Thursday, April 29, 2010

Responsibilities of Sales Management

Much of the time, when sales production is not growing in volume and profitability, the "monkey" is placed on the back of the sales representatives. While sales must be held accountable, it all starts from the top. If even the best of sales forces is not led, trained, funded, measured, and recognized properly, its accomplishments will be significantly diminished.

My position on clear accountability of the sales force has been documented in several previous articles. Make no mistake, they are on the very front of the firing line, and must get results. However this article will address their leadership.

Simply put, the VP of Sales (or equivalent) has a responsibility to act. It is not just a productive thing to do, it is a requirement. Those not endowed with the mettle to do so, should assume another role in the organization. Yes, this seems terribly harsh, but lack of accountability up and down the group is the number one cause of poor sales performance.

Technology, especially in the print industry, is creating change swiftly; so swiftly that even when successful we cannot afford to stand pat. Our troubled economy has many doing just that now, and unfortunately, they will be the losers as the recovery grows.

What erodes courage to act is fear and lack of confidence. While the approach should be reasonable and caring, it cannot be a popularity contest. As with parenting, the "tough love" approach works best. Acknowledging poor results, not accepting them, is the beginning.

Coming next, is involving the force in crafting the solution. This secures buy-in; then the journey towards improvement can be undertaken. And rightfully so, management will have led the way.

Wednesday, April 14, 2010

Managing the Salesforce: Leadership & Courage vs Aggressiveness & Threats

How should an under performing sales group be treated? Certainly fairly & as professionals, but also with a sense of urgency to improve results. After all, the whole company is depending on its sales people to bring in the business that not only feeds the whole organization & gives the ownership a good return, but serves its customers.

I often find, however, that one extreme or another is taken. Either the sales group is attacked and told their jobs are in jeopardy, or they're treated with kid gloves fearing excessive push-back and mass exodus. As with most things in life, a well planned process should be undertaken. It needs to be an assertive, no nonsense approach, but one that looks at individual as well as collective results.

Remove emotion; you lose support from your people when you over react. Rather than making frustrated decisions unilaterally, take the time to listen to your people, both within the sales group and outside of it. Care about them as well as the company. The answer usually lies within. Discover together what is being done well, as well as what needs to be improved.

Be in touch with your customers and their expectations. Not only sales management, but top management should talk directly to them. They'll be happy to tell you what can be done better.

Measure and compare. What has changed? Why? Have you trained well? Have you given the team direction, a purpose, and a way to succeed? Is it supported by the company? Is it funded adequately?

Finally, if you have done your job well, most excuses have been removed. It will then be time to put together a written performance improvement plan, individually and collectively, to achieve what you must. This should be simple, direct, and to the point, complete with goals, time lines, and measurements.

More to follow, but if you've been the leader you should be, your courage and care should have you well on your way.

Tuesday, April 13, 2010

Entitlement Epidemic: Only in Sports?

Two weeks ago, an article appeared in USA Today that I was particularly drawn to. Christine Brennan, in the sports section, wrote on the Entitlement Epidemic she saw taking place within our most successful athletes. Ben Roethlisberger, Gilbert Arenas, & Tiger Woods were cited, but there could have been several more.

My question is, isn't it the same in business? We need only look at Enron, Arthur Anderson, & AIG. Didn't these leaders think that they were owed a good living, were owed a special lifestyle, were entitled to power & wealth?

When things go bad, much of the time our vanity or arrogance is at the root. We fail to see warnings because of the glasses through which we see. We justify irresponsible conduct because we've worked hard and DESERVE it.

Well, here's a news flash: It isn't going to get any better until we as leaders, we as a society, we as parents, we as a faithful people, stop making it our most important goal, something we just cannot live without. Our false gods destroy us.

As a consultant, I have to turn away from a deal that might be financially lucrative if I have to misrepresent my abilities. Or leave a client who sidesteps ethical issues.

Christine concluded her article with not a lot of hope, if each of us continues to spend our time and money on the wrong things. It is up to each one of us to make a difference each day and change the outcome. If we consider ourselves to be blessed by all we have, and not entitled, we will make everyone proud in the right way.

Thursday, April 8, 2010

Meeting #7 for Strategic Planning (SP)

This meeting is the last one, and serves to put together the final document, provide for implementation, and ensure it will be monitored & evaluated. It should be held on-site, followed by a celebratory luncheon, also on company premises. It will be especially effective to do it in this manner so that the entire organization can see the importance & unanimity attached to this accomplishment.

The individual writers will have assembled between meetings, and have the sections pieced together, as outlined previously. They will have added the necessary details and supporting data. Accordingly, the document will be presented at this meeting in final draft form.

Ideally, each member of the Team should have received the draft a few days before this meeting. This will save time and needless petty disagreements
during the final meeting, since each person will have ironed out all but the most crucial items. Minor correction &/or typos should not be an issue.

When the plan is completed, there should be a discussion of: “Was the overall purpose/result achieved?” Again, the answer should be a resounding yes, but the conversation should serve to showcase the accomplishment.

The Implementation is the most important step of all. Be wary of having such a feeling of euphoria with plan completion that a letdown occurs. Again, if you have followed the process, you will have accountability with champions for each step of the plan. Follow the plan & timeline. Plan communication of the plan to the Company; buy-in is important.

Monitor the progress at regular intervals, preferably quarterly to start. Monitor, measure, & evaluate. It is OK to deviate, but understand WHY you are deviating, and update the plan to reflect the new direction.

Have mutual accountability. “Peer Circles” are especially effective here. Are the goals & objectives being achieved within the timelines? If not, why not? What new things are we learning? Do we still have adequate resources? What should be changed?

And finally, remember, when the plan is finished, the real work just begins!