Chapter 8 - Evaluating Supervising and Controlling Sales and Sales
Chapter 8 - Evaluating Supervising and Controlling Sales and Sales
Chapter 8 - Evaluating Supervising and Controlling Sales and Sales
Renuka Timilsena
Meaning of Sales Supervision
• Supervision means overseeing the salespeople
at work
• It includes initiating action and checking the
work while it is done
• Through this salespersons are directed and
motivated to work better
• A manager can supervise in two ways:
– Indirect supervisory methods
– Direct supervisory method
Need of Sales Supervision
• Observing, monitoring and reporting the
actual performance of salesperson
• Counseling and coaching of salesperson
• Comparing the actual with expected
performance to rectify
• Providing information regarding company’s
plans and policies
• Motivating salesperson
Meaning of Sales Evaluation
• It involves an analysis of the performance of
sales people
• Through sales evaluation, sales person learn
about their strengths and weaknesses
• It also helps in determining which sales person
performed well and which did not
Need of Sales Evaluation
• Appraise the performance of sales personnel
• Improve performance
• Identify strengths and weaknesses
• Basis for reward and compensation
• Affects key decision areas
• Main good communication
Meaning of Sales Control
• Controlling is checking and verifying an act to know
whether everything takes place in accordance with
the predetermined plan
• The sales control function assist the manager in
ascertaining:
– Which level of sales have been achieved,
– Why there have been a variance and
– What remedial action can be take to achieve the target
result
• The sales control at any organization includes sales
and cost analysis
Need of Sales Control
• To spot problems early
• To improve and correct drawbacks
• To ensure coordination
• To implement the sales planning in an
effective manner
• To control unnecessary expenses
• Motivating the sales force through better
controlling
Process of Sales Control
Establishment of sales performance standards
Objectives Policies
Organizati
Methods
ons
Market Audit
• It is a systematic, independent and in-depth
periodical review of a company’s marketing
activities and environment
• The purpose is to find out opportunities and
problems, and recommend an action plan to
improve company’s marketing functions
• Characteristics of marketing audit are
comprehensive, systematic, independent,
periodic
Continue…Six Major Components
Marketing
Marketing
Environment
Audit Strategy Audit
Marketing
Marketing
Organization
Audit System Audit
Sales Force Expense Analysis
• One of the tools of sales control
• Should be considered as an investment because the
purpose is to generate sales
• Sales expenses must be properly supervised, but they
must also be liberal enough to permit sales people to
do their jobs effectively
• Typical reimbursement of sales force expense: travel,
meals, lodging, entertainment of customers, telephone
• Sales expense plan must be fair to salespeople and the
company
Types of Sales Force Expense Plans
• The salesperson pays all expenses
• The company pays all expenses (Unlimited
payment plan)
• The company partially pays expenses (Limited
Payment Plan)
• Combination Plan (Expense-Quota Plan)