Evaluation of channel performance

 It is a tool that can enhance the way in
which organization is managed.
 It allow employees to be recognized for good
performance and provide recommendation
for further improvement.
 Evaluation involves comparing the objective
given to the sales force with the actual
results achieve at the end of particular time
period.
 Evaluation also provide feedback to sales
personnel and managers about any inherent
weakness in the selling approach.

 To be aware of company objective
 To improve plan e motivation and skills
 To appraise past performance
 To develop sales plan to increase future sales

 Quantitative
 Sales volume
 Average call per day
 Sales orders
 Ratio of selling cost to sales
 Gross profit obtain from new customers
 Qualitative
 Sales skills
 Territory management
 Personal skills

Determine factors that influence sales
force performance
Select the criteria for sales
force evaluation
Establish performance
standards
Compare sales
force performance
Performance
review and
feedback
Evaluation
Process

 Company record
 Reports from sales persons
 Customers
 Manager’s field visit
 Managers personal insights
 Other sources (distributor, published source,
electronic source)

 Cost based standard
 Time based standard
 Quality standard
 Quantity standard

 Essays( sales manager describe the performance
of sales people in some paragraph)
 Rating scales(sales manager identifies certain
specific criteria for a particular type of job. It is
based on personality traits, behavioral factors)
 Forced choice methods(in this the sales
manager is asked to go through groups of
statements and select those that best explain
the individual. The rater is forced to choose
what describe the salesperson best from a group
of all negative and positive statements.
 Ranking

 Critical incident appraisal( the sales manager keep
note of the positive and negative behavior of the
sales person. During the time of performance
evaluation, he discuss the actual behavior with the
sales person instant of debating on the personality
traits and interpretation.)
 Work standards methods(the sales manager prepare
the a comprehensive list of all the activities and job
duties that the salesman must perform and evaluate
them according to the list)
 MBO(focused on the end results)
 Behavioral anchor rating scales(BARS)( in this the
most suitable behavior needed in carrying out a
particular type of job is identified and anchored on a
rating scale.

 Terminations should be the last resort
 STEPS
 1. Find out needs and problems
 Must use proactive approach to determine above
 2. Program of support that is matching with
needs and problems
 3. Leadership
 4. Understand constraints

Evaluation of channel performance

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