THE IMPACT OF MOTIVATION ON THE PERFORMANCE OF THE SALES FORCE
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FIRST PART
INTRODUCTION
1.1 INTRODUCTION TO THE STUDY
The word motivation comes from the Latin verb’movere’, which means to move (Baron, Henley, McGibbon and McCarthy, 2012). Certo (2016) defines motivation as the provision of incentives that induce desired behavior.
Motivation has alternatively been defined as the stimulation and maintenance of goal-directed activity (Nelson, 2013). There are two sorts of motivation, namely extrinsic and intrinsic, as is generally accepted. Intrinsic motivation is a person’s conduct that is prompted by the positive experiences associated with the behavior itself (Mosley, Pietri and Mosley Jnr, 2012).
They arise from the intrinsic incentive inherent to the task itself. Receiving good acknowledgment, praise, a sense of accomplishment, and meeting the task are examples. According to Beer and Walton (2014), intrinsic benefits are derived from the performance of the work itself and can include a sense of success or power. Extrinsic motivation is defined by Mosley, Pietri, and Mosley Jr. (2012) as action performed not for its own sake, but for the consequences connected with it. Salary, benefits, and working conditions are examples. Extrinsic benefits include money, perks, and promotions from bosses and coworkers as appreciation from the organization (Beer and Walton, 2014).
Customers are more demanding and aware than ever before, and they have access to a vast array of options that might suit their demands and requirements. In this environment, the performance of companies is based on the management and leadership of salespeople, as well as their retention. Salespeople are the most visible company representatives and frequently the only ones that interact directly with clients. Therefore, a company’s sales staff plays a crucial role in identifying client demands, fostering consumer confidence, and enhancing trade ties. Motivation is a process that begins with a physiological or psychological desire and motivates a performance directed toward a goal. Managers must keep in mind that salespeople are motivated by a variety of motivations, not only external or internal ones (Manion, 2005, p. 283). This affords managers the ability to restructure their workforce (Manion, 2005, p. 283) Rodrigues, Guerra, and Camara (1997) note that managers must recognize that success stems not only from advanced technology, financial bases, and competitive market positions, but also from motivated employees with the appropriate professional skills that contribute to their performance, productivity, and high productivity. In the function of a company’s sales department, performance is the deciding factor. The sales force is viewed and studied from two perspectives: first, assessing the behavior of the sales force in the context of achieving the organization’s goals (behavioral performance) (Churchill (Baldauf et al., 2001), including sales calls, bids made, and customer meetings, as well as the current level of sales achieved (production performance) (Baldauf et al., 2001), and the performance of the results that consists of the results attributable to sellers (Business Week, 1994).
In order to compete in today’s global marketplaces, businesses seek to deliver their products (tangible) and services (intangible) as efficiently and effectively as possible. In the service supply chain, human labor is a crucial component of the value delivery process, whereas in industrial supply chains, physical product handling results in standardized and centralized procedures and controls (Sengupta et al 2008:1). Efficiency in service supply chains focuses on capacity management, resource flexibility, information flows, service performance, and cash flow management. In manufacturing and service supply chains, demand management, customer relationship management, and supplier relationship management are crucial components.
Any company’s sales staff, whether large or small, manufacturing or service, is responsible for generating product sales from designated client accounts in separate regions. However, the modern selling environment is significantly more complex, necessitating substantial changes in performance measurements, goals, management, and reward.
At any one time, employees are motivated by a combination of both incentives (Riggio, 2013).
Performance evaluation is one of the most essential human resource (HR) practices, through which supervisors assess the performance of subordinates (Neeraj, 2014). According to Aguinis (2013), the purpose of the performance appraisal is to measure and improve the employee’s actual performance as well as their future potential; it measures what an employee does. Generally, performance evaluation is recognized as one of the most essential human resource management activities.
Moreover, (Judge and Ferris 2013) a competent performance evaluation and management system is essential to an organization’s human resource management adequacy.
(Guest, 1997). Important components of assessment success are employee reactions to appraisal in terms of perceived employee fairness, accuracy, and satisfaction, because these perceived employee reactions can inspire employees to improve performance (Taylor, Tracy, Renard, Harrison and Carroll 2015). In other words, performance appraisal is a technique of offering feedback that can lead to enhanced performance (Tornow, 2013). Consequently, the focus of this study is the function of motivation and its effect on sales force performance.
1.2 DESCRIPTION OF THE PROBLEM
In a global world characterized by intense competition, firms are under constant pressure to keep their employees (Deci, 2013). Employees who are highly skilled, dependable, and experienced are an advantage to any firm. Clearly, highly driven people are more likely to exhibit high levels of productivity. Nevertheless, according to Certo (2006), good performance is not solely the product of motivation, but also ability, i.e. skills, equipment, supplies, and time.
Despite giving above-average compensation, certain companies have been known to have excessive employee turnover (Aguinis, 2012).
This indicates that money is not the main motivator for employees. Additionally, various variables motivate various individuals. Not assuming a one-size-fits-all strategy, managers and supervisors must understand what motivates individual personnel.
(2013) George and Jones. A company is only as powerful as its employees.
Human resources must be handled with care, as they are a unique resource that requires specific managerial attention and time (Storey, 2013). Consequently, research such as this are an excellent resource for assisting firms in identifying and maximizing methods to encourage employees while minimizing employee turnover and underperformance (Steers and Porter, 2011). Human resource, among other production elements in the organization, is what creates the difference (Kreitner and Kinicki, 2013). An agent’s production is deemed satisfactory when their gross commission is high. Human capability and dedication distinguish eventually successful businesses from those that fail (Deci, 2013).
These issues need an investigation into the function of motivation and its impact on sales force performance.
1.3 OBJECTIVES OF THE RESEARCH
The overall purpose of the study is to investigate the effect of motivation on sales force performance. Among the specific aims of this study are the following:
Determine the frequency of sales force motivation within Nestle PLC.
To examine the internal and extrinsic elements that best describe the level of sales team motivation.
Determine whether incentive influences the behavioral performance of Nestle PLC’s sales staff.
Determine the relationship between sales force motivation and work satisfaction at Nestle PLC.
THE IMPACT OF MOTIVATION ON THE PERFORMANCE OF THE SALES FORCE
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