Rick Page - Make Winning a Habit [с таблицами]

• Название: Make Winning a Habit [с таблицами]
• Автор: Rick Page
• Жанр: Маркетинг, PR, реклама

A master of the complex sale and a bestselling author, Rick Page is also one of the most experienced sales consultants and trainers in the world. Make Winning A Habit defines the gap between what companies know to do and how they consistently perform.

Page clearly identifies five “Ts” of transformation: Talent, Technique, Teamwork, Technology and Trust. These five elements, when fully developed and integrated into the sales and marketing organization, begin to create the habit of winning over customers in every industry. Stories of successes-and failures-from members of prominent companies help you apply the five “Ts” to your company's culture, and point the way to more effective plans for motivating employees, building and coaching winning teams, and improving hiring processes.

Then, with the use of Page's assessment scorecard, you can compare your company with some of the strategies and practices of the best sales forces in the world. Designed to gauge your organization's effectiveness and further develop breakthrough sales growth, this scorecard highlights your strengths and weaknesses, helping you bridge the gap between where you are and where you need to be.

You'll also learn about:

The “Deadly Dozen” (pains sales managers feel today) and how they can kill business

A ten-point process for identifying and hiring nothing less than “A” players

The 8 “ates” of managing strategic accounts and how they will maximize revenue and elevate relationships

How to identify and correct the six most common areas of poor individual sales performance

With Make Winning A Habit, you'll discover the obstacles between you and the consistent sales performance you can achieve-and find the tools to not only make success a habit, but one that will keep growing with your business.

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Many sales managers start the year with an unwinnable hand. Their CFO won’t allow them to hire in advance of a year or to build a bench of salespeople within their firm. Some sales managers don’t even get their sales numbers until after the beginning of the first quarter. Then they have to begin hiring while carrying a full quota from the beginning of the year. And this doesn’t take into account any turnover that might occur during the year.

As a result, sales managers overassign quotas to the sales reps they have in hopes that a certain number will exceed their goals to offset the bottom 20 percent who aren’t going to make it, open territories that they begin the year with, or turnover they may have.

Many managers try to live with the lesser of two evils: (1) let a bad rep continue to work in a territory because at least there is a “body” there, or (2) live with an open territory that they must cover themselves. The most frequently made mistake is not trimming poor performers early enough. Not only does this demotivate the rest of the team, but it also takes the manager away from being a coach.

Some sales executives aggravate their turnover problem simply by increasing quotas every year based on what the analysts or CFO says the sales increase ought to be, with no thought to where the new sales will come from. Will these quotas come from better coverage, new products, new markets, increased prices, better margins, or an increased win ratio?

Without a bottom-up analysis of true potential, raising sales quotas doesn’t raise sales—it usually only raises turnover and discounts. This is one of the great myths of selling. And if sales quotas are increased as a percentage of an individual’s sales quota last year, then the great reward for a job well done, after the sales banquet, is an even greater quota for your best performers. How motivating is that?

While working for Atlanta-based Optio Software, one of our principals, Blake Batley, was asked to relocate to the West Coast to assume the newly created role of western regional director.

His challenge was to revamp the region, which had previously included only one salesperson and had never generated more than $500k in software license revenue.

Instead of managing the business for what was possible, the company was managing the business for the analysts. They put together a first-year plan to find and generate $10 million in the new territory. His tasks included finding office space, furnishing it with everything from chairs to computers, hiring ten new salespeople plus support staff, and getting them trained and up to speed so that they could produce $10 million in the first year of operation.

At the end of that first 12 months, they had a fully equipped office and a full staff. His team produced over $5 million in revenue on the $10 million quota. To everyone in the western regional office, it was considered a huge success. But, according to the analysts, it was a failure.

When financial strategy drives sales strategy, quite often the result is planning for failure. And if this overassignment of individual quotas results in discouragement or increased turnover in the sales force, a complete downward spiral begins.

Hire Ahead to Get Ahead

When financial strategy drives sales strategy, quite often the result is planning for failure.

The solution is to improve our hiring and planning processes—to get the right people in the right jobs before the year begins. One best practice that we've seen in several companies is the hiring of junior salespeople who work either on existing accounts or on farming and marketing activities to learn the business and prepare themselves for territories when they open up. In my experience, we hired a number of these — about one per district — and many of them have turned out to be not only extremely successful sales reps but also vice presidents of sales and CEOs of their own companies. Without them, we would have begun the year behind the curve and would never have been able to catch up. The impact would have affected sales results and eventually shareholder value.

Get a Bench and a Pool

The worst recruiting practice is to wait until you have an opening. This means that you are reacting to the marketplace and only looking through the available candidates in your area. The best practice is to build a bench within your own firm and a pool of candidates in your industry on which you can draw when you have an opening. It may take years to build this network of candidates, but it means proactively going after people and companies that may not be looking for jobs at the moment.

In our firm, it takes us about two years to recruit a principal. And we have the possibility of 100 or more at any one time who may come to work with us in the future. The building of this pool has not been an accident. Every sales manager should have a list of several dozen sales candidates within their contacts or background on which they can draw at any given time.

Recruit the Best Recruiters

The worst recruiting practice is to wait until you have an opening

The next best thing is to build a network of recruiters who are loyal to you. However, a loyal recruiter may be an oxymoron. And if you count on human resources (HR) or advertisements to send you the right candidates, you are abdicating responsibility for your own future.

If you’re counting on recruiters, proceed with caution. Many recruiters try to play both sides of the fence. They may be using you as a net destination and a net supplier at the same time. You need to meet face to face with these recruiters, define your outline, and sell them not only on why your company is a good place for their candidates to come to work but also why you need to have a partnership with them. Make it clear that if they ever recruit from you at the same time they are sending you candidates, that will be the end of the relationship.

You have to be willing to share with selected recruiters the rules of engagement, including your compensation plan, competitive advantages, the direction of your company, and your recruiting process. In this way, they understand how to proceed with you and won’t see it as an unduly lengthy process. The only thing that will keep recruiters loyal to you is the prospect of future business. Once they see your company in trouble and people starting to leave, unless you have a personal relationship with a particular recruiter, they will start to prey on you and take people out of your organization. It’s a double-edged sword they use. Don’t let them use it on you.

If you count on HR or advertisements to send you to the right candidates, you are abdicating responsibility for your own future.

Recruiters to Reps—Solve Two Problems at Once

Another best practice used by some organizations is to hire full-time internal recruiters. Why waste a sales headcount on a recruiter? These people are actually salespeople because they can go into organizations and find people who are not yet looking for a job and pull them out along with their friends.

The only thing that will keep recruiters loyal to you is the prospect of future business.

When I was rebuilding my region, my company had a number of these (most of them were ex-military Recon types.) They made great recruiters, and most of them went on to have successful careers in sales and sales management. It was one of the best investments we ever made. Not because we saved recruiting fees, but because we got top-level talent.

All I ever saw in my recruiting efforts were A and B prospects. I wasted very little time talking to turkeys because of the efforts of these people. We were able to rebuild our region from middle of the pack to number one within a year. This is an excellent investment, but like many best practices, it requires a certain economy of scale to be able to afford a full-time, aggressive internal recruiter who is not just a paper passer.

Written Profiles—Sight Picture of Success

If you’re recruiting, how do you know what to look for unless you sit down and define what a successful salesperson in your organization looks like? What traits, experience, skills and personality will predict success in your organization and in your industry? Unless you write it down and test it against your current performers—you’re guessing. In the absence of a profile, you’ll be hiring on hope. You will be opportunistic instead of purposeful. People tend to hire on hope and fire on faults—a very expensive habit.

Good Is the Enemy of Great

Not having a reason to not hire somebody is not a reason to hire them. The default is to keep talking or keep looking.

A regional manager I know once hired a guy and fired him within three months. When asked why we hired this person, he replied, “I couldn’t find a reason not to hire him, and he looked better than anyone else I’d seen.” (These are two bad principles that need to be removed.)

One time, one of my sales managers said to me, “We can’t have all ‘A’ players.”

“Why not?” I said. “That’s not true. That’s a bad principle. Throw it out. You can have all ‘A’ players. I’ve done it three times in my life.”

People tend to hire on hope and fire on faults — a very expensive habit.

But you have to be willing to wait for the star, and you have to be willing to spend more time recruiting than fixing problems for salespeople. Championship teams have no weak links. It’s pay me now or pay me later, and I’d rather invest in recruiting than in fixing lost sales.

While at SAP, one of our principals, Jack Barr, met with sales directors from all over the country. He would ask them each to rank their current sales teams—how many A, B, and C players they thought they had.

Their categorizations were always similar. They all defined their sales forces as having some A players, some B players, and some C’s. Their best performers were designated as “A players” even if they really weren’t. In many cases they didn’t really have any A players at all.

When Jack told them that they needed to hire some A’s, they would always say, “We can’t right now—we don’t have the headcount.”

“But if you have four C players right now, who you don’t think will ever be A players, you do have the headcount,” Jack would tell them. “You have room to hire four people.”

As a sales manager, you have to be candid with yourself about what level players you really have. You should constantly be recruiting. When you find an A player—or someone who has the potential to become an A player—hire them and replace your C’s.

You can only perform as well as the team you have behind you. If you spend all of your time coaching the C players, helping them sell, you can’t be an effective manager to the rest of your team.

Cost of a Bad Hire

It’s not what you pay a man, but what he costs you that counts.

Will Rogers

One of the problems we have in business is that accounting systems don’t measure the cost of a bad hire. Our accounting systems don’t measure lost revenue because it never hit the books in the first place. But the cost is there; it’s just invisible. Not only is it an out-of-pocket cost from lost sales, but also there are huge non-monetary costs that have an impact on the manager.

One thing is sure: Whatever the gap is between what you hire and what you need, the manager pays for in the long run. The costs incurred from hiring mistakes include lost productivity, as well as lost time for the manager and the entire sales team—not only lost sales from the poor production of that one salesperson, but also lost manager’s time that was taken away from other people who could have benefited from good coaching—not to mention other losses such as angry customers, employee morale, and even missed opportunities.

Not having a reason not to hire someone is not a reason to hire them.

What did it cost you to settle for someone who was adequate if you missed the star who would have come along one month later and would have been a quota exceeder for the next 10 years? How much did it cost because you settled for someone who was adequate rather than someone who was exceptional? The principle is—if they aren’t exceptional, they aren’t acceptable.

Whatever the gap is between what you hire and what you need, the manager pays for in the long run. If your new hire is not exceptional, they are not acceptable.

Additionally, you have the out-of-pocket costs of recruiter fees, moving expenses, and training and travel to get someone new up to speed. What is the real cost? Most of the sales managers I talk with estimate the cost of a bad hire at — when they add it all up — a minimum of one to two year’s sales quota. It takes three to six months to figure out if the new hire can do the job; then you may have to give them a probation period of another 90 days; and then it takes another three to six months to hire someone else and get them up to speed again.

Here is an example based on a salesperson with a $1.5 million quota:

Range Average Initial hire period 1-3 months 2 months Ramp-up and training time 3-6 months 3 months Time to realize poor performance 6 months 6 months Time to review and fire 3-6 months 5 months Time to hire new rep 1-3 months 2 months Total 18 months Additional costs 18-month sales quota x $1.5 million $2.25 million Recruiting fees $25,000 Training $50,000 Total $2.325 million

If our accounting practices required us to take a writeoff or write a check for this amount every time an employee went out the door, this would stop.