Sales Territory Design: An Integrated Approach

A sales territory design procedure should solve the dual problems of boundary definition and call frequency. Furthermore, it should be possible to base the design on several workload and potential criteria. A procedure is presented which meets this specification. It employs recent developments in set-partitioning and includes a computer code which makes it possible to handle design problems of realistic proportions. The outcome of the design procedure, termed the market matrix, is a schedule which specifies which salesman calls on each customer, and the sales call frequencies which maximize the total sales from all territories. A case example illustrates how the procedure is applied.

• 저널Management Science · 22(3) · 309–320
• 토픽Advanced Queuing Theory Analysis · Management Information Systems
• DOI10.1287/mnsc.22.3.309
• 저자Roy J. Shanker, Ronald E. Turner, Andris A. Zoltners