Transcript Slide 1
Personal Selling and Sales Management Global Perspective International Assignments are Glamorous, Right? • • • • • Job security Readjustment upon return to U.S. Adjustment to other cultures Will an international assignment really help your career? Relationship marketing and customer relationship management 17 - 3 Designing the Sales Force • Decisions must be made regarding the numbers, characteristics, and assignments of sales personnel • Different market requirements regarding direct sales and customer approach • Territory allocation • Customer call plans 17 - 4 Recruiting Marketing and Sales Personnel • The largest personnel requirement abroad for most companies is the sales force • Expatriates - Numbers are declining Important for highly technical or involved products High cost Cultural and legal barriers Limited number of high-caliber personnel willing to live abroad • Virtual expatriates - Manage operations in other countries but don’t live there 17 - 5 Recruiting Marketing and Sales Personnel International Travel – A Lot of Work 17 - 6 Recruiting Marketing and Sales Personnel Death by Violent Causes The Economic Intelligence Unit, 2005 (WHO Data) 17 - 7 Recruiting Marketing and Sales Personnel Leaves Singapore with the Flu Arrives Home in Toronto to Broken Pipes International Selling is Hard Work 17 - 8 Recruiting Marketing and Sales Personnel In order of expensive The Economic Intelligence Unit, 2005 Most Expensive Cities in Which to Live 17 - 10 Recruiting Marketing and Sales Personnel Capsule Hotel in Osaka Avon Rep in Rural Brazil International Travel – A Lot of Work 17 - 11 Selecting Sales and Marketing Personnel • Management must define precisely what is expected of people. • Prime requisites: - Maturity Emotional stability Breadth of knowledge Positive outlook Flexibility Cultural empathy Energetic and enjoy travel • Mistakes can be costly • A manager’s culture affects personnel decisions 17 - 12 Training for International Marketing Personal Selling Tips – Brussels to Bangkok 17 - 13 Salespeople’s Distribution of 100 Points among Rewards in Terms of Their Importance • Insert Exhibit 17.4 17 - 16 Global Compensation Systems – Compared to US Plans The Alexander Group Clients – Primarily Hi Tech Firms 17 - 18 A Compensation Blueprint: How IBM Pays 140,000 Sales Executives Worldwide • Insert Exhibit 17.6 17 - 19 Designing Compensation Systems for a Global Sales Force – The Do’s • Do involve representatives from key countries. • Do allow local managers to decide the mix between base and incentive pay. • Do use consistent performance measures (results paid for) and emphasis on each measure. • Do allow local countries flexibility in implementations. • Do use consistent communication and training themes worldwide. 17 - 20 Designing Compensation Systems for a Global Sales Force – The Don’ts • Don’t design the plan centrally and dictate to local offices. • Don’t create a similar framework for jobs with different responsibilities. • Don’t require consistency on every performance measure within the incentive plan. • Don’t assume cultural differences can be managed through the incentive plan. • Don’t proceed without the support of senior sales executives worldwide. 17 - 21 Evaluating and Controlling Sales Representatives • In the U.S., emphasis is placed on individual performance, which can easily be measured by sales revenues generated • In many countries evaluation is more complex where teamwork is favored over individual effort • The primary control tool used by American sales managers is the incentive system • In other countries, corporate control and frequent interactions with peers and supervisors are the means of motivation and control 17 - 22 Preparing U.S. Personnel for Foreign Assignments American Book Center in Amsterdam – an Oasis 17 - 24