Sales control (often referred to as a sales control system) is a fundamental function of sales management used to monitor, evaluate, and guide a sales force to ensure a company meets its revenue, profit, and productivity objectives. It functions as a structured mechanism to measure actual sales performance against predetermined organizational benchmarks, allowing companies to course-correct deviations swiftly.
The concept can be analyzed from two primary perspectives: organizational sales management (how companies control their teams) and interpersonal sales execution (how a salesperson manages the client interaction). Types of Managerial Sales Control Systems
Academic and practical frameworks, such as the seminal work by Anderson and Oliver, categorize formal managerial controls into two main types:
Outcome Control: This system focuses strictly on objective results. Managers evaluate reps based on metrics like sales volume, revenue generated, or quota attainment, with little intervention in how the salesperson actually achieves those numbers.
Behavior (Process) Control: This system focuses on the specific actions, tactics, and job efforts of the salesperson. Managers actively monitor day-to-day activities, such as the number of sales calls made, product knowledge display, and presentation methods, providing feedback to refine skills. Core Goals of Sales Control
Implementing a robust control system satisfies several critical business needs:
Optimizing Volume: Ensuring a consistent pipeline and maximizing total completed sales transactions.
Protecting Profitability: Standardizing discounting policies and managing sales expenses to ensure sales margins stay healthy.
Sales Force Productivity: Keeping the sales team active, motivated, and aligned with company strategy while preventing burnout or toxic competition.
Risk and Fraud Prevention: In specific industries like hospitality, sales control refers to point-of-sale audits, security keys for servers, and strict reconciliation to prevent financial leakage. Sales Control in Conversations (Interpersonal Perspective) How To Take Control In Sales Without Being Rude
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