Sales Force Automation - Essay Example

Sales Force Automation Introduction: In a continuously changing business environment it has become challenge for businesses to train and equip their sales staff according to the changing needs. In order to respond to these challenges the marketing gurus have implemented many techniques & tools in order to keep up the pace with the volatile nature of business. A sales force automation program is one of the tools being implemented all over the world in companies who want to have cutting edge in their business. In order to under stand wholly the benefits of the sales force automation, it is important to understand what sales force automation actually is. As explained at trai.org “Sales force automation refers to automating all the actions related to sales of an organization or business. This is a coordination of applications that chiefly center on scheduling and contacts management. Sales force automation actions are usually incorporated with other systems that supply the status of orders, inventory and products and other related information and can be a part of a bigger program of customer relationship management.” (Trai.org, 2005) Businesses at all levels are implementing sales force automation solutions in order to meet the challenges of increased competition and improvement in market share. There is a wide range of variety available in shape of software and solution for all business levels to gain and transcend their sales forecasts. All these tools eke the process of timely information provision which help the business to audit their present positions and plan their future. The tools available for the sales automation process include personalized software, which are customized according to the specific needs of business. These solutions can be arranged according to the needs of business and sales process of a company. On the management level the sales solutions for executives and management support them in making decisions regarding the sales such as setting goals, auditing the present position of company’s sales, providing information about the marketing activities, undertake result assessment and predating more accurate estimation regarding sales of a company. These supporting tools provide the sales personnel with several benefits such as database supervision setting schedules and keep a note of different important documents. These tailored software can be easily indulged in the business system and can be transformed according to the specified needs of a company. The easy application of this software saves time. The implementation of this software also improves the control of management on the sales force. They can analyze the current position of sales activity in effective manner and provide all the important information regarding the current position of the company in the market. Another cutting edge feature of this software is the provision of security to information and data stored. Most of these softwares have in built tools which secure all the information and data stored from the risk of loss or theft. Another important feature is the easy to reach and timely provision of information to the related stakeholders. “SFA packages typically include a Web-ready database, an e-mail package, and customizable templates. A three-tiered architecture is typically used to separate the database, server, and application to reduce programming demands on clients. A module-based design is generally used, to allow users to customize the package to suit their needs. In August 2000, Oracle released a free CRM software package, OracleSalesOnline.com that makes information - such as contacts, schedules, and performance tracking - available online through the included database program. The package is designed for medium-to-large enterprises with mobile work forces. All data and storage are based at an Oracle facility, similar to the application service provider (ASP) model, which means that data can be accessed from any Internet connection and that the client doesn't need special hardware or software. The Oracle package also includes online staff training.” (IT knowledge Exchange) Opportunity management: The application of the SFA solutions helps the business to deal faster by continuously updating the information. Opportunities can be easily and swiftly analyzed and availed. For instance “FireStorm is a global Incentive Compensation Management (ICM) / Enterprise Incentive Management (EIM) application supporting virtually unlimited incentive plans, hierarchies and producers, with its Producer Administration, Contract Management, Incentive Comp Processing, and Payee Accounting modules. (Knowledge Storm) Forecasting across the Borders: These support systems enable manages to make and accurate decisions regarding the global market. “SalesWise provides the sales team with the tools they need to capitalize on more enterprise opportunities. From initial contact through opportunity and quote management and order processing, SalesWise allows the company to track all of the critical customer data and related sales events and prevents opportunities from slipping through the cracks.” (Knowledge Storm) Across the border control: Most of these solutions are designed in flexible manners so that they can be applied to business in different regions of the world. They also help management to control the sales team at international level and facilitate transactions and service provision. Greater efficiency and work flow management: The application of SFA system also results in shape of greater efficiencies and effectively manages the workflow. Products like “Sage CRM is an easy-to-use, fast-to-deploy, feature-rich, low-cost, Internet-based CRM solution designed to introduce the real benefits of CRM to the organizations. Sage CRM uses industry-leading technology to foster better business practices and effortless information exchange throughout your organization. (Knowledge Storm) Deigning teamwork: Through the use of these solutions the sales managers can properly specify and assign the duties to all the participating team members. “Microsoft Dynamics CRM a Customer Relationship Management System by Microsoft Dynamics is a software designed to enable the sales, marketing and customer service teams to build lasting, profitable customer relationships with the affordable, easy-to-use Microsoft Dynamics CRM. It’s a flexible CRM solution that works the way organization does, works the way the business does, and works the way IT wants it to.”(Knowledge Storm) Activity management: co-ordination and management of customer relationship activities can also be improved. Such as “C2 CRM -- Customer Relationship Management by IBM Corporation is a robust, browser-based Customer Relationship Management system. It offers the power and flexibility usually reserved for CUSTOM CRM solutions, with the ease of use and implementation typically associated with contact managers.” (Knowledge Storm) Data quality tools: Maintaining a large amount of data as related to customer is not an easy job. The SFA tools ensure the quality of data by checking for duplicate entries. “With the Datex EX Mobile Order Entry System solution, the sales force gains access to critical customer and product information from the field. This allows the sales force to reduce their response time to customers while increasing their productivity.” (Knowledge Storm) Sales analysis & forecasts: The SFA tools provide the managers with the facility to analyze more accurately the future sales. Soffront Sales helps the sales force in lead tracking, to close more sales, to forecast better, to improve the productivity of the sales force, and to leverage cross sell/up sell opportunities. With Soffront Sales, the management knows where to focus and will have clear, immediate visibility to the sales pipeline. (Knowledge Storm) Increased Mobility: Through the special provisions in some of these SFA solutions, the sales reps can stay in touch with their data at office data centers. Increased Contact with customers: Xert CM is an enterprise-level solution to manage organizational contacts, contact lists, & segmentation capabilities to leverage contacts and communications histories across multiple business areas. It is a web-based, resident software application, enabling secure/flexible connections with multiple contact sources.” (Knowledge Storm) The Return on investment is an important tool in analyzing the appropriateness of these tools and support systems. Some of the solution designing companies provides support for the companies in order to implement these CRM solutions effectively. “BPT Partners research is designed to provide the data and the tools to achieve a significant return on investment (ROI) for companies who are planning on a CRM engagement or who have been engaged in CRM for a time. Our research supports all phases from strategy through implementation.” (Knowledge Storm, 2006) Call Centers: In the last few years-another important advancement has taken place in shape of call center. The growing success of call centers in order to increase the sales of companies has made them the strategic asset of the organizations. Call centers are an effective primary way of contact between the companies and customers. With the changing business attitudes a need of rebounding between the customers and the business corporations is also felt. The call centers are seen as an important instrument in order to explain the sales executives what is being required by the customers in shape of products and services and hence improving the sales by targeting the actual requirements of the customers. It has now become the necessity for the organizations to make their call centers work more effectively since call centers are an effective tool of reaching the customers of all levels. The following advantages are attached with the use of call centers Greater corporate flexibility, increased sales, Happier customers. With the provision of opportunities for the sales departments the automation of the Sales force has posed several challenges to the IT departments of companies with significant challenges, which has limited the ability of sales managers to track sales activity and manage their team. The use of the data at many ends by the different users at their individual ends give rise to problems. This makes the whole scenario difficult since in the case of the sales automation process many stakeholders are involved having different use cases and scenarios. In order to effectively deal with the situation a technique called "synchronization" is undertaken. “It is the process of passing changes around to all other copies of the sales automation software. Problems with synchronization occur when a company has: Multiple offices that need to work together Field salespeople who are frequently on the road Channel partners who work directly with the company's sales representatives For many companies, synchronization is not a problem because the entire sales force works from offices at headquarters where computers are connected via a local area network. However, once remote sales offices are opened, the synchronization problem begins. For companies with remote locations, the solution is to use of the hosted sales automation services. These application service providers (ASPs) maintain a central server and database, as well as the Web application that can be accessed through a browser from anywhere there is an Internet connection. As more companies come to depend on e-mail for communication with remote offices and a mobile sales force, it makes sense to also use a hosted sales force automation system that doesn't depend on synchronization.” (Cliff Allen Consulting) Well-implemented direct sales systems can revolutionise the future reputation and business scale of a company. (Cartwright, 2002) cites the example of Cisco which, operates in over 115 countries using a direct sales force, distributors, value-added resellers and system integrators. The company is headquartered in San Jose, CA. With major operations in Research Triangle Park, NC, and Chelmsford, MA; as well more than 225 sales and support offices in 75 countries. As a company that is in tune with the individual needs of its customers Cisco does not take a rigid, product-led approach that favours one particular solution regardless of the fit with customer requirements. Cisco’s philosophy is to listen to customer needs and then develop solutions for discussion to ensure that those needs are met-a customer-driven approach. (P.28) Cisco describes the method of operating as a global networked business model. A global networked business is an organisation, of any size, that uses information and communications strategically to build a network of strong. An interactive relationship with all its key constituencies, such a model is a natural complement to the Internet. The global networked business model leverages the network for competitive advantage by opening up the corporate information infrastructure to all key constituencies. The global networked business model employs a self-help model of information access that is more efficient and responsive than the traditional model of a few information gatekeepers dispensing data as they see fit. Cisco itself is a leading example of a global networked business. By using networked applications over the Internet and its own internal network, Cisco is seeing financial benefits of nearly $1.4bn a year, while improving customer/partner satisfaction and gaining a competitive advantage. (P.29) Hence from the above discussion it is cleared that the Sales force automation is inevitable in this era of volatile business environment. Many synchronise-able products are available in order to cater the need of the business although there are also some risks attached to these products. But careful and effective application of these products can play an important part in the hyper growth of the businesses. References Cartwright, R. “The E-Dimension.” Strategies for Hypergrowth”, Capstone Publishing, United Kingdom, 2002. p. 28-29 Cliff Allen Consulting, “What is Sales Force Automation?” Strategic Marketing for Growing Companies. 2006.Available from http://www.allen.com/cgi-bin/gt/tpl.h,content=2 IT knowledge Exchange, “Sales force automation.” 2004. Available at http://whatis.techtarget.com/definition/0,,sid9_gci350521, 0.html Knowledge Storm, Inc., (2006). Available at http://productfinder.gcn.com/gcn/search/browse/23/23.jsp Trai.org, (2005). Sales Force Automation, available at http://www.trai.org/ Read More