Give the process of evaluation of sales and sales force.

How do you evaluate the performance of salesman ?

Ans.

Process of Evaluation of Sales and Sales Force

Following process is adopted in the evaluation of sales and sales force:

1. Fixation of Standards of Performance: Performance standards symbolises sales targets and actual results. On the basis of these standards performance of sales force is evaluated. These are determined by the sales manager for every sales by the sales manager for every salesman. These standards are of two types:

(a) Quantitative Standards: These are as under:

(i) Number of working days,

(ii) Number of new customers,

(iii) Amount of average sales order,

(iv) Total sales,

(v) Sales and profits as per region,

(vi) After sales meetings with customers

(b) Qualitative Standards: These are given below:

(i) Participation in sales meetings,

(ii) Encouragement in sales exhibition,

(iii) Efforts in sales promotion and goodwill,

(iv) Trend in participating sales seminars,

(v) Regular filing of sales report.

Thus for the evaluation of sales and sales force qualitative and quantitative standards are measured.

2. Measurement of Performance: Actual performance is at this stage. For this quantitative and qualitative methods are used. For this measured purpose following activities are done by the managers:

(i) Determination of nature of required information for performance measurement.

(ii) Knowing sources of information.

(iii) Selecting suitable methods to receive information.

3. Evaluation of Performance: Performance and sales are evaluated by making comparison between actual performance and standard performance. By making such comparison variation in performance can be known.

4. Taking Corrective Steps: If any adverse variation is found in the actual performance of sales force, corrective steps are taken. Following actions can be taken in this regard:

(i) Giving essential instruction to salesman

(ii) Making arrangement for retraining

(iii) Preparing certain and time bound programme,

(iv) Making more effective to sales efforts,

(v) Modification in strategies,

(vi) Modification in standards.