Sales Management Literature list Main text: Jobber, David & Lancaster, Geoff (2003). Selling and Sales Management, 6th Edition. London: Prentice Hall
12 September: Introduction, Sales Management in the Marketing Organisation • •
Jobber & Lancaster: Chapter 1: p. 3-33 Rackham, N. & DeVincentis, J.R. (1999). Rethinking the Sales Force: Redefining Selling to Create and Capture Customer Value. New York: McGraw-Hill, Chapter 1: p. 1-31.
19 September: Understanding buyer / seller relationships • •
Jobber & Lancaster: Chapter 3: p. 63-95 Hougaard, S. & Bjerre, M. (2002). Strategic Relationship Marketing, Frederiksberg: Samfundsliteratur; Chapters 1, 2: p. 27-84.
26 September: Understanding and structuring the sales force • • •
Jobber & Lancaster: Chapters 4 & 15: p.99-116, 391-408. Chapter 4 o Pure selling and sales negotiation o Preparation for sales negotiation Chapter 15 o Structuring the sales force Geographic Product Customer o Determining the number of sales people o Compensation Fixed salary Commission only Salary plus commission Zoltners, A.A., Sinha, P., Zoltners, G.A. (2002). The Compete Guide to Accelerating Sales Force Performance. New York: AMACOM. Chapter 3: p. 70-110.
Zoltners, A.A., Sinha, P., Zoltners, G.A. (2002). The Compete Guide to Accelerating Sales Force Performance. New York: AMACOM. Chapter 4: p. 111-131. o Complementary on structuring the sales force Heterogeneity vs. Complexity Structuring the sales force • Generalist • Market-based • Product-based • Activity-based • Mixed structure o Development and efficient and effective sales force structure – a four step approach Study the products, markets and activity Develop a coverage matrix Generate sales force structure alternatives Evaluate the different sales force structures
3 October: Transaction Cost Analysis & Agency Theory Guest lecturer: Mickael Beck •
Eisenhardt, K. M. (1988). “Agency and Institutional Theory Explanations: The case of retail sales compensation,“ Academy of Management Journal, 31(3), p. 488-511. o Salary compensation vs. commission o PA theory – determining the optimal contract between agent and principal o The choice between a contract based solely on behaviour and one partially based on outcomes depends on the trade-off between the cost of the measuring behaviour and the cost of transferring risk to the agent through a contract partially nased on outcomes. o The relationship between uncertainty and commission p. 495 o Agency- vs. institutional-theory p. 505 o Equifinality p. 505 o Ghosh, M. & John, G. (2000). “Experimental Evidence for Agency Models of Salesforce Compensation,” Marketing Science 19(4), p. 348-365. o Holmstrom, B. & Milgrom, P. (1991). “Multitask Principal-Agent Analyses: Incentive contracts, asset ownership and job design,” Journal of Law, Economics and Organisation 7, p. 24-52. o Levinthal, D. (1988). “A Survey of Agency Models of Organisations,” Journal of Economic Behaviour and Organisation, 9, p. 153-185. o Hardcore PA theory – not very useful…
10 October: Cases in applying theory Guest lecturer: Mickael Beck
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Anderson, E. (1985). “The Salesperson as Outside Agent or Employee: A transaction cost analysis,” Marketing Science 4(3), p. 234-254. Masten, S. E., Meehan, J. W., Jr., & Snyder, E. A. (1989). ”Vertical Integration in the U.S. Auto Industry: A note on the influence of transaction specific assets,” Journal of Economic Behaviour and Organisation 12(2), p. 265-273. Williamson, O. E. (1998). “Transaction Cost Economics: How it works; where it is headed,” The Economist, 146(1), p. 23-58.
24 October: Organisational Culture and Branding as a control mechanism • • •
Berg, P-O (1986). “Symbolic Management of Human Resources,” Human Resource Management Journal 25, p. 557-579. Duimering, R. P. & Safayeni, F. (1998). ”The Role of Language and Formal Structure in the Construction and Maintenance of Organisational Images,” International Studies of Management and Organisation, 28(3), p. 57-85. Stuart, H. (1999). “The Effect of Organisational and Corporate Communications: Creating a competitive advantage,” in J.M.T.Balmer & S.A.Greyser (eds.), Revealing the Corporation: Perspectives on identity, image, reputation, corporate branding and corporate-level marketing. London: Routledge: p. 106-123.
PART 2: IMPLEMENTATION 31 October: Key Account Management Guest lecturer: Mogens Bjerre •
Jobber & Lancaster: Chapter 6: p. 145-164. o KAM o GAM o Five ways of building strong customer relationships p. 155 Personal trust Technical support Resource support Service levels Risk reduction
Bjerre, M (2000). “Different Forms of Key Account Management – in a Transaction Cost Perspective,” The Journal of Selling and Major Account Management. o Asset specificity Location Physical Human Dedicated assets Brand Temporal o Four types of KAM Contact KAM Passive KAM Proactive KAM Integrator KAM
7 November: Financial Control in Sales Management Guest lecturer: Nils Randrup •
Jobber & Lancaster: Chapters 16, 17: p. 411-460.
14 November: Field sales management and CRM systems Guest lecturer: Thomas Queck • Jobber & Lancaster: Chapters 7, 8, p. 165-204. • Chapter 7 o From TQM to Customer care The marketing mix (4 P’s) is supplier oriented as opposed to customer orinted. Customer-focused quality is now essential because it involves a change from an operations-centred to a customer-targeted activity. To protect added value, a company needs to create and enhance long-term customer relationship. Customer care is a philosophy which ensures that products or services and the after-care associated with serving customer’s needs at least meets and in most cases exceeds expectations. o From JIT to Relationship marketing: Bringing together quality, marketing and service. P. 170 o Reverse Marketing Suppliers are becoming better and better at JIT, hence buyers tend to take the initiative and they source suppliers (sellers). Like StyleMaster Supply chain integration – The supply chain between buyer and seller must fit together, and if we look isolated at SCM cost reduction is possible through SCI – but a level of realism is necessary to take account of the practical difficulties of integration. Marketing is to establish, maintain, and enhance long-term customer relationship at a profit so that the objectives of the parties involved are met. Gronroos. P. 173 o From Relationship Marketing to Relationship Selling From the purchasing point of view this involves an integrated approach to value acquisition from suppliers, value addition from manufacturing and value delivery to customers. Open accounting is possible when long-term relationships between buyers and sellers have been established in a typical JIT production situation. A mutual acceptable margin for profit will then be agreed between the buyer and supplier. Customer retention constitutes a prime objective of relationship selling. Trustworthy relationship Sales person see p. 176 The personal relationship is the driving force behind selling or not selling. Information gathering is becoming increasingly important in relationship selling. Relationship selling comprises the raft of sales tactics that actually delivers relationship marketing strategy to the company and to customers.
Chapter 8 o Direct marketing attempts to acquire and retain customers by contacting them directly without the use of on intermediary. o Dixon, A.L., Spiro, R.L. & Jamil, M. (2001). Successful and Unsuccessful Sales Calls: Measuring Salespersons Attributions and Behavioral Intentions. Journal of Marketing, 65(3), p. 64-78. o McKim, B. (2002). The Differences Between CRM and Database Marketing. Journal of Database Marketing, 9(4), p. 371-375. o Sales managers need to understand the type of attributions their salespeople are making and what behaviours are driven by these attributions. o Manager will benefit from understanding the attributional/behavioural patterns of their sales people as well as the forces driving such attributions.
19 November: Persuasive Selling Guest lecturer: Nils Randrup • •
Jobber & Lancaster: Chapter 5, p. 117-144 Rackman, N. (1995). “SPIN Selling,” Aldershot: Gower: Chapter 6 + Summary: p. 79-111, 209-216.