Thursday, December 22, 2011

Closing the Deal

What most sales managers miss when hiring sales talent

By Ken Cheo, principal at Winfree Business Growth Advisors

If you look at any sales force, you’d find that they typically break down this way: 10 percent produce substantially more than all of the rest, 10 percent are producing very little, and the rest are average. Why does everyone accept this as reality? Do they hire salespeople expecting mediocre results from them? Quite often the response is, “I can’t expect everyone to produce. It just won’t happen.” 

They usually will go on to say, “I am not sure I have the right people.” This uncertainty indicates they may not have the right strategy, systems and metrics for the sales team to be at their best and for management to know if they have what it takes. Are you giving them the opportunity to understand what needs to change and fix those problems before you give up on them? How can you be sure the next hire has what it takes to become a top producer?”

Here are some recommendations to improve your recruitment and retention:

1.    Get rid of the ones with the bad attitude – No one likes to terminate people but you have to look at those bottom 10 percent and determine what they are costing you. It may not just be the cost for their salary, benefits and training. You also need to ask: Are they doing damage? A bad attitude is like an infectious disease; it is contagious. The problem is the people you want the average performers to be talking to are not around. They are busy out writing orders. That’s why they are in the top 10 percent. The ones that are around are the bottom 10 percent, and if they are infecting the others with negativity and excuses, you need to get rid of them fast. 

2.    Hire based on attitude – Recruiting practices typically spend a lot of time discussing experience and expertise and may test candidates for behavioral style but do not test for attitude. How will you know that they will have the right attitude, and if they do, how will you know they will fit in with your culture? In other words, do you know they will not end up being a disruptive force within the company and cause other key employees to become frustrated and leave? Don’t forget, salespeople are good at presenting themselves so you should have a good way to test for attitude and to understand what truly motivates them. Additionally, attitudes are formed over time from beliefs and you want to be sure you are hiring someone who will not eventually develop a bad attitude when encountering rejection or challenging times or become complacent once they get to a certain level.

3.    Have a system – To be successful you have to have a system that makes sense to both you and your prospects. The system should enable you to determine the level of activity you need from your salespeople to be sure you will get results. Whether you know it or not, your salespeople have a system. The question is, does it get you the results you expect and is it consistent?

4.    Keep them accountable – Once you have set up the system, hold them accountable for the activity. If they are not keeping up with the activity, make adjustments. Make them part of the solution. If the inactivity continues, perhaps they are in the wrong job. Maybe they would be more productive in a different position.

5.    Set up coaching systems – Set up systems and processes to get and give feedback. This should be done for all your key employees if not everyone. Great things develop from empowerment and to empower people you need to create the right environment.