Sales Management

Quality Activity Equals Quality Results

07.23.2019 by Jonathan Farrington //

“The Less I See Of What’s His Name? The More I Forget Him.”

Failing to focus salespeople’s activity reduces efficiency and consequently reduces results, because there isn’t a salesperson alive that believes they have enough time in their working week to complete all the activities they want to achieve!

Time is a huge constraint on salespeople’s activities so that when their manager asks them for more, it’s no wonder that they are overwhelmed.

It is also abundantly obvious that salespeople often aren’t clear about how to identify the prospects most likely to have a genuine need for their product or service. Without an objective way to prioritize which prospects to contact first and/or an efficient strategy for contacting them, salespeople are doomed to waste a large percentage of their time.

Another huge dilemma for many salespeople is how to divide their time between servicing existing clients and generating new business from new prospects. Existing clients frequently make requests for service that could be dealt with by support staff. But salespeople who lack a disciplined, future-orientated plan for generating new contacts and sales, often find themselves spending more time attending to “urgent” tasks for existing accounts instead.

A common approach among salespeople can be summarized in the saying “If you throw enough mud against the wall, some of it is bound to stick.” This approach is exhausting, demoralizing, extremely unproductive, and very expensive in the long term.

Far too frequently, competent salespeople are expected to channel their own activities into the areas that will produce the quickest wins.

Unfortunately, left to their own devices, they don’t develop and pursue a formal strategy for moving a sale tangibly forward during each prospect interaction, neither do they have a clearly defined set of goals against which to measure the progress they are making.

Typically, their judgment is based on gut reaction and is purely subjective – i.e. “Oh yes, I’ll get that order, he likes me.” – because salespeople have to be optimistic by nature. They end up “dancing around” with prospects, in the hope that eventually they will get to their chosen point on the dance-floor – i.e. the sale. In this scenario, the customer has complete control.

Finally, let’s not forget good old Villfredo Pareto and his 80/20 rule

The sales that a salesperson completes today were made possible only by activities performed in the past. Equally, it’s what they do today that will create their future sales results. Because there is a time delay between activities and results, salespeople have an opportunity to improve their sales results by undertaking sales productivity planning and implementing an effective prospecting system. Generally, since 80% of sales are generated from 20% of customers, 80% of salespeople’s time should be focused on 20% of the biggest customers/prospects. Simple enough?

You see, Quality Activity = Quality Results, it isn’t rocket science.

So, What Makes a Successful Sales Team?

07.09.2019 by Jonathan Farrington //

An organization’s vision is a guiding image of success formed in terms of a huge goal. It is a description in words that conjures up a picture of the organization’s destination. A compelling vision will stretch expectations, aspirations, and performance. Without that powerful, attractive, valuable vision, why bother?

A mission statement communicates the essence of an organisation to its stakeholders and customers, and failure to clearly state and communicate an organisation’s mission can have harmful consequences around its purpose.

As Lewis Caroll, through the words of the Cheshire Cat in Alice in Wonderland says, “If you don’t know where you’re going, it doesn’t matter which way you go.”

Guiding principles are the consequence of a mission statement that are intended to inform or shape all subsequent decision-making, which also provides normative criteria allowing policy-makers to accept, reject or modify policy interventions and activities. They are a guiding set of ideas that are articulated, understood and supported by the organisation’s workforce.

Values are beliefs which the organization’s workforce hold in common and endeavor to put into practice. The values guide their performance and the decisions that are taken. Ideally, an individual’s personal values will align with the spoken and unspoken values of the organization. By developing a written statement of the values of the organization, individuals have a chance to contribute to the articulation of these values, as well as to evaluate how well their personal values and motivation match those of the organization.

The “Human Capital Development Model,” created by Krauthammer International, is a logical process that can take top management concepts, and translate them into a context that has real meaning for staff at all levels.

The key to bringing this model to life is to answer the following questions:

o Do my team understand the organization’s vision and how their role moves the organization closer to achieving it?

o How can my sales team translate the organization’s mission into one that is relevant to them?

o How does the organization’s guiding principles impact on the day-to-day responsibilities of sales people?

o Which of the organization’s values does my sales team relate to?

o How can we interpret these values so they become compelling for each sales person?

An effective sales team understands the big picture and the context of their team’s work to the greatest degree possible. That includes understanding the relevance of their job and how it impacts the effectiveness of others and the overall team effort.

Too often, sales people are asked to work on an activity without being told how their role contributes to organization’s vision, much less how their efforts are impacting the ability of others to do their work. Understanding the organization’s vision promotes collaboration, increases commitment and improves quality.

An effective team works collaboratively and with a keen awareness of interdependency.

Collaboration and a solid sense of interdependency in a team will defuse blaming behavior and stimulate opportunities for learning and improvement.

Without this sense of interdependency in responsibility and reward, blaming behaviors can occur which will quickly erode team effectiveness and morale.

If You Don’t Understand It How Can You Manage It?

05.28.2019 by Jonathan Farrington //

Even companies that enjoy the luxury of clearly superior products, realise that those products will not sell themselves. As a minimum, companies need a sales force comprised of skilled professionals who understand the application of the product range, have an in-depth knowledge of their customer base, market sector and of course the competition. But even all these elements together are not sufficient to ensure optimum performance levels and profitable sales.

So What Exactly Is a Sales Process?
Put quite simply, it is a set of procedures, which determine how a company wishes its sales team to operate – “The way we do things around here”

The most successful organisations have implemented a process and an all-encompassing framework for defining performance standards. This involves assessing, appraising, developing, reviewing, providing continual feedback on performance, as well as implementing efficient and relevant process tools

Lack of Direction
Far too frequently, competent salespeople are expected to channel their own activities into the areas that will produce the quickest wins. Unfortunately, left to their own devices, they don’t develop and pursue a formal strategy for moving a sale tangibly forward during each prospect interaction; neither do they have a clearly defined set of goals against which to measure the progress they are making.

Typically, their judgment is based on gut reaction and is purely subjective i.e., “Oh yes, I’ll get that order, he likes me”, because salespeople have to be optimistic by nature. They end up “dancing around” with prospects, in the hope that eventually they will get to their chosen point on the dance-floor i.e. -the sale. In this scenario, the customer has complete control.

Developing a Consultative (Collaborative) Sales Process
From the Sales Managers perspective, developing a consultative sales process means developing a comprehensive, formal, realistic and step-by-step outline of what salespeople are expected to do. This is just as appropriate for internal and totally reactive sales teams as it is for external pro-active ones. This outline includes the activity and calls they must make, the relationships they should establish with prospects, the documentation they should use in sales calls, the issues they must discuss and resolve with prospects and the tangible goals they must achieve in sequence along the path to each sale, in order to achieve maximum effectiveness.

It’s only when such an outline is in place that sales management can be in a position to:

Monitor the sales force’s activity, progress and results,
Assess issues as they arise and take appropriate action,
Redirect individual sales representatives’ efforts efficiently.

Although many organizations appreciate the importance of being customer-focused and talk in vague terms about their “consultative sales process”, surprisingly few sales leaders invest the time and energy required to develop a formal sales process – a process that is at once detailed and resilient enough to guide their salespeople and permit effective management of their efforts.

Finally, I would say this: You cannot possibly hope to manage external events if you do not have control internally!