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2012 | Buch

Sales Excellence

Systematic Sales Management

verfasst von: Christian Homburg, Heiko Schäfer, Janna Schneider

Verlag: Springer Berlin Heidelberg

Buchreihe : Management for Professionals

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Über dieses Buch

This book presents a very novel and strategic approach to Sales Management, an area that has suffered from a lack of sophistication in practice. This content-rich and thought-provoking book has a very unique positioning: It considers the sales performance of an organization at a very high, strategic level and offers specific guidance in managing not just a few direct reports but an entire organization?s sales function. The book includes many useful tools and guidelines and is enhanced with numerous examples that help bring the concepts to life and make them very approachable for the trade market. A checklist-based scoring system that is utilized throughout the book allows readers to specifically evaluate their own company as well as to track its progress as concepts are applied over time. This work is an essential resource and thought-provoking read for ambitious Sales Managers, including CEO-level executives.

Inhaltsverzeichnis

Frontmatter

Introduction

Frontmatter
1. The Drive for Systematic Sales Management: The Sales Excellence Approach as a Roadmap
Abstract
This chapter lays out the basic two-pronged focus of the rest of the book, emphasizing the goals of increasing productivity and increasing customer orientation. The authors also document past research suggesting that the sales organization has the most “upside” (and, consequently, need for improvement) in most organizations, supporting the value of the lessons in this book. Fundamentally, this chapter proposes the basic framework for achieving superior sales results, centering of coordinated efforts in:
  • Sales Management
  • Sales Strategy
  • Information Management
  • Customer Relationship Management
Finally, this chapter lays out the first of the checklists forming the scoring system promoted in Sales Excellence.
Christian Homburg, Heiko Schäfer, Janna Schneider

Sales Strategy – Setting the Fundamental Course

Frontmatter
2. Customers: The Focus of the Sales Strategy
Abstract
This chapter analyzes the pivotal questions that a sales strategy needs to address regarding customers, including:
  • Who are the company’s customers?
  • What are their basic needs?
  • What basic customer benefits does the company provide?
Building on these basic questions, the chapter continues by covering important related topics such as market segmentation criteria, customer prioritization and customer retention. This chapter effectively illustrates the broad scope of Sales Excellence. While the main focus is on sales management (typically an internal, organizational focus), this chapter, like many other chapters in this book, also incorporates the necessary customer perspective in order to better understand the sales function. For example, this chapter offers the first of several considerations of customer relationship management systems and perspectives, and various ways how firms can use these to achieve excellence.
Christian Homburg, Heiko Schäfer, Janna Schneider
3. Competitive Advantages: Quicker, Higher, Farther. . .
Abstract
This chapter addresses the question: “What sales-related competitive advantage is a company striving for?” The chapter continues with a detailed consideration of numerous ways in which sales-related competitive advantages can be achieved, including:
  • Flexibility
  • Speed
  • Quality of customer care
  • Individuality of services
  • Problem-solving ability
  • Image, and
  • Information
Christian Homburg, Heiko Schäfer, Janna Schneider
4. Sales Channels and Sales Partners: Designing the Route to the Customer
Abstract
It is clear that managing sales channels and sales partners is one of the key decisions that a company has to make regarding its sales strategy. This chapter tackles related questions such as:
  • Does a company sell its products directly or indirectly?
  • Does a company use only one or several sales channels?, and
  • If a multi-channel system is used, how are the different sales channels delineated from one another?
Christian Homburg, Heiko Schäfer, Janna Schneider
5. Price Policy: The Price Is Right. . .
Abstract
This chapter discusses a range of pricing strategies that a savvy sales manager might consider. Topics covered here include:
  • Premium, mid-value, and economy pricing
  • Cost- and value-based pricing
  • Issues of price discrimination
  • Managing discounts and terms
  • Price promotions
  • Competitive bidding and internet auctions
  • Price harmonization (and international trade issue)
In sum, this chapter provides coverage of both the basic pricing issues that all sales managers must consider as well as more sophisticated topics that will prove thought-provoking to even the most seasoned sales managers.
Christian Homburg, Heiko Schäfer, Janna Schneider
6. A Framework of Figures for the Sales Strategy: Targets and Resources
Abstract
While the previous chapters to this point relate to the “how” of market development, this chapter begins to introduce more quantitative tools to help the sales manager understand how his or her sales organization is currently performing and how it is progressing over time.
Christian Homburg, Heiko Schäfer, Janna Schneider

Sales Management – Designing Structures and Processes, Managing People and Living the Culture

Frontmatter
7. Sales Organization: Successfully Designing Structures and Processes
Abstract
Sales organizations can be structured in many ways, such as by products, regions, channels, or customers. This chapter considers structural options and the factors that should guide a manager or executive in making these difficult choices. Further, this chapter provides a closer examination of the “interface” between the sales organization and other functional units and offers specific strategies for smoothing those interactions.
Christian Homburg, Heiko Schäfer, Janna Schneider
8. Planning and Controlling: The Middle Ground Between “Flying Blind” and “Graveyards of Numbers”
Abstract
While the earlier sections of this book focus on the development of a well-conceived sales strategy which defines target customers, this chapter focuses on operational sales planning on an annual cycle, which is essential for effective implementation. Thus, this chapter considers planning in a very adaptive and dynamic way to maximize sales organization effectiveness. In addition to providing details on each of these planning steps, this chapter offers broader considerations in sales management and control that should engage all managerial levels.
Christian Homburg, Heiko Schäfer, Janna Schneider
9. Personnel Management: The Poor Cousin of Sales
Abstract
This chapter provides a comprehensive approach on personnel management in sales. Firstly, this chapter deals with factors that must be considered in hiring, including:
  • Personality traits
  • Social skills (communication and perception)
  • Professional competences (product and customer know-how)
  • Motivation, and
  • Goal and role clarity (the salesperson’s understanding of their job)
Secondly, a detailed treatment of a range of personnel tools the sales manager can use to evaluate these factors, including personnel questionnaires, the job interview, situational interviews, formal tests, and the proper exploration of references are provided. Thirdly, this chapter also considers a range of leadership styles (authoritarian, patriarchal, etc.) the manager is likely to encounter at all levels of the organization and considers how they can influence the sales unit.
Christian Homburg, Heiko Schäfer, Janna Schneider
10. Culture in Sales: The Power of Unwritten Laws
Abstract
It is well-understood today that corporate culture has a stronger influence on employee thinking than many “harder” factors such as organizational structures and management systems. This chapter considers the nature of organizational culture and how it can influence the sales organization. Using a checklist provided, managers can develop a multidimensional “culture score” for their organization. This model highlights the cultural strengths and weaknesses for a sales organization and provides a clear roadmap for improvement when combined with other steps outlined in the chapter.
Christian Homburg, Heiko Schäfer, Janna Schneider

Information Management as the Key to Professionalism in Sales

Frontmatter
11. Basis for Understanding Information Systems
Abstract
Chapter 11 begins with a consideration of the importance of information management for the sales organization by highlighting the goals of any information system (a user orientation, integration ability, cost-effectiveness, and security). Additionally, this chapter discusses a range of factors influencing each of these outcomes, along with step-by-step guidelines for achieving these results.
Christian Homburg, Heiko Schäfer, Janna Schneider
12. The Customer: The Unknown Factor?
Abstract
This chapter continues the discussion of the customer information system by considering the exact type of information that is essential for a company to have. In particular, the authors focus on information related to:
  • Customer structure
  • Customer profitability
  • Customer satisfaction and retention
Further, these important topics are broken down into a series of questions and dimensions that any manager can grasp and potentially address in his or her organization.
The authors extend this framework to develop a scoring model that enables managers to assess the relative attractiveness of various customers based on their purchasing potential. Detailed examples and worksheets are supplied to help the readers develop a full portfolio analysis of their customer set along with guidelines for achieving a properly balanced portfolio.
This chapter continues with a consideration of the use of information to assess customer satisfaction in a segmented way that is useful for strategic thinking about both overall strategies and individual account management.
Christian Homburg, Heiko Schäfer, Janna Schneider
13. Competitor Information: Know Your Opponent
Abstract
Only a company that knows its competitors can hold its own against them. The effects of misjudging the competition can be disastrous. This chapter considers the need for a competitor information system which answers questions such as:
  • Who are our competitors?
  • Where do our competitors stand in the market?
  • What resources do our competitors have, i.e. how powerful are they?
  • Where do our competitors want to get to?
  • What are they doing to get there?
This chapter begins the discussion of the kinds of competitor information that is needed, how it can be gathered, and how it can be utilized.
Christian Homburg, Heiko Schäfer, Janna Schneider
14. The Market: Identify Trends at an Early Stage
Abstract
The focus here is on the identification of change and trends in the marketplace, representing an essential skill for any sales organization. The authors develop a model that considers change-related information in five different areas:
  • The company’s own position in the market under review,
  • Competitor behavior in the market under review,
  • Customer behavior,
  • General market characteristics, and
  • Other environmental factors.
As in other sections of the book, the authors lay out detailed approaches to tackling this information challenge.
Christian Homburg, Heiko Schäfer, Janna Schneider
15. Information About Internal Processes: Sand in the Wheels?
Abstract
While many of the previous chapters considered issues and conditions external to the company, this chapter introduces an assessment of the flow of the sales process within the company. This process moves from customer acquisition through bid preparation, order processing, service delivery, and continued support. In each of these steps the authors consider prerequisites, the process itself, and desired results.
Christian Homburg, Heiko Schäfer, Janna Schneider
16. CRM and CAS: Signposts in the Information Jungle
Abstract
This chapter expands on the use of customer information for customer relationship management (CRM). CRM systems have been a real paradox for sales organizations in recent years – companies know they need them, they know what they should do, yet many don’t ultimately see the bottom line benefits. This chapter helps unravel this challenge through a consideration of the foundations of an information system which systematically integrates information about customers, competitors, the marketplace and the company itself. This chapter also delves deeply into various computer-aided selling (CAS) systems, and the authors use graphics to illustrate the various ways in which CAS systems can be applied.
Christian Homburg, Heiko Schäfer, Janna Schneider

Customer Relationship Management – Staying on the Ball!

Frontmatter
17. The Salesperson Personality: Of Know-It-Alls, Socializers and Allrounders
Abstract
The last few years have witnessed an increasing similarity between service offerings in many sectors. While there often used to be considerable differences in product quality, products nowadays are often virtually interchangeable in terms of level of quality and performance. Today, it is people that make the difference between suppliers. Their skills and abilities, their knowledge and their behavior often determine sales success. Enduring sales success has less to do with special sales techniques, but rather essentially depends on three aspects which the authors cover in this chapter:
  • Personality traits
  • Social skills
  • Professional skills
This chapter considers the nature of the salesperson personality and the blend of traits that can make a salesperson successful in different situations. For example, this chapter offers a unique typology of customers to which salespeople must adapt.
Christian Homburg, Heiko Schäfer, Janna Schneider
18. Rounding Out Relationship Management: Trade Shows, Call Centers, Internet
Abstract
This chapter considers other forms of salesperson-customer contact beyond the traditional face-to-face sales call. The authors for example lay out detailed steps for planning and implementing a successful trade show experience and analyze various objectives a firm may have going into such an experience.
The internet section of this chapter gives extensive attention to the use of the internet as a relationship management tool, including ways to leverage its interactivity, multi-functionality, individuality, and selectivity. The authors also examine the extensive range of elements necessary for a successful internet presence.
Christian Homburg, Heiko Schäfer, Janna Schneider
19. Customer Retention Management: Making the Customer a “Fan”
Abstract
Customer retention is a terrifically hot topic in recent years, and sales management is front and center in the organization in making that happen. Customer retention management refers to the targeted use of various tools to bind selected customers to the firm over the long term. Chapter 12 discusses how to acquire information about customer satisfaction and retention. This chapter discusses the foundations of customer retention management and then considers a detailed examination of select tools of customer retention management which are particularly suited to sales, such as:
  • Customer cards, coupons, clubs, magazines, and virtual communities.
  • Value-added services, and
  • Complaint management
Christian Homburg, Heiko Schäfer, Janna Schneider
20. Key Account Management: The Close Cooperation with Important Customers
Abstract
This chapter introduces the notion of key account management (KAM), a process for deciding which employees (and how many) to assign to the company’s most important accounts. The decision which customers deserve “key account” status is an important one in order to properly apply the firm’s resources. Keeping with the behavioral and process perspective of the book, the authors treat KAM as a multi-stage process.
Christian Homburg, Heiko Schäfer, Janna Schneider
21. Relationship Modeling: The Business Relationship Firmly Under Control
Abstract
The idea of “relationship modeling” is one of the most novel contributions of this book. The premise here is that relationships, like products, often pass through a form of “life cycle”. A customer’s activity level and profitability typically increase upon commencement of the business relationship, reach a maximum during the business relationship, and frequently drop off again towards the end of the business relationship. Accordingly, customer development objectives and measures can vary depending on the phases.
We consider several related issues here such as the indicators of a successfully progressing (versus not) relationship. Beyond just describing these relationship stages, the authors offer several tools.
Christian Homburg, Heiko Schäfer, Janna Schneider
Backmatter
Metadaten
Titel
Sales Excellence
verfasst von
Christian Homburg
Heiko Schäfer
Janna Schneider
Copyright-Jahr
2012
Verlag
Springer Berlin Heidelberg
Electronic ISBN
978-3-642-29169-2
Print ISBN
978-3-642-29168-5
DOI
https://doi.org/10.1007/978-3-642-29169-2