Discuss the advantages and disadvantages of sales force automation

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Discuss the advantages and disadvantages of sales force automation

Ruby Peers: 15526041

The introduction of the laptop computer in the 1980’s presented the first opportunity and possibilities for companies with a sales force to automate their tasks (Engle and Barnes 2000, 216). This process is referred to as Sales Force Automation (SFA) and involved the integration of computer software and hardware to automate the routine sales activities throughout the company (accessed 5/08 ). From this point onward companies continued to expand or implement SFA technology to benefit their business practices and help find that competitive edge among their rivals. SFA is a large field of hardware and software technology this sees different companies seizing the opportunity in different ways or methods. For example small business may only need the bare minimum such as a laptop computer and an email-recording program. Whilst larger businesses such as a the airline industry have a lot more customers and therefore need more technology such as order processing machines, contact management and order tracking systems in order to keep on top of their business activities. With SFA being such a large concept there are bound to both benefits and downfalls in its implementation to particular businesses. The benefits of a properly implemented SFA technology go well beyond increasing a sales person’s productivity (Gillian 1992, 19) They include Improved access to information, a decrease in the sales cycle, staying in line with their competition and a higher rate of new customer prospects. Whilst the downfall in running a SFA system can be extensive training, cost time and money, the technology not suiting the business and a lack of user involvement. With both negatives and positive business have to make the decision whether their company will benefit or not and what type of system they will be most beneficial, with this there are several advantages and disadvantages they can take into account.

Everyday there continues to become new ways and measures of automating businesses. Whether it’s a software program such as employee performance evaluation, inventory control or a machine such as check-in at domestic airline terminals or ATMS. As there becomes a wider array of technology the more suited it will become to specific businesses and their needs. This will make it easier to be implemented and once started the automation process is never concluded (Erffmeyer and Johnston 2001, 167). However there are many advantages to the implementation including it becomes easier for business to cater for the rising expectation of the consumer of the 21st century. For example the recent change in the economy shifted consumer-buying habits (Browne 2002,1), and as it has always been easier to retain clients than discovery new ones. This gives business with a SFA an advantage as they can store the details of their previous clients and retain them and manage new customer with ease. With automation processes in place ensure businesses are both productive and efficient.

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Two main benefits that are gained from the use of automating are productivity gains and efficiency improvements (Companies bright future 1999, 23rd). One major productivity gain is the integration of the sales channels, to provide one shared view of the customer and their history with the company (Goldenberg 1995, S1). This improves productivity as employees can now access all information regarding customers easier, so they can go into meeting more prepared and if the client asks a question they have the resources to answer it straight away. One industry that this works particular well in is call centers and ...

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