Benefits of organizational sales structures: joint versus distinct departments

Sales Structures

Companies today increasingly recognize the integrated nature of their various departments and personnel. This is exemplified in the considered importance of the mission statement, vision, and business plan to reach these. Generally, companies recognize the need for employees to understand their function in achieving their general mission and vision. Specifically, one of the most recent focus points of attention in terms of this holistic view is he sales and service divisions within companies. Traditionally, these have functioned as independent entities within companies (Heisler and Baldino, 2002, p. 47). The recent business literature, however, has focused on the recognition that both these departments from vital components of customers service. Hence, the general conclusion is that an integrated sales and service department is highly recommended for most companies when taken into account that having separate sales and service departments ultimately do more harm than good in terms of customer satisfaction and retention.

Heisler and Baldino (2002) point out that many businesses today function on the ground of traditions that have been passed down over generations, which could span decades of the existence of the company. This is especially the case for long established companies that have existed and survived according to their original business models. Hence, it is difficult for these companies to recognize that change may be necessary, especially in terms of long-trusted divisions such as those between specific departments.

However, it is also true that some industries and companies are sizeable and complex enough to require more than one business structure, according to the specific products, the shelf-life of these, and the specific functions involved in sales and service. A publication by Autopolis (2000), for example, suggests that the longevity and complexity of the motor industry precludes relatively simplistic solutions such as recommending a single type of business model, a single vision, or a single type of function for the sales and service department. One point of concern is the age of vehicles being sold, and he customer's sense of loyalty to the bought brand. A second-hand motor dealer, for example might sell a vehicle to a customer, who then uses an independent mechanic for further services or work on the car. Even if the service department is part of the manufacturer's business, their premises and functions are not integrated either by nature or in terms of location. In such a case, integration of sales and service would be somewhat artificial, contrived, and fail to contribute to the overall well-being of the company.

Most companies, however, have sales and service departments that can more easily integrate. The computer industry is one example of this, where the sale of a new product will benefit from integrating with customer inquiries about products, how to install them, and how to use them correctly. This point is emphasized by Daniels (2012).