Page 58 - DMGT205_SALES_MANAGEMENT

Sales Management

Notes Step 4
Determine total work time available per person by task. Let the work time available as per the
task be

Selling task 50%
Non-selling task 30%
Travelling task 20%
Total 100%

Step 5
Determine total time available per sales person.
If the management decides 40 hrs/week + work for 48 hrs in a year,

then total hrs available in a year = 40 × 48 = 1920 hrs.
Step 6
Calculate total number of sales people needed.

N = Total Workload/Work one salesman can do
Or N = 9100/960 = 10 salesmen (more than nine salesman)

Advantages of Work Load Method
1. This method is easy to understand and apply.
2. It is attractive to practising managers.

Disadvantages of Work Load Method
1. It does not take profit into consideration.

2. It assumes that sales personnel have same work load and they work with same
efficiency.

3. Some sales people accomplish more in a short period of time than others. Time given to
each call is as important as the quality of time given per call.

Notes Harvard research shows that, across a range of industries, there is a direct and
consistent correlation between the calibre of the sales force and organisational
growth.

4.9 Determining the Kind of Sales Personnel

Making this decision requires consideration of qualitative personal selling objectives-what
contributions toward the company's long term overall objectives should be expected from those
performing selling jobs? What should be the duties and responsibilities of these individuals?
How should their job performance be measured? Management must face up these questions
when it decides the kind of sales personnel it requires.

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