Exam 14: Sales Force Performance Evaluation

Quotas serve several purposes in the facilitation of the planning and control of the sales effort. Which of the following is not one of the purposes of quotas mentioned in the text?

Which of the following is a measure of outcome-based profitability performance?

To ensure that salespeople are conducting their tasks conscientiously, many companies require them to meet ____________.

Traditional performance evaluation systems suffer from one or more of several possible limitations. Which of the following is not a sales force evaluation bias for concern?

The most commonly used quotas that are usually stated in dollars are:

Income-based performance criteria generally require relatively little monitoring of salespeople and minimal managerial direction or effort because they rely on straightforward, objective measures of results.

Activity quotas are designed to control the many activities the salesperson is responsible for.

Professional development performance standards deal with sales related activities that can be objectively measured such as the number of new accounts generated and return on sales.

An advantage of performance review ranking systems is that it imposes a high degree of standardization, comparability, and discriminability.

Behaviorally anchored rating scales (BARS) concentrate on measuring behaviors related to performance that individual salespeople can change. To construct BARS, sales manager should follow all of the stages except:

Sales managers, generally use one of the following approaches to provide feedback except:

_________________ support managers at any organizational level by providing ready "big picture" overviews that help decision makers monitor the overall health of operations. Sales dashboards of this type focus on high level measures of performance, and achieving sales forecasts.

Mutual goal setting devised by the sales manager and the salesperson, who jointly agree on the salesperson's specific goals or performance targets for the coming period is known as management by objectives.

Performance reviews are day-by-day mini-evaluations on specific performances, while performance appraisals are a periodic summing up of these daily appraisals so that the salesperson can see where he or she stands.

_________________ monitor daily sales operations and provide ongoing updates of activities and events that are constantly changing and might require quick, decisive managerial response.

As a new sales manager, Michael Gamble wants to set up some additional quotas for the sales force. Among these quotas are the following: demonstrations made, proposals submitted, time spent per account, letters to potential customers, service calls, past due accounts collected, etc. What type of quotas should Mr. Gamble establish?

A problem with __________ is that salespeople may not be motivated to perform their activities effectively. As salespeople may just go through the motions, it's wise to use them in conjunction with sales volume quotas.

A sales quota is a specific, quantitative goal, usually established in terms of sales volume; important in planning, control, and evaluation of sales activities.

__________________ is a periodic summing up of these daily appraisals so that the salesperson can see where he or she stands.

A sales manager for a small industrial products firm is developing quotas for his sales force. He wants to establish quotas for contribution margins by product and customer type, and quotas for selling expenses by product and customer type. What type of quotas is the sales manager preparing?