Question: 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

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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