Tuesday, November 20, 2012

Sales Force Structure

To win in today's market, distributors need to apply a more modern approach--one that focuses on meeting these evolving service needs.

In the 1930's, the French built a series of military fortifications called the Maginot Line.  When these were completed in 1935, the French believed they were safe from German offensives in the West.  We all know how well that worked out.  The fault in French logic was that the Maginot Lines was designed to defend against weapons and tactics used in World War I, but times had changed.  Germany's fast-moving blitzkrieg was light years ahead of the masses of slow-moving troops and trench warfare for which the Maginot Line was built.

The corollary in wholesale distribution is the sales organization.  Historically, wholesaler-distributors had outside sales representatives and customer service representatives (frequently, but mistakenly, called inside sales reps [ISRs]).  These groups often had separate managers and distinct roles.  The customer service group took orders and handled routine inquiries, and outside sales did everything else. If you wanted to win the "war" in the marketplace, you bot more or better, or both, outside sales reps.  Unfortunately the "everything else" for which outside sales representatives are now responsible has grown and morphed far beyond the tranches of the last war.  To win in today's market, distributors need to apply a more modern approach--one that focuses on meeting these evolving service needs.

ACTION POINT: Recognize that sales roles must change for the marketplace of today.

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