How can sales trainers and managers use BA to boost sales?
Observing and assessing what people to say and do in given sales situations is not new. It can have a powerful impact on sales effectiveness when done well. From sales ranging from inside to field sales, from direct to indirect, from simple to complex it is not so much which is the best system but which is most appropriate for the job you need to do. What follows is an overview of the case for BA in improving sales performance.
Why measure what people say or do?
Many of us are unaware of how skilled we are and, more importantly for development purposes, we are very often unaware of exactly how we produced such skilled purposes. We could, of course, ask skilled performers how they have reached their level of ability. Unfortunately, many of their highly skilled performances are by now unconscious with apparently little effort or planning. In fact various research studies of expert performance skills – music, sport, selling has shown such analysis can be really misleading. The prize though is worth it. If we can analyse top performers and are able to develop those skills in others the pay-offs are often double digit sales revenue increases. For example, in my own sales productivity projects, with a range of clients, have produced sales increase ranging from 25% to 100% using a BA based approach.
Clearly, if we want to illuminate why some people are more skilled than others we need to measure what is going on. A crucial factor is to make sure there is a balance between sales outcomes (Lagging Indicators) and the sales behaviors/process used to achieve such results (Leading Indicators). This balance shifts as the complexity and length of the sales increases. It becomes crucial to know how more skilled sales people achieve sales progress, such as:
Get invited to bid
Gain customer’s agreement to visit a reference site
Help the customer develop their RFP
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Self-coaching can be a like the blind leading the blind. At best, the rate of improvement is slow and inconsistent. At worst, the group perpetuates behavior that is not competitive. This is also true of peer coaching where they exert their influence based on equally inaccurate perceptions of what they do and too often steers the colleague in the wrong direction.What follows summarizes why self- and peer-coaching alone can be ineffective in developing sales peoples’ self-analytical abilities – A critical part of sales mastery. Then we overview how to solve this problem. The context is that since 2008 sales management can be summed up as, “Do More with Less” One result being that technology has accelerated the trend toward inside sales. In fact, there are now more inside sales people in USA than their traditional outside sales counter parts. In turn, this increasingly spawned the view that sales people can coach themselves entirely. This thinking is a logic based on increasing spans of control and a lack of sales managers both in ability and their inclination to coach their sales people Continue reading →
A key finding of our research in a large mortgage loan client (Nick Anderson and Linda Marsh) was that 40-50% of mortgage loan customers surveyed had concerns about their house buying process. Unfortunately, Mortgage Loan Officers recognized only half of these people had such concerns. Also, Mortgage Loan Officers thought that half the people who didn’t have concerns did.
So, one key factor on offering help and advice is correctly identifying people
who have concerns they need help with.
(Journal article by George M. De Marco, Byan A. Mccullick; JOPERD–The Journal of Physical Education, Recreation & Dance, Vol. 68, 1997)
I like this article as it challenges some of the more superficial approaches to training sales managers to coach. It is a challenge that so many duck and as I wrote in Quality Sales Managers Matters:
#1 High-performing sales manager’s impact reps engagement and financial performance. Reps reporting to great managers report high job satisfaction with four times more revenue than those working for poor managers.
#2 Coaching Is King—The manager activity most linked with sales rep success is coaching. However, their coaching ability to coach individual sales reps is the weakest.
#3 Who they coach is selective— Coaching low or star performers does not statistically improve performance. Core performers, the 60% center of the performance Bell Curve make significant improvements with coaching.
#4 Effective coaching hits the bottom line. Core sales reps receiving great coaching reach on average 102% of goal in contrast to sales people reporting poor coaching who achieve only 83% of goal. Good coaching can improve core performance by 19%. This is lower than with PDS’s and Huthwaite’s sales productivity projects (18%-30% sales increases)
#5 Great Coaching Is a Learned Skill—Quantitative analysis shows that five elements account for 77% of coaching effectiveness. Armed with this information, we can develop great coaches by focusing them on specific activities such as emphasizing the importance of targeting the best opportunities and spending at least three, but no more than five, hours coaching each rep per month.
The characteristics of coaching expertise, research into coaching effectiveness, coaching expertise, and expert performance in other domains, a profile of expert coaching has emerged. – Five distinct Characteristics
Characteristics of Expert Coaches
1. Extensive, Specialized Knowledge
All around understanding of the internal and external sales environments
2. Organize Knowledge Hierarchically
The ability to store and organize information as learning patterns which allows them to compare idealized performance standards with the present performance of their people.
At its core the experts are superior planners and evaluators. E.g. expert gymnastic coaches used a model to determine and plan for their athletes potential developing short- and long-term goals being set and periodically reset according to the athlete’s progress.
Another study compared 10 expert and 10 novice basketball coaches. The results indicated:
“..experts had more in-depth and detailed planning protocols, with more augmentation, sub goals and anticipated problem statements than novices. They planned practice sessions in bigger chunks, taking into consideration more components of the problem at one time” (p.215).
3. Highly Perceptive & Superior Problem Solvers
Experts are uniquely capable of accurately perceiving stimuli in game situations. They can sort important clues from other “white noise” and then generate superior responses. They can see how all the pieces fit together to help their athletes to plan, diagnose and strategize more effectively. The experts solve problems more methodically
4 Accurately assess and prescribe performance
This positively impacts the quality and quality of coaching during practice. Basketball experts spent 42% of their time in instruction In another study, expert coaches gave significantly more feedback.
Expert coaches are able to detect what people need to know and then find ways of supplying that information.
5. Exhibit Automaticity During Analysis & Instruction
Several studies on coaching effectiveness showed that coaches of less satisfied high school teams often interrupted the flow of practices to instruct, whereas coaches of satisfied teams typically provided instruction as they played.
Commentary of Summitt’s coaching:
“provides succinct and rapid-fire instructive and prescriptive feedback during play”
6 Self-Monitoring Skills
Experts are more self-aware, analytical, evaluative and corrective of their performances. They are driven by the desire to improve their own coaching performance
Developing Expertise in Coaching
Gain More Knowledge
Study successful coaches
Identify the important. Organizational skills are critical to effective coaching. Keep yearly, monthly, personal records
Stay perceptive, recognize problems early and solve them quickly.
Concentration is a must – focus on the task at hand and don’t let yourself be interrupted or distracted. When analyzing a skill performance, focus only on one aspect of the performance, not the whole skill. ”The sooner the coach can analyze skill problems, the sooner the will move to the expert level”
Identify & solve problems in a rapid, complete and correct manner demands skill that continually needs to be developed
Increase short- and long- term Memory – A great distinction between the experts and others “the ability to acquire, retain and apply knowledge”
Make it Automatic – develop practice routines, warm-up drills, pre-game activities
People problems are very varied; they can also be complex. There is no all-embracing theory for
understanding them and no magical formulas guaranteed to solve them. The problem-solver, where people problems are concerned, must be an experimenter. There are, however, a few guidelines which, if observed, will help to save the problem-solver from wasting time and effort on ultimately unprofitable activities.
In one of my clients in the food engineering sector, I estimated that only 1:12 quotes were successful. What are the implications of this situation, apart from not making your “Nut”?
Effort devoted to lost causes
Good opportunities starved of resources at the right time
Internal relationships between sales engineer and other suppliers
Damaged Sales credibility due to poor forecasting
And??????
A Test
So, here’s a test. At your next Sales Meeting checkout to see if people are on the same page. You might use different terminology but the principle is the same. Can you get your people and those that support them “on the same page”. Here’s some definitions to check out with them.
A frequent and often crucial situation in management today is one in which one person is seeking to persuade another to accept proposals for change. This situation commonly occurs when a subordinate presents a case to his or her boss.
Unfortunately, people usually spend a great deal more time and effort in collecting supporting facts and figures than in planning for the face-to-face interaction on which the success of the whole exercise usually depends. Careful consideration of interactive strategy at the planning stage can both assist in the selection of effective arguments and result in more persuasive interactions.
Feature Dumping
This discussion of the issues involved concentrates on persuasion in the boss-subordinate context; but the principles considered apply equally well to any situation in which one person is seeking to gain the co-operation or the consent of another.
This is the forth in a leadership series – Complexity the New Norm. This series is looks how we implement successful change that fulfills people and avoids human casualties.
Our question is, how do we create working relationships that are rewarding? (Rewarding not just productive). Why?
It’s only by energizing people and harnessing technologies better than anyone else that companies can thrive.
Genuinely aligned, empowered and collaborative people will outperform the competition every time.
This month I consider probably one of the most difficult areas is sales, especially complex sales.
What makes sales complex?
Classically, “Many to Many” Think of it like a bow tie. On the left side you have the selling organization and on the right Complex Sales. Typical characteristics:
So, more people across the company need to communicate with customers and prospects before, during and after the sale. This increases complexity and the difficulty of “Keeping Everyone On The Same Page”
This is the third in a leadership series – Complexity the New Norm.This series is looks how we implement
Seeing the Wood for the Treessuccessful change that fulfills people and avoids human casualties.Last time, I asked how we create working relationships that are rewarding. (Rewarding not just productive). Our position is that it’s only by energizing people and harnessing technologies better than anyone else that organizations can survive and thrive.Genuinely aligned, empowered and collaborative people will outperform the competition every time.Many surveys show executives say that their people aren’t ready to handle this “new norm” So, what’s getting in the way?When the urgent drives out the important, many leaders ignore what their “guts” are telling them, even when they sense people aren’t on the same page. They’ve sensed it before and seen the results. Yet, complexity and urgency mask how things accumulate, misalign and make each change more difficult.You know that feeling yourself. We’ve all worked in dysfunctional work places. You pick up on people’s differences (often unstated in team meetings) and how they use their experience to justify their positions. They are oblivious of others views. Worse still they believe that their views are shared by everyone.If leaders are aware of these things, why don’t they do something?I think it’s like how people put up with physical pain and stress – take the pain killers and go on. And I am not implying they’re weak but their strength to persevere can be a two-edged sword. Here’s some examples of what leaders ignore and don’t realize their effect:It’s expecting things to be done and repeatedly being disappointed.It is the lump in your stomach when they are handed yet another impossible deadline.It’s feeling that they have to be a mind reader to figure out what is expected.It’s that welling anger they get when important decisions fall apart (because there really wasn’t any buy-in).These are all misalignments. People not being on the same page. It’s costly, pervasive and accumulates.Now, add increasing complexity and we need to say – we can’t go on like this anymore. The busyness of complexity masks misalignments especially when wicked problems get into the mix.You’ve mentioned wicked problem solving before….But why is it so important in leading in complexity?Wicked Problem Solving
Horst Rittel coined the term Wicked Problems as he found traditional approaches to design and planning were not effective. It’s how we solve benign or simple problems.
Gather data
Analyze data
Formulate Solution
Implement Solution
This apparently very reasonable approach starts faltering when you:
1. Don’t understand the problem until you have developed a solution.
You can’t search for information without having some sense of what a solution looks. Rittel said:
“One cannot first understand, then solve.”
And what ‘the Problem’ is depends on who you ask – different stakeholders have different views about what the problem is and what constitutes an acceptable solution.
2. Don’t have a nice neat ending.
If there is no defined ‘Problem’, there can’t be a definitive ‘Solution.’ So you can’t solve the problem with the ‘correct’ solution. Herb Simon, called this ‘satisficing’ — stopping when you have a solution that is ‘good enough’
Solutions are simply ‘better,’ ‘worse,’ ‘good enough,’ or ‘not good enough.’ How “good” they are will vary widely and depend on different stakeholder values and goals.
4. Can’t draw on past experience
There are so many factors and conditions that no two wicked problems are alike.
Here are a few examples of wicked problems:
Whether to route the highway through our city or around it?
What should our mission statement be?
What features should be in our new product?
How should we respond to a competitors new…fill in the blank?
The point is managing complex and wicked problems shifts the center of gravity toward peoples’ relationships and interactions. It shifts from relying on expertise and pride in accumulating knowledge to learning with and from fellow learners, honestly disclosing doubts and admitting ignorance.
I am thinking leaders who are listening will be saying: OK, I get, it but where do I start?
As I said last time, complexity and misalignment is best handled by those directly involved. So, leadership should be devolved to the lowest level. This means expectations you have of your leaders need to be clear, agreed and tracked. There are several alignment areas that senior people need to address with lower level leaders, which I will cover in later programs. But, I will start with a key competence that leaders need improve in their teams and activities. It’s a bastion against the confusion that comes from poorly managed complexity
Leading Learning
Leaders have to shed their prejudices and bad experiences of learning at school, – like cramming or memorizing, and that learning by doing is good enough. Many leaders will have to unlearn, and then learn about Leading Learning. There are five criteria you should expect your leaders to evidence in their learning expectations: Are they …..
Planned?
Action-Focused?
Constructive?
Social?
Time-Bounded?
Using these criteria, leader expectations need to specify what they expect of their people and draw out what their people expect in return.
What do you see as the main areas for leaders to think about when it comes to leading learning?
Here are four things to reflect on about your organization. Ask yourself:
How do we really match-up when it comes to leading learning?
Learning team-based sense-making process.
1. Learning is team-based sense-making process.
What expectations do you have of your people to develop shared knowledge from similar situations?
Why?
Shared situations builds shared sensing, which builds common frames of reference.
Shared situations builds shared learning and reduces the exclusivity of individual experience
Can you find expectations that say it’s OK for people to express feelings of being puzzled or being misunderstood:
Why?
Such expressed feelings are often the tender shoots of learning and if subject to making people feel stupid will stunt learning before it has even got going.
Sharing puzzlement develops learner ownership because there’s “gas in their tank” to do something about it.
You don’t know how many others have the same feelings until they are expressed.
Getting people on the same page only happens when people’s feelings are transparent to others. It takes the guesswork of where people are coming from. It reduces assumptions about people’s intention, motivation and agenda
2. Learning is a socially negotiated
Leader expectations need to specify that making sense of problems and their solutions needs to be negotiated with the intention of reaching understanding, resolving differences and producing an agreed course of action.
Why?
What’s agreed is far more likely to stick
Stakeholder and team member interests of are more likely to be respected and served
Better alignment leads to growing trust and openness which leads to people being less guarded
3. Learning is multi-level sense-making
Leaders, especially senior leaders, need to ensure that their expectations of learning are expressed to all levels both vertically and horizontally across the organization. The belief that knowledge is only in one person’s head went out with the craftsman and his apprentice. Knowledge and reasoning need to be used for collective sense-making.
Why?
It’s the social process that bonds people together. As we engage with others we influence and are influenced by our working community their beliefs and values.
This type of participation is how we absorb and grow a healthy culture.
This is how we grow as individuals and develop rewarding relationships
It’s crucial that leaders understand that activity constrains and defines the learning that can occur, so the last point
4. Learning is a product of activities, systems and processes
Learning through Activities
The blend of people, their experiences, values and beliefs are not reducible to individual actions in complex situations. So, leader’s expectations need to shift from the individual to the team.
Why?
It’s not about you; it’s about us – “Leave your ego at the door!”
Information isn’t any good if it is not shared, in ways that others can understand
If you don’t interact with others your chances of building trust, respect and other relational glue is remote
If I am a leader or business owner listening to this today I might be saying that’s all very well but I have a business to run. What advice would you give them?
Do what you’ve always done, get what you’ve always got! – Not!
1. Hire people who evidence lifelong learning – if people aren’t curious they are not for you.
2. Make sure you pay people for doing different things not just doing what we have always done – cos if you don’t you will get what you’ve always gotten.
3. Ensure you make sure all people know learning is a priority and it’s not something left to chance or the competition
_______________________________________________________________________________________________________________________________________________________ For Help in Getting Your People on the Same Page Nick Anderson, Senior Partner, PDS Group LTD
In my last blog I introduced my new leadership series – Complexity the New Normal.
It’s time we had a debate about how we develop rewarding working relationships today. (Rewarding not just productive). It is the competitive core – energizing people and harnessing technologies better than anyone else.
The ultimate standard for such rewarding relationships is a leader’s ability to sustain superior results over an extended period. The debate should focus three
The Gordian Knot
questions:
What does it mean to lead?
What does it mean to follow?
When do you choose one from another?
Why is this debate needed for us to climb out of this recession?
People have lost trust. Many business leaders, too many unfortunately, are seen as self-serving and subservient to shareholders.
What happened? “Org Chart Thinking” increasingly doesn’t work. Knowledge workers respond to learning not “command & control”. Plus, young people don’t want to wait in line to lead. Most important, people are searching for genuine satisfaction and meaning. For example, “restoring people to full life and health.” Medtronic.
Sound weird, doesn’t it? Truth is . . . being tied to one training methodology simply isn’t productive.
There’s no “perfect training methodology” – whether it be focused on selling, managing or coaching. Any training should Advance Competence while Advancing Sales. Complex sales organizations need methodological purpose rather than one methodology piled on top of existing methodologies.
Additionally, people have been trained a lot in their lives. It seems obvious that we should also give them credit for the concepts, processes, and skills they have already learned. Adding methodologies (no matter how good they are) risks creating indifference. We know indifference does not change behaviors! Conversely, building commitment relies on giving your people and managers credit for what they already know, while at the same time changing behaviors that do not work.
Accelerating Complexity places extreme demands on leaders. The leader’s ability to relate, energize, and develop their followers is critical to empower them to act without direction. It’s a competitive imperative and requires a new balance of more effective and affective leadership. It’s the ability to produce results by being affective. That ability to influence people, in the way they think, feel and act is now paramount
As Peter Senge said Leaders “…cannot afford to choose between reason and intuition, or head and heart, any more than they would choose to walk on one leg…”
So, this month I deal with what leaders need to do – the easier bit. Next month, I cover the tougher piece on how leaders need to lead transformationally.
Listen to the Radio Show of this BlogLike most consultants, we are often accused of borrowing the clients watch, tell them the time and then hand it back with a bill………So, given the threats to our economy, it’s a statement of the obvious. We live in turbulent times… only this time what follows is free.
I got to thinking what are the challenges of leadership in the times we are living in:
Some years ago I noted this quote:
“Business is now so complex and difficult, the survival of the firm is so hazardous, in an environment increasingly unpredictable, competitive and fraught with danger, that their continued existence depends on the day-to-day mobilization of everyone’s intelligence”
(Konosuke Matushita, founder of Matsushita Electric)
It struck a chord…to mobilize everyone’s intelligence… for regular listeners you will recognize a theme in our work at PDS…releasing and focusing people is still a crucial ingredient to survival and sustained success
So, my focus in this blog is theSeven Challenges of Leadership in Turbulence
OK. I know you well enough by now to know there’s a core to these challenges…
Spot on….it’s Bravery…
“Bravery is the capacity to perform properly even when scared half to death.” Omar N Bradley
The first step “walk and talk – – – the same talk” constantly. Alignment between attitude, philosophy and actions is key! That consistency is hard to find, particularly since producing a payoff in changeis often more about emotion and intuition than it is about analysis and logic.
Where’s the bravery you ask?
Try making emotional and intuitive decisions which may or may not be born out by analysis and logic! Yet I like, Peter Senge’s viewpoint:
“high levels of mastery….leaders cannot afford to choose between reason and intuition, any more than they would choose to walk on one leg and see with one eye”
It’s that outward calm of seeing a swan glide across the water, yet below the water line…furious paddling.. It’s about not losing your head those around you are running around like chickens with their heads cut off…..what are we going to do….
The bravery comes to challenge how your company operates, its implicit beliefs and philosophies (e.g., The unspoken creed…once in automotive always in automotive). Your culture can create its own distractions which interfere with what seems right, intuitive and obvious. Many times, discussing this tension is repressed so that “we don’t take our eye off-the-ball,” or so we don’t offend others. Consequently, leaders often focus on the seemingly “urgent” and let the critical issues slide. They take refuge in “safe” financial performance targets that can’t be easily disputed. These targets rarely support desired behaviors or intuitive outcomes.
Yet there are automotive dependent manufacturers in West Michigan that are wondering how to “keep it shiny side up!”
So in this fog of war, where do leaders look to survival?
If you look at successful companies, they have varied strategies, structures and systems. However, their leaders do have something in common. They share surprisingly consistent philosophies.
These successful leaders have moved away from over reliance on very formal ways of running their organizations (like articulating strategies, building structures and developing systems). They have moved toward using more organic ways of managing (like engaging people in defining a purpose, implementing through necessary and defined processes and developing people).
So what does this point out? It goes to the root of why so many change initiatives fail (60% +) even after overdosing on business re-engineering and other scientific management techniques. Many Leaders manage what is easy to manage (like managing numbers and not people). They’ve been trained in the scientific disciplines. They forget they are managing an “organism.” They dismiss the small and gradual steps associated with real change for grandiose strategies
So, let’s put this into perspective. Successful leaders recognize that an organization’s purpose is more important than short-term outcomes. Why? Outcomes change – the purpose does not! Their focus is on how they can create committed members of a purposeful organization. Putting purpose above outcomes, allowing new improved outcomes to take precedence and promoting different things to be done takes bravery.
Why is bravery so important?
It takes bravery for leaders and executives to address seven critical challenges. Without question, addressing them is about not acquiescing to “legacy tendencies” but about incorporating “what now works” into the development of “tomorrow’s legacies”! Bravery is about doing “different things,” not about making excuses as to why you can’t do different things.
Getting above the white noise of excuses is not for the faint hearted….getting up with clamor of resistances and fear
Where do we start with these challenges? Is there a sequence or are they inter-related?
1. Embedding Purpose
Where are you on the continuum from Undefined or Conceptual to Clearly articulated & translated?
So, you’ve written and articulated the corporate purpose! But, do the troops actually understand what this means to their everyday behavior and actions? So often the organization states its purpose without regard as to whether or not it has created any ownership in that purpose.
Essential Questions:
How will you gain widespread organizational support for your purpose?
How will you ensure new activities, actions and behaviors invigorate your purpose?
How will you ensure your expectations are aligned with what people assume is expected of them?
2: Removing Distractions
Where you on the continuum from Unidentified to Identified and Managed Distractions?
There are always distractions that deflect an organization from its “appointed” tasks. If these distractions go unidentified, they grow stronger. Distractions don’t just miraculously disappear. The longer they last the more they clog corporate arteries. Executives need to lead the “charge” in identifying and eliminating distractions.
Essential Questions:
How will you convince people to dismiss actions, operations and processes which stimulate doing old things?
How can you eliminate duplicate processes and reports that slow the organization down?
Who will oversee the distraction-elimination process; and, what authority will they have?
I can see how that would help but does this really get over the fog of war…that we face today?
Getting People on the Same Page
3: Aligning Organizational Expectations
Where are you on the continuum from Defused & Misaligned to Focused & Aligned Expectations?
Over and over again, employees say,
“I wish someone had told me exactly what was expected.”
Have you ever considered that others’ assumptions of “what is expected” might be counterproductive to your purpose or outcomes?
“Are people doing what you expect or what they think you expect?”
Essential Questions:
What are the key components that reveal your organization’s direction and success?
How will you translate these words into actions, competencies and behaviors that can be managed?
How will you measure the degree of alignment with your purpose, and what evidence of alignment are you looking for?
Doesn’t this demand more from a leader than just stating the facts?
Making clearer emotional connections
“Its alarming how one individual can undermine a change simply by being out of touch with intuition and empathy. One of the most overlooked, yet common ways, leaders fail albeit unintentionally, is not to express appropriately, candidly and consistently what they feel as well as what they think. This is known as unintentionally ambiguous behavior which gives gives mixed messages. Next to aggressive behavior ambiguous behavior can cause the most tension for sellers and buyers alike” (Adapted from Robert Cooper’s book, Executive EQ.)
4. Creating Differentiation
Where you on the continuum from Competitively Vulnerable to Differentiated & Own Your Niche?
If you feel like you’re the same in the marketplace, odds are that’s how the customer sees you. As a leader, you are responsible for creating a climate of differentiation.
Essential Questions:
How will you ensure that customer contact people and others connect with one another to develop differentiable approaches?
How will you measure the degree and profitability of differentiation?
How will you leverage differentiation to lead your market place?
I can see how these first four create a platform for success…but how do leaders get this to stick and not just be another “flash in the pan”?
5: Coaching Strategically
Raising the Bar
Where you on this continuum from Coaching being Isolated & sporadic to Cascaded & Consistent throughout you organization?
We know, we know …. your people coach! The real question is, do your people coach with the right intensity and frequency to replicate successful behaviors? Or, is coaching infrequent, informal and isolated?
Essential Questions:
What will you do as a leader to establish your coaching cascade? (Starting with you, of course)
What is the right intensity and frequency of coaching needed under present competitive conditions?
How will you know that coaching is effective?
6: Replicating Success
Where are you on this continuum fromUsing Lagging Indicators to Using Leading Indicators to replicate success?
The words, “best practice” seems to have permeated the corporate world. Your people undoubtedly have their own practices of choice, honed by years of personal experience. Often corporate rewards go to these people rather than to those who demonstrate the “best practices” that everyone can adopt and benefit from.
Essential Questions:
What will your real best practices look like?
How will you tie best practices to behaviors which can be evidenced and replicated without alienating the productive, “lone rangers?”
How will you use your “language of leaders” to make managing easier and more measurable?
7: Rewarding Change
Where you on this continuum fromHistorical & Slow to Related & Responsive when it comes to Rewarding Change?
If the recognition and reward systems of your company run on “legacy,” it will only encourage doing things differently, not “doing different things!” To change, you need to consistently reward the new behaviors, not the “reward legacies” of the past.
Essential Questions:
What proportion of people’s compensation should be tied to adopting the new behaviors?
How will you measure and reward those who support your purpose?
How will you “raise the bar” so that over time people demonstrate excellence in the new behaviors?
Where do you go from here?
Ensure that your “walk and talk” are consistent. This relates to your language, how you reward excellence, how you coach and how you react when things go wrong! Bravery means displaying an attitude of distinction.
Create a cascade of conversation and coaching that gets above the “white noise” of legacy…..that’s doing different things!
Align the expectations of the organization. Bravery is found in exposing misalignments and distractions for immediate correction.
Tip of this Blog
Look at your team/colleagues…whose up for a fight?
He that outlives this day
“He that outlives this day, and comes safe home,
Will stand a tip-toe when this day is nam’d, And rouse him at the name of Crispian. He that shall live this day, and see old age,
Will yearly on the vigil feast his neighbors, And say ‘To-morrow is Saint Crispian.’ Then will he strip his sleeve and show his scars, And say ‘These wounds I had on Crispian’s day.’ Old men forget; yet all shall be forgot, But he’ll remember, with advantages, What feats he did that day. Then shall our names, Familiar in his mouth as household words”
(William Shakespeare, Henry V part of his speech before the Battle of Agincourt)
This is probably the first thing on your mind after reading this Blog. How about asking us? The first call is free! Just email me to set it up. Don’t wait, get TCA working for you!. If our conversation leaves you needing more, we offer at a reasonable fee telephone and video coaching improve bottom line results.
If that still doesn’t do it, we’ll work with you on a solution.
_____________________________________________________________________________________________________ For Help in Getting Your People on the Same Page Nick Anderson, The Crispian Advantage
Regular readers will remember I was talking about how many change projects started in response to the worsening economy yet almost half of the respondents said that a significant amount of change projects failed to meet their stated goals.
This blog’s topic looks at a cherished belief of many executives that pay for performance compensation schemes motivates people to higher performance. Yet, pay is just one thread in a tapestry that covers the state of motivation in organizations today.
In this piece, I want to challenge manager’s over-reliance on paying for sales performance to stop relying on this apparently sensible idea and. Let’s rethink what effective management has to offer in creating a Motivating Environment.
Just to give you how addicted US Companies are to pay-for-performance; here’s a couple of statistics:
Average incentive income for US Salespeople is 40% of their total compensation.
Overall, 85% of this group work under some type of pay for performance compensation plan.
W. Edwards Deming (1982) “Pay is not a motivator” He called the system by which merit is appraised and rewarded:
“The most powerful inhibitor to quality and productivity in the Western World”…..”it nourishes short-term performance, annihilates long-term planning, builds fear, demolishes team work, nourishes rivalry and…leaves people bitter”
“Money can nevertheless be a demotivator” Frederick Hertzberg
Pay for performance advocates obsess about “How should people be paid?” But it is not as important as managers think and is in fact a distraction from the things that really matter.
The real issue is how do people become motivated to produce competitively superior results:
Managers ask: ‘How do you motivate people? – Answer is ‘You Don’t’ (Douglas McGregor)
So, if you see books like “How to Motivate your work force” “Making People Productive” can be safely passed over because the enterprise it describes in wholly misconceived.
Of course, you can get people to perform using rewards, punishments and operational controls. But, the desire to do it well, simple cannot be imposed. It’s a mistake to talk about motivating other people. All Managers can do is set up conditions that can develop an interest in what they are doing and remove constraints to their improvement.
What are the ways of creating The Motivating Environment?
Probably one of the best authors in this field , Alfred Kohn, stated three Basic Principles.
Pay people generously and equitably – Do your best to make sure they don’t feel exploited. Then, do everything in your power to help them put money out of their minds! Problem with incentives is not that people are offered too much. It’s that money is pushed in people’s faces and offered transactionally, e.g. “You do this and you will get that” Getting rid of conditionality is the first step in fixing what’s wrong
The trouble with money is not itself per se but with the way people are made to think about money and the way it is use to control them.
We need to decouple the task from compensation
“For the love of money is the root of all kinds of evil… (People) craving money have wandered from the truth and pierced themselves with many sorrows… (1 Timothy 6:10)
OK. So, how should you pay people, other than well and fairly?
A good starting point is asking yourself:
What makes some people more valuable to the organization that most will see as fair and achievable? (e.g. not based on being a family member- LOL) Examples:
Deming, most Japanese and other countries follow this philosophy and now a minority of US Companies – the gradual realization that pay-for-performance is an inherently flawed concept.
But, what do you do about paying people if they perform better than their peers?
Well, it leads to another common practice of linking pay to the outcome of the dreaded annual performance appraisal. This is typically a stressful annual ritual and should have been retired long ago. OK. So what do we replace it with?
Let’s look at a second principle to creating the Motivating Environment, let’s Refocus Evaluation. An obvious question:
Why are people being evaluated? Possible answers:
“Performance Evaluation persists as a effective tool for controlling employees…(that) should not be confused…with motivation of employees”
It allows supervisors to shift the responsibility for solving problems to their subordinates
“Using Performance appraisal of any kind as a basis for reward is a flat out catastrophic mistake” (Peter Scholtes)
It is “foolish to have a manager in the self-conflicting role as a counselor (helping improve performance) when at the same time, he or she is presiding as a judge over the employee’s salary…”(Herbert Meyer)
The Insight is that the entire process of providing feedback, assessing progress, and developing development plans ought to be completely divorced from salary determinations. Such sessions must have no rewards or punishment hanging in the balance.
So, how do you get genuine motivation?
It’s a good question How do you create conditions for authentic motivation?
Significantly Alan Binder pulled all available research on this subject,Paying for Productivity: A Look at the Evidence and concluded:
“Changing the way workers are treated may boost productivity more than changing the way they are paid”
Or to put it another way:
The Pay Cart is in front of the Motivation horse. Motivation produces results not pay.
In surveys there is a broad consensus on what managers should do to create the Motivation Environment:
WATCH: Don’t put employees under surveillance; look for problems that need to be solved and help people solve them.
LISTEN: Attend seriously and respectfully to workers’ concerns
TALK: Provide plenty of informational feedback as opposed to judgmental feedback. People need to reflect on what they doing right, to learn what needs improving, and discuss how to change
THINK: why do you use power they way you do?
What do managers need to be careful of when dealing with performance improvement?
The main failing we see in our work is the extent to which rewards are not made contingent on some specific desired behaviour change that impacts business performance. Many clients are concerned about the very subjective nature of rating performance and therefore allocating performance related pay equitably. Often we start by comparing the client’s existing competencies with how they rate performance with those selected from the PDS Competency Library. Candidly, the Client’s Competencies are a mixture of Competencies and Attributes. “So what,” you say. Bottom line, you hire attributes and develop competence! Typical definitions:
Competent: “The ability to do something successfully or efficiently.”
Competency: ”Having the necessary ability, knowledge, or skill to do something successfully:”
Attribute: “A characteristic or quality of a person.”
Frequently, Competencies often contain a mixture of attributes which should be part of the recruitment and selection process, around which you choose a path of development for each individual. Relying on attributes as a basis for incentives naturally leads to the problem of subjectivity in performance ratings. Too many times people are swimming around in a sea of ink and rhetoric when it comes to recognizing and developing leadership and other competencies? Is more being written and discussed than applied to create the Motivating Environment?
Many authors of Competencies are not clear as to what a competency really is. (Is it a skill? Is it a behavior? Is it knowledge? Or, is it a value?). For example: A competency that deals with diversity has been described this way; “sensitivity to different races, cultures, nationalities, sexes and disabilities”. Many would agree this competency is more of a value (attribute). However, if that is the case, developing this competency presents a formidable challenge, since values tend to evolve over a lifetime.
The difficulty we have in agreeing on what competencies are required is practically dwarfed by the complexity of the motivational and therefore, the competency development challenge. Of course, the beliefs and customs of a culture play an incredibly significant role in influencing beliefs, attitudes and values. We have to recognize that behavior can be adapted, but attitudes and values are relatively rigid.
What we now know about competencies shows that matching behavior patterns and attitudes of people to the demands of a position is crucial to creating the Motivational Environment
This knowledge can also assist organizations to understand the challenges in trying to get people to adapt their natural behavior patterns and attitudes to accommodate organizational needs. Recognizing that competencies are configurations of behavior, attitudes, beliefs, knowledge, intelligence and skills are essential in the people evaluation and development process.
It is a truism that if individual talents are matched with the most important job requirements it can create optimal motivation and therefore superior performance. People whose natural behavior matches the requirements of their jobs and are rewarded for their true aspirations and passions naturally:
Perform better
Enjoy the intrinsic rewards of their work
Are loyal and enthusiastic
Often need to be told to go home
The main responsibilities in managing these people are to:
1. Keep them informed to align their efforts with changes
2. Make sure the building is open
3. Make sure they have the resources to do their job
4. Encourage them to maintain balance with activities outside of work.
As a rule, a “hands-off” leadership style tends to work best with people who are well matched to their positions. Micro-management or command and control techniques may drive these people to the competition. Although this kind of a “hand-in-glove” fit between people and positions may be difficult to maintain in the face of continuous change, the effort promises to return rich dividends in terms of self-directed performance, positive morale and commitment.
The matching process starts by identifying position requirements in terms of the competencies required for superior performance (built on and around attributes, whatever they may be). Every effort must be made to ensure this process is objective. Position requirements must be analyzed in terms of:
Behavior
Competencies (including soft as well as hard skills)
Attitudes (attributes)
Knowledge or experience.
An objective process for analyzing position requirements is needed whether the focus is leadership or management, technical, professional or driving a truck. What does this mean in terms of assessing the context, skills, competencies, attitudes and experience?
Summary
Creating the Motivation Environment and produce competitively superior results relies not so much on pay for results but these key factors:
Build a firm foundation for your organization based on values, principles, servant leadership,
Create and reinforce a “needs-driven” purpose or mission that is consistent with potential employees philosophy and values.
Skip incentive pay and pay people fairly or even generously for the position,
Hire good life skills (attributes) and teach job skills (competencies).
It is crucial to properly matching peoples’ gifts, talents, expertise and passions to the job.
Hire the “right” person for the “right” job,
Coach positively for improved competence, and avoid annual performance appraisals which are linked to pay
Develop servant leadership that clears away the barriers to people’s success and avoids command and control leadership
Tip of the Blog
Ask yourself:
Do you have competencies for those positions which are crucial to your organization’s performance?
How well do they separate the Knowledge, Skills that are developable vs. those attributes that you need when hiring or promoting?
Honestly, how well are these attributes used to objectively anchor the recruitment process?
How about asking us? The first call is free! Just email me to set it up. Don’t wait, get The Crispian Advantage working for you!. If our conversation leaves you needing more, we offer at a reasonable fee telephone and video coaching on change, alignment, personal and executive performance that improve the bottom line. If that still doesn’t do it, we’ll work with you on a solution.
It’s a statement of the obvious ….. We live in turbulent times… I got to thinking what are the challenges of leadership in the times we are living in. Some years ago I noted this quote:
“Business is now so complex and difficult, the survival of the firm is so hazardous, in an environment increasingly unpredictable, competitive and fraught with danger, that their continued existence depends on the day-to-day mobilization of everyone’s intelligence” (Konosuke Matushita, founder of Matsushita Electric)
It struck a chord…to mobilize everyone’s intelligence… for regular readers you will recognize a theme in our work at PDS…releasing and focusing people is still a crucial ingredient to survival and sustained sucess
So, my focus this month is the Leadership Challenges in Turbulent Times
What’s the core to these challenges that leaders face….it’s Bravery…
Bravery is the capacity to perform properly even when scared half to death. (Omar N Bradley)
The first step “walk and talk – – – the same talk” constantly. Alignment between attitude, philosophy and actions is key! Such consistency is hard to find, particularly since producing a payoff in changeis often more about emotion and intuition than it is about analysis and logic. Where’s the bravery you ask? Try making emotional and intuitive decisions which may or may not be born out by analysis and logic!
Yet I like, Peter Senge’s viewpoint:
“high levels of mastery….leaders cannot afford to choose between reason and intuition, any more than they would choose to walk on one leg and see with one eye”
It’s that outward calm of seeing a swan glide across the water, yet below the water line…furious paddling..
It’s about not losing your head while those around you are running around like chickens with their heads cut off…..what are we going to d!….what are we going to do!
The bravery comes to challenge how your company operates, its implicit beliefs and philosophies (e.g., The unspoken creed…once in automotive always in automotive). Your culture can create its own distractions which interfere with what seems right, intuitive and obvious. Many times, discussing this tension is repressed so that “we don’t take our eye off-the-ball,” or so we don’t offend others. Consequently, leaders often focus on the seemingly “urgent” and let the critical issues slide. They take refuge in “safe” financial performance targets that can’t be easily disputed. These targets rarely support desired behaviors or intuitive outcomes.
Yet there are automotive dependent manufacturers in West Michigan that are wondering how to “keep it shiny side up!”
So in this fog of war, where do leaders look to survival?
If you look at successful companies, they have varied strategies, structures and systems. However, their leaders do have something in common. They share surprisingly consistent philosophies.
These successful leaders have moved away from over reliance on very formal ways of running their organizations (like articulating strategies, building structures and developing systems). They have moved toward using more organic ways of managing (like engaging people in defining a purpose, implementing through necessary and defined processes and developing people).
So what does this point out? It goes to the root of why so many change initiatives fail (60% +) even after overdosing on business re-engineering and other scientific management techniques. Many Leaders manage what is easy to manage (like managing numbers and not people). They’ve been trained in the scientific disciplines. They forget they are managing an “organism.” They dismiss the small and gradual steps associated with real change for grandiose strategies
So, let’s put this into perspective. Successful leaders recognize that an organization’s purpose is more important than short-term outcomes. Why? Outcomes change – their purpose does not! Their focus is on how they can create committed members of a purposeful organization. Putting purpose above outcomes, allowing new improved outcomes to take precedence and promoting different things to be done takes bravery.
Why is bravery so important?
It takes bravery for leaders and executives to address seven critical challenges. Without question, addressing them is about not acquiescing to “legacy tendencies” but about incorporating “what now works” into the development of “tomorrow’s legacies”! Bravery is about doing “different things,” not about making excuses as to why you can’t do different things.
Getting above the white noise of excuses is not for the faint hearted….getting up with clamor of resistances and fear
Where do we start with these challenges? Is there a sequence or are they inter-related?
They are interelated but a logical place to start is:
1. Embedding Purpose
Is your purpose Ill-defined or Conceptual Clear, well articulated & translated?
So, you’ve written and articulated the corporate purpose! But, do the troops actually understand what this means to their everyday behavior and actions? So often the organization states its purpose without regard as to whether or not it has created any ownership in that purpose.
Essential Questions:
How will you gain widespread organizational support for your purpose?
How will you ensure new activities, actions and behaviors invigorate your purpose?
How will you ensure your expectations are aligned with what people assume is expected of them?
2: Removing Distractions
Are your distractions unidentified or well identified and managed?
There are always distractions that deflect an organization from its “appointed” tasks. If these distractions go unidentified, they grow stronger. Distractions don’t just miraculously disappear. The longer they last the more they clog corporate arteries. Executives need to lead the “charge” in identifying and eliminating distractions.
Essential Questions:
How will you convince people to dismiss actions, operations and processes which stimulate doing old things?
How can you eliminate duplicate processes and reports that slow the organization down?
Who will oversee the distraction-elimination process; and, what authority will they have?
I can see how that would help but does this really get over the fog of war that we face today?
Not unless you integrate it with the next challenge…
3: Aligning Organizational Expectations
Are you expectations unstated or defused or well focused & aligned?
Over and over again, employees say, “I wish someone had told me exactly what was expected.” Have you ever considered that others’ assumptions of “what is expected” might be counter productive to your purpose or outcomes? Are people doing what you expect or what they think you expect?
Essential Questions:
What are the key components that reveal your organization’s direction and success?
How will you translate these words into actions, competencies and behaviors that can be managed?
How will you measure the degree of alignment with your purpose, and what evidence of alignment are you looking for?
Doesn’t this demand more from a leader than just stating the facts?
Yes. It’s about lt’s making clearer emotional connections. It’s alarming how one individual can undermine a change simply by being out of touch with intuition and empathy. One of the most overlooked yet common ways leaders fail, albeit unintentionally, is not to express appropriately, candidly and consistently what we feel as well as what we think. This is known as unintentionally ambiguous behavior. It gives mixed messages and next to aggressive behavior, ambiguous behavior can cause the most tension between leaders and others. (Adapted from Robert Cooper’s book, Executive EQ).
What is the context for well focused & aligned exepectations?
4 Creating Differentiation
How vulnerable are you to being seen as “same-o,same-o” or clearly differentiated from your competition?
If you feel like you’re the same in the marketplace, odds are that’s how the customer sees you. As a leader, you are responsible for creating a climate of differentiation.
Essential Questions:
How will you ensure that customer contact people and others connect with one another to develop differentiable approaches?
How will you measure the degree and profitability of differentiation?
How will you leverage differentiation to lead your market place?
I can see how these first four create a platform for success…but how do leaders get this to stick and not just be another “flash in the pan”
5: Coaching
How would you describe the coaching process in your organization…Isolated or Cascaded
We know, we know …. your people coach! The real question is, do your people coach with the right intensity and frequency to replicate successful behaviors? Or, is coaching infrequent, informal and isolated?
Essential Questions:
What will you do as a leader to establish your coaching cascade?
What is the right intensity and frequency of coaching needed under present competitive conditions?
How will you know that coaching is effective?
6: Replicating Success
How reliant are you on using Lagging Indicators as opposed to Leading Indicators?
The words, “best practice” seems to have permeated the corporate world. Your people undoubtedly have their own practices of choice, honed by years of personal experience. Often corporate rewards go to these people rather than to those who demonstrate the “best practices” that everyone can adopt and benefit from.
Essential Questions:
What will your real best practices look like?
How will you tie best practices to behaviors which can be evidenced and replicated without alienating the productive “lone rangers?”
How will you use your “language of leaders” to make managing easier and more measurable?
7: Rewarding Change
To waht extent does your reward system reflect what worked in the past rather then being liagned with your current direction?
If the recognition and reward systems of your company run on the “legacies of past success” it will only encourage doing things differently, not “doing different things!” To change, you need to consistently reward the new behaviors, not the “reward legacies” of the past.
It’s like traning people to use the longbow,used in the Middle Ages as a weapon of war.A trained army archer could shoot upwards of ten to twelve arrows in one minute, making him the world’s first “machine gun” in some ways. Today how ever, the fastest rate of fire a 36 barrell Prototype mini gun, and can shoot 1,000,000 rounds per minute
Essential Questions:
What proportion of people’s compensation should be tied to adopting the new behaviors?
How will you measure and reward those who support your purpose?
How will you “raise the bar” so that over time people demonstrate excellence in the new behaviors?
Where do you go from here?
Ensure that your “walk and talk” are consistent. This relates to your language, how you reward excellence, how you coach and how you react when things go wrong! Bravery means displaying an attitude of distinction.
Create a cascade of conversation and coaching that gets above the “white noise” of legacy…..that’s doing different things!
Align the expectations of the organization. Bravery is found in exposing misalignments and distractions for immediate correction.
Tip of the Blog
Look at your team/colleagues…whose up for a fight
“He that outlives this day, and comes safe home,
Will stand a tip-toe when this day is nam’d,
And rouse him at the name of Crispian.
He that shall live this day, and see old age,
Will yearly on the vigil feast his neighbors, And say ‘To-morrow is Saint Crispian.’
Then will he strip his sleeve and show his scars, And say ‘These wounds I had on Crispian’s day.’
Old men forget; yet all shall be forgot,
But he’ll remember, with advantages,
What feats he did that day. Then shall our names,
Familiar in his mouth as household words”
(St. Crispen’s Day Speech William Shakespeare, 1599)
Great, but how can this help me?
This is probably the first thing on your mind after reading this Blog. How about asking us? The first call is free! Just email me to set it up. Don’t wait, get The Crispian Advantage working for you!. If our conversation leaves you needing more, we offer at a reasonable fee telephone and video coaching improve bottom line results. If that still doesn’t do it, we’ll work with you on a solution.
_____________________________________________________________________ For Help in Getting Your People on the Same Page Nick Anderson, The Crispian Advantage
The focus of this blog is the first of two on Improving Sales Effectiveness. The first is the Quality of Sales Managers Matters. It is based on findings from the Conference Executive Board, PDS Groups and Huthwaite Research Group studies on sales management and coaching. All three agree on 5 Main Factors: (Listen to the Radio Show)
#1 High-performing sales manager’s impact reps engagement and financial performance. Reps reporting to great managers report high job satisfaction with four timesmore revenue than those working for poor managers.
#2 Coaching Is King—The manager activity most linked with sales rep success is coaching. However, their coaching ability to coach individual sales reps is the weakest.
#3 Who they coach is selective— Coaching low or star performers does not statistically improve performance. Core performers, the 60% center of the performance Bell Curve make significant improvements with coaching.
#4 Bottom-Line Impacts—Effective coaching hits the bottom line. Core sales reps receiving great coaching reach on average 102% of goal in contrast to sales people reporting poor coaching who achieve only 83% of goal. Good coaching can improve core performance by 19%. This is lower than with PDS’s and Huthwaite’s sales productivity projects (18%-30% sales increases)
#5 Great Coaching Is a Learned Skill—Quantitative analysis shows that five elements account for 77% of coaching effectiveness. Armed with this information, we can develop great coaches by focusing them on specific activities such as emphasizing the importance of targeting the best opportunities and spending at least three, but no more than five, hours coaching each rep per month.
What difficulties do firms face in getting Sales Managers coaching to impact results?
The really effective sales organization has a number of characteristics, for example:
Skills and strategies suited to their market outstanding products or services
In-depth understanding of how these products can solve customer problems
Appropriate rewards and performance measures
Sales support system which actually helps to sell, not just administer
An ability and willingness to learn
Full effectiveness, however, can be achieved only if everyone:
Has a clear and shared vision of where the company is heading
Understands the strategy for getting there and their part in the process
Is rewarded for playing their part
Focuses obsessively on the customer
Some barriers to effectiveness are obvious – if the products are poor then no amount of sales skill can compensate sufficiently to build success. Many barriers are more subtle, and can sap the strength of the company over a long period without being tackled. Such problems usually fall under one the following three headings:
Misalignment
Inflexibility
Internal Focus
Misalignment
Feels like a bad back
There are many ways in which Misalignment is introduced into organization structures and processes; at best they generate unhelpful tensions and frustrations, at worst they lead to departmental rifts and sabotage. Common examples are:
Poor alignment of individuals’ expectations, departments and the company as a whole
E.g. the sales force seeks job interest by selling bespoke solutions, while the company is trying to standardize its offerings
Incentives for interdependent departments or people are not congruent
E.g. Sales force targeted on increased volume, administration targeted on decreased costs performance management process runs counter to company strategy
Sales management sets 30 day revenue targets, while company exhorts the salespeople to develop major accounts for the long-term
Salespeople are expected to cross-sell for other Divisions or countries, but are not rewarded for so doing
Sales management is “do as I say, not as I do”
E.g. Managers use a hard ‘push’ style, while advocating a ‘pull’ or consultative style with their people
Doing what we’ve always done what is going to be needed due to changing technology, markets and competition
E.g. When a monopoly supplier meets competition for the first time so the products no longer ‘sell themselves’
When new products address a different market – for example, printer sales force find themselves selling systems not peripherals
Gaps between stated values and actual values
E.g. “Our customers are our greatest asset ” while salespeople refer to them as “Buyers are liars”
“Our employees are our greatest asset”, while managers show little concern and even less investment
Inflexibility
Many markets are now more turbulent and unpredictable than ever before, and success comes only to those who are ‘quick on their feet’. Unfortunately many players suffer from at least one of the following:
Their sales organization structure and roles don’t match those of the customer
E.g. they offer multipoint direct contact with sales, service, technical support, while the customer wants single point contact
Geographical location of functions and authority doesn’t match the customer’s
Their organization is inherently unresponsive to change
E.g. in rapidly evolving markets, companies operating a traditional hierarchical and functional structure find it hard to compete with those successfully using a cross-functional team approach
• Their people are resistant to change
E.g. Salespeople who have been adequately successful for years have become “order takers”, and the entertaining approach to account development
Managers who find it hard to let go of their traditional, power-oriented style and allow staff the space and authority to really contribute
Technical people who are unwilling to take on the sales role and don’t believe in the new technology
Internal focus
True customer focus involves a lot more than ‘customer service training’; it means that no aspect of the organization should be free from an all-pervading concern with delivering what the customer wants, and a bit more. It means taking your cue from the customer in areas which traditionally have been internally focused, for example:
Company and/ or departmental structure
E.g. Split on arbitrary product/technical grounds, so that several sellers approach the same individual
Performance measures
E.g. Call rates, scrap rates, production volumes, instead of response times, satisfaction ratings, service call-outs
Perception of what is being sold
E.g. In terms of a product rather than the results of using it – a security system rather than peace of mind, a training course rather than increased sales effectiveness
Conclusion
There is no one best sales organization structure, incentive scheme, or strategic approach. If there were, we would not see the huge diversity which exists in the real world, and change would anyway render it obsolete.
The effective organization is never complacent, and audits itself rigorously and constantly, seeking out and remedying any instances of inconsistency, inflexibility and internal focus. It also never fools itself into believing that change=progress;. change follows cycles of learning of what works and what doesn’t, not from a fear of stagnation.
___________________________________________________________________________________________________________________________________________ For Help in Getting Your People on the Same Page
Contact: Nick Anderson, Senior Partner, PDS Group LTD E-mail I Web I Linkedin
If we can analyse top performers and are able to develop those skills in others the pay-offs are often double digit sales revenue increases. For example, in my own sales productivity projects, with a range of clients, have produced sales increase ranging from 25% to 100% using a BA based approach.
oney out of their minds! Problem with incentives is not that people are offered too much. It’s that money is pushed in people’s faces and offered transactionally, e.g. “You do this and you will get that” Getting rid of conditionality is the first step in fixing what’s wrong
ten contain a mixture of attributes which should be part of the recruitment and selection process, around which you choose a path of development for each individual. Relying on attributes as a basis for incentives naturally leads to the problem of subjectivity in performance ratings. Too many times people are swimming around in a sea of ink and rhetoric when it comes to recognizing and developing leadership and other competencies? Is more being written and discussed than applied to create the Motivating Environment?
The Crispian Advantage 