The purpose of a sales organization includes being responsible for selling services and goods to customers or consumers. They generate revenue for the organization.

He has to study properly the distribution channels and satisfy himself that the goods are available in the market to the ultimate consumers at the time -and place they want them. He should ensure that the system of distribution works very efficiently and effectively, allowing no idle stock lying at any stage.

Whether the sales manager employs the assistants or middlemen to sell his goods, he has to consider both of them as one distribution system. Thus, he must see that there is proper co­ordination in the system he adopts so as to ensure the smooth and economical working. The basic object of sales organisation is to allocate the responsibility of selling functions and to distribute the products.

These objectives can be achieved only with proper planning and organisation of different functions useful for proper distribution. The nature or type of sales organistion may be simple, complicated, centralised or decentralised depending upon the problems of a manufacturer.

Producing cheap goods in large quantities is quite different from the problems of a businessman producing goods of fine quality in small quantity. In the sale of fine quality products, careful control and supervision is required.

Sales organisation which bridges the gap between the market and the productive capacity of the firm. As the market changes, the sales function accommodates through adjusting its organisation and manner of operation. Shifts in size bf market operation, market trends, competitive position and other environmental factors may necessitate changes in existing sales organisations. An effective sales organisation usually provides for growth and adaptability to such changes.

You can compare the role of an organisation to that of the skeleton in the human body- provides a framework within which normal functions can take place. However while the skeletal system is uniform for all human, sales organisations vary widely over firms. This is because every enterprise has its own objectives and resources, and corporate plans to achieve those objectives. The structure of the sales organisation reflect this diversity. A part from providing a basic structure to facilitate working, sales organisation has the following basic purposes.

Defines lines or authority

Any sound sales organisation defines the relationships between people in the organization in terms of authority responsibility and accountability. It is important to define and identify the flow of authority, indicate where responsibility lies. Specify who is to be held accountable and to whom.

Ensures that all necessary activities are assigned and Performed

The process of organising presupposes identification of necessary activities which have to be performed to achieve tile sales objectives. As companies grow, the