CHAPTER ONE INTRODUCTION

1.1 Background Of The Study

To compete in today‟s global markets, organizations strive to deliver their products (physical) and services (intangible) in both an efficient and effective manner. In service supply chain, human labour forms a significant component of the value delivery process and physical handling of a product leads to standardized and centralized procedures and controls in manufacturing supply chains, (Sengupta et al 2008:1). The focus of efficiencies in service supply chains is on management of capacity, flexibility of resources, information flows, service performance and cash flow management. Critical factors are demand management, customer relationship management and supplier relationship management in manufacturing supply chains and service supply chains. Sales force in any company – big or small, manufacturing or service, are charged with generating product sales from assigned customer accounts in independent territories. However, the evolving selling environment today is much more complex, demanding significant changes in performance metrics, goals, control and compensation. South-East zone is an epitome of developing and concentrated businesses that engage sales force east of the Niger. The role of sales and marketing is becoming increasingly important to manufacturing and service firms (big and SMEs) in the South-East. Unfortunately, most of these companies do not apply the theories of sales management to their sales operations. They usually rely on past experience or judgment. Sales management is considered to be recognized management process activities involving the need to plan, set objectives, develop policies, procedures, strategies and tactics, to organize and co-ordinate, direct operations, motivate, communicate, develop staff, supervise and control and evaluate results, (Bolt 1987:28).

In sales management, Alexander Hamilton Institute reported in Kalu (2005:29) that motivation and supervision are two of the most important topics. Four success factors for sales success include: Product and Application, Selling Skills, Time and Territory Management, and Motivation. Among these elements, only motivation is important in all kinds of selling. Ubanagu (2006:190) stated that motivation is the effective managerial application of tangible and intangible incentives

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