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What is Sales Force Automation?

Article Details
  • Written By: Shannon Kietzman
  • Edited By: Niki Foster
  • Last Modified Date: 27 November 2016
  • Copyright Protected:
    2003-2016
    Conjecture Corporation
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Sales force automation, frequently abbreviated as SFA, is a method implemented by a business to help automate the components involved with sales. Typically, this involves using special software, with which a business can automate a variety of areas of the sales process, such as processing orders and sharing information. In addition, it streamlines order tracking, inventory control and monitoring, and customer management.

The software also assists with sales forecast analysis, evaluations of employee performance, and contact management. Through the contact management feature, sales representatives can instantly determine which customers have been contacted within a specific time frame and can determine whether any issues that a customer has have been resolved in a timely fashion.

Sales force automation software is advantageous to businesses for a number of reasons. The first benefit of the software is savings in labor costs. With software capable of completing so many tasks that were once conducted by employees, businesses are able to reduce the number of people on their payroll. In addition to saving money in wages, it saves the company the expense of paying for employee benefits and for office space and equipment for additional employees.

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Since sales force automation software reduces the amount of busy work the sales representatives must complete, it also frees them up to do their jobs more effectively. While the software generates reports and creates sales forecasts, sales representatives can spend their time communicating with clients and expanding the customer base. In this way, it increases the productivity and effectiveness of employees.

The software also helps the company earn more money. With its ability to track orders and customer purchase histories, it allows businesses to target their customers more effectively. In turn, this makes it possible for the sales representatives to better serve the customers, which increases the likelihood these customers will make additional purchases. In fact, businesses that use sales force automation software typically double their sales.

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