per day was clocking Rs 16500 per day he would score 10 2 12 marks 6 In respect

Per day was clocking rs 16500 per day he would score

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per day was clocking Rs. 16500 per day, he would score 10 + 2 = 12 marks. 6. In respect of average percentage of calls productivity, the bonus/penalty can be fixed on deviation bands of 2 percent and part thereof. From the above you will observe that the evaluation is not limited to value and volume figures only. There is representation given to qualitative aspects too, such as calls made per day, productivity of calls etc… Depending upon the organizational needs these criteria can be changed. 105
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SALES FORCE EVALUATION For instance, if the product is of a nature where a lot of developmental pre selling activities are involved, emphasis may have to be put more on qualitative aspects, such as customer conviction, generation of productive leads etc. You will also observe that if any sales man performs actuals equal to targets, he gets 10 marks. Thus the marks for performance at target on all 6 criteria will earn 6*10= 60 marks. Now if we decide to give different weightages to these different criteria, ranging in values that cumulatively add up to 10, than the total score at achievement of target would be 100 (10*10). The actual scores would be either higher or lower depending upon the deviation. We will now do the actual evaluation of 3 salesmen. Table no: 6.3 Sr. No. Criteria Weights Sales man A Target Actual Score Weighted Score 1 Sales Volume 3 1000 99 percent 9 27 2 Sales Value 2 1000 97 percent 8 16 3 Gross Margin 2 20 percent 21 percent 11 22 4 Avg. calls per day 1 36 37 11 11 5 Avg. value of orders/ day 1 20000 19000 9 9 6 Average percentage of calls productivity 1 16 percent 17 percent 11 11 Total 10 96 106
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SALES FORCE EVALUATION Table no: 6.4 From the above calculations it would be evident that of the three salesmen whose performance have been evaluated salesman C has the best score of Sr. No. Criteria Weights Sales man B Target Actual Score Weighted Score 1 Sales Volume 3 1200 102 percent 11 33 2 Sales Value 2 1200 101 percent 11 22 3 Gross Margin 2 20 percent 19 percent 9 18 4 Avg. calls per day 1 35 32 9 9 5 Avg. value of orders/day 1 22000 23000 11 11 6 Average percentage of calls productivity 1 16 percent 15 percent 9 9 Total 10 102 Sr. No. Criteria Weights Sales man C Target Actual Score Weighted Score 1 Sales Volume 3 1100 96 percent 8 24 2 Sales Value 2 1100 101 percent 11 22 3 Gross Margin 2 20 percent 22 percent 12 24 4 Avg. calls per day 1 34 41 13 13 5 Avg. value of orders/day 1 21000 24000 13 13 6 Average percentage of calls productivity 1 16 percent 18 percent 11 11 Total 10 107 107
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SALES FORCE EVALUATION 107, followed by salesman B with a score of 102, and salesman C scoring the lowest 96. This can also be linked with the compensation of the salesmen. Organizations normally have a fixed and a variable component in the overall compensation package of salesmen. Supposing a company follows such a pattern where they would like to compensate their salesmen an average Rs. 15,000 per month, in which the fixed component is Rs. 10,000 and the variable component is Rs. 5,000, and they would also like to link the same with their overall performance, they may decide a plan as follows: The fixed component will be paid irrespective of the performance.
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