Sales Management’s Influence on Employment and Training in Developing an Ethical Sales Force

Because it is believed sales performance can be enhanced through ethical behaviors, increasingly, emphasis is being placed on understanding unethical behaviors among key customer-contact employees and the environment in which these sales professionals engage clients. In this context, understanding how the direct supervision of the sales force (sales managers) can shape the ethical behavior of salespeople may be a critical controllable key to understanding unethical sales behaviors that offers upper management strategic opportunities to enrich customer relationships. In this framework of understanding unethical sales behaviors, 240 sales managers were surveyed to determine their impact on unethical sales behaviors. The results indicate that although the overall ethical climate influences ethical attitudes of sales managers, importantly, these managerial attitudes impact ethical training and hiring evaluations of the sales force. Further, the positive relationship found between the ethical attitudes of sales managers and their hiring evaluation criteria affects unethical sales force behaviors. Detailed implications of the results are presented in the study.     

Psychological ethical climate,leader–member exchange and commitment to superior customer value: influencing salespeople’s unethical intent and sales performance

In today’s competitive environment, salespeople are challenged with creating customer value in an ethical manner while meeting performance goals. Sales supervisors play a critical role in ensuring that this challenge is met. This research examines the roles of psychological ethical climate and leader–member exchange (LMX) in encouraging salespeople’s commitment to providing superior customer value, reducing their unethical intentions and improving sales performance. Results indicate that business-to-business salespeople’s psychological ethical climate perceptions influence their perceived relationship with their sales supervisor (i.e. LMX relationship) as well as their commitment to providing superior customer value. LMX also directly influences commitment to providing superior customer value, which in turn affects salespeople’s unethical intent and quota performance. Theoretical and managerial implications based on the study’s findings are provided, as well as directions for future research.     

Examining the Impact of Servant Leadership on Sales Force Performance

Much has been written about the importance of focusing on customers to drive organizational success. In this paper, aspects of manager–salesperson relationships are examined as drivers of deeper customer focus in salesperson–customer interactions. In particular, managers’ servant leadership, a leadership style emphasizing genuine concern for subordinate welfare, is examined as a catalyst of parallel concern by salespeople for their customers. Salesperson perceptions of managers’ servant leadership empirically relate to salesperson customer orientation, in turn driving adaptive selling behaviors, customer-directed extra-role behaviors, and sales performance outcomes. Other results and implications for management and sales leadership research are presented.     

Distinguishing Between the Roles of Customer-Oriented Selling and Adaptive Selling in Managing Dysfunctional Conflict in Buyer–Seller Relationships

A national random sample of industrial salespeople was surveyed to examine the relationships among selling behaviors, trust, conflict, and sales outcomes, such as performance and anticipation of future interaction. Results indicate that trust mediates the effects of selling behaviors on sales outcomes, and conflict moderates this mediating effect. While salespeople could use customer-oriented selling as an antidote for the ill effects of dysfunctional conflict on trust, adaptive selling only serves to enhance salesperson trust in customers. Thus, the results of the study distinguish between the roles of customeroriented selling and adaptive selling in relationship marketing. Furthermore, when salespeople perceive that their sales managers are highly customer oriented and highly adaptive, they themselves become more customer oriented and more adaptive. Thus, as role models, supervisory selling behaviors contribute to salespeople’s ability to leverage their trust in customers. Based on these results, the managerial implications for selling organizations are discussed.     

Drivers and outcomes of salespersons’ value opportunity recognition competence in solution selling

Abstract

In B2B markets, firms seek to provide customer solutions instead of merely selling goods or services. As boundary-spanners, salespeople are pivotal for implementing this strategic shift. Yet, extant literature provides limited insights into salesperson’s resources and competencies required for customer solutions, particularly in the early phases of solution selling. This research focuses on salesperson’s value opportunity recognition competence (VOR), which is a central requirement for salespeople to be able to navigate the early phases of solution selling. Analyzing large-scale, multi-level data of 799 salespeople and their respective sales managers in 29 sales organizations, the authors investigate the role of different salesperson resources and work environment characteristics for strengthening their VOR. The authors find that salespeople need both customer and technical knowledge, but customer knowledge is more important. Salespeople also can substitute individual technical knowledge with strong internal relations, but strong customer relations are no substitute for individual knowledge about customers’ business models and processes. Formalization turned out to be a double-edged sword in the context of VOR development, while transformational leadership has positive effects only. The findings bear concrete implications for improving the selection, training, and work environment of solution salespeople.     

Product Innovativeness,Customer Newness,and New Product Performance: A Time-Lagged Examination of the Impact of Salesperson Selling Intentions on New Product Performance

In this time-lagged study, we illuminate the role of the sales force in new product introductions by examining the impact of salespeople’s selling intentions on new product performance. Survey responses from 439 salespeople selling one product and 362 salespeople selling a second product suggest that salespeople’s selling intention is a key mediating variable. In particular, product innovativeness has a positive impact and customer newness has a negative impact on new product performance. However, both variables work indirectly through salespeople’s intention to sell new products. We conclude with managerial implications of our fi ndings and directions for future research.     

Moral Philosophy,Ethical Evaluations,and Sales Manager Hiring Intentions

A growing body of evidence shows an influence of moral philosophies on ethical decision-making. Despite the importance of ethical considerations in sales force selection, the influence of sales managers’ ethical evaluations on hiring practices has received scant attention. This study examines sales managers’ ideological orientations, ethical evaluations of hypothetical salespeople portrayed in scenarios, and the effect of such evaluations on the intent to hire salespeople. Results of a cluster analysis highlight that four ideology-based segments of sales managers exist, with absolutists dominating the 268 sales executives surveyed. Furthermore, it was found that ideological relativism influences managers’ judgments of ethical behavior and hiring intentions, but idealism did not play a role. In turn, ethical judgments of justness, fairness, moral rightness, and acceptability influence hiring intentions.     

Salesperson Ethical Decision Making: The Impact of Sales Leadership and Sales Management Control Strategy

Enhancing the moral behavior of salespeople is increasingly important, but difficult, in today’s fast-paced and complex selling environment. Sales organizations need to emphasize ethical codes of conduct, but must also address the potential impact of all sales management decisions on the ethical behavior of salespeople. We expand the focus on ethical codes to include an interpersonal dimension of sales organization ethical climate and the cognitive moral development of salespeople. Relationships among sales leadership and sales management control strategy, the structural and interpersonal dimensions of sales organization ethical climate, salesperson cognitive moral development, and salesperson moral judgment are discussed and specific propositions presented. These propositions suggest specific directions for future sales ethics research and have key implications for sales organizations.     

Special Abstract Section: National Conference in Sales Management

Sales managers need a practical means for evaluating returns from investments in sales technology implementations (including sales automation and sales-based customer relationship management systems). This research proposes a behavioral process model approach that can be applied to evaluate sales technology implementations. We develop and test the model with data collected from the sales force of a major consumer packaged goods company. The results indicate that a salesperson’s technology orientation has a direct impact on internal role performance, and it affects performance with customers through a double-mediated mechanism involving the effective use of information and smart selling behaviors (planning and adaptive selling). Sales managers can influence sales technology orientation by providing better internal technology support, considering technology orientation along with customer’s approval of technology in account assignments, and understanding the probability of negative effects through a salesperson’s experience. In our sample, salesperson experience correlates with age, suggesting a “generation gap” effect on sales technology orientation.     

Salesperson ambidexterity and customer satisfaction: examining the role of customer demandingness,adaptive selling,and role conflict

This research investigates the effects of sales-service ambidexterity on salesperson role perceptions, behaviors, and customer satisfaction. Using a business-to-business, salesperson-customer sample, we build and test a model which highlights both the positive and negative consequences of this simultaneous goal pursuit. Specifically, while sales-service ambidexterity positively impacts adaptive selling behaviors, it also increases perceptions of role conflict among salespeople. Customer demandingness moderates these relationships. Taken together, the results provide insights for firms on how to manage their sales force to optimize both sales and service outcomes based on characteristics of their salespeople and customers.     

A Framework of Technology Mediation in Consumer Selling: Implications for Firms and Sales Management

Firms regard technology as a strategic tool to enhance sales effectiveness, improve customer service, and reduce costs. Within the context of sales technology, the focus of the paper is on the effect of technology mediation in consumer selling environments. Extant research has typically been at a micro-level and concentrated in two distinct areas: (1) salesperson adoption of sales technology and its effect on salespeople’s performance and (2) consumer adoption of technology and the use of technology in decision making. The paper examines the simultaneous effect of technology-mediated selling on both salespeople and consumers, at both micro- and macro-levels.     

The impact of sales contests on customer listening: an empirical study in a telesales context

Companies often use sales contests to achieve short-term objectives to motivate salespeople and to boost sales. However, sales contests also may encourage salespeople to adopt less relational behaviors and limit their ability to manage customer relationships, as manifested in their customer listening practices. Therefore, this study, based on a natural field experiment, examines the effects of a sales contest on customer listening. In so doing, four dimensions of customer listening (passive, active, adaptive, and assertive listening), associated with a process of listening (Hearing, Processing, and Responding), were identified. The study helps clarify the effect of a sales contest on these four dimensions of customer listening by telesales agents. The results reveal that this sales contest exerts negative effects only on the active and passive customer listening, not on the adaptive and assertive customer listening. The study sheds light on how sales contests influence important behaviors such as customer listening, as well as on the nature of customer listening itself.     

Selling with technology: understanding the resistance to mobile sales assistant use in retailing

The rise of online competitors and increasingly well-informed customers have spurred stationary retailers to take measures to increase the quality of face-to-face selling as a key differentiator. Mobile sales assistants (MSAs) represent an intensively discussed technological approach to address these challenges in the salesperson–customer dyad. However, in many cases, salespeople do not or only sporadically use MSAs. Prior research provides inadequate answers as to why this is the case, as extant technology acceptance and resistance theories have limited applicability to MSAs. To address these research gaps, the authors conduct a qualitative, theory-building approach and identify 21 factors associated with resistance. In a subsequent quantitative survey study, they validate these factors and refine their conceptual structure. The results show that several largely unknown factors are associated with salespeople’s resistance to MSA use: The three higher-order constructs, ‘incongruence’, ‘relationship deterioration’, and ‘operational imperfection’, are newly introduced to the literature on technology resistance. The findings extend prior technology acceptance and resistance theories and provide comprehensive insights for retail managers.     

Increasing Sales Productivity by Getting Salespeople To Work Smarter

Recent research indicates that sales productivity can be substantially improved if salespeople place more emphasis on an aspect of working smarter, i.e., practice adaptive selling. This paper suggests ten approaches that sales managers can use to improve sales performance by encouraging and assisting their salespeople to practice adaptive selling.     

Alcohol Abuse in the Sales Force

Abstract

Much of the literature on the problem of alcohol abuse in the nation and in the work place implies that salespeople should be particularly susceptible to problem drinking. Most discussion of alcohol abuse by salespeople has been anecdotal and speculative in nature, however, and little empirical research has been reported to support the anecdotes and speculations. This study examines the problem of sales force alcohol abuse and reports the findings of a nationwide survey of field sales managers concerning the extent of this problem in the nation's sales forces, the methods of dealing with alcohol-abusing salespeople, and factors related to problem drinking in the sales force. Implications for sales managers, sales management educators and trainers, and researchers in the field of sales and sales management are also discussed.     

The risky side of inspirational appeals in personal selling: when do customers infer ulterior salesperson motives?

In personal selling, the inspirational appeal (IA) is a widely promoted tactic that aims at stimulating customers' values and ideals, thereby evoking emotions and arousing their enthusiasm for a product. However, whether IAs in fact improve or undermine salespeople's success in sales talks remains controversial. Therefore, this study examines consequences and key contingencies of IAs in customer–salesperson interactions in a retailing context, using multisource data from several retailing industries for three quantitative studies, comprising a total sample of 590 customer and 174 salesperson responses. Drawing on the Multiple Inferences Model (MIM), the authors show that an IA is likely to drive the customer's inference that the salesperson holds ulterior motives. IAs seem to be particularly detrimental for salespeople with a lack of customer orientation. Beyond expanding research on influence tactics and the ambivalent role of IAs in retailing interactions, these findings can guide practitioners about when to refrain from using an IA.     

The good,the bad and the effective: a meta-analytic examination of selling orientation and customer orientation on sales performance

The concept of customer orientation (CO) is a focal construct in marketing and sales literature. Saxe and Weitz introduced CO to contrast the traditional high-pressure approach to sales (selling orientation). This study synthesizes empirical evidence from 1982 to 2013 to provide insight into the antecedents and consequences of both CO and selling orientation (SO). A conceptual meta-analytic model based on research into interpersonal motive models is proposed and tested using effect sizes from 126,790 salesperson survey responses to advance theory development on our understanding of how SO and CO behaviours affect organizations. Findings show that adaptive selling mediates the impact of both SO and CO which has important practical implications for hiring and training salespeople. Furthermore, this study shows that goal orientations are antecedents of SO and CO and that the impact of SO on job performance varies by customer type.     

Cognitive Style as an Antecedent to Adaptiveness,Customer Orientation,and Self-Perceived Selling Performance

Data from 396 real estate salespeople offer structural model evidence of the antecedence of salesperson cognitive style (Jung, 1971) to adaptive selling behavior, and to sales orientation-customer orientation and self-perceived selling performance. Four hypotheses were supported: Salespeople who prefer information intake by intuiting (rather than sensing) and information processing/decision-making by thinking (rather than feeling) were found to be more likely to practice adaptive selling; the more adaptive selling was practiced, the greater customer orientation became; and the greater the customer orientation, the better the self-perceived selling performance. Implications exist for salesperson training, management, and motivation research.     

Fostering collaborative mind-sets among customers: a transformative learning approach

To succeed and grow, companies must win new customers. However, selling innovative solutions to prospective business customers remains challenging. We seek to explore how salespeople create, early in the sales process, collaborative customer mind-sets to accommodate learning and adoption of new solutions. By applying transformative learning theory and analyzing authentic video-recorded business-to-business (B2B) initial sales meetings, we are able to determine the microlevel processes and mechanisms taking place in transformative sales dialogue. In this article, we outline seven interactional activities occurring in reflective dialogue cycles, a key means by which salespeople create new customer mind-sets. Reflective dialogue cycles form a spiral-shaped process requiring completion to achieve a shared new understanding favorable to adopting new approaches. Through our analysis, we demonstrate the value of transformative learning theory in better understanding sales interactions. Along with theoretical contributions, our results may help managers and salespeople better develop new business customers.