motivation 7

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    Salesperson

    Performance:Motivating the

    Sales Force

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    Psychological Process ofMotivation

    • Motivation is an individual’s choiceto:

     – Initiate action on a certain task

     – Expend a certain amount of eort onthat task

     – Persist in expending eort over a period

    of time

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    Bases for Motivation

    • Expectancies – the perceived linkageset!een more eort and achievingimproved performance

    • Instrumentalities – the perceivedrelationship et!een improvedperformance and receiving increasedre!ards

    • "alence for re!ards – the perceivedattractiveness or intrinsic value there!ards the salesperson might receive

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    Expectancy

    • # salesperson’s perceived link et!een $oeort and achieved performance

    • Estimates the proaility that increased

    eort !ill lead to improved performance•  Accuracy of expectancies is ased on one’s

    understanding of the relationship et!eeneort and achievement

    Magnitude of expectancies is the perceptualvalue assigned to an expectancy ased onthe aility to control the re%uiredperformance

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    McGraw-Hill/Irwin Copyright   © 2006 by The McGraw-Hill Companies, Inc !ll rights7-6 

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    Instrumentalities

    • &ink $o performance and availale re!ards'

    • Estimate of the likelihood that an improvementin performance !ill lead to a speci(c re!ard'

    • Accuracy of Instrumentalities ) ased on theperceptual clarity of understanding therelationship et!een improvement*achievement and availale re!ards

    • Magnitude of Instrumentalities ) an estimate ofthe intrinsic value of (rm’s compensation plan

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    "alences for +e!ards

    • Measure perceptions of the desiraility ofreceiving increased re!ards throughimproved performance

    •,ther re!ards may e%ual or exceed thevalue of increased (nancial compensation

    •  -he kinds of re!ards deemed most desiredand most eective for motivation varies per

    individual

    • .atisfaction !ith current re!ards dependsupon perceived value

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    Personal /haracteristics #ectingMotivation

    • Individual satisfaction !ith currentre!ards

    • 0emographic variales

    •  1o experience

    Psychological variales –personalitytraits and attriution of meaning toperformance

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    .atisfaction

    • 2orkers currently dissatis(ed !ith theirre!ards value lo!er)order re!ards mosthighly – Maslo!’s hierarchy of needs – 3er4erg’s theory of motivation – #lderfer’s existence and gro!th theory

    • 3igh)order re!ards !ill e valued morehighly after lo!er)order needs for re!ards

    have een satis(ed• .alespeople satis(ed !ith their current

    income 5a lo!er)order re!ard6 assign lo!ervalences to earning more pay

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    0emographic/haracteristics

    • ,lder* more experienced salespeopleotain higher levels of lo!)order re!ards

    • .atisfaction !ith the current level of

    lo!er)order re!ards may also ein7uenced y the demands andresponsiilities the sales rep must satisfy!ith those re!ards

    •Individuals !ith more formal educationare more likely to desire opportunities forhigher)order re!ards

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     1o Experience

    • More experience provides

     – clearer idea of ho! expending eortaects performance

     – understanding of ho! superiorsevaluate performance

     – ho! certain performance leads to

    re!ards• Magnitude of expectancy perceptions

    relates to experience'

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    Psychological -raits

    • Motivation seems to e aected ypsychological traits'

    • .trong achievement needs coincide!ith higher valences for higher)orderre!ards

    • .elf)esteem* perceived competence*

    and aility to perform $o activitiesrelate positively to the magnitude ofexpectancy estimates

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    Performance #ttriutions

    • People try to identify and understand the causesof ma$or events and outcomes in their lives

    • .tale internal factors – unlikely to changemuch in the near future

    • 8nstale internal factors – vary from time totime

    • .tale external factors – e'g'* the nature of thetask or competitive situation in a particular

    territory• 8nstale external factors – may change next

    time

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    Management Implications

    • +elationships et!een characteristicsand motivation levels have t!o roadimplications for sales managers:

     – -hey suggest people !ith certaincharacteristics are likely to understandtheir $os and their companies’ policiesespecially !ell

     – .ome personal characteristics are relatedto the kinds of re!ards salespeople arelikely to value and (nd motivating

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    /areer .tages andMotivation

    • Exploration – lack of assurance

    • Estalishment – selection of selling asan occupation and desire for career

    success'

    • Maintenance – seeking to retain presentposition* high status* and achievement

    • 0isengagement – preparation forretirement and possile loss of self)identity

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    /auses of Plateauing

    • &ack of a clear career path

    • Boredom

    9ailure to manage the personeectively

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    .olutions for the Plateaued.alesperson

    •  -alk !ith salesperson aout prolem

    •  0iscuss reasons and possile solutions

    •  /onduct motivations sessions

    •  Manage* lead and communicate

    •  /ut salesperson’s responsiilities

    •  #ssign to a ne! territory

    •  Inform rep on hisher responsiilities•  Provide time o 

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    Impact of Environment onMotivation

    • "ariations in territory potential andstrength of competition constrainaility to achieve high levels of

    performance

    • 8nderstanding ho! and !hysalespeople perform dierently under

    varying environmental circumstancesis useful to sales managers

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    .upervisory "ariales and&eadership

    • /loseness of supervision – Most occupations prefer relatively free from

    supervision

     –

    B);)B salespeople prefer close supervision• .pan of control – increased span of

    control results in decreased supervision

    • 9re%uency of communication –

    increased communication meansdecreased role amiguity

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    Incentive and /ompensationPolicies

    • Policies concerning higher)order re!ards canin7uence the desiraility of such re!ards

    • Preferential treatment for