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Salesperson Performance: Behavior, Role Perceptions, and Satisfaction

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1 Salesperson Performance: Behavior, Role Perceptions, and Satisfaction
6 Salesperson Performance: Behavior, Role Perceptions, and Satisfaction McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.

2 Changing Role of Sellers
Sales revenue may oversimplify sales effectiveness Are sellers as important as product? Sellers slightly more important, but salesperson + company create synergy Should companies invest in sales or product? Many are investing in product while using alternative selling channels Source: HR Chally Group (2007), The Chally World Class Excellence Research Report: The Route to the Summit. Dayton, OH: HR Chally Group.

3 Understand salesperson performance model
Identify components of the model Discuss role perception process Understand why the role of salesperson is susceptible to role issues Discuss how role conflict, role ambiguity, and role accuracy influence a salesperson’s role perceptions

4 Model of the determinants of a salesperson’s performance
6.1

5 The Model Job performance a function of five basic factors
Role perceptions Aptitude Skill level Motivation Personal, organizational and environmental variables

6 Role Perceptions Role accuracy - degree to which a salesperson’s perceptions of role partners’ demands are accurate Role conflict - salesperson believes role demands of two or more role partners are incompatible Role ambiguity – salesperson believes he/she does not have information necessary to perform job adequately

7 Aptitude Enduring personal characteristics that determine individual’s overall ability to perform a sales job Physical factors – age, height, sex, and physical attractiveness Aptitude factors – verbal intelligence, mathematical ability and sales expertise Personality characteristics – empathy, ego, sociability, aggressiveness, and dominance

8 Aptitude Aptitude Cognitive abilities Verbal intelligence Intelligence Math ability Sales aptitude Enduring personal characteristics that determine individual’s overall ability to perform a sales job

9 Personality Responsibility Dominance Personality Need for power Sociability Need for achievement Self-esteem Creative/ flexibility Enduring personal traits that reflect an individual’s consistent reactions to situations encountered in the environment

10 Skill Learned proficiency at performing necessary tasks Skill
Vocational skills Sales presentation Vocational esteem Interpersonal General management Learned proficiency at performing necessary tasks

11 Motivation Effort willingly expended on activities associated with the job Function of: Expectancy – estimate of effort required to improve performance Valences of performance –perception of the desirability of attaining performance improvement

12 6.1 Different Salespeople/Different Drivers
Deeper meaning Joy Goals Team success Leadership Rewards Source: Gschwandter Gerhard, “Do You Have Enough Fuel to Win?” SellingPower.com, September, 2007.

13 Personal and Organizational Variables
Job experience Closeness of supervision Performance feedback Influence in determining standards Span of control Amount of role conflict Perceived ambiguity

14 Organizational Citizenship Behaviors (OCBs)
Sportsmanship Civic Virtue Conscientiousness Altruism

15 6.2 Critical Global Sales Skills
Cultural sensitivity Flexibility Patience Technology friendly Source: Frank Beeman, “Selling Around the World,” SellingPower.com, October, 2007.

16 Rewards Extrinsic –controlled by people other than the salesperson
Intrinsic – salespeople primarily attain for/within themselves

17 Satisfaction Dimensions
The job itself Fellow workers Supervision Company policies and support Pay Promotion/advancement opportunities Customers

18 Inaccurate role perceptions
Ambiguity Conflict Inaccurate role perceptions Psychological stress Anxiety Lowered performance 6-18

19 Role Development Stages
Role partners communicate expectations Salespeople develop perceptions Salespeople convert perceptions into behaviors 6-19

20 Vulnerability of Salesperson’s Role
Operate at firm’s boundary Performance affects many others Role changes often, is innovative

21 6.3 Ethical Salespeople/Unethical Customers
Salespeople must… Know they are expected to adhere to corporate ethical standards Know they will be supported by management Have the tools to make good ethical decisions Clearly understand ethics policies Have a process for handling ethical issues

22 Conflict and Ambiguity
Different role partners mean different expectations Role ambiguity plagues many salespeople in some aspect of their job Salespeople often perceive conflict between company policies or expectations and customer demands

23 Psychological Consequences of Conflict and Ambiguity
Salesperson becomes the “person in the middle” w/ conflicting expectations Perceived lack of necessary information causes loss of confidence Perceived role conflict affects extrinsic job satisfaction Role ambiguity affects extrinsic and intrinsic job satisfaction

24 Behavioral Consequences of Conflict and Ambiguity
Dysfunctional behavior Increased turnover Satisfaction and performance correlate positively

25 6.4 Balancing Work and Family
66% not enough time for children 64% not enough time from spouse 38% heavy technology users feel overworked 51% heavy technology users have high stress 40% angry w/ employer 49% looking for other employment 28% not enough energy for family activities Source: Ellen Galinsky, James T. Bond, Stacy S. Kim, Lois Backon, Erin Brownfield, and Kelly Sakai, “Overwork in America: When the Way We Work Becomes Too Much,” Families and Work Institute, Ellen Galinsky, Stacy S. Kim, and James T. Bond, “Feeling Overworked: When Work Becomes Too Much,” Families and Work Institute, 2001; “National Study of the Changing Workforce” (Executive Summary), Families and Work Institute, 1997; p. 34.

26 Managing Conflict and Ambiguity
Experience reduces role conflict Increased voice in role definition reduces role conflict Close supervision reduces ambiguity Input in evaluation standards reduces ambiguity Close supervision can increase conflict

27 Role Accuracy Correct understanding of job performance expectations
Price negotiations Promise of shorter delivery times Handling customer back charges and adjustments

28 Common Performance Criteria for Industrial Salespeople
Total sales volume, increase over last year Degree of quota attainment Selling expenses, decrease versus last year Sales profitability, increase over last year New accounts Administrative performance improvement Customer service improvement

29 Common Rewards for Industrial Salespeople
Pay Promotion Nonfinancial incentives (contests, travel, prices, etc.) Special recognitions (clubs, awards, etc.) Job security Feeling of self-fulfillment Feeling of worthwhile accomplishment Opportunity for personal growth and development Opportunity for independent thought and action


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