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| Authors: | Mark W. Johnston, Rollins College--Winter Park Greg W. Marshall, Rollins College--Winter Park |
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Biographical Sketch - Dr. Mark W. Johnston
Dr. Johnston is the Gerry Foundation Chair of Marketing and Ethics at the Roy E. Crummer Graduate School of Business, Rollins College in Winter Park, Florida. He earned his Ph.D. in Marketing in 1986 from Texas A&M University. Prior to receiving his doctorate he worked in industry as a sales and marketing representative for a leading distributor of photographic equipment. His research has resulted in published articles in a number of professional journals such as Journal of Marketing Research, Journal of Applied Psychology, Journal of Personal Selling and Sales Management and many others.
He has been retained as a marketing consultant for firms in the personal health care, chemical, transportation, service, and telecommunications industries. A partial list of organizations that Dr. Johnston has conducted market research for in the past includes AT&T, American Airlines, Walt Disney World, and the American Red Cross. In addition, he has consulted on a wide range of issues involving strategic sales force structure, sales force performance, sales force technology implementation, market analysis, sales training, and international market decisions. Finally, he has conducted a number of seminars around the world on a variety of topics including motivation, managing turnover in the organization, sales training issues, ethical issues in marketing, and improving overall sales performance.
About the Author - Greg W. Marshall
Greg W. Marshall is Associate Professor of Marketing at Oklahoma State University. Prior to joining OSU, he served on the faculties of the University of South Florida and Texas Christian University. Greg’s industry experience includes thirteen years in selling and sales management, product management, and retailing with companies such as Warner Lambert, Mennen, and Target Stores. When he left Warner Lambert in 1986 to enter academe, he was the manager of the top performing sales district in the United States. In addition, he has served as a consultant and trainer for a variety of organizations in both the private and public sector primarily in the areas of marketing planning, strategy development, and service quality. Greg is an active researcher in the sales management area, having published over twenty refereed articles in a variety of marketing journals, and he serves on the editorial review board of the Journal of the Academy of Marketing Science, Journal of Business Research, and others. He is serving a three-year term (2002-05) as editor of the Journal of Personal Selling & Sales Management.
Tribute to Churchill, Ford, and Walker
Making a difference has always been considered a benchmark for success. In their professional careers as marketing educators and researchers Gil Churchill, Neil Ford, and Orv Walker personify the best qualities of “making a difference.” As catalysts for change these three scholars have demonstrated that great research, great teaching, and great service to the community of academicians and practitioners can go together.
From the dozens of doctoral students who learned from them directly, to the hundreds of marketing academicians and researchers who have benefited from their seminal research, to the thousands of students who know more about sales management because of Sales Force Management---Churchill, Ford, and Walker have touched the careers of many marketers. Mark Johnston and Greg Marshall, your new authors, have both taught from previous editions and experienced first hand the quality of this book.
Few researchers can lay claim to being on the ground floor of a new discipline but Churchill, Ford and Walker have their names on some of the most significant research in sales management and personal selling. Their peers have noted the importance of their groundbreaking research by awarding them both the O’Dell award from the Journal of Marketing Research and the Maynard award from the Journal of Marketing. Most recently they received the Lifetime Achievement award from the Selling and Sales Management Special Interest Group of the American Marketing Association. The lasting value of their work remains as they are consistently cited nearly three decades after their original research was published.
Perhaps most important, however, is the willingness and ability of Gil, Neil, and Orv to take their research and apply it to the real world. They realized it was critical to bring together the research and best practices of companies in sales management and put it into a single source, Sales Force Management. Through six previous editions and now in the seventh the goal has always been to create the single best referenced, most comprehensive source on topics and issues in sales management.
Please know that as you read Sales Force Management 7e our goal has been to carry on the great tradition and maintain the standard of excellence set forth by Gil Churchill, Neil Ford, and Orv Walker … three men who have made a difference in sales management!
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Key Changes in the 7th Edition:
Broad-Based and Chapter-by-Chapter
Key broad-based changes that have taken place within the 7th edition that impact all the chapters:
Key changes/updates on a chapter-by-chapter basis:
Chapter 1 - Overview of Sales Management and the Selling Environment
Chapter 2 - The Process of Buying and Selling
Chapter 3 - Linking Strategies and the Sales Role in the Era of Customer Relationship Management
Chapter 4 - Organizing the Sales Effort
Chapter 5 - The Strategic Role of Information in Sales Management
Chapter 6 - Salesperson Performance: Behavior, Role Perceptions, and Satisfaction
Chapter 7 - Salesperson Performance: Motivating the Sales Force
Chapter 8 - Personal Characteristics and Sales Aptitude: Criteria for Selecting Salespeople
Chapter 9 - Sales Force Recruitment and Selection
Chapter 10 - Sales Training: Objectives, Techniques, and Evaluation
Chapter 11 - Designing Compensation and Incentive Programs
Chapter 12 - Cost Analysis
Chapter 13 - Behavior and Other Performance Analyses
Sample Chapter 1 (605.0K)
Sample Chapter 2 (603.0K)
Sample Chapter 3 (644.0K)
Our Server Chapter 1 (605.0K)
Our Server Chapter 2 (603.0K)
Our Server Chapter 3 (644.0K)
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INTRODUCTION
The seventh edition of Sales Force Management takes the book into the 21st century by incorporating the latest research and management practices into a comprehensive yet easy to read learning tool. The many changes you will notice to this time tested textbook do not represent change for the sake of change but rather change for the sake of quality and innovation. Despite all the enhancements and changes, however, the book continues to bring to the table the best of the principles and framework of editions one through six.
In the more than twenty years since Gil Churchill, Neil Ford, and Orv Walker first published Sales Force Management it has come to be considered the definitive text in the field. Now as these three outstanding researchers, teachers, and scholars pursue new interests their names move from below the title to above. This was done to clearly demonstrate the tradition of excellence set forth in that first edition will carry on into the 21st century. Added in the sixth edition, Mark Johnston combines a strong research foundation with current state of the art trends and issues. In this edition a new co-author, Greg Marshall, joins the team with fresh ideas and an energetic approach to the book.
WHY WE WROTE THIS BOOK
Throughout the first 70 years of the 20th century the practice of sales management resembled the practice of medicine in the 17th century. Sales managers relied on large doses of tradition, folklore, personal experiences, and intuition to run their sales organization. Managers conducted little, if any, research to better understand the motives and behaviors of their own salespeople. Not coincidentally, marketing researchers were not much help as theory on managing a sales force was practically non existent and even less empirical research had been done concerning the variables that influence one salesperson to perform better than another.
Fortunately, all that began to change in the early 1970's as both theoretical and empirical research began in earnest. An increasing volume of relatively sophisticated and informative research focused on all facets of sales force behavior, motivation and attitudes. Today, all the leading marketing journals publish articles on this important area and one journal is totally dedicated to the field of sales management (the Journal of Personal Selling & Sales Management). Many sales managers realize the benefits of staying current on recent trends in theory development and the latest empirical research.
This book was originally undertaken to fill the need of students in sales management for a single, detailed summary and analysis of sales force research and its implications. Other textbooks at the time either failed to keep pace with advancing knowledge or dealt with emerging research in a superficial fashion. Our primary goal in the seventh edition is the same as it was in the first, to offer students a thorough, up to date, and integrated overview of the accumulated theory and research evidence relevant to sales management.
In crafting such a book however, we knew that simply providing a summary of theories and research would be incredibly dull and even worse, provide little real insight for students interested in learning how a sales manager could apply this information in the "real world." Put simply our second goal was to showcase how real managers apply these theories and principles in their own organizations. By identifying recent practices, applications, and the use of state-of-the art technology we wanted to combine in a single source real world sales management practices with cutting edge theory and empirical research.
STRUCTURE OF THE BOOK
We have developed a framework that views the spectrum of sales managers' activities as focusing on three interrelated, sequential processes, each of which influences the various determinants of salesperson performance. The seventh edition continues to use this time- tested structure.
The structure of this book reflects this framework. Chapter 1 introduces the subject of sales management with an overview of the duties and responsibilities of sales managers and how their activities relate to these three processes. The first chapter also identifies current trends in sales force management and addresses how these topics are covered in the book. It introduces key aspects of the external and internal environment of selling. The remainder of the book is divided into three sections corresponding to the three processes described above.
WHO IS THE INTENDED AUDIENCE FOR THE BOOK?
The book is designed for use in an introductory course in sales management at either the undergraduate or graduate level. It is also designed to complement a variety of teaching approaches. Instructors who focus primarily on the lecture discussion format will find plenty of material for any teaching calendar in the chapters and end of chapter discussion questions. For those adopting a more case oriented approach we have included cases in both a long and short format. These cases may be found at the end of each of the three sections since they primarily emphasize issues discussed in a particular section. The cases in each section range from very topically focused to more strategic and comprehensive in nature.
FEATURES OF THE SEVENTH EDITION
When something works well you don't need to completely reinvent it! The philosophy in developing the seventh edition was to begin by updating and enhancing the best parts of Sales Force Management. Consequently, those who have used earlier editions will be comfortable with the seventh edition. However, a number of important changes may be found herein. We added new concepts, ideas, discussion, and examples to reflect new trends in sales force management research and practice. In essence, we combined the strong foundation of earlier editions with numerous changes to create an effective learning tool for 21st century sales management.
We began the process by thoroughly reviewing the extant literature related to each chapter (both in the business press and in academic journals), and subjected each chapter to a major rewrite. Examples have been updated. Discussions in some chapters were expanded while others were streamlined to enhance the clarity of the material and make it easier to understand for the reader. A new chapter (Chapter 3) integrates concepts from customer relationship management (CRM) into the world of sales management, highlighting our commitment to presenting state-of-the art sales management trends. A new Chapter 5 integrates information management aspects of sales management. The end result of all the changes is a text that has fewer chapters, 13 instead of 16, but still maintains the continuity across all chapters and the commitment to presenting state of the art sales management trends and cutting edge theoretical and empirical research.
Opening Profile
Each chapter begins with a NEW opening profile of a company and its sales management strategy. Each profile was carefully developed for the seventh edition in order to illustrate the practice of sales management relative to the material of that particular chapter. Much of this material is unique to the textbook and it is integrated into subsequent discussion throughout the chapter. Students find these profiles exciting and enlightening as they highlight concepts and ideas covered in the chapter; professors discover these profiles are useful for lectures, class exercises, and discussion starters. In addition, updates on the companies can be found on the textbook's website.
Learning Objectives
Each chapter has updated learning objectives at the beginning, just after the opening profile. These objectives are written using active language so that students understand what is expected of them when the chapter is completed. Professors can use these to guide discussions and develop tests so that students get the most out of the reading.
Key Terms
Totally new to the seventh edition, key terms are identified in the beginning of each chapter and highlighted within the body of the chapter to help students focus on the key ideas and terms. Professors find these terms can create the basis for assessing students' understanding of the chapter.
Feature Boxes: Innovation, Technology, and Leadership in Sales Management
These three themes drive much of sales management theory and practice in the 21st century and form the basis for new feature boxes throughout the seventh edition. Each chapter contains boxes that highlight one of these three critical concepts. As with the opening profiles, each of these features is designed to illustrate material presented in the chapter, but in a particular applied context. Professors will benefit from incorporating these features into their lectures and class exercises, as students will find it easier to apply the concepts of the chapter and become more involved in the class.
Discussion Questions
Updated discussion questions can be found at the end of each chapter. They are of two basic types. The first are application questions with limited data to encourage student analysis. The second are thought provoking question that require the student to reflect on material they have read in the chapter. These questions make for great discussion questions as well as good review questions for exams.
Internet Exercises
You will notice that each opening profile and every reference to companies in the text includes a web address where students can go for more information about the company or companies being discussed. In addition, each chapter includes at least one Internet exercise, many of which build on the opening profile. Professors find these exercises most useful as mini cases for class discussion or as beginning point for further student research.
Experiential Applications
Each chapter also has at least one experiential application exercise that directs students to conduct active learning activities related to the material on their own. Some of the best ideas for these exercises come from faculty so please feel free to share how your students are "experiencing" sales force management.
Suggested Readings
At the end of each chapter is a list of suggested readings for students and professors. These represent cutting-edge ideas and state-of-the-art knowledge on the subjects contained within the chapter.
Cases
A major revision of the cases took place in preparing the seventh edition. Many of the cases are new; others have been updated. The cases bring in new technologies and management concepts such as CRM.
Web Site
Faculty will appreciate the book's website www.mhhe.com/sfm7e, which has been built specifically for the seventh edition. Here you can communicate with the authors, share teaching ideas and resources, stay up to date on the science (and art) of teaching sales force management, and get updates on companies and issues discussed in the text, feature boxes, and opening profiles.
Acknowledgements
No book results solely from the work of the authors and this book is no exception. First we would like to thank the many scholars and colleagues who have contributed to the body of sales force research over the last 30+ years and whose work we reference here. It is their collective work that has taken sales force management from that of 17th century medicine charmer to 21st century management professional. We would also like to thank the Marketing Science Institute who supported much of the early research that forms the foundation of the book. We are very appreciative of Jerome Colletti and Mary Fiss, co-authors of "Compensating the New Sales Roles" for permitting us to use materials from their book on sales compensation and incentive programs.
Larry Fuhrer worked diligently on the Instructors Manual and PowerPoint slides under tight deadlines at a very high level of quality, and we thank you. We would also like to thank the good people at McGraw-Hill Irwin including Linda Schreiber, Sarah Crago, and Kim Kanakes for their diligent work and support during the revision process. Finally, we would like to thank our families, friends, and academic colleagues for their encouragement and support during the many hours spent creating the seventh edition. To you, "thank you" alone is not nearly enough but it comes from our hearts.
Mark W. Johnston, Rollins College
Greg W. Marshall, Oklahoma State University
July 2002
Student Center
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