October 2, 2008
Recently I have been watching the rerun of “Life at 1” on ABC TV in readiness for the “Life at 3” series as I am fascinated by all things behavioural and developmental. The series focuses on children and their development from age one and beyond, similar in concept to the Seven Up series. However this series cannot be complete without the children’s parents and siblings being involved.
I am interested in the series because I am a parent, however it is amazing what you can learn about other areas of your life from seemingly unrelated sources. This is such a case.
As part of the final episode of ‘Life at 1” the researchers measure the levels of cortisol, often referred to as the ‘stress hormone, in the bodies of the children and their parents to see how the stress of the parents lives affects their children.
One of the fathers being tested in the series had recently changed jobs from being a professional sales person in a luxury car showroom to working in the family market garden business growing vegetable. His ‘stress’ levels actual and emotional were significantly lower after having changed jobs which also affected his child’s stress levels for the better.
While he had indicated that he had been successful in his sales job having achieved good sales results and commissions he found the pressure of always having to be ready for action, ever attentive and available for clients over long periods of time exhausting and draining, so he finally left for something more relaxed. And feels much happier for the change.
Now I am not advocating us all leaving our sales careers for veggies, however, I could relate to what he was saying. I have been thinking about the concept of always being ‘on show’ for some time.
Each client sales meeting is like a performance. If we are going to be an effective sales person, we need to ‘perform’. We need to be present, alert, attentive and ready for action for each client meeting and doing this several times a day. We are ‘on show’.
Selling can be and often is a ‘high stress’ job; people to contact, problems to fix, results to be achieved, more people to contact.
Now I know some people do not care about how they appear to others and what impressions they make, however many an aspiring or seasoned sales person does. They know you never get a second chance to make a good first impression.
However most non sales people think that we have it easy - ‘out there meeting people all day, chatting, doing coffee, la la la’. Yeh right! Little do they know that you are always having to present your ‘very best self’ every day, several times a day.
Sometimes at the end of the day you just don’t want to speak to or meet another person. That’s OK if you don’t have to talk to anyone else when you get home or you live like a hermit, however for many of us we have a partner or a family to go home to and, I can’t speak for you, but I want to be there for them too. I wrote about the importance of active listening in another posting recently called ‘pay attention’ and how I find it a challenge to go home and listen actively to my children after being with clients all day.
Having a healthy lifestyle, clear goals and making sure you get personal ‘free’ time on regular basis are just some of the things that are critical to maintaining healthy performance at home and at work, however, I wonder how many of us feel that we are having to be ‘on show’ more often now than ever before.
In this networked world all our actions have the possibility of effecting someone else. Maybe I have taken being ‘on show’ too far and need take a break and be more ‘daggy’ from time to time.
I wonder how others feel about this. I would like to explore this further and would welcome your feedback on this issue. In the meantime I will keep on being fascinated by all things behavioural and developmental, including sales.
Happy selling.
September 25, 2008
I would like to focus on something, that at first glance, may appear rather trivial. In fact it might seem so inane that you are wondering why I am even writing about it.
It’s ‘note taking’.
I learnt a very salient, if not embarrassing, lesson in my early 20’s. When in my first sales consulting role I turned up to a sales meeting with a prospective client with no obvious note taking materials. Up until that time I had never been told to take notes by my managers. I hadn’t thought about talking notes myself. I relied on my memory.
However this call was different. I sat down and proceeded to ask the client questions without taking notes. This client stopped me in my tracks and said:
“Why aren’t you taking notes? How can you possibly understand me and my business if you do not take notes? Bloody sales people never take notes. What do they teach you anyway?”
I didn’t know what to say. I was in shock. After a long silence he handed me a note pad and pen and we picked up where we left off with me taking notes.
It has to be said that I have taken notes ever since and for good reason too - it really works.
OK so we can put my faux par down to youth, however, it never ceases to amaze me how many sales people (of all ages) still do not take notes when they are speaking to clients over the phone or face-to-face. For the last 10 years we have been running a true-to-life sales fitness simulation exercise where we have tested 1,000’s of sales people. Part of the exercise requires people to listen to a body of text which has vital information in it. Sadly the vast majority of people (over 90%) do not take notes which severely impacts their ability to successfully undertake the remainder of the exercise. When we debrief the exercise many confess to not taking notes in the field either.
Note taking is one of those small but really important things you can do in any client sales interaction.
Note taking:
- Helps you capture what the client is actually saying in their own words
- Keeps you focused on your client
- Gives you something to refer back to when verifying your understanding of your client’s needs
- Helps you prioritise yours and your client’s thoughts
- Helps the client feel confident in you as they see you making an effort to really understand their priorities and requirements
- Helps the client feel ‘listened to’ and understood
- Shows you are paying attention
- Gives you good content to work from when pulling together a quote or proposal
- Means you don’t have to rely on memory alone
- Gives discipline to the person taking the notes ensuring they get everything they need to know (and the client is willing to let them know) from the client
Rule of thumb:
- Ask permission to take notes: Let the client know that you would like to take notes and check that this is OK with them. Sometimes clients may want to say something to you but do not want it recorded. By asking permission you show you are working together on gathering the right information.
- Draw little flags against the key areas where you know you can make a sale or be of service: Too many sales people jump in at the first sign of a sales opportunity often missing additional information that could lead to bigger or more sales. To prevent this from happening I draw a little flag against each potential ‘sales opportunity’ I come across. When I have finished gathering all the information from my client I go back over my notes and let them know what I have flagged. This helps both of us get a clear picture of their situation and where I could be of service.
I find clients respond very favourably to note taking and my verifying their situation. Firstly they seem pleased to hear someone else repeat back what they have just said and secondly they feel more confident in my ability to work with them and help them in the best manner possible.
With B2B sales becoming more complicated and consultative in nature you need to take notes to keep a check on all the different facets of the client’s needs and priorities.
Give you and your client an easy break – take notes.
September 17, 2008
In the sea of information that is the internet and the ever growing networked communities we live in, you could essentially get a sales lead from anywhere. In principal this sound great. You always have someone to call on or prospect too.
However having too many choices can often lead to feelings of being overwhelmed by too much information. And when you have too much information this can lead to indecision and subsequently inaction. And inaction is the NUMBER 1 killer of any sales prospecting strategy.
So where do we start to sort out where we locate prospects? Besides the internet I find locating prospects come for the following areas as well:
Referrals
A name given to you as a lead. Choosing your time to ask for referrals is important. Wait until your customer has been able to judge you and your ability to meet and exceed their expectations. A good referral program is highly effective if you have a proven track record of in keeping promises and providing outstanding solutions and service.
Introductions
A variant of the Referral technique. It involves also asking for names, the salesperson asks for a note or letter of introduction to the prospect. This is most effective when prepared as a testimonial from a very satisfied customer who holds you in high esteem.
Centres of Influence
Centre of Influence refers to a well-known, influential person who can help you prospect and gain leads. For example, Accountants, Lawyers, Business Owners, Teachers, Politicians. First gain this person as a satisfied client and then solicit their help. You can also consider joining a community or social organizations to access Centres of Influence.
Organisations
Community Groups, Business Groups & Professional Associations can be a valuable source of prospects. These groups generally meet on a regular basis, providing you with an opportunity to build relationships. However, to make this approach beneficial, you must 1) set contact goals for each meeting, and 2) you need to communicate to the group what you do, offer assistance and make positive contributions. If other members see your involvement as being purely self-serving, this technique will not be beneficial.
Non-Competing Salespeople
Other salespeople can be a great source of prospects’ names and valuable information (this excludes confidential information!) about prospects. The key to this approach is reciprocity – ‘ you scratch my back and I’ll scratch yours’. Establish relationships with non-competing suppliers and consider going out of your way to offer information to a non-competing salesperson about an opportunity you know of. The favour may well be returned when you least expect it.
Visible Accounts
This is where you consider cultivating visible and influential accounts that will influence other buyers. These accounts can give you credibility and make you attractive to other buyers.
NB: just make sure you are clear about the types of customers you need to call on as part of your sales plan and strategy.
Happy selling.
September 10, 2008
As markets tighten and market competition increases, it becomes increasingly difficult for companies to achieve product differentiation in their market place. As such, businesses will find it harder and harder to optimise their profits unless they develop effective strategies to achieve differentiation. One way to accomplish this is through the enhancement of customer intimacy.
Account Planning, Management & Development is the process that organisations adopt in order to prioritise their customers in terms of value to the business. In most businesses, the 80/20 rule applies where 80% of current and/or potential revenue comes from 20% of the customer base. However, in recognising the value that these 20% of customers hold, it is important to adopt a strategy that is going to ensure that they are handled in such a way that maximum effort is focused on the activities that will yield the greatest potential for the company in a profitable fashion.
Successful Account Planning, Management & Development ensures that a company recognises the importance of certain customer relationships to the future of their organisation and treats these relationships as an asset to the company.
The process used to categorise customers in terms of potential as well as the process adopted to manage and develop these customers effectively are paramount to the success of any Account Planning, Management and Development strategy.
So what is a Key Account?
Essentially, it is a customer who can help to shape your company’s future. This may not necessarily be your largest customer nor the highest spending customer. In this way, the top 20 revenue, one-size-fits-all approach can be costly and risky.
Once you have completed your customer research, a number of factors should be assessed when deliberating your Account Planning, Management and Development strategy:
- Current revenue profitability vs. potential revenue profitability
- Complexity of needs
- The industry in which they operate and its viability
- Financial stability
Although the process of developing and managing Key Accounts more intimately yields greater customer penetration or share of wallet, the costs of maintaining an intimate relationship with clients can also be costly. It is for this reason that the ‘biggest’ clients do not always make the ‘best’ clients. It is a common mistake for organisations to simply segment their customer base into key accounts based on their revenue contribution, consider:
- Larger companies often require more attention and expect not to pay for it
- Larger companies tend to exert their power and negotiate lower prices, often exploiting suppliers by creating price wars (thus reducing profitability)
- Larger companies employ the resources of smaller suppliers, only giving them small orders but getting the lowest prices so they can squeeze on their larger suppliers (again, affecting profitability)
It is often a hard lesson for salespeople to learn that many big companies rarely provide the return on investment proportionate to the amount of effort that’s required. In addition, these customers often compromise the company’s profitability significantly.
Analyse your accounts
So you need to analyse your accounts carefully. When analysing an account, your core focus is to interpret the customer data in such a way that will provide you with an understanding of how you can yield maximum potential from the client.
There are five key areas that need to be researched:
Strategic Information
This is the big picture information it explains why they are in business and where they are headed as an organisation. This information is critical to your basic understanding of the company.
Operational Information
The nuts and bolts of the organisation, the what, the when and the where.
Financial Information
This information is critical in assessing the ongoing viability of the customer.
Competitor Information
Recognise their strengths and minimise them. Recognise their weaknesses and exploit them. Understand what they are doing and know how to combat their activity.
Your Company History
Have a basic understanding of previous dealings with the customer but also know where to find more detailed records if or when required.
I hope this helps you plan and use your selling energy wisely.
Happy selling
September 4, 2008
For Cathy Freeman and Ian Thorpe and now Stephanie Rice and Michael Phelps Olympic success has literally brought fame and fortune … but their high profile success is not just about the colour of their medals.
With the Olympics just over I can’t help but think of all the other athletes who won medals and wonder how many of them will end up with amazing sponsorship and media deals like Cathy, Ian, Stephanie and Michael. Not many I’ll bet. And with the Paralympics just begun, how many of these athletes will capitalise on their talent and success with lucrative sponsorship and media deals? Maybe even less.
These talented athletes do not have to fade away into sponsorship oblivion. There are plenty of sponsorship opportunities available for them. They need to get out there and prospect for them just like sales people do. And with something to show for it like an Olympic or Paralympic medal, the right attitude and approach, many more athletes can realise the benefits of sponsorship deals to help them extend their sporting career or find new career opportunities.
How do I know this? Well I have had the pleasure of being personally associated with the Victorian Institute of Sport (VIS) since 1991 and my company has been a major sponsor of the VIS ACE (Athlete Career & Education Program) since 1998. We have been training elite athletes, like Tae Kwon Do Gold Medallist Lauren Burns, Judo Bronze Medallist Maria Pekli, Paralympian Pentathlon Bronze Medallist Don Elgin and Hockey Gold Medallist Louise Dobson on prospecting, self promotion, selling and sales planning since 1998.
Research shows very few people have the luxury of waiting around to be courted.
The world of corporate sponsorship is very different from elite training, and although they take to it quickly, the athletes have to learn how to effectively self promote, access corporations and negotiate with a strong sense of their own value. Like sales people we have taught the athletes to learn how to identify opportunities and promote themselves on a consistent daily basis. The results have been outstanding, with several of the athletes gaining large corporate sponsorship deals over recent years, even for lower profile sports.
Don Elgin, who raised his public profile during the Sydney Paralympics with appearances on national television and radio says,
“At the time I did the Barrett program I was a VIS scholarship holder and no one knew about Paralympic athletes and there was certainly no sponsorship for them. The Barrett process educated and empowered me to take action to get out there and educate the market and secure sponsorships. The best thing I learnt was that the worst people could say to me was ‘NO’ and that was a revelation because it meant that everything was possible. I was able to tap into the potential I already had and this helped me have the confidence to get out there and give it a go. Not only am I better equipped to source and negotiate sponsorships, but the course has had a positive impact on my confidence and this has assisted the promotional work at my place of employment.
When I started the Barrett program I was a Postie. Using what I learnt I was able to move through Customer Service and Business Account Management roles to National Marketing Coordinator for the Philatelic division of Australia Post. I have also adapted what I have learned at Barrett to all parts of my life including my work with the Juvenile Justice System and my family where I help my young daughters to develop their public speaking skills and their ability to see the good in people. Whilst I have achieved a number TWO ranking in the world for my sport and success in my career, I have come to realise that having children is the greatest honour and challenge of all. I now know that I need to make sure I leave a legacy that helps them unlock and achieve their potential whatever that may be.”
While many of the athletes come with no professional sales experience they adapt quickly and apply themselves. They are refreshing in their outlook and great to work with as they have the drive, determination, work ethic and commitment to succeed.
It continues to remind me that Attitude is the key and you make your own success.
Happy selling.
September 3, 2008
How well can we manage ourselves, our teams and businesses in a crisis or tough times?
Are our actions and behaviours putting us, our people and our businesses at risk?
As leaders and managers we are on show and our actions often speak louder than our words. In challenging times this is even more evident. Under pressure cracks may appear and our leadership is put to the test.
How do we cope under pressure? What happens to us when we crack? When placed under high levels of pressure, most people will rely on coping mechanisms or their strengths that help them manage in day to day activities, but due to the pressure they can actually become counterproductive tendencies. We refer to these as “risk factors” and they can emerge as our dark side. These coping mechanisms can become detrimental to our ability to build trust based relationships and impact on our leadership and sales style.
As each leader is an individual, they must find their own way to manage and lead. However, when we are assessing and understanding our own and others’ behaviours, we often refer to personality style as a key reference point. While certain personality assessments can provide accurate and reliable predictors of performance, there is more to a person’s capability and satisfaction or a team’s interactions than meets the eye.
As a starting point we can take a look at three key areas when taking into account an individual’s potential contribution to a role and workplace performance.
- Out in the open: Personality
- Beneath the surface: Motives and values
- Under pressure: Coping strategies, derailers and the dark side
This does not exclude other important factors such as technical competence, experience, knowledge or cognitive ability. These play a critical part in a role or team, however given technical competence, experience, knowledge and appropriate levels of intelligence are sound for the task at hand, what else can impact the performance of you, your team and the business?
Although the personality or ‘out in the open’ component is a crucial one, increasingly businesses leader are also wanting to look at people’s ability to cope under pressure. They want to know about your coping strategies, derailers and the dark side.
I find people are fascinated with the “Dark Side” so I thought I would provide you with some insight into this topic and share with you some of the work we do.
The Dark Side: Derailers & Coping Strategies
Sales leadership or any people management role involves building and maintaining a high-performing team. Anything that detracts from our ability to build a sales team also detracts from our performance as a sales leader.
Coping strategies are the behaviours that we have developed over time (even from childhood) to cope with increased levels of pressure. This pressure can be due to change, high stress, boredom, multi-tasking, work overload, unhappy environment, or finding ourselves outside our comfort zone.
When placed under such pressure, most people will display certain counterproductive tendencies. We usually refer to these as “derailers” or our potential “dark side.” Under normal conditions these characteristics may actually be strengths, but when the demands increase, our reliance on these mechanisms can impede our effectiveness and erode the quality of our relationships with customers, colleagues, and direct reports.
When confidence turns into arrogance
A specific example of when a strength can become a derailer is when confidence turns into arrogance. It is a fair assumption that confidence can be one important contributor to a successful career in business and sales. To be ‘confident’ means to have courage, to be bold, to be self-assured, and people are more likely to follow or believe in a confident leader. However, this strength can become a derailer when we are under pressure as our self-assured nature goes too far and we stop listening to other people, become condescending, egotistical and make ineffective decisions.
This is not to suggest that all confident sales leaders will demonstrate arrogance, but this is one of several potential dark sides that could have an impact on our careers.
The other potential derailers are: Excitable, Skeptical, Cautious, Reserved, Leisurely, Mischievous, Colourful, Imaginative, Diligent and Dutiful.
It is very important to note that these characteristics can have highly positive implications and which we can master and turn onto our strengths. By identifying and being made aware of our leadership coping strategies or potential dark sides we can take the ‘right’ action that allows us to develop further as leaders.
Gaining insights (by whatever trusted and validated means) into and applying corrective strategies about behaviours that could potentially undermine or inhibit your performance and ability to effectively build trust based relationships will assist you to lead people and your business more effectively and help you avoid putting you, your people and your businesses at unnecessary risk.
The research consistently shows that elite sales professionals engage in self appraisal and continuous learning. They are always looking for ways to be better. So in your quest for high performance don’t forget to look at the Dark Side.
August 21, 2008
Last week www.smartcompany.com.au ran a story saying that the Federal Government may include business numbers in the Do Not Call register. What are they talking about?
Prospecting for new business via the telephone (referred to as unsolicited phone calls) is still a legitimate and critical business activity necessary for anyone in sales and in business, especially in business to business sales where consumer marketing and advertising strategies do not work effectively. It is a vital activity any business or sales person worth their salt should be doing on a regular basis. Therefore I do not believe that the government should include business numbers in the DO NOT CALL register.
Good sales people have done their homework on who they want to call and are prepared to approach the prospecting phone call with a clear client centred purpose and professional manner. They don’t just pick up the phone willy nilly and dial anyone. Many businesses have won loyal clients and large projects by prospecting to new businesses. How do you think we did if before the internet? How do you think we still do it? Whilst the internet and SEO is helpful it has not replaced prospecting as a key source of new business development. Prospecting it still a key strategy to grow sales for any business.
Unless someone can come up with alternative, cost effective sales prospecting / new business development strategies that can bypass using the telephone as a prospecting tool and are fair for all concerned (meaning it doesn’t leave small businesses at a disadvantage to bigger players who can afford others means more easily) we need to be able to prospect via the phone to continue to find new viable customers and grow our businesses.
Using the phone to source new business is a cost effective sales tool that gives parity to anyone from a start up business to a large corporate. Placing businesses on the DO NO CALL register would discriminate against smaller businesses and start ups. It would further kill off diversity in this already over-corporatised country. So using the phone to prospect should be here to stay. If not for fairness and the ease and cost of doing business but for the environmental factors as well. I mean who wants more junk mail? (Which would probably replace the phone calls). I would rather field a few calls (many of which are legitimate) than get copious amounts of emails or mail to deal with everyday.
As you know I spend my much of my business life demystifying what good sales and prospecting practices are versus unethical and incompetent practices. While there are those people and businesses who give sales and prospecting a bad name, fortunately they are in the minority. This type of proposal is at risk of basing its findings on the minority of ‘bad’ operators at the expense of the majority who do the right thing.
Let’s make sure we do not kill off initiative, common sense and the entrepreneurial spirit by denying us the opportunity to use a legitimate business tool in a legitimate business tool box.
My only hope is that whatever happens on this proposal the government has the common sense and foresight to put business people and competent sales people onto its task force to ensure the ‘real world’ view is heard and acted upon. So I am putting my hand up and am happy to contribute to the debate if the government wants my point of view.
August 15, 2008
As markets tighten and people’s sentiment can tend towards the negative it is critical that we don’t get spooked. As mentioned before in the article about “Watch who you let near your mind” we need to examine all the evidence at hand, make informed decisions about our market and continue to ensure that our prospecting and sales efforts are targeted and at the forefront of our business activities. We also need to make sure that we continue to conduct ourselves in an ethical and professional manner working with our clients not against them.However in desperate times (and maybe it is all the time for some) some people stoop to new lows to try and get a sale. Here are a few examples of unethical and fraudulent behavior masquerading as sales activities. So beware.
For instance, last week, Carla, our Client Services Admin Manager, took a phone call from a man who said:
”Your fax machine is up for a maintenance review and I am wanting to organise a time to come in.”
There had been no mention in our business about a fax machine review. We are small enough for most things to be in our public domain so Carla knew something wasn’t right. She passed the call onto our Business Manager, Jobst who deals with all our office equipment. The man tried the same line on Jobst who, of course, was having none of it. The long and the short of it was this man was trying to get an appointment to see us to sell in new equipment but did so by deceptive means.
As Carla mentioned to me later what if you were new or not very experienced or were not kept in the loop you could have inadvertently let a person into your business who had not earned the right to be there in the first place. Why couldn’t that person have been upfront and told us what they wanted? Because sure as anything if they had got in our front door we would have kicked them straight back out again for trying to trick us.
I call this ‘Hit and miss - spot the victim’. They try and find a ‘victim’ who they can trick into seeing them and then try and bully them into buying something. While these types of stories do not make the news they are at one end of an ugly spectrum of lying and deception. At the other end of this spectrum are the tragic stories we hear and read about in the press of the elderly and vulnerable letting people into their homes for some sort of maintenance work only to be robbed or worse, badly injured or killed.
It’s bad enough that these people try getting in your front door by deceptive means but some companies don’t even call you and still try and get your money.
One of our clients informed me recently that some companies don’t even bother trying to see you instead, they just send you a bogus invoice hoping no one will notice and that you will pay it along with all your other accounts.
He mentioned two specific examples he had happen to him:
- An industry magazine in his market send his business an invoice with a fictitious order number for a $600 advertisement he never ordered.
- In applying for a trademark through his lawyer (who always invoiced all work done via his law firm) our client received a separate invoice for $1,200 from a company claiming to be a trademark firm. The official looking invoice arrived on his desk ready for payment having been approved by his accounts department. Knowing that he received all invoicing via his lawyer he rang his lawyer and found that this ‘trademark’ company was probably tapping into the trademark office data base somehow and sending out fraudulent invoices to people applying for trademarks hoping that the people were not vigilant and their invoice as well.
It made me wonder how many of us have paid an ‘invoice’ for work we never authorised and received. How many have slipped through the net?
These types of examples just remind us of the importance of being vigilant and to properly assess the credentials of anyone or any invoice claiming to do business with us.
August 6, 2008
Here is the second of two articles about recruiting top performing sales people and daring to do so from outside of your industry.
Even though I have not worked as a traditional recruitment consultant for more than 14 years many of my long standing clients still talk about those ‘out of the box’ placements we made. Was it just the recruitment approach that made the difference. Well NO. What these savvy mangers is did was make sure the culture and the business could accommodate these ‘new’ types of people.
They took their current team along on the journey to the new as well. Sure it wasn’t all smooth sailing but they knew what they needed to do. As we know when we bring in difference we can often cause the current people to feel uncomfortable and if not addressed they can kill off the ‘new’ way.
So be aware.
If the overall culture of your business is not set up for excellent sales performance, all your efforts could implode. Here is an example of what I mean. A key client came to us saying they didn’t want to hire people from their industry because they just weren’t competitive in the current market. They wanted to refresh the gene pool and bring in fit sales people who were not tarnished by the industry and its way of doing things. They knew that in this over commoditised marketplace that their sales people where their competitive edge. They were on the right track but didn’t know where and how to start. So here is what we did to help them find elite sales performers:
- Reviewed sales strategy and path to market
- Defined Sales DNA & ‘ideal’ role/person specification
- Built a structured sales recruitment process and kit
- Targeted the industries the new breed of sales people could come from
- Built and implemented the induction company sales training process
- Implemented a sales management support system
- Mapped & measured sales metrics
The results were fabulous from a sales initiative perspective:
The new breed of elites sales performers achieved a sales closing ratio of 4:3 within 2 months and sold annual sales budget within 5 months.
Now wouldn’t you think everyone would have been jumping for joy? You’d like to think so but sadly the new team was a small part of a very large business that had been operating in an entirely different manner (i.e. slow, internally focused, transaction product selling). Rather than embrace the new ‘fitter’ sales way of life and find more success across the board, the broader business killed off the team because it was too successful just so they didn’t have to change.
Sadly this is not an isolated incident, many a successful competent sales person or sales manager with new ideas, a healthy can-do attitude have been passed over for promotion or eliminated from the team because they were too different and too good. They did not fit the often buttoned down, compliant thinking, follow-the-rules-or-else culture that many larger business can have.
And what I still see, all too often, are senior managers and sales mangers recruiting from within their own industry sector recycling the same old people getting the same old ideas and the same old results. Relying on ‘industry experience’ as a major determining factor in your sales selection process can severely limit your potential to develop a competitive edge in your industry and find elite sales performers. This strategy has left many businesses vulnerable today as they now struggle to transform existing transactional product focused sales teams to savvy business people how can sell.
Which raises key questions:
- How we can we find top sales performers to refresh our gene pool and revitalise our culture, our bench strength, our results, etc.?
- How does an organisation create and the promote transparent sales performance in the field and at leadership level?
- How do we encourage diversity, innovative thinking and outsiders into our thinking, our team and our business?
I encourage you to challenge the prevailing views and attitudes of your business and industry and really examine what your sales strategy needs by way of talent now and into the future and select and develop those people how meet your business needs accordingly.
If you do it can really pay big dividends.
July 31, 2008
Here is the first of two articles about recruiting top performing sales people and daring to do so from outside of your industry.
When it comes to assessing sales and sales leadership capabilities in your business do the lines blur between the cultural morays, views and perceptions, gossip and politics and the real capabilities needed to be assessed against your actual sales strategy?
In my line of work I am often requested to sit on senior management interview panels for clients because of my background and expertise in assessing sales leadership and sales performance and the issues around of internal and external assessment of sales people and leaders. They request my presence based on the following criteria:
- My 15 years working in the sales competency, assessment and development space
- My eight years as a recruitment consultant interviewing approximately 8,000 sales people and managers face-to-face.
- My independence as a 3rd party
- My willingness to speak up and challenge prevailing views and attitudes as I am not likely to carry the internal company prejudices and paradigms that influence current thinking and culture into the interviews.
Sales recruitment and assessment is not for the faint hearted and is one of the hardest areas to get right in any business, and it doesn’t help if politics, nepotism and inaccurate perceptions of what constitute effective sales and sales leadership performance prevail. I get to see this, especially when we are looking at internal candidates.
Just recently I was in shock at the extreme contrast between two internal candidates who were two of several internal candidates vying for sales leadership roles on a newly formed senior management team:
- One sales leader was rated highly be their manager and endorsed by certain peers in high places but in interview it was clear they had no idea about sales leadership, strategy or process and no substance what so ever. They were a ‘fraud’ as far as the role was concerned. Yet their manager and other allies were clearly trying to position this person as a top performer which they clearly were not.
- Next rolls up the complete opposite. Clearly a highly competent candidate. They had the complete package, it was obvious from our investigations and we were impressed yet they had been previously rated poorly on key criteria and the lobbying by certain internal stakeholders to deposition them was astounding. His comment, when asked how he felt about being invited to participate in the interview process, was very telling. He said ‘Relief. Relief at being actually able to present his capabilities honestly, clearly and fairly without bias or prejudice.”
My client, relatively new to this division and whom I shared the interview panel with, had very little direct dealings with any of the candidates which was good on one hand, however, most of his information about the candidates was coming second hand via comments and lobbying from peers and managers and performance data ratings which may or may not have been accurate depending on who had assessed the individuals. He wanted a transparent, evidenced based approach used which is why he called me in. And our approach unearthed a whole lot of issues and raised questions around:
- The formal performance assessment criteria and process of sales individuals (not just $ sales results)
- Those who were doing the assessment ratings on staff and what perceptual filters they are using in addition to the standards provided i.e. biases, prejudices, etc.
- The political lobbying in place to keep top performers from making it to influential positions
- The actual criteria used to assess effective sales performance and leadership. Is it up-to-date and able to deliver our sale strategy?
- The consequences of political, inwardly focused, biased culture and its effect on the organisation’s success in sales, staff performance and retention.
If the sales capabilities and performance requirements needed are properly assessed against sales strategy then what we can go looking outside of our comfort zone for top performers who can thrive and deliver I our culture. What is good for one industry may also be good for another.
I can honestly say for a fact that my best placements were people outside of the industries I recruited for. The clever sales managers recognised this and took a risk. So dare to be different.
Part 2 next week.