Question: *Please do not copy answer from previous post. I will not give you a thumbs up* Using the information provided below, calculate the total salesforce
*Please do not copy answer from previous post. I will not give you a thumbs up*
Using the information provided below, calculate the total salesforce size necessary by using each of the following approaches:
Breakdown
Workload
Incremental
Your answers may vary because each piece of information does not apply to the same company. Be sure to show your work. Summarize your approaches in 2-3 pages and provide support/rationale for which approach is most effective. Finally, explain the advantages and disadvantages of each approach and discuss which approach you would recommend using to determine salesforce size and why.
Sales of $80 million are forecast for next year.
Fifteen thousand calls are needed in the market area to succeed.
Salespeople generate an average of $2 million in annual sales.
A salesperson can make an average of 500 annual sales calls.
Marginal salesperson cost is $65,000. With 88 salespeople, the marginal salesperson profit contribution is $75,000. This profit contribution decreases by $5,000 with each additional salesperson added to the base of 88 salespeople. Marginal salesperson cost remains constant.
Turnover is 10% annually.
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