6e SM Module07

Module Seven
Sales Leadership,
Management, and Supervision
Learning Objectives
1.
2.
3.
4.
Distinguish between sales force leadership,

management, and supervision.
Explain how the LMX model and leadership style
approaches contribute to contemporary sales
leadership.
List of the six components of the sales leadership
model.
Discuss five bases of power that affect leadership.
Professional Selling:
A Trust-Based Approach
Module 7:
Sales Leadership, Management, and Supervision
Ingram
LaForge Avila
Schwepker Jr. Williams
Learning Objectives
5.
6.
7.
Explain five influential strategies used in

leadership.
Discuss issues related to coaching the sales
force, holding integrative meetings, and
practicing ethical management .
Identify some of the problems encountered in
leading and supervising a sales force.
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Setting the Stage

Sales Leadership: SAP America
1. What is the part of SAPs mission
statement mentioned in the vignette?
2. How does Bill McDermott build the best
possible sales team?
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Sales Leadership, Sales Management,

and Sales Supervision
Sales Leadership:
The ability to influence others to achieve common goals
for the collective good of the sales organization and
company.
Sales Management:
Activities related to the planning, implementing, and
controlling the sales function.
Sales Supervision:
Activities related to working with sales subordinates on
a day-to-day basis.
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Contemporary Views of
Sales Leadership
Leadership Style
Transactional leadership
Transformational Leadership
Leader-Member Exchange (LMX) Model

Leadership style is unique for each
salesperson
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Leadership Model for Sales Management
Goals &
Objectives
Individual
Organizational
Power
Sales Manager
Sales
Managers
Leadership
Effectiveness
Power
Salespeople
Other People
Situation
Time Constraints
Nature of Tasks
History and Norms
Needs
Salespeople
Other People
Leadership
Skills
Anticipation
Diagnostic
Selection
Communication
- Influence Strategy
- Communications
Mechanisms
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Leadership Factors in Sales Management

Sales Manager
Skills
Power
Empowerment
Vision
Legitimate
Intuition
Value Congruence
Coercive
Self-understanding
Referent
Expert
Sales Team
Activities
Interaction
Norms
Sentiments
Salespersons
Behavior
Salesperson
Professional maturity
Needs
Goals
Module
7:
Relationship with
manager
Styles
Directing
Coaching
Supporting
Delegating
Situation
Task structure
Time pressure
External system
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Power and Leadership

Five types of power which may be present
in interpersonal relationships:
Expert Power
Referent Power
Legitimate Power
Reward Power
Coercive Power
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Situational Factors
Trait Approach identify traits of an

effective leader
Behavior Approach identify
behaviors associated with effective
leadership
Contingency Approach leadership
style is contingent upon situation
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Needs and Wants of Salespeople

Important when coercive power is not
being utilized
Realize all needs and wants cannot be
met
Not all leadership directives need to be
based on needs and wants
Consider each salesperson as a unique
individual
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Goals and Objectives

Leadership is easier when personal
goals and objectives of the salespeople
are consistent with those of the
organization.
Sales managers strive to seek balance
and consistency between
organizational goals and their
salespeoples goals.
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Leadership Skills
Anticipating and Seeking Feedback

Diagnostic
Selection and Matching
Communication
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Communication Skills:
Influence Strategies
Threats (coercive power)

Promises (reward power)
Persuasion (expert or referent power)
Relationships (referent or legitimate
power)
Manipulation
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Coaching
The continuous development of salespeople through
supervisory feedback and role modeling. Suggestions for
effective coaching include:
Take a we approach
Address only one or two problems at a time
Dont focus on criticizing poor performance, reinforce good
performance
Foster involvement
Recognize differences in salespeople and coach accordingly
Coordinate coaching with more formal sales training
Encourage continual growth and improvement
Insist salespeople evaluate themselves
Obtain agreement with respect to punishments and rewards
Keep good records
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Planning and Conducting

Integrative Meetings
Keep technical presentations
succinct
Use visual aids and breakout
discussion groups
Keep salespeople informed of
corporate strategy and their role
in it
Minimize operations review
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Planning and Conducting

Integrative Meetings
Set a humane schedule . . .
allow time for sharing and
adequate breaks
Set and communicate the
agenda
Ask for input from the
salespeople
Generate excitement with
contests and other rewards
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Approaches to Management Ethics

Immoral Management
Intentional and consistent management activity
conflicting with what is moral (ethical).
Exploits opportunities for corporate gain. Cut corners
when it appears useful.
Seeks profitability and organizational success at any
price.
Selfish. Management cares only about its or the
companys gain.
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Amoral Management
Management activity that is neither consistently moral
or immoral . . . Decisions lie outside the sphere to
which moral judgments apply.
Give managers free rein. Personal ethics may apply
but only if managers choose. Respond to legal
mandates if caught and required to do so.
Seeks profitability. Other goals are not considered.
Well-Intentioned but selfish in the sense that impact
on others is not considered.
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Moral Management
Management activity conforms to a standard of ethical
or moral behavior.
Live by sound ethical standards. Assume leadership
position when ethical dilemmas arise. Enlightened
self-interest.
Seeks profitability within the confines of legal
obedience and ethical standards
Management wants to succeed but only within the
confines of sound ethical precepts.
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Meeting Ethical and

Moral Responsibilities
Sales managers should be aware of three
particularly relevant types of unethical acts:
1. Nonrole
2. Role Failure
3. Role Distortion.
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Meeting Ethical and

Type
Nonrole
Role Failure
Direct Effect
Examples
Against the firm
Expense account cheating

Embezzlement
Stealing supplies
Against the firm
Superficial performance
appraisal
Not confronting expense
account cheating
Palming off a poor performer
with inflated praise
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Meeting Ethical and

Type
Role Distortion
Direct Effect
For the firm
Examples
Bribery
Price fixing
Manipulation of suppliers
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Problems in Leadership
Conflicts of Interest
Chemical Abuse and Dependency
Problem Salespeople: A Disruptive Influence
Lone Wolf
Corporate Citizens
Institutional Stars
Apathetics
Termination of Employment
Sexual Harassment
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Transformational Leadership
A leader distinguish by a special ability to bring
about innovation and change
businesses today overmanaged & underledOrg complexity , productive change
TL balance the demands of both
Have their eyes on the bigger picture of how
much better things could be in their Org
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Transactional Leadership
Where leaders & followers are in some
type of exchange relationship in order
to get needs met
Example: superior give rewards to sales person
for increasing monthly sales
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Situational Leadership
Managerial Leadership Styles
SUPPORTIVE BEHAVIOR
High
Low
SUPPORTING
COACHING
Praise, listen, and facilitate
Direct and support
For people who have

High Competence
Variable Commitment
For people who have

Some Competence
Some Commitment
EMPOWERING
DIRECTING
Turning over responsibility for

day-to-day decision-making
Structure, control, and

supervise
For people who have

High Competence
High Commitment
For people who have

Low Competence
High Commitment
DIRECTIVE BEHAVIOR
Module 7:
A
Trust-Based
Approach
Sales
Leadership,
and Supervision
Adapted from Leadership and the One Minute
Manager,
KennethManagement,
Blanchard
Ingram
High
LaForge Avila
Schwepker
Jr. Williams
1000ventures.com
Situational Leadership
Continuum of Leadership Behavior that Emphasizes Decision
Making
Managing by 1 Managers makes decision and announces it
directing
T
e
a
m
m
a
t
u
r
i
t
y
Leading by
empowering
2 Manager sells decision

3 Manager presents ideas and invites questions
4 Manager presents tentative decision subject to change
5 Manager presents problem, gets suggestions, makes
decision
6 Manager defines limits; asks group to make decision
7 Manager permits subordinates to function within limits
defined by superior
Module 7:
A
Trust-Based
Approach
Sales Leadership,
Management, and Supervision
Adapted from: The Tannenbum and Schmidt Leadership
Continuum
Ingram
LaForge Avila
1000ventures.com
Schwepker
Jr. Williams
=promises
=persuasion
=threats
x
=relationship
=persuasion
Professional
Selling:
=relationship
Module 7:
Ingram
LaForge Avila
ien
Or
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si
im
em
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pi
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at
-s
ya
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Power
Module 7:
Karakter
Ingram LaForge
Schwepker Jr.
Avila
Williams

6e SM Module07

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Module Seven

Distinguish between sales force leadership,

Explain five influential strategies used in

Setting the Stage

Sales Leadership, Sales Management,

Leader-Member Exchange (LMX) Model

Leadership Model for Sales Management

Leadership Factors in Sales Management

Sales Leadership, Management, and Supervision

Power and Leadership

Trait Approach identify traits of an

Needs and Wants of Salespeople

Goals and Objectives

Anticipating and Seeking Feedback

Threats (coercive power)

Planning and Conducting

Planning and Conducting

Approaches to Management Ethics

Approaches to Management Ethics

Approaches to Management Ethics

Meeting Ethical and

Meeting Ethical and

Against the firm

Expense account cheating

Against the firm

Meeting Ethical and

For the firm

Praise, listen, and facilitate

Direct and support

For people who have

For people who have

Turning over responsibility for

Structure, control, and

For people who have

For people who have

2 Manager sells decision

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