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Pharmaceutical Sales Force Structure

Like any sales organization, pharmaceutical sales has a very defined sales force. Knowing where each role fits can assist you in targeting the next level of advancement as well as being aware of who the key players are when it comes to networking for your next pharma job. There has been a lot of discussion recently about the report “’The Pharmaceutical Sales Force Outlook: Structures and Strategies to Maximize ROI and Boost Product Uptake’. This report, published in June 2003, examines pharma sales force structures and how certain factors can impact the ROI (return on investment) of a sales force. While we are not going to provide detail about that report, it is important to be aware of the findings.

Results like those shown in that report are being used at pharmaceutical companies across the globe. In an effort to effectively plan for the future, this report allows pharma companies to explore any factors that may affect its sales force. The report continues on present models for evaluating sales teams in the field and makes recommendations for increasing the value of the overall sales structure through close management. Additionally, this report gives an outline on how best to leverage the marketing and sales knowledge to support new product launches.

Since everyone is faced with competition at every level of pharma sales, it is wise to educate yourself on any industry news. So let’s explore the most common structure of a pharmaceutical sales force. Remember, the more you know, the better your results and the more competitive you will be.

Typically, a pharma sales force is layered to five distinct positions. There are exceptions we will cover a bit later. Initially, you have the territory representative. This is the pharma sales rep most people think of when they think of the job. Most territories cover a city, with smaller states possibly having one rep for an entire portion of the state. That is rare these days, but still happens. A Territory Pharma Rep reports up to a District Manager, who is responsible for the sales representatives in his/her area.

The DM may accompany the Territory Rep on sales calls. Most DMs have a deep level of responsibility and are in charge of such management duties as; recruiting high performing pharma reps, ensuring sufficient territory coverage, hitting specified revenue targets for the district and growing each rep by sharing his/her knowledge. DMs are also sometimes responsible for acting as a sales-closer in certain high-level or multi-buyer sales situations.

Above a DM is the Area Business Director or the ABD. In this role, the ABD may be involved in extremely complex sales situations such as managed care. Additionally, the ABD is the individual responsible for ensuring sales are on target among the Districts. The, Area Business Director reports up through the Zone Vice President, who reports in to the Vice President of Sales.

Now, as previously mentioned, there are specialty pharma representatives. These are people who have a pharmaceutical specialty in a specific medical field. For example, there may be a specialty rep for the pharmaceuticals related to oncology or urology. These sales reps have a similar structure and report up to a Specialty District Manager.

Remember, that every company is different and many are exploring with fewer layers of sales force. There are other roles among these, but for primer purposes those listed are the most notable. Learn the basic structure and use it to your advantage when networking . For example, try to get the name of the DM or ABD. Inquire if the Pharma Sales Force Outlook report had any impact on the sales force of the company you are interested in. Like the old adage states, ‘knowledge is power’. The more knowledge you have of the pharmaceutical sales role, the more you sound like you should be in it. This can go a long way with a network contact. Leverage everything pharmboard.com and other sources have to offer, then go out and pursue your pharma sales job!

If you find this site helpful, please send a link to your career services department so your fellow alumni know about PharmBoard too! I've already written the message for you. :)

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