Ideal co-operation between manufacturers and agencies III. – Outsourcing of sales reps

By: trademagazin Date: 2009. 03. 05. 08:00

How can we set up a system of outsourcing in the field of sales work which will bring real savings and real results? How can we get our contractors to perform at least as well as our own employees? The outsourcing of sales tasks has become common practice in all business sectors. For example, contracted sales teams can be employed when stores with limited sales potential need to be visited, or when store visits account for the total length of working time, or when a campaign needs to be conducted. The work of contracted sales reps can translate into a lot of revenues or loss. This is why agencies need to be chosen carefully. We should always check if the sales team of our potential contractor actually exists, or is yet to be recruited. According to a survey conducted by Trade magazin and Promo Power Trade Marketing, nearly half of the clients fail to check the references presented by potential contractors, yet 90 percent say that the references presented convey an unrealistically positive picture. Potential contractors should present a detailed plan of the new organisation to be established. On part of the clients, management should be united regarding the issue of outsourcing. Somebody should be put in charge of establishing the new system, with exclusive competence and responsibility. This person should be responsible for maintaining contact with the contractor and for obtaining all information relevant to the activity. He/she should also be responsible for supervising performance. The tasks and responsibility assigned to the contractor should be defined clearly. The regional senior sales staff of the client should supervise activities, while operative decisions should be left to the contractor. In case of a long term relationship, members of the contracted team should be regarded as own employees. A system of incentives should be worked out for members of the contracted team, which should be similar to that of own employees. A budget needs to be worked out jointly with the contractor, who should not be allowed to exceed this. This budget should be monitored on a daily basis. It is essential to train members of the contracted team before they start to work. This expense can be substantial, but it is money well spent. All employees of the client whose tasks are linked to the activities of the contracted sales team should have accurate and up to date information. Contractors should report on a regular basis. Most contractors use PDA systems.

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