What done best by Personal Selling and Advertising is
decided

20. Co ordination with Distribution Network
(In case of dealer network Management)
Create middlemen (dealers)
Persuade them to stock
Create market pull for them to stock
Co ordinate between company and dealer for
Promotional work
Establish dealer identity among end users
Protect the interest of the company and the dealer
Share promotional Cost and Risk with dealer
Ajay & Co.
Rahul & Co
Sanjay & Co.
Vijay & Co.

21. Sales Management
&
control

22. ? Analysis of the Situation What is the present performance level?
How did we achieve the present level?
Where are the trends for future?
How do we get to the target?

23. “Control measures should work at clockwise precision”

24. Setting Performance Standards
Fix upper and Lower limits of performance
Analyze factors like
Area
Market Potential
Salesmen skills
Assignment base
Past performance
Future objective
Cost of Sales
while fixing range of performance

25. Gathering information on Actual Performance
Identify the relevant information needed
Avoid duplication
Establish periodicity and time schedule for information
gathering
System for action plan based on information.

27. Evaluating Performance
Compare results with Target / Standard
Question analyze more than standard variation
Consider influences out of control

28. Action to correct Controllable Variations
Provide Directions on more effective way
Guide/ Train
Install Procedures & Practices to control

29. Adjust the Un-controllable factors
Rework on Standard if un-realistic
Re look at the policies and procedures
Identify lacunae in Planning

31. Sales Control Styles

32. “Yes, expectations are high”

33. Informal Control More effective in smaller organizations
Should have a feel for the pulse of business
Able to quickly put you finger on the problem
Be close touch with market

34. This is what you think of a company with no follow up

35. Formal control For larger organizations
Have written practices and sales policies
Build authority for changing
With exceptions makes changes

36. Policy formation and review- Informal control
Study all influencing factors prior to policy formation
Consider Intangible factors as well
Review periodically
Amend based on:
Market response
Uncontrollable environment changes.
Acquire more information
In case of new product changes are more likely to
happen due to unknown factors

37. Formal control on sales volume
Fix sales volume target based on market forecast
Monitor periodically
Review based on:
Industry sales trends
Activities of Competitors
Market share percentages
Govt Policies

38. “don’t you need for control and systems”

39. Budgetary Control Control of Sales, Expenses, Margins and hence profit
Individual profit and loss statement can be made for
Territories
Products
Marketing Channels
Class of Customers
Install review system and control Sales , Expenses
Take timely corrective action
Take decision of elimination with over all Marketing
objective in mind

40. Pre requisite for success of Sales Management Control
A de-centralized decision making
Senior Management pitches in when situation not
manageable
Time is the factor
Train and empower hierarchy down the line for
decision making