Over the past weeks I’ve been talking to various businesses about the strategies that they are developing for 2012 and beyond and in the light of continued hard times.

The one common factor in my discussions is that there seems to be a great emphasis on sales and sales team restructure to maintain growth. Identifying the successful sales team members isn’t difficult and identifying those that need replacing isn’t difficult either. The problem is that those at the top probably won’t be able to deliver more and those at the bottom are difficult to motivate.

Greatest potential growth
Possibly the greatest potential growth from a sales team will come from the average performers. That is those that are producing between 90% and 125% of their target on a regular basis. This is partly because this group tends to have more people in it than the top or the bottom and motivating them to produce more has the greatest potential for success.

Sales team restructure strategy
When developing strategies for a sales team restructure they should include changing territory, clients, working times, information and support given to the sales team and a good study of the recruitment process and criteria for those joining the team.

This video on sales and marketing interview questions might help

I was asked last week what I felt was one of the biggest mistakes in sales team management and my answer was “lack of accountability”. Though I wasn’t talking about allocating blame for missed sales targets!

Lack of Sales Accountability:
Blaming poor sales results to uncontrollable forces such as
competitors, the economy, poor marketing or poor management is often the starting point for sales teams that seek to justify poor sales. There will be times when salespeople exceed monthly targets and others when they fail to meet monthly target. There is an urgent problem if the sales team fails to exceed target 80% of the time and when they do fail to reach target the shortfall is greater than 15%. 

Who is responsible for the lack of performance?
However, when failure does happen too often it’s because the business lacks a clear policy of sales
accountability. Sales people that under perform will often not accept personal responsibility, instead they will blame the economy or other reasons. Sales management are often no better and will blame training or marketing and so on.

Accountability
All good sales teams benefit from an accountability policy. Accountability doesn’t mean having people accept failure as if they were in a confessional. It does, however, involve the whole team as well as any support mechanisms such as training and marketing in determining the aspects that went wrong during a given time period and then the maturity and ability to determine how to improve the situation.

Creating a culture of sales accountability doesn’t happen
overnight but it’s an essential aspect of having a successful sales team.

I had an interesting Skype conversation with a friend of mine in California last night who has just taken over a new sales team after the departure of the previous Sales Manager.

First stage
I asked him about the indicators that told people that things were “going wrong” before the departure of his predecessor. The process began, he said, with the Sales Team saying things like “It’s just not working” but being unable to agree on exactly what “It” was.

The second stage
was people outside the team saying things such as, “The sales team’s sucking in loads of our time”, “the restructure’s not working” and “We’re not going to meet target”

Third stage
Was when senior management started to get involved. This was about four months after stage one. It then took another six months for the sales manager to be dismissed. Total time when opportunities were lost amounted to ten months and further delay is likely to occur before the new manager gets a grip on the situation.

Result and main reason
Estimated lost income is hundreds of thousands of dollars!
One of the main reasons for the failure, and one that is so common, was that The Sales Director felt unsupported by the senior management and the sales Director was not willing to say that he “was struggling”. 

I was interested to read that the future of the government’s Work Programme “hangs in the balance” as research has revealed that 90 per cent of contracted Work Programme providers will miss their targets to get people back into work.

“The future of this vital employment scheme hangs in the balance,” said Ian Mulheirn, Director of the SMF.  “The programme aims to get some of the hardest to reach people off benefits and into work, but past performance shows that providers will be unable to meet the criteria required of them by the DWP”. As reported in Management Today

The statistic raises a number of questions:

• Were the targets too high?
• Were the providers promising too much in their application for the contract?
• Were the providers competent?
• Is the economic downturn so deep that it makes delivery impossible?
• Are employers just not employing?
  

No doubt the answers, arguments and “justification” will depend upon being in Government, Providers or DWP.
 
Perhaps they’ll all blame the unemployed!

Technorati Tags: employment, Ian Mulheirn, Management Today, work programme, unemployed, job, job serch

The
future of the government’s Work Programme “hangs in the balance” as
research has revealed that 90 per cent of contracted Work Programme providers will miss their
targets to get people back into work.

“The
future of this vital employment scheme hangs in the balance,” said Ian
Mulheirn, Director of the SMF.  “The programme aims to get some of the
hardest to reach people off benefits and into work, but past performance
shows that providers will be unable to meet the criteria required of
them by the DWP. As reported in Management Today

The statistic raises a number of questions:

• Were the targets too high?
• Were the providers promising too much when they applied for the contract?
• Were the providers competent?
• Is the economic downturn so deep that the job situation makes delivery impossible?
• Are employers just not employing
  

I’ve no doubt that the answers, arguments and “justification” will depend upon being in Government, Providers.
 
Perhaps they’ll all blame the unemployed!

I love working with new sales teams. In particular I enjoy planning how to to restructure a sales team to maximise sales.

Pertinent questions
Recently I was talking to a Sales Director that was concerned because his sales team, as a whole, wasn’t meeting target. Some of the team met their individual targets easily and exceeded them, others were average and some below average. The Sales Director was continually asking “Were the targets too high, Was the sales team capable of meeting the required results? or was the economy to blame?”. All very pertinent questions but ones that didn’t deliver the answers he was looking for.

Focussing on stars and passengers
In my experience a major reason why Sales Directors have problems with targets is because their focus is often confused by the stars and the passengers in their team (Stars are probably producing all they can and passengers simply reduce the good effect of the stars!).

Instead I persuaded him to focus on the group of people who are making “average Sales” and just below, which tends to be the larger number of people in any team. If this group could raise their sales by just 5% – 10% the effect can be to massively increase sales.
Action plan in the making!

email me: stephen@assimilating-talent if you would like a SKYPE call to discuss your sales team issues.

The film on Sales and Marketing questions broke the 2000 views barrier this weekend.
The series on asking and answering interviewing questions has been a great success and in particular those on sales.

In total my YouTube channel has has over 9000 views and you can access all the films HERE
So for those that missed “Sales and Marketing Interview Questions” here’s another chance and more films are being planned
 

Sales and Marketing interview questions
www.stephenharvarddavis.com

Over the past few weeks I’ve been talking to some managers responsible for teams of sales assistants in large retail shops. The task was to show them how they could restructure their team’s approach to customers that would generate an increase in sales.

In this videoclip I tackle two main problems.
The first is the problem with asking “Can I help you?” that too often destroys a sale.
Secondly, how to generate multiple sales

Contact Stephen by email: stephen@assimilating-talent.com

Yesterday I had a great time with some business friends discussing the scandal of the NOTW and Rupert Murdock’s business empire. We all agreed that there have been lots of occasions when businesspeople believe their created image that they then become paralysed when things start to go pear shaped.

“You’re brilliant”
Director paralysis isn’t new. This often comes from having people around you that always tell you how brilliant you are. The more a business leader hears it the more they come to believe it. Murdock’s thousands telling him how brilliant he is seemed, at the start of the scandal, to create a paralysis of understanding of the seriousness of the situation. This, as is so often the case, was translated by the UK public as being arrogance.

Then again I’ve observed Directors of much smaller companies believe their own image and create similar problems for themselves. Like the Sales Director who joined an insurance company saying he had come to “save the company” when most people didn’t know, or believe, that it needed saving.

Or the Managing Director who told me that in twenty eight years at the head of his business he’d not made a “New hire mistake ever”. In fact he told me that he could identify a success when “they walked through the door“. His staff turnover was very high and continually created problems for his sales.

“Remember you are mortal”
As generals drove through the ancient Rome after winning a war a slave at the back of the chariot would whisper in their ear “Remember you are mortal” in case they believed the crowd’s adulation. I wonder how many CEO’s would consider hiring someone to continually question their thinking, just in case they thought themselves infallible?  

My original work with teams was with sales teams and how to make them more productive. It’s an area that I’ve always enjoyed so perhaps it’s not surprising that I’m being asked to advise on this area of business more and more.

The last few weeks I’ve been talking to a very enthusiastic team about to open a couple of retail stores. A brave thing in these times but their product and their enthusiasm is such that you can’t fail be be drawn into the excitement.

Who will go topless?
One of the things we did is to visit other stores and websites to experience the “Buzz”, customer experience and see what can be replicated and what should be avoided.

A favourite visit, as voted by the group, was to the Abercrombie and Fitch store in London where I suspect the main attraction was the very fit looking topless male that greeted the girls and guys at the door. As you can imagine there was a lot of discussion and even a vote on which male member of the team should walk around the new stores topless. (Before you ask…I wasn’t even included in the list of candidates!)

Whilst the group agreed that the A&F visit was a great customer experience most stores failed to live up to the same standard and some didn’t even come off the starting blocks. So I’m being encouraged and helped by the group to make a couple short film for this blog on the topic and this should be completed this week. So keep an eye out on this blog