Insights

Outsourcing Sales Staffing Business – Payroll Vs. Sales Operation

Outsourcing sales staffing business is a common phenomenon across brands due to its different advantages. Important point for brands to understand and evaluate is the extent of outsourcing. Without clear objectives of outsourcing sales force, the entire purpose might get defeated.

The two models of outsourcing sales force which are predominantly prevailing are – payroll management & sales operation management. Let us look at the different aspects of both model and how both models are different from each other.

Payroll management – in this case the scope of work is limited to recruitment and processing the payment - salary, incentive & claim.

Sales operation management – in this case the scope of work gets extended to employee life cycle management, field operation management, extensive reporting & insights, reviews etc. In this case, the agency becomes an extended sales arm of the brand and team up with  brand to realise brand’s strategic vision.

Let’s look at the following comparison table to have detail understanding of different activities and their applicability to scope of work of payroll and sales operation management:

Activities

Sub-activities

Sales operation management

 Pay-roll management

Recruitment & On-boarding

Recruitment Coordination

 Yes

 Yes

Documentation

 Yes

 Yes

Induction

 Yes

 Yes

Employee life cycle management

Issue resolution - Pay-out related

 Yes

 Yes

Issue resolution - Operation related

 Yes

No

Training management

 Yes

No

Claim management

 Yes

Yes 

Uniform & asset management

 Yes

No 

Performance insights

 Yes

No

Pay-roll management

 Yes

Yes 

Exit management

 Yes

No

Attrition management

 Yes

No 

Event coordination

 Yes

No 

Performance management

 No

No 

Communication management

 Yes

No

Compliance management

 Yes

Yes 

Field Operation Management

Field discipline & operation management

 Yes

No 

Reporting

Recruitment reporting

 Yes

Yes

Operational reporting

 Yes

No 

Reviews

Recruitment review

 Yes

Yes 

Operation review

 Yes

No 

 

 

It is imperative that there is vast difference in payroll management & sales operation management and choosing the right model of outsourcing is a strategic decision and should be taken right for overall success of activity of outsourcing.

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Topics: Sales Staffing & Management

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