Managing Customer and Organizational Complexity in Sales Organizations

Christian Schmitz, Shankar Ganesan

Journal of Marketing · 2014 · 172 citations · 49 references

Concepts

TL;DR

Salespeople operate in increasingly complex environments, facing external customer demands and internal organizational challenges, and they rely on personal and supervisory resources to manage this complexity. The study develops measures of customer and organizational complexity and investigates their impact on salesperson outcomes. The authors test the conceptual model using matched salesperson–manager data from a large business‑to‑business firm. Results show that while personal resources such as self‑efficacy help manage complexity, they also raise role stress under customer complexity, and that supervisory resources like transactional leadership are effective only when aligned with the type of complexity and the salesperson’s personal resources, suggesting managers should tailor leadership to enhance performance.

Abstract

Salespeople face increasingly complex work environments, both externally with customers and internally with various departments in their own organizations. Because managing such customer and organizational complexity is crucial to performance, the authors conceptualize and develop measures of customer and organizational complexity and examine the effects on salesperson outcomes. In line with job demands-resources theory, salespeople leverage personal and supervisory resources to manage complexity. The test of the conceptual model uses matched salespeople–sales manager data gathered from a large business-to-business firm. The empirical findings reveal that personal resources (sales self-efficacy) help manage complexity in general but create greater role stress in the face of customer complexity. The effectiveness of supervisory resources (transactional leadership behavior) is contingent on the type of complexity and the personal resources available to a salesperson. These results indicate not only how salespeople manage different complexities but also how sales managers should adapt their leadership behaviors to enhance salesperson performance.

References

49