Module Seven

Sales Leadership,
Management, and Supervision
 Learning Objectives

1. Distinguish between sales force leadership,

management, and supervision.
2. Explain how the LMX model and leadership style
approaches contribute to contemporary sales
leadership.
3. List of the six components of the sales leadership
model.
4. Discuss five bases of power that affect leadership.

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Learning Objectives

5. Explain five influential strategies used in

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

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Setting the Stage

Sales Leadership: SAP America

1. What is the part of SAP’s mission

statement mentioned in the vignette?
2. How does Bill McDermott build the best
possible sales team?

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 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.

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Contemporary Views of
Sales Leadership

• Leadership Style
– Transactional leadership
– Transformational Leadership
• Leader-Member Exchange (LMX) Model
– Leadership style is unique for each
salesperson

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Leadership Model for Sales Management

Goals & Situation

Objectives Time Constraints
Individual Nature of Tasks
Organizational History and Norms

Sales Needs
Power Manager’s
Sales Manager Leadership
Salespeople
Effectiveness Other People

Leadership
Skills
Power Anticipation
Salespeople Diagnostic
Selection
Other People Communication
- Influence Strategy
- Communications
Mechanisms

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Power and Leadership

Five types of power which may be present

in interpersonal relationships:
Expert Power
Referent Power

Legitimate Power

Reward Power
Coercive Power

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 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

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 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

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 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
salespeople’s goals.

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Leadership Skills

• Anticipating and Seeking Feedback

• Diagnostic
• Selection and Matching
• Communication

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Communication Skills:
Influence Strategies

• Threats (coercive power)

• Promises (reward power)
• Persuasion (expert or referent power)
• Relationships (referent or legitimate
power)
• Manipulation

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Coaching
The continuous development of salespeople through
supervisory feedback and role modeling. Suggestions for
affective coaching include:
• Take a we approach
• Address only one or two problems at a time
• Don’t 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

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 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

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 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

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 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
company’s gain.

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Approaches to Management Ethics

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.

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Approaches to Management Ethics

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.

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 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.

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Meeting Ethical and
Moral Responsibilities

Type Direct Effect Examples

• Expense account cheating

Nonrole Against the firm • Embezzlement
• Stealing supplies

• Superficial performance
appraisal
• Not confronting expense
Role Failure Against the firm
account cheating
• Palming off a poor performer
with inflated praise

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 Meeting Ethical and
Moral Responsibilities

Type Direct Effect Examples

• Bribery
Role Distortion For the firm • Price fixing
• Manipulation of suppliers

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams
 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

Professional Selling: Module 7: Ingram LaForge Avila

A Trust-Based Approach Sales Leadership, Management, and Supervision Schwepker Jr. Williams