Sales Organization Structures

Sales Organization Structure depicts a formal relationship that exists between workers in an organization in relationship to their positions.

The following are some of the sales organization structures;

  • Functional Organizational Structure

In this structure, various departments are established on the basis of operations done such as sales departments, advertisement, sales promotion, credit, finance etc. The structure gets all the advantages of specialization.

Shareholders

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Managing Director/ CEO

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Advertising Manager Marketing Manager Sales Promotion Manager Finance Manager

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After Sales Services Manager Product Planning Manager Sales Manager

  • On The Basis of Regions

If a company has a very wide sales territory, i.e. nationally or internationally it may choose to prepare its swales organization structure on this basis.

The entire territory is subdivided into regions and a Regional Manager is appointed. The activities of the Regional Manager are subdivided and controlled by the Sales Manager. The departments of advertisement, sales promotion and marketing research are established as central departments.

Marketing Manager

Marketing Research Manager Product Development Manager Advertisement and Promotion Manager Sales Manager

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Regional Manager Region A Regional Manager Region B

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Sales Supervisors

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Salesmen

  • On the Basis of Product / Brand

In this case, when a company produces more than one product it can establish its sales organization structure on the basis of products.

Different departments are established for the different products. A Sales Manager is appointed for every product and is responsible for all the operations in the department.

The units of advertisement, sales promotion, marketing research, may be established as central departments.

Marketing Manager

Marketing Research Manager Product Planning Manager Sales Manager (Brand A) Sales Manager (Brand B)

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Salesmen Brand A Salesmen Brand B

  • On the Basis of Customers

A sales organization structure can also be prepared on the basis of the nature of the customers. Various departments are established for different customers such as the wholesale department, retail sales department, and export department. The departments of advertisement, sales promotion, marketing research, etc. can be established as central departments.

Shareholders

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Board of Directors

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Marketing Manager

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Sales Manager

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Wholesale Manager Retail Manager

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Domestic Sales Manager Foreign Sales Manager

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Sales Assistants
Salesmen

Post Author: Sam Muya