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Relationships between Sales Management Control, Territory Design, Salesforce Performance and Sales Organization Effectiveness
Author(s) -
Piercy Nigel F.,
Cravens David W.,
Morgan Neil A.
Publication year - 1999
Publication title -
british journal of management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 2.407
H-Index - 108
eISSN - 1467-8551
pISSN - 1045-3172
DOI - 10.1111/1467-8551.00113
Subject(s) - sales management , marketing , sample (material) , control (management) , exploratory research , business , management control system , outcome (game theory) , empirical research , industrial organization , economics , microeconomics , management , philosophy , chemistry , epistemology , chromatography , sociology , anthropology
This research evaluates determinants of sales organization effectiveness in a sample of British companies, and contributes to an important new research stream by following recent empirical studies in the USA and Australia. We discuss a model of sales organization effectiveness determined by salesforce outcome performance and behavioural performance, as well as by the use of a behaviour‐based control approach. Sales territory design is also considered as a particularly important managerial variable, which has received little analytical attention in the traditional literature, but which appears to be an important influence on the effectiveness of the sales operation. Our exploratory path analytical model suggests that sales territory design has a large effect on sales organization effectiveness both directly, and indirectly through its relationship with salesforce behavioural performance. These findings are somewhat different to those in similar studies in other countries, and suggest some important implications for managers as well as for researchers in this field.