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This course is a Marketing elective designed for students interested in learning more
about professional sales force management and personal selling by firms engaged in business-to-
business and consumer goods/services marketing. The course emphasizes a data-based, analytics
approach to decision-making for sales management.
Selling and sales management are critical marketing instruments for acquiring and
retaining customers in many industries, e.g., industrial products, financial and business services,
medical and health services products, etc. Personal selling is the most effective way, especially
in business markets, to learn about a customer’s needs, provide customized solutions,
demonstrate complex value propositions, handle objections, close sales and provide long-term
continuing service. In many industries, the average company’s sales force costs can be 10% to
40%, of its total sales revenues. In most advanced economies, spending on sales forces is more
than twice the expenditures on advertising. Further, sales productivity enhancements can have
profit improvements of 5%-10% through better sales effort allocation, appropriate sizing and
territory design.
However, considering that salespeople are human resources, questions of marketing are
intertwined with issues of managing agent motivation and behavior. This convergence of
marketing and human resource management issues are not faced in other marketing domains
such as advertising or promotion management. Indeed, considering all management areas and
levels, it is only the heads of companies who face a mix of decisions similar to those of sales
managers, albeit on a larger scale. Not surprisingly, more Fortune 500 company CEOs come
from sales backgrounds than from any other functional area. Therefore, an appreciation of the
complexities of sales management, which are only increasing over time, and a good
understanding of the extant knowledge of how to successfully deal with them is essential not
only for those MBA students pursuing a sales and marketing career but also for all those who
aspire to run or head any kind of business organization. This Sales Management course aims to
impart such knowledge.
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The objectives of the course are to:
(A) increase students' understanding of the importance and process of selling and sales
management;
(B) take an analytics approach and impart skills regarding the application of economic and
behavioral models and methods useful for raising sales force productivity;
(C) enhance students' ability to diagnose and address diverse problems and decisions
that arise in developing and implementing a firm's selling strategy.
COURSE DESCRIPTION
Course Materials
1. “Understanding What Your Sales Manager is Up Against,” by Trailer & Dickie (HBR
Reprint: R0607C)
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6. “Resource Allocation-UNILAB Case” by N. Syam and J. Hess
12. “Impact of the Internet on B2B Sales Force Size and Structure” (Mantrala and Albers
2010)
C. Recommended Textbooks:
The Complete Guide to Accelerating Sales Force Performance : How to Get More
Sales from Your Sales Force by Andris A. Zoltners, Prabhakant Sinha, and Greggor
A. Zoltners, Amacom, New York, 2001, ISBN: 0814406505.
Sales Force Design for Strategic Advantage by Andris A. Zoltners, Prabhakant Sinha,
and Sally E. Lorimer, Palgrave Macmillan, New York, 2004, ISBN: 1403903050.
The Complete Guide to Sales Force Incentive Compensation: How to Design And
Implement Plans That Work by Andris A. Zoltners, Prabhakant Sinha, and Sally E. Lorimer,
Amacom, New York, 2006, ISBN: 0814473245.
1 M 15 Jan 1445 - 1645 Introduction: Nature, Role R: “Waiting for a Sales Renaissance in the Fourth
and Importance of Selling Industrial Revolution: Machine Learning and
Artificial Intelligence in Sales Research and
Critical Sales Management Practice” by N. Syam and A. Sharma (Working
Challenges Paper, Univ of Missouri);
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2 Th 18 Jan 1445 - 1645 The Selling Process R: “Sewells Group: Building Sales Process
Excellence at Automotive Dealerships in India”
by Kumar and Shah (ISB064)
3 M 22 Jan 1445 - 1645 Sales Forecasting R: “Promo Eval and Forecasting-Puritan Bennett
Case” by N. Syam and J. Hess
4 W 24 Jan 1445 - 1645 Sales Force Sizing and R: “Resource Allocation-UNILAB Case” by N.
Resource Allocation Syam and J. Hess
5 M 29 Jan 1445 - 1645 Sales Territory Design R: “Designing Sales Territories-In Class
Illustration.docx” by N. Syam
6 M 5 Feb 1445 - 1645 Sales Force Motivation and R: Coughlan and Joseph (B2B Marketing
Compensation Plan Handbook, 2010); P & IS: Case- IMAGE
Design; Sales quotas, International
contests, team incentives
10 W 14 Feb 1445 - 1645 StepSmart Fitness case R: The Impact of the Internet on B2B Sales Force
discussion; Trends in B2B Size and Structure (Mantrala and Albers 2010):
Buiying & Sales
Oganizations; Wrap-up P & TS: Case- StepSmart Fitness
Thus, advance preparation and completion of every class and/or homework assignments
is required. The issues discussed in the course require both behavioral and quantitative
approaches and analyses. For example, some basic knowledge of marginal analysis principles
from microeconomics and some familiarity with applied statistics/regression analyses would be
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required at certain points in the course.
Assignments
To achieve the course objectives, your own consistent participation and contributions to
case discussions in class are essential. The quality of the discussions is, in large part, your
responsibility. Therefore, plan to attend all sessions of the class and be prepared for random
“cold calling” by the Instructor.
3. Individual written case (IMAGE International) analysis (worth 15 % of your final grade)
This individual case analysis write-up should provide succinct responses to the specific questions
identified for written work among the list of Case Preparation Questions. The write-up should
be in Question-Answer format. Each answer to each question should focus precisely on that
issue and should not be more than a few paragraphs long plus any supporting exhibits. The
write-up should be typed, single-spaced and in 12 point font; the total length of this written
submission should not exceed three single-spaced pages of text plus exhibits. There is no limit
placed on the number of exhibit pages but each should be relevant, an original product of your
own analysis of data provided in the case (not simply reproduced or excerpted from the case
handout or some other source) and properly referenced in the text – otherwise, they will not be
read nor receive any credit.
4. Team case StepSmart Fitness analysis report (worth 15% of your final grade)
This team case analysis written report should address the “Key Overall Question” listed among
the Case Preparation Questions and be in essay format. The essay should define the problem,
citing only the relevant facts or “symptoms” to support your definition; identify alternative
solutions to the problem with their pros and cons; state your recommended solution/s to the
problem with summary rationale; and provide a plan/details for implementing your
recommendations in the concerned organization. Your report should be typed, double-spaced (in
12 point font), and not exceed three single-spaced pages of text plus any supporting Exhibits.
There is no limit placed on the number of exhibit pages but each should be relevant, an original
product of your team’s own analysis of quantitative data provided in the case (not simply
reproduced or excerpted from the case handout or some other source) and properly referenced
in the text – otherwise, they will not be read nor receive any credit.
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5 “Analyzing the Sales Function” Team Project (worth 25% of your final grade) The
objective of this team assignment is to allow students to examine and present insights with
respect to an actual selling organization. You should work in the same team of which you were
a member for the Team Case Analysis Report. [Please see guidelines in the Team Project
Attachment at the end.] It is expected that there will be 4 students per team. The Team Project
Report is due on Feb 18.
Evaluation Components
Group peer-evaluation: At the end of the course, each group member must fill in submit a peer-
evaluation form. This is to avoid problems of free-riding by group members. Each member is
required to submit an "effort" rating (0%-100%) for all the members in his/her team with respect
to each group assignments. The average rating across all members will be taken as the final
"effort" rating for a group member. A 90% rating implies that the group member will get 90% of
the group grade in that assignment. If no "effort" rating is turned in, a default rating of 100%
will be used.
Please note that final grades will be based on the rank-ordering of the class students’ weighted
average of scores on all tasks listed above. Details of the scoring procedure for each assignment
will be announced in class at the appropriate times.
Re-grading Policy: Errors in grading do happen from time to time (e.g., an appendix cited in the
text gets overlooked or awarded points are not added correctly). Requests to review some
potential error/s in the grade awarded for a particular assignment will be entertained by the
instructor. This review is designed to rectify such errors (and not to revise the instructor’s
evaluation of the quality of an answer with the aim of bumping up the awarded grade).
Therefore, please consider your re-grading requests carefully before submitting them. The
requests must be submitted in writing with a detailed explanation of why you think the request is
legitimate. Requests should be submitted within seven days of receipt of the graded assignment.
Honor Code: I expect students will comply with the Honor Code of the Indian School of
Business. With respect to all graded assignments, cases, exams, it is expected that students
will not access case analysis documents prepared by others inside or outside of the ISB or
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posted on the Web/Internet unless distributed by or authorized to do so by the instructor.
Students will work with only their own team members for case preparation and on team
assignments but any individual assignment must be the product of a student’s own work,
unless the instructor explicitly permits collaboration. Members of one Team will not
consult those of the other Students will consult only the instructor or designated teaching
assistant if they have any queries, issues or points for clarification; keeping the instructor
apprised at all times queries.
ISB Attendance Policy: ISB students are admitted partly based on the experiences they bring to
the learning community and what they can add to class discussions. Therefore, attendance is an
important aspect of the ISB Post-Graduate Programme in Management. ISB insists on 100%
class attendance for all its courses. Absence is only appropriate in cases of extreme personal
illness, injury, or close family bereavement. Voluntary activities such as job interviews, business
school competitions, travel plans, joyous family occasions, etc. are never valid reasons for
missing any class. The mechanism and extent of penalty to be imposed for absence is left to the
discretion of the faculty.
http://atrium:14825/Programmes/PGP/ASA/StudentManual/Programme-
Administration/Pages/Attendance-Seating.aspx
Group Project
This project report is due at the beginning of final exam week. The purpose of the project is to critically
evaluate the sales/business development function. Critical evaluation is essential!!! Mere reporting of the
facts (e.g., this is how company X does it) is insufficient. You should understand the rationale for why a
company is doing things as it is and evaluate whether its approach makes sense. You must make
suggestions for improvement, but these suggestions should be viable in the context of the company’s
environment. This project will entail speaking to the head (e.g., V.P.) of sales (if it a large organization),
at least one or two sales managers, and a couple of salespeople (ideally, you would go on some sales calls
with them). If you choose a small organization (which is perfectly fine), make sure you talk to –– with at
least two salespeople and the boss (e.g., owner/proprietor). You can structure the write up as you wish.
One option is to describe the sales function in a few pages and then provide a critical analysis. Another
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option is to integrate the description with the analysis. This is your judgment call. While it is hard to
assign a length for such projects, approximately 10 double spaced pages will suffice.
Your evaluation of the sales function should cover (but not be limited to) the following areas:
Sales Process
Does the company have a national/global accounts program, and if so, what are the
key elements?
Does the company engage in team selling, and if so, how is this function organized?
Sales Planning
How are demand forecasts prepared?
Is there a formal sales forecasting process?
What is the role of the sales force in the forecasting process? Very briefly describe their forecasting
approach
Quotas
How are quotas and budgets set? Who sets the quotas? How are they set? Who participates in quota
setting? What kinds of quotas are set?
Do the quotas account for an individual salesperson's experience and background, as
well as territorial, product and customer differences?
Do the quotas ensure that the necessary sales job activities are performed?
Are the quotas consistent with the long-term objectives of the company? Do the
quotas promote desirable behaviours among salespeople?
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What methods are used to evaluate the effectiveness for the training program?
Is there an ongoing training program for senior sales people?
Evaluation
Sales analysis
What kinds of sales analysis (such as total sales volume, product/category, customer, territory) are
performed?
How frequently is the analysis performed? Who performs the analysis?
How are the results of the sales analysis used?
Cost analysis
What kinds of cost analysis are performed?
How frequently do they perform a cost analysis? Who performs the analysis?
How are the results of the cost analysis used?
Personal evaluations
Is there a systematic approach to evaluating sales personnel? How frequently is performance appraised?
What performance dimensions are evaluated? Does the company monitor the behaviours of its
salespeople? If so, what types of behavioural analysis are performed?
Who sets the performance standards? Is evaluation used to set further goals for sales personnel?
Is the evaluation used to reward, punish, or develop the sales person? How ?