Thursday, December 16, 2010

THOUGHTS : 5 Deadly Blunders in Sales

This article is because of two important elements. One is our organization JCI. Being associated  with this organization, I have scaled up self and business to multi-folds. The second element is “Information Sharing”. Yes, not the knowledge.

We (as a team of trainers) conduct training programmes and provide strategic consultancy to SME's of this region (Kongu belt). This article is out of our experience and learning. We have observed the biggest sales management blunders in these organizations and we share how it can be avoided.

1.Mixing Recognition with Coaching : One common sales management blunder is to congratulate the  sales force for a job well done and quickly move to areas of improvement. This tactic can often  be interpreted by sales staff as a lack of appreciation.

A best practice is to separate the recognition from the coaching. Save the performance  improvement areas for coaching sessions. Set up separate recognition of the sales rep success 
even if it's a small celebration. It's the little gestures of respect and celebrations of  achievement that gain the hearts and minds of the sales force.

2.No Sales Plan: Another common sales management blunder is not developing a sales plan to help  manage the sales team. A successful sales team requires regular planning tracking, and review to  achieve the targeted results. Every sales rep requires their own action plan to direct day-to- day activities and set up accountabilities.

All sales plans have at least 3 requirements:


Sales Rep Development: Where most plans fail is they are developed by the sales manager not the  sales rep. To ensure a high level of plan acceptance, have the rep develop the plan and guide  them toward the right objectives.

Regular Reporting: Sales plans should be established on a weekly basis to provide flexibility in  the planning cycle. Reviewing can take place on a monthly basis. Sales management excellence  involves reviewing the results against the plan to determine missed opportunities and areas for  improvement.


Sales Metrics: A successful sales plan focuses on results and activities. Establish the proper  sales metrics to drive the business results. Metrics can include: number of client phone calls, number of contacts, appointments set, appointments conducted and sales closed. Do not overwhelm  the sales staff with excessive tracking numbers. Focus on the few measures that matter the most  to the business.

3. No Sales Support: A common sales management blunder is to hire a sales person without  providing them with the level of support required to succeed. Even if the new rep is well-versed  in the industry and a top performer, they will still require help to familiarize themselves with  the company, products, and markets.

Not all sales reps require the same level of support. For many small business owners, a hands- off approach to sales management is not the best strategy. Successful sales management requires  a commitment to sales force training. Regardless of the size of the firm, an investment in sales  training and support can pay big dividends on profitability. Spending the time one-on-one and in  the field with the sales team will not only provide support but convey a sense of the importance  of sales people in the organization.

4. Focus on Control Sales Management: Many new and unsuccessful sales managers will focus on the  traditional sales management by intimidation or control approach. The top sales performers know  they have a valuable skill set and will quickly walk to a competitor if treated poorly. Sales  management is a partnership between the sales rep and the sales manager. Effective sales  management requires sharing in the responsibility to find the problems and bottlenecks in the  sales process. Seek the solution together with the reps. Be a champion for helping them achieve  their agreed results.

5. Lack of Sales Accountability: There will be times when sales reps fail regardless of the  support and training they receive. It is easy to pass off the lack of results to external forces  such as competitors, the economy, or poor marketing. Remember the sales rep was hired to bring  in sales. When support, training, and market potential are available, a lack of results often  means it's the rep's performance.

Who is responsible for the lack of performance? The sales management program. If the small business lacks a clear policy of sales accountability, it remains organisations' responsibility  to implement the process. Creating a culture of sales accountability will not happen overnight. Expect to lose sales staff. Sales reps who have under performed and will not accept personal responsibility for their own results, will leave. This is a good thing. A sales accountability culture only accepts top performers; exactly what the business needs to survive in a competitive  market.


Other big sales management blunders do exist. It is vital to have an honest feedback system in  place. Alan J. Zell, "The Ambassador of Selling" feels "most sales managers do not have a system  of feedback that will allow the staff to have a way to comment back to the sales manager without  the fear of being chastised or being known as a complainer."

Growing a small business is hard work. The sales management function is often overlooked by  small business owners. Spending the necessary time wearing the sales manager hat will help  foster a rewarding culture and build a successful sales team to boost the business to new 
levels.




Author : Jc Balaji Sundarraman, JCI Designer, JCI Salem METRO
Article published in Challenge (Official Publication of JCI INDIA), December 2010

2 comments:

  1. Profound Observation. Most of us fail to see these simple pitfalls in a successful sales career. Implementing these down to earth truth is not complicated. It is a question of attitude that makes the difference. Excellent piece of writing. Congrats Balaji

    ReplyDelete
  2. Simple, common areas but often neglected and overseen. Very aptly brought out and told in a easy to understand fashion. Nice work

    ReplyDelete