Factors Influencing Salespeople Motivation and Relationship with the Organization in b2b Sector

Ilona Buciuniene, Vida Skudiene

Abstract


Motivated and committed sales people could become long-term success and competitive advantage that can be counted on even during life-threatening crisis of the firm. Sales people turnover is one of the key factors influencing negatively productivity, sales, customer loyalty, and unpredicted expenses. Recent year’s survey indicates that almost three quarters of all employees are considering leaving an organization in two years and the majority of these employees are sales people. The opinion prevails that sales people are motivated mainly by financial rewards thus to find other effective motivational factors is crucial as well as link the financial rewards with the results. Survey conducted in 1971 (Jensen, McMullen & Stark, 2008) by RIA (Research Institute of America) showed that 24 % of surveyed organizations changed the sales people financial reward system. Repeated survey in 2000 indicated the fact that organizations are still searching for the appropriate sales people financial reward system. Thus, the objective of the paper is to advance the understanding of the relationship between sales people motivation dimensions and their relationship with the organization in B2B sector. The study was designed to investigate the nature of salespeople-organization long-term relationship dimensions (commitment to the organization and psychological contract) and motivation dimensions’ (personal growth and ability, recognition of effort and results, financial compensation and incentives, leadership support, employee autonomy, and team work) relationship within B2B environment. A survey was conducted involving 105 salespeople working in B2B sector at telecommunication and financial companies. Research findings indicate that salespeople relationship with the organization is determined mainly by two motivation dimensions positive feedback from the immediate supervisor about salespeople behaviour and decision making autonomy. The study extends prior literature highlighting the positive impact of employee autonomy on employees’ psychological contract, their satisfaction with personal growth, and their effort and results. Specifically, the employee autonomy dimension - decision making autonomy - demonstrated the strongest relationship with psychological contract.


Keywords


motivation, psychological contract, organizational commitment, B2B sector, salespeople, Lithuania.

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Print ISSN: 1392-2785
Online ISSN: 2029-5839