Creating a Sales Plan

Creating a Sales Plan Steve Kovacs

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Consider the follow 3 scenarios1. You were the top sales person in the company and have now been promoted to the Sales Manager position Where and How do you make the transition into a managerial role?2. You were just hired into a new company as their Sales Manager.Whats the best way to get oriented to the new company How do I earn the respect of those working with me and for me3. Youve been the sales manager and its been smooth sailing to this point but your sensing things are about to change.How do I get a read on the internal and external business environment. How do I prepare myself and department for changeAs a sales manager your skill in creating and implementing the sales plan is the foundation of your roll in the company. Your ability to affectively lead your department and contribute to your company is highly dependent on this skill. Hi, Im Steve Kovacs fonder and president of GIMA Inc. Gima Inc is a B to B consulting firm specializing in the areas of Sales Management and Industrial Distribution. What qualifies me to talk about sales planning. Well in my 20+ years creating and implementing sales plans Ive had plenty of experience doing it wrong. But with the help of some talented mentors and the school of hard knocks Ive learned what works and what doesnt work. My credetials include being the national accounts sales manager for the Cummins Engine company (Power Generation Division) Sales Manager for Ziegler Caterpillar, Director of Business Development for Zareba Systems and Government Market Leader for Ciprico Inc.Hopefully the presentation I have here will be helpful and with that lets kick it off. 1Sales PlanTop Down Strategic ?Focused ?Rarely UnderstoodMeasured ? Bottom up Strategic FocusedUnderstood Measured

22The Planning Process Team InfoSWOTObjectivesGAPToolsResourcesAction PlanPlan GAPCommunicationMeasureNegotiationsInvestLeverageTrain Defend 3

3Assemble the Team

CoachSalesMKTMGMPMACC4

Committed to the process

Committed to time allocation

4The Planning Process Team InfoSWOTObjectivesGAPToolsResourcesAction PlanPlan GAPCommunicationMeasure

NegotiationsInvestLeverageTrain Defend 5Week1 2 3 4 5 6 75

Competitive Analysis

What Goes into a sales plan SWOT Analysis Market Trend AnalysisBudget Allocation GAP Analysis Client Profile & TrendsAnalysis of gov. regs. Product Position Analysis

Resource allocation External Internal Tools

6High Strength High Customer Value High Strength Low Customer Value Low StrengthHigh Customer Value

Low Strength Low Customer Value Talent /Skills Match 6SWOTAnalytic Tool to Analyze the Business with the objective to find competitive advantages and develop strategic plans

Internal External Note: A goal is not a plan 7

Leverage strengths Identify areas for possible investmentIdentify weakness that need improvement Identify vulnerabilities that need protection 7SWOT Analysis

Garbage in Garbage out SWOT

88Sales Plan / SWOT Define the segment and competition List strengthsList weaknessIdentify Opportunities Identify potential threats How can strengths be leveraged to exploit opportunities?

How can strengths be leveraged to gain a competitive advantage?

How do my weaknesses make me vulnerable to potential threats?

What can be done to address areas of weakness? CompetitionTendsProduct PositionRegulations

9Common Environment 9SWOT Strengths Threats WeaknessOpportunitiesInternal ExternalInternal External 10------------------------------

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10SWOT Strengths Threats Weakness OpportunitiesCapitalize Invest Shore up Identify 11XxxXxxXxxXxxxxx

XxxXxxXxxXxxxxx

XxxXxxXxxXxxxxx

XxxXxxXxxXxxxxx

11Attacking The Competition (Understanding your competition is key to a successful sales plan) Complete a SWOT for your competition Compare your strengths to the competitors weakness Identify the areas of overlap Your Strengths Competitor Weakness

1212Defending against Treats Your Weakness Potential Threats Define potential threats Match the threats against your areas of weakness Identify areas where you are most vulnerable

1313Exploiting opportunities Your Strengths Opportunities Define the opportunityMatch your strengths against the opportunity requirements Complete a gap analysis Decision matrix

1414SWOT outputs SWOTKey ObjectivesTarget AccountsTraining Plan Resource Allocation PlanDevelopment Plans Internal Support Plan Resources PeopleMoneyTools Product Pricing Promotion Distribution

1515Functional DepartmentObjectives Create an annual forecast Product / Service requirements discussion with the client Past history Economic impact on purchasesCompetitive pressure

Potential of adding new products/services for this client Introduction planLaunch timeline

3. . Identify the resource support you will need from your company BudgetMarketing Engineering Administration Service / Training

1616Target Account Plan Create an Opportunity Matrix to prioritize and quantify the accountsIdentify where the account is in the sales process Determine likelihood of success Match to your value statement Identify the key activities and milestones in the sales process along with the resources needed to support the various activities Create a sales process time line Forecast revenue

1717Suggested Plan Format OrganizationPeriod Date Version Where you areGap analysisWhere you want to beIndicatorsObjectives IndicatorsObjectives IndicatorsObjectives IndicatorsObjectives IndicatorsObjectives 1Due Date/responsible 2Due Date/responsible

Gap Action Plans

1818Creating a Sales Plan Part 219

19Creating the Sales Forecast Current Sales History + / -Due to trends + /-Due to competition +Results from new initiatives +Results from new segments + /-Variables Current Sales History + / -Due to trends + /-Due to competition +Results from new initiatives +Results from new segments + /-Variables Current Sales History + / -Due to trends + /-Due to competition +Results from new initiatives +Results from new segments + /-Variables Realistic Optimistic Worst Case Version x date

2020

2121NEGOTIATIONs

2222Communication

2323Individual Sales Plans & ObjectivesSegment Customers

Type /SizeProduct Funnel Position Target RevenuePersonal Development 24

24 Management Matrix Determine what key activities / events need to be tracked Determine the best way to measure these key events Develop a reporting system via CRM or other means Confirm the needed input is well defined and understood by those who will both create the information and those who will be reading the information. Identify key events that will trigger a revised plan / strategy Determine when and how reviews will be conducted

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25Indicators of a good Plan Is the Challenge / Problem well definedDoes the plan address the challenge / problem Do you have the resources to implement the planIf additional resources are needed are the decision makers on boardDo you have the buy in from the key implementersIs the plan doable within the given time frame

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Steve KovacsGIMA Inc.Phone: 952-292-4351ksteve21506@gmail.com

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