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Evaluation & Appraisal of Sales

Force

Janinne B ianes
Sales force and its importance:

Sales force- is a customer relationship management


(CRM)solution that brings companies and customers together.
Sales force is the number of sales person employed by
a company to:
promote its product
create customer
represent the company in the market
to generate profit for the company
to deal with customer query and so on...
Sales Force Performance

-work done by sales force.

-impact of sales force onto the company, on profit is the


result of sales force performance.
Performance Evaluation

is to measure the performance of sales


persons.
An important process which enhances the
way organization is managed & provides
recommendation for further improvements.
It is a critical function.
It constitutes comparing objectives with
results.
Provide feedback
Take steps to further improvement.
Dimension of Sales Force Performance Evaluation

behavioral results

dimensions
professional
profit
development
Behavior:

consists of criteria related to activities performed by individual salespeople.


sales calls
customer complaints
recquired reports submitted
training meetings
letters and calls
Professional Development:
assess improvements in certain characteristrics of salespeople that are
related to successful performance in the sales job.
characteristics include: attitude, product knowledge, initiative and
aggressiveness, communication skills, ethical behavior
Results:
salespeople measured objectively based on results such as- sales, market share, and
accounts
a sales quota represents a reasonable sales objective for a territory, district, region, or zone
some research shows that rewards for achieving results have a negative effect on
performance and satisfaction
Profitability:
salespeople have an impact on gross profits through the specific products they sell
and/ through the prices they negotiate for final sale.
salespeople affect net profits by the expenses they incur in generating sales.
criteria examples: Net profit dollars
Gross margin per sale
Return on investment
Number of orders secured
Selling expenses versus budget
Criteria for sales force evaluation:

Qualitative Methods are:


Personal observation by sales executives
Merit rating
Customer opinion of salesman

Quantitative methods are:


Analysis of sales record & reports
Comparison of salesman's with quota
Ratio analysis
Profit of loss statement
Monitoring & Feedback System:

Salesperson is evaluated by
multiple raters

It helps salepeople better


understand their ability to add
value to their organization and
their customers

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