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In this 13th edition of Sales Force Management, Mark Johnston and Greg Marshall continue to build on the book’s reputation as a contemporary classic, fully updated for modern sales management teaching, research, and practice. The authors have strengthened the focus on the use of technology in sales management, offered new discussions on innovative sales practices, and further highlighted sales and marketing integration.

By identifying recent trends and applications, Sales Force Management combines real-world sales management best practices with cutting-edge theory and empirical research in a single, authoritative source. Pedagogical features include:

  • Engaging breakout questions designed to spark lively discussion.
  • Leadership Challenge assignments and Minicases at the end of every chapter to help students understand and apply the principles they have learned in the classroom.
  • Leadership, Innovation, and Technology boxes that simulate real-world challenges faced by salespeople and their managers.
  • Ethical Moment boxes in each chapter put students on the firing line of making ethical choices in sales.
  • Role-Play exercises at the end of each chapter, designed to enable students to learn by doing.
  • A comprehensive selection of updated and revised longer sales management case studies, in the book and on the companion website.

This fully updated new edition offers a thorough and integrated overview of accumulated theory and research relevant to sales management, translated clearly into practical applications—a hallmark of Sales Force Management over the years. It is an invaluable resource for students of sales management at both undergraduate and postgraduate levels.

The companion website features an instructor’s manual, PowerPoints, case studies, and other tools to provide additional support for students and instructors.

Table of Contents

  1. Cover
  2. Title Page
  3. Copyright Page
  4. Dedication
  5. Brief Contents
  6. Table of Contents
  7. About the Authors
  8. Preface
    1. Chapter 1: Introduction to Sales Management in the Twenty-First Century
    2. Learning Objectives
    3. Sales Management in the Twenty-First Century
    4. Innovation Fuels Success in Selling Today
    5. Sales Effectiveness Is Enhanced through Technology
    6. Leadership Is a Key Component in Sales Management Success
    7. Sales Management Is a Global Endeavor
    8. Ethics Underlies All Selling and Sales Management Activities
    9. What Is Involved in Sales Management
    10. Selling Process
    11. Sales Management Process
    12. Environmental Factors Impact Success in Selling
    13. External Environment
    14. Economic Environment
    15. Global Legal and Political Environment
    16. Technological Environment
    17. Social and Cultural Environment: Ethics
    18. Natural Environment
    19. Internal (Organizational) Environment
    20. Goals, Objectives, and Culture
    21. Human Resources
    22. Financial Resources
    23. Production and Supply Chain Capabilities
    24. Service Capabilities
    25. Research and Development (R&D) and Technological Capabilities
    26. Summary
  9. Part One: Formulation of a Sales Program
    1. Chapter 2: The Process of Selling and Buying
    2. Learning Objectives
    3. Drivers of Change in Selling and Sales Management
    4. Overview of Selling as a Career
    5. Why Sales Jobs Are So Rewarding
    6. Key Success Factors in Selling
    7. Selling Activities
    8. Types of Selling Jobs
    9. Selling in Business-to-Consumer versus Business-to-Business Markets
    10. Classifying Types of B2B Sales Jobs
    11. Stages in the Selling Process
    12. Prospecting for Customers
    13. Opening the Relationship
    14. Qualifying the Prospect
    15. Presenting the Sales Message
    16. Closing the Sale
    17. Servicing the Account
    18. Participants in the Organizational Buying Process—The Buying Center
    19. Selling Centers and Buying Centers
    20. Organizational Buying Decision Stages
    21. Stage One: Anticipation or Recognition of a Problem or Need
    22. Stage Two: Determination and Description of the Characteristics and Quantity of the Needed Item(s)
    23. Stage Three: Search for and Qualification of Potential Suppliers
    24. Stage Four: Acquisition of Proposals or Bids
    25. Stage Five: Evaluation of Offerings and Selection of Suppliers
    26. Stage Six: Selection of an Order Routine
    27. Stage Seven: Performance Evaluation and Feedback
    28. The Nature of Organizational Buying Situations
    29. Summary
    30. Chapter 3: Linking Strategies and the Sales Role in the Era of CRM and Data Analytics
    31. Learning Objectives
    32. What Is Customer Relationship Management?
    33. From Mass Marketing to One-to-One Marketing
    34. CRM Process Cycle
    35. Toward a Relationship-Based Enterprise
    36. CRM-Driven Data Analytics for Sales Manager Decision Making
    37. The Importance of Market Orientation
    38. How Market Orientation Affects Performance
    39. Internal Partnering to Create a Market Orientation
    40. The Process of Strategy Development
    41. Company Mission and Goals
    42. SBU Strategy
    43. The Importance of Integrating Sales with Other Business Functions
    44. Personal Selling’s Role in Marketing Strategy
    45. Role of the Relationship
    46. Personal Selling in the Relationship Era
    47. Exploration Stage
    48. Expansion Stage
    49. Commitment Stage
    50. Personal Selling’s Role in the Marketing Communication Mix
    51. Advantages and Disadvantages of Selling in Marketing Communication
    52. Company Resources, Goals, and Marketing Strategy
    53. Characteristics of the Target Market
    54. Product Characteristics
    55. Distribution Practices
    56. Pricing Policies
    57. Computerized Ordering and Customer Alliances
    58. Improving Customer Satisfaction and Loyalty through Feedback
    59. Major Account Teams
    60. Summary
    61. Chapter 4: Organizing the Sales Effort
    62. Learning Objectives
    63. The Increasing Importance of Sales Organization Decisions
    64. Purposes of Sales Organization
    65. Division and Specialization of Labor
    66. Stability and Continuity of Organizational Performance
    67. Coordination and Integration
    68. Horizontal Structure of the Sales Force
    69. Deciding on a Company Sales Force or Independent Agents
    70. Geographic Organization
    71. Product Organization
    72. Organization by Customer Type or Markets
    73. Organization by Selling Function
    74. The Role of Telemarketing
    75. Organizing to Service Key Accounts
    76. Team Selling
    77. Multilevel Selling
    78. Co-marketing Alliances
    79. Logistical Alliances and Computerized Ordering
    80. Vertical Structure of the Sales Organization
    81. Selling Responsibilities
    82. Sales-Related Functions
    83. The Impact of New Technologies
    84. Staff Support and Outsourcing
    85. Additional Sales Organizational Issues
    86. Summary
    87. Chapter 5: The Strategic Role of Information in Sales Management
    88. Learning Objectives
    89. Using Information in Managerial Decision Making and Planning
    90. Introduction to Market Opportunity Analysis
    91. Methods of Sales Forecasting
    92. Subjective Methods of Forecasting
    93. Objective Methods of Forecasting
    94. Choosing a Forecasting Method
    95. Developing Territory Estimates
    96. Purposes and Characteristics of Sales Quotas
    97. Purposes of Quotas
    98. Characteristics of a Good Quota
    99. Setting Quotas
    100. Types of Quotas
    101. Quota Level
    102. Determining Sales Force Size
    103. Breakdown Method
    104. Workload Method
    105. Incremental Method
    106. Designing Sales Territories
    107. Stages in Sales Territory Design
    108. Sales Analysis for Managerial Decision Making
    109. Type of Evaluation System
    110. Sources of Information for Sales Analysis
    111. Type of Aggregation of Information to Be Used in Sales Analysis
    112. Illustration of a Hierarchical Sales Analysis
    113. Summary
  10. Part Two: Implementation of the Sales Program
    1. Chapter 6: Salesperson Performance: Behavior, Role Perceptions, and Satisfaction
    2. Learning Objectives
    3. Understanding Salesperson Performance—Why Is It Important for Sales Management?
    4. The Model
    5. The Role Perceptions Component
    6. The Aptitude Component
    7. The Skill-Level Component
    8. The Motivation Component
    9. The Personal, Organizational, and Environmental Variables Component
    10. Rewards
    11. Satisfaction
    12. The Salesperson’s Role Perceptions
    13. Stages in Developing the Salesperson’s Role
    14. Stage 1: Role Partners Communicate Expectations
    15. Stage 2: Salespeople Develop Perceptions
    16. Stage 3: Salespeople Convert Perceptions into Behaviors
    17. The Salesperson’s Role Is Vulnerable
    18. Boundary Position
    19. Large Role Set
    20. Innovative Role
    21. Role Conflict and Ambiguity
    22. Common Expectations and Key Areas of Conflict and Ambiguity
    23. Consequences of Conflict and Ambiguity
    24. Managing Conflict and Ambiguity in a Salesperson
    25. Role Accuracy
    26. Nature of Role Accuracy
    27. Summary
    28. Chapter 7: Salesperson Performance: Motivating the Sales Force
    29. Learning Objectives
    30. The Psychological Process of Motivation
    31. Major Components of the Model
    32. Expectancies—Perceived Links between Effort and Performance
    33. Instrumentalities—Perceived Links between Performance and Rewards
    34. Valences for Rewards
    35. Can the Motivation Model Predict Salesperson Effort and Performance?
    36. The Impact of a Salesperson’s Personal Characteristics on Motivation
    37. Satisfaction
    38. Demographic Characteristics
    39. Job Experience
    40. Psychological Traits
    41. Performance Attributions
    42. Management Implications
    43. Career Stages and Salesperson Motivation
    44. Career Stages
    45. The Problem of the Plateaued Salesperson
    46. The Impact of Environmental Conditions on Motivation
    47. The Impact of Organizational Variables on Motivation
    48. Supervisory Variables and Leadership
    49. Incentive and Compensation Policies
    50. Summary
    51. Chapter 8: Personal Characteristics and Sales Aptitude: Criteria for Selecting Salespeople
    52. Learning Objectives
    53. Are Good Salespeople Born or Made? The Determinants of Successful Sales Performance
    54. A Review of Past Research
    55. The Costs of Inappropriate Selection Standards
    56. Characteristics of Successful Salespeople
    57. Characteristics Sales Managers Look For
    58. Research Concerning the Personal Characteristics of Successful Salespeople
    59. Overview of Findings
    60. Job-Specific Determinants of Good Sales Performance
    61. Selling Different Types of Products and Services
    62. Different Types of Sales Jobs
    63. Implications for Sales Management
    64. Summary
    65. Chapter 9: Sales Force Recruitment and Selection
    66. Learning Objectives
    67. Recruitment and Selection Issues
    68. Who Is Responsible for Recruiting and Selecting Salespeople?
    69. Job Analysis and Determination of Selection Criteria
    70. Who Conducts the Analysis and Prepares the Description?
    71. Content of the Job Description
    72. Determining Job Qualifications and Selection Criteria
    73. Methods for Deciding on Selection Criteria
    74. Recruiting Applicants
    75. External Sources
    76. Selection Procedures
    77. Application Blanks
    78. Personal Interviews
    79. Physical Examinations
    80. Tests
    81. Concerns about the Use of Tests
    82. Guidelines for the Appropriate Use of Tests
    83. Equal Employment Opportunity Requirements in Selecting Salespeople
    84. Requirements for Tests
    85. Requirements for Interviews and Application Blanks
    86. Summary
    87. Chapter 10: Sales Training: Objectives, Techniques, and Evaluation
    88. Learning Objectives
    89. Issues in Sales Training
    90. Objectives of Sales Training
    91. Increase Productivity
    92. Improve Morale
    93. Lower Turnover
    94. Improve Customer Relations
    95. Improve Selling Skills
    96. The Development of Sales Training Programs
    97. Creating Credibility in Sales Training
    98. Training New Sales Recruits
    99. Training Experienced Sales Personnel
    100. Sales Training Topics
    101. Product Knowledge
    102. Market/Industry Orientation
    103. Company Orientation
    104. Time and Territory Management
    105. Legal/Ethical Issues
    106. Technology
    107. Specialized Training Topics
    108. Sales Training Methods
    109. On-the-Job Training
    110. Classroom Training
    111. Electronic Training Methods
    112. Measuring the Costs and Benefits of Sales Training
    113. Sales Training Costs
    114. Measurement Criteria
    115. Measuring Broad Benefits
    116. Measuring Specific Benefits
    117. Recent Trends in Sales Training Evaluation
    118. Summary
    119. Chapter 11: Salesperson Compensation and Incentives
    120. Learning Objectives
    121. Overview of Compensation and Incentives
    122. Straight Salary, Straight Commission, and Combination Plans
    123. Straight Salary
    124. Straight Commission
    125. Combination Plans
    126. Steps to Executing the Compensation Plan
    127. Sales Contests
    128. Contest Objectives
    129. Contest Themes
    130. Probability of Winning
    131. Types of Contest Rewards
    132. Contest Promotion and Follow-through
    133. Criticism of Sales Contests
    134. Nonfinancial Rewards
    135. Recognition Programs
    136. Expense Accounts
    137. Direct Reimbursement Plans
    138. Limited Reimbursement Plans
    139. No Reimbursement Plans
    140. Making Compensation and Incentive Programs Work
    141. Assessing the Relationship Selling Objectives
    142. Determining Which Aspects of Job Performance to Reward
    143. Deciding on the Most Appropriate Mix and Level of Compensation
    144. Dangers of Paying Salespeople Too Much
    145. Dangers of Paying Salespeople Too Little
    146. Changing the Compensation Plan
    147. Summary
  11. Part Three: Evaluation and Control of the Sales Program
    1. Chapter 12: Cost Analysis
    2. Learning Objectives
    3. Cost Analysis Development
    4. Full Cost versus Contribution Margin
    5. ABC Accounting
    6. Procedure
    7. The Process Illustrated
    8. Direct Selling
    9. Advertising
    10. Warehousing and Shipping
    11. Order Processing
    12. Transportation
    13. Promise and Problems
    14. Return of Assets Managed
    15. Summary
    16. Chapter 13: Evaluating Salesperson Performance
    17. Learning Objectives
    18. Performance versus Effectiveness
    19. Objective Measures
    20. Output Measures
    21. Input Measures
    22. Ratio Measures
    23. Summary of Objective Measures
    24. Subjective Measures
    25. Forms Used for Subjective Measurement
    26. Avoiding Errors in Performance Evaluation
    27. Using a BARS System
    28. 360-Degree Feedback in Performance Evaluation
    29. Summary
  12. Endnotes
  13. Index
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