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
Reporting	Operational reporting	Yes	No
Reviews	Recruitment review	Yes	Yes
Reviews	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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