1. 4 Sales Force Organization Chapter
Listen to the customer and act on what they tell you. Pat Nathan, Vice President Dell Computer Corp

2. Principles of Organization Design
Organizational structure should reflect a marketing orientation
Organization should be built around activities, not around people
Responsibility and authority should be related properly
Span of executive control should be reasonable
Organization should be stable but not flexible
Activities should be balanced and coordinated

3. Line-and-Staff Sales Organization
(Figure 4-2)
Chief Marketing Executive
Advertising Manager
Marketing Research Manager
General Sales Manager
Sales Promotion Manager
Sales Analysis Manager
Salespeople
Line authority
Staff advisory authority

4. Functional Sales Organization
(Figure 4-3)
Chief Marketing Executive
Advertising Manager
Marketing Research Manager
General Sales Manager
Credit Manager
Sales Promotion Manager
Salespeople
Line authority
Staff advisory authority

5. The Horizontal Corporation
(Figure 4-4)
Manufacturing Team Systems Engineering Production Quality Control
Product Design and Development Team Customer Research Customer Analysis Design Engineering
Strategic Planning Team VP Strategic Planning VP Finance & Information Chief Operating Officer Human Resources Administration
Customer Support Team Information Training Service Research
Customer Fulfillment Team Pricing and Promotion Sales Distribution

6. Geographical Sales Organization
(Figure 4-5)
Chief Marketing Executive
Advertising Manager
Marketing Research Manager
General Sales Manager
Sales Promotion Manager
Sales Analyst
Western Regional Sales Manager
Eastern Regional Sales Manager
4 District Sales Managers
4 District Sales Managers
Salespeople each with own territory
Salespeople each with own territory

7. Sales Organization with Product-Specialized Sales Force
(Figure 4-6)
Sales Organization with Product-Specialized Sales Force
Chief Marketing Executive
Advertising Manager
Marketing Research Manager
General Sales Manager
Sales Promotion Manager
Customer Relations Manager
Sales Manager Product A
Sales Manager Product B
Sales Manager Product C
Salespeople Product A
Salespeople Product B
Salespeople Product C

8. Sales Organization with Product-Managers as Staff Specialists
(Figure 4-7)
Sales Organization with Product-Managers as Staff Specialists
Chief Marketing Executive
Advertising Manager
Marketing Research Manager
General Sales Manager
Manager Product A
Manager Product B
Manager Product C
Assistant Sales Manager
Salespeople

9. Sales Organization Specialized by Type of Customer
(Figure 4-8)
Sales Organization Specialized by Type of Customer
Chief Marketing Executive
Advertising Manager
Marketing Research Manager
General Sales Manager
Sales Promotion Manager
Customer Relations Manager
Sales Manager Transportation Industry
Sales Manager Steel Industry
Sales Manager Petroleum Industry
Salespeople
Salespeople
Salespeople

10. Organizational Options for the 2000s
(Figure 4-9)
Strategic account management
Independent reps
E-commerce and telemarketing
Organizational Options for the 2000s
Team selling

11. The Relationship Between A Sales Team and a Buying Center
Organizational selling center
Marketing
Sales
Manufacturing
R&D
Engineering
Physical Distribution
Organizational buying center
Purchasing
Exchange Process
Purchasing Agent
Sales-person
Information
Problem Solving
Negotiation
Friendship, Trust
Product/Services Payment
Reciprocity

12. $ Cost Independent rep Captive rep $ Sales
(Figure 4-10)
Captive versus independent sales rep
$ Cost
Independent rep
Captive rep
$ Sales

13. Uses of Telemarketing Identify prospective customers
Screening, qualifying leads
Sales solicitation: small customers, re-orders
Order processing
Product service support
Account management
Customer relations
Competitive reporting
Expense reporting