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CONTEXTUAL UTILIZATION AND PERFORMANCE EXPECTANCY OF SALES-CRM TECHNOLOGY IN AN
INTERNATIONAL SALES ORGANIZATIONDavid S. Baker
University of Louisiana Email: [email protected]
11/06/2014
2
Overview
• This paper examines performance expectancy related to the Contextual Utilization of CRM Technology in an international field sales organization.
• It tests multi-dimensional contextual technology utilization in a model that includes four distinct factors of utilization including accessing, analysing, internal communication, and external communication.
• These contextual factors are measured in terms of frequency, emphasis, and confidence and posited to relate to the dependent variable of Individual Performance Expectancy.
• Individual Performance Expectancy is then posited as a significant antecedent to Collective/Group related Performance Expectancy.
3
Theory/Literature Overview
• Primary areas of theory/literature linked to the conceptual model of this study:1. Sales-CRM/Sales Force Automation (multiple references…)2. Sales Technology Utilization (Hunter and Perrault 2006,
2007)3. Performance Expectancy and culturally influenced
technology adoption (Bagozzi 2008).4. Normative Aspects of Technology Utilization (Bagozzi
2008).5. Individual and Group orientation in organizational
technology utilization. (Bagozzi 2008)
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Utilization as an Antecedent to Performance Expectancy
• This study posits that in an organizational setting where utilization of the system is required, contextual utilization of the system is positively related to the formation of attitudes of individual performance expectancy, which will in turn help to form attitudes of group/organizational performance expectancy.
Collective/Group Oriented
Performance Expectancy
Individual Performance Expectancy
Accessing
Analyzing
Internal Communication
External Communication
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Key Definitions
• Individual Performance Expectancy – the degree to which a salesperson believes that using SFA technology will help him or her achieve individual benefits or gains in personal status, productivity, or compensation. (adapted from Venkatesh et al. 2003)
• Collective Performance Expectancy – the degree to which a salesperson believes that using SFA technology will help the organization increase its performance or productivity. (adapted from Venkatesh et al. 2003)
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Hypotheses
H1 Contextual Accessing Utilization of technology will positively relate to Contextual Analyzing Utilization of technology.
H2 Contextual Accessing Utilization of technology will positively relate to Contextual Internal Communication Utilization of technology.
H3 Contextual Accessing Utilization of technology will positively relate to Contextual External Communication Utilization of technology.
H4 Contextual Analysing, Internal Communication, and External Communication will all positively relate to Individual Performance Expectancy.
H5 Individual Performance Expectancy will positively relate to Collective Performance Expectancy.
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Measurements
Contextual Utilization Accessing (7 point Semantic Differential)
To the best of my knowledge, compared to other salespeople in my firm, my individual use of the Sales-CRM application to access or collect information about products, sales calls, orders, accounts, and the like, is best described as….
1 Very Routine
Moderately Routine
Somewhat Routine
Neither Somewhat Sporadic
Moderately Sporadic
Very Sporadic
2 Very Frequent
Moderately Frequent
Somewhat Frequent
Neither Somewhat Infrequent
Moderately Infrequent
Very Infrequent
3 A major Emphasis
A moderately major emphasis
Somewhat a major Emphasis
Neither Somewhat not a Major Emphasis
Moderately Major
Not a Major Emphasis
4 Very Hesitant
Moderately Hesitant
Somewhat Hesitant
Neither Somewhat Confident
Moderately Confident
Very Confident
Sample Contextual Utilization Measurement:
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Measurements
Performance Expectancy Measurements:
If I use our Sales-CRM application regularly... 1 My peers/coworkers will perceive me as competent.2 I will increase my chances of obtaining a promotion.3 I will be seen as higher in status by my peers.4 I will increase my chances of getting a raise.
Individual Performance Expectancy (7 point Likert)
Collective/Organizational Performance Expectancy (7 point Likert)If I use our Sales-CRM application regularly...
1 I will increase my effectiveness on the job.2 I will spend less time on routine job tasks.3 I will increase the quality of output of my job.4 I will increase the quantity of output for the same amount of effort.5 I will be less reliant on clerical staff.
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Sample Descriptive Characteristics
Demographic Variable U.S.A (N=59)
U.K (N=42)
Canada (N=25)
Aus/ NZ (N=15)
Total Sample (N=141)
Age 48 44 46 48 46 years
Education
High School or Equivalent
26 30 12 6 74
Some College Education
7 2 9
Bachelor’s Degree or Equivalent
23 12 10 9 54
Graduate University Degree
3 1 4
Work experience in sales (yrs)
16 12.4 12.5 15.8 14.3
Experience using computer for work (yrs)
15.7 13.9 14.1 15.3 14.9
Compensation Scheme Base+ Comm.
Base+ Comm.
Base+ Comm.
Base+ Comm.
Industry Printing Equipment
Printing Equipment
Printing Equipment
Printing Equipment
Selling Tasks Field Sales Field
Sales Field Sales
Field Sales
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Data Analysis and Model Testing
• Documented procedures for data normality, screening, reliability testing, and partial least squares model testing. (Chin 1998a; Chin 2010; Fornel and Larcker 1981; Hair et al. 2010; Nunnally 1978; Sundaram et al. 2007)
• Partial Least Squares Estimation (PLS) approach of Structural Equation Modeling was chosen over co-variance based SEM for three primary reasons:1. PLS-SEM has an ability to work effectively with smaller sample sizes
(Chin 2010; Chin and Newsted 1999).
2. It is a preferred method for prediction and theory development (Hair, Ringle, and Sarstdt 2011)
3. The PLS method of SEM is appropriate for studies that are partially exploratory in nature.
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The Research Model and Results
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Discussion and Managerial Implications
1. Individual goal development linked to context in CRM Utilization.
1. Contextual utilization based objectives linked to MBO or Balanced Scorecard goals.
2. Training and CRM Utilization.A. Individual benefits leading to Collective results
3. SFA Vendor implications.1. Dashboard visualization related to individual and
group utilization metrics.
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Limitations and Future Research
• Limitations– Limited access at many host company sales units
prevented data collection from comparative countries with higher national levels of collectivist traits and limits generalizability.
– Cross-sectional nature of this study limits generalizability.
• Future Research– Enhancement of the model with larger sample sizes
incorporating additional moderating or antecedent contextual utilization variables
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Thank you for your attention. Questions?