Slide 1Global Perspective International Assignments are Glamorous, Right?Designing the Sales ForceRecruiting Marketing and Sales PersonnelSlide 6Slide 7Slide 8Slide 10Slide 11Selecting Sales and Marketing PersonnelTraining for International MarketingSalespeople’s Distribution of 100 Points among Rewards in Terms of Their ImportanceGlobal Compensation Systems – Compared to US PlansA Compensation Blueprint: How IBM Pays 140,000 Sales Executives WorldwideDesigning Compensation Systems for a Global Sales Force – The Do’sDesigning Compensation Systems for a Global Sales Force – The Don’tsEvaluating and Controlling Sales RepresentativesSlide 24Personal Selling and Sales Management17 - 3Global PerspectiveInternational Assignments are Glamorous, Right?•Job security•Readjustment upon return to U.S.•Adjustment to other cultures•Will an international assignment really help your career?•Relationship marketing and customer relationship management17 - 4Designing the Sales Force•Decisions must be made regarding the numbers, characteristics, and assignments of sales personnel•Different market requirements regarding direct sales and customer approach•Territory allocation•Customer call plans17 - 5Recruiting Marketing and Sales Personnel•The largest personnel requirement abroad for most companies is the sales force•Expatriates-Numbers are declining-Important for highly technical or involved products-High cost-Cultural and legal barriers-Limited number of high-caliber personnel willing to live abroad•Virtual expatriates-Manage operations in other countries but don’t live there17 - 6Recruiting Marketing and Sales PersonnelInternational Travel – A Lot of Work17 - 7Recruiting Marketing and Sales PersonnelDeath by Violent CausesThe Economic Intelligence Unit, 2005 (WHO Data)17 - 8Recruiting Marketing and Sales PersonnelInternational Selling is Hard WorkLeaves Singapore with the Flu Arrives Home in Toronto to Broken Pipes17 - 10Recruiting Marketing and Sales PersonnelMost Expensive Cities in Which to LiveIn order of expensive The Economic Intelligence Unit, 200517 - 11Recruiting Marketing and Sales PersonnelInternational Travel – A Lot of WorkCapsule Hotel in Osaka Avon Rep in Rural Brazil17 - 12Selecting Sales and Marketing Personnel•Management must define precisely what is expected of people.•Prime requisites:-Maturity-Emotional stability-Breadth of knowledge-Positive outlook-Flexibility-Cultural empathy-Energetic and enjoy travel•Mistakes can be costly•A manager’s culture affects personnel decisions17 - 13Training for International MarketingPersonal Selling Tips – Brussels to Bangkok17 - 16Salespeople’s Distribution of 100 Points among Rewards in Terms of Their Importance•Insert Exhibit 17.417 - 18Global Compensation Systems – Compared to US PlansThe Alexander Group Clients – Primarily Hi Tech Firms17 - 19A Compensation Blueprint: How IBM Pays 140,000 Sales Executives Worldwide•Insert Exhibit 17.617 - 20Designing Compensation Systems for a Global Sales Force – The Do’s•Do involve representatives from key countries.•Do allow local managers to decide the mix between base and incentive pay.•Do use consistent performance measures (results paid for) and emphasis on each measure.•Do allow local countries flexibility in implementations.•Do use consistent communication and training themes worldwide.17 - 21Designing Compensation Systems for a Global Sales Force – The Don’ts•Don’t design the plan centrally and dictate to local offices.•Don’t create a similar framework for jobs with different responsibilities.•Don’t require consistency on every performance measure within the incentive plan.•Don’t assume cultural differences can be managed through the incentive plan.•Don’t proceed without the support of senior sales executives worldwide.17 - 22Evaluating and Controlling Sales Representatives•In the U.S., emphasis is placed on individual performance, which can easily be measured by sales revenues generated•In many countries evaluation is more complex where teamwork is favored over individual effort•The primary control tool used by American sales managers is the incentive system•In other countries, corporate control and frequent interactions with peers and supervisors are the means of motivation and control17 - 24Preparing U.S. Personnel for Foreign AssignmentsAmerican Book Center in Amsterdam – an