Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
ChapterChapter
55 Profiling and RecruitingSalespeople
Eagles don’t flock. You have to find them one at a time.
Yogi Berra
Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
Recruiting and Selection ProblemsRecruiting and Selection ProblemsRecruiting and Selection ProblemsRecruiting and Selection Problems
Lack of resourcesLack of job specification and
qualificationsQualifications not objectively establishedLack of managerial trainingPersonal prejudicesSearch for managerial talent
Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
Key Laws and Regulations Key Laws and Regulations Affecting a Sales ForceAffecting a Sales ForceKey Laws and Regulations Key Laws and Regulations Affecting a Sales ForceAffecting a Sales Force
Civil Rights Act of 1964 Federal Contract Compliance, Executive Orders Age Discrimination in Employment Act (1967) Fair Employment Opportunity Act (1972) Rehabilitatin Act of 1973 Vietnam Era Veterans Readjustment Act (1974) Uniform Guidelines on Employment Selection Procedures
(1978) Americans with Disabilities Act (1990)
Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
Fig. 5-2 Sales Force Staffing Process: Plan for Recruiting & Selection
Establish Responsibility for Recruiting, Selection
and Assimilation
Determine Number of
People Wanted
Conduct Job Analysis
Prepare Job Description
Recruit Applicants
Select ApplicantsDesign a System
For Measuring Applicants
Hire The People
Assimilate New People Into Sales Force
Determine Hiring Qualifications
Measure Applicants Against Hiring Qualifications
Make Selection Decisions
Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
Workload AnalysisWorkload AnalysisWorkload AnalysisWorkload AnalysisNumber of reps needed = Total workload in market
Workload one rep can handle Market workload:
Customer Number of Calls Total class accounts per year calls
x =
A 400 20 8,000
B 600 10 6,000
14,000
One rep’s workload:
Calls/day x Selling days/week x Working weeks/year = Annual workload 5 x 5 x 50 = 1250
Number of reps needed = = 112 reps
14,000
1250
Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
Fig 5-3 Determining the Number of Fig 5-3 Determining the Number of Salespeople NeededSalespeople NeededFig 5-3 Determining the Number of Fig 5-3 Determining the Number of Salespeople NeededSalespeople Needed
Strategic Plans
New - Eliminated/ + Promo- + Retirements + Terminations/ = Total new territories combined tions resignations reps needed territories
Expansion MN and RI 2 promo 2 retirements 1 termination New repsinto Texas. Territories expected expected expected needed
4 - 1 + 2 + 2 + 1 = 8
Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
Content of Job DescriptionContent of Job DescriptionContent of Job DescriptionContent of Job Description
• Title
• The nature of the product or service to be sold
• Type of customers to be called on,
frequency of calls, and types of personnel to be contacted
• Specific tasks and responsibilities to be
carried out
• Organizational relationships
• Mental and physical demands of the job
• Environmental pressures and constraints
that might affect the job
Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
Fig. 5-4
Ten traits and abilities of top salespeople
Trait Related Ability
Ego strength To handle rejection
Sense of urgency To complete the sale
Ego drive To persuade people
Assertiveness To be firm in negotiations
Willingness to take risks To be innovative
Sociability To build relationships
Abstract reasoning To sell ideas
Sense of skepticism To question, to be alert
Creativity To sell complex products and ideas
Empathy To understand customer needs
Source: Erika Rasmusson, “The 10 Traits of Top Salespeople, “ Sales & Marketing Management, August 1999, pp. 34-37.
Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
Recruiting for the TeamRecruiting for the TeamRecruiting for the TeamRecruiting for the Team
• Willingness to share
• Cooperative
• Trusting
• Empathetic
• Accepting of others
• Receptive to others ideas
• Selflessness
• Leadership skills
Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
Recruiting Sources of Sales RepsRecruiting Sources of Sales RepsRecruiting Sources of Sales RepsRecruiting Sources of Sales RepsSource CommentReferrals: Candidates and position are known to person making referral. Existing
sales force is an excellent source for referrals as they know their jobrequirements and can identify good matches.
Current employees Company employees know the company and its products.
Other Companies:
Competitors Competitors know the customers and are familiar with your products.
Customers Customers know your products and your company.
Suppliers Suppliers know your company and your products.
The Internet Recruits may come through the company’s own website – or through specialized Internet recruiting sites, such as Monster.com.
Educational institutions Primarily used when recruiting inexperienced people. Students areusually actively involved in a job search, and this provides an efficientplace to screen large numbers of available candidates.
Advertisements Produces the greatest number of candidates, but the average quality is sometimes lower.
Employment agencies The agency is often more costly than other methods, but it willdo a large part of the initial screening.
Part-time workers These workers are easy to contact, readily available, and canwork flexible hours. This is a good source for in-home selling.
Voluntary applicants These applicants are interested in your firm and probably possessa high degree of self-confidence, self-reliance, and initiative.
Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
Fig. 5-8 Recruiting Evaluation Matrix
Evaluation Criteria
Consistent with strategic planning?
Number recruits
Number hired
Percent retained after 3 years
Cost Frequency of use
Rep’s per-formance after 2 yrs.
Recruiting sources
Within company: Sales force Other departments
Competitors Customers Noncompetitors
Educational institutions
Advertisements
Employment agencies
Voluntary applicants
Computerized databases
Other companies: