Page 80 - DMGT205_SALES_MANAGEMENT

Sales Management

Notes Field Sales Organisation: Field Sales organisation is the group of sales force that work in the
field periodically with retailers and customers in person. They send reports to the company and
they are some kind of specialist.
Horizontal Sales Organisation: In this type of sales organisation the number of management
levels are small and the number of managers at a particular level is large.

Line Organisation: Lines organisation is extensively used in smaller firms or those dealing in a
narrow product line, or selling in a limited geographical area. It places great demand on time
and abilities of the top sales executives as all field reporting's finally come to him.
Regional Managers: Regional Managers are the line managers responsible for operating results
in their own territories and control their own field staff.

Sales Organisation: Sales organisation is a group of people working together to achieve
the objective of sales-which is to capture a certain share of market while satisfying the
customers.
Staff Authority: Staff authority is the power to suggest to those holding line authority the
method for implementation of an order.

Answers: Self Assessment

1. Endeavour 2. Productive

3. Staff Authority 4. Corporate
5. Coordination 6. Sales
7. Customer 8. True

9. False 10. True
11. True 12. False
13. True 14. True
15. False

5.13 Review Questions

1. What is the meaning and purpose of a sales organisation?
2. What are the steps involved in developing a sales organisation?
3. What are the basic types of organisation structures?
4. Distinguish between line-staff and functional organisation with respect to sales.

5. Explain the functional types of sales organisation.
6. Describe the vertical and horizontal sales organization.
7. Describe the line and staff sales organization structure.
8. Explain the centralization vs decentralization in sales organization structure.

9. Describe the customer channel division offline authority.
10. Explain the combined based organization.

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