Recruiting Salespeople

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    Recruiting Salespeople

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    Sales Management

    Planning

    PersonalSales RepsSales

    Managers

    Recruiting

    Training

    Motivating

    Supervising

    Managing a sales force involves recruiting, hiring, training, supervising,

    compensating salespeople, motivating them to become problem solvers, and

    providing the proper planning and backup support so they can perform their jobsproperly.

    1) Recruiting

    2) Selecting

    Overview

    Sales

    Environment

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    Objectives

    What is recruiting?

    How does the firm recruit salespeople?

    What is turnover?

    What are the issues relating to turnover?

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    Introduction

    Recruitment- is the set of activities and processes used to legally obtain a

    sufficient number of individuals in such a manner that the recruits and the

    sales forces best interests are taken into consideration

    Turnover- someone leaving their present job. Promotions, transfers, and

    leaving the firm are examples of turnover.

    (Source: Futrell)

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    Recruitment

    Centralized vs. Decentralized Recruiting

    Legal Restrictions

    Job Analysis and Job Description

    Job Qualifications

    Sources of Salespeople

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    Centralized vs. Decentralized Recruiting

    Centralized

    1) Highly technical positions

    2) Positions requiring extensivecentralized training

    3) When the sales positions isconsidered the first stepping-stoneinto top management

    Initial promotion, contacting, andscreening often are implemented bya personnel department

    If they pass this initial stage, theywill often be interviewed by salesmanagement in the next stage

    Decentralized

    Usually implemented by either thesales manager or a person assigned tothis function within the local office

    (Source: Hite and Johnston)

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    Job Analysis

    Job Analysis- a systematic way to describe how a job is to be performed, as well asthe tasks that make up the job

    (Source: Dalrymple et al)

    A proper job analysis consists of the following steps:

    Analyze the competition and social environment within which the salespersonis to work

    Determine the duties that the salesperson to is expected perform

    Determine how the salespeople define their duties

    Spend at least one complete sales cycles with several salespeople, observingwhat they do and why, what they should be doing and why, and what theyshould not be doing and why

    Based on the information collected, reconcile and write a preliminary jobdescription

    Review this preliminary job description with those who can relate to it(Source: Hite and Johnston)

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    Job Description

    Job Description- is a written document that spells out the job relationships

    and requirements that characterize each sales position(Source: Dalrymple et al)

    Five basic sections of a job description:

    Planning

    Selling

    Servicing

    Communicating Miscellaneous

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    Job Description

    Planning- encompasses all preparatory work that is necessary before the actual salescall is made

    Who the established customers are

    Where they can be called on

    How often they should be called on

    What the specific objectives are for each call

    Selling- this section outline the responsibilities of the salesperson in connectionwith the actual sales call

    Number of sales calls

    How to answer question and objections

    How to stress the benefits How to write the order

    How to turn orders in

    Possibly how to check stock and set up displays(Source: Hite and Johnston)

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    Job Description

    Servicing

    How to install the product

    How to handle complaints, adjustments, returns, and special orders

    How to offer credit terms

    Communicating- the responsibilities involved in passing on information, requests,complaints, and orders from the customer to the company; and in turn, passing on

    the companys policies, terms, and new product information to customers

    Miscellaneous- include responsibilities not listed anywhere else

    Training new salespeople Meeting

    (Source: Hite and Johnston)

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    Job Qualifications

    Job Qualifications- refers to the aptitudes, skills, knowledge, and personality traits necessaryto perform the job successfully

    A statement of job qualifications could include:

    Education

    Previous work experience

    Technical expertise Aptitudes

    Interests

    Typically many companies look for people with:

    Drive

    Interpersonal skills Common sense

    Intelligence

    Experience in selling(Source: Dalrymple et al)

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    Sources of Salespeople

    Other departments within the company

    Recommendations from present salespeople or other company employees

    Recommendations from centers of influence

    Education institutions

    Other companies with the industry

    Professional associations

    Discharge centers for the armed forces

    Classified advertisements

    Employment agencies

    Unsolicited applicants(Source: Hite and Johnston)

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    Turnover

    What is turnover?

    Consequences of turnover

    Factors contributing to turnover

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    What is turnover?

    Turnover rate = (Separations per year/ Average size of the sales force)

    Example:

    15 separations this year

    150 employees in the sales force

    What is the turnover rate?

    15/150= 10%

    (Source: Dalrymple et al)

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    Consequences of turnover

    Higher costs

    Separation costs

    Replacement costs

    Training costs

    Differences in compensation levels (could be higher, the same, or lower) Differences in skills (could be higher, the same, or lower)

    Vacant territory costs

    Reduced amount of sales

    Lower profits(Source: Hite and Johnston)

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    Factors contributing to turnover

    Size of the sales force

    Higher advancement opportunities

    Low compensation

    Role ambiguity

    Role conflict (Source: Hite and Johnston)

    Emotional Exhaustion (Burnout)

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