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Sales Organisation

The sales organization is responsible for marketing products and services manufactured by a company or procured for resale. It defines roles and responsibilities for salespeople and undertakes functions like recruitment, training, and supervision to improve performance. A properly designed sales organization helps communication and sales-related decision making. It allows specialization, ensures all necessary activities are performed, achieves coordination, defines authority, and economizes executive time. The basic types of sales organizational structures are lines, line and staff, functional, and committee. Authority can be divided geographically, by product, customer, or multiple bases.

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779 views8 pages

Sales Organisation

The sales organization is responsible for marketing products and services manufactured by a company or procured for resale. It defines roles and responsibilities for salespeople and undertakes functions like recruitment, training, and supervision to improve performance. A properly designed sales organization helps communication and sales-related decision making. It allows specialization, ensures all necessary activities are performed, achieves coordination, defines authority, and economizes executive time. The basic types of sales organizational structures are lines, line and staff, functional, and committee. Authority can be divided geographically, by product, customer, or multiple bases.

Uploaded by

GOKUL G
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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Sales Organisation

Sales organisation
A sales organization is an organization of individuals either
working together for the marketing of products and services
manufactured by an enterprise or for products that are procured
by the firm for the reselling .

A successful sales organization is one where the functions of each


department are carefully planned and coordinated and the efforts
of the individuals are supervised.

A sales organisation defines the duties, roles and the rights and
responsibilities of salespeople engaged in selling activities meant
for the effective execution of the sales function.
Sometimes a sales organization is designed to execute functions
which go beyond just achieving sales through the department.
A sales organization thus undertakes managerial functions such as
selection, recruitment, induction and training for better
performance, and effective supervision of subordinates in the field
force.
A sales organization is a structural body through which the
functions of sales management are carried out.
A properly designed sales organization also helps in the flow of
both upward and downward communication in the organization
for taking sales related decisions.
The sales organization should be adjusted to fit-ideally, to
anticipate changing situations. Shifts in marketing, in competition,
and in other business factors call for changes in the sales
organization.
Purposes of sales organization

• To permit the development of specialists.


• To assure that all necessary activities are
performed.
• To achieve coordination or balance
• To define authority.
• To economize on executive time.
Setting up a sales organization

1. Defining the objectives


2. Delineating the necessary activities
3. Grouping activities into “jobs” or “positions”.
4. Assigning personnel to positions.
5. Providing for coordination and control.
Basic types of sales organizational
structures

Lines sales organization


Line and staff sales organization
Functional sales organization
Committee sales organization
Other concepts
• Field organization of the sales department.
• Centralization versus decentralization in sales
force management
Schemes for dividing line authority in
sales organization
• Geographic division of line authority.
• Product division of line authority.
• Customer/marketing channel division of line
authority.
• Dividing line authority on more than one
basis.

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