Sales Management Association Webcast 13 “Must Know” … · 2019-07-03 · Leverage Best Practices Be ... 2016 Sales Performance Optimization Study –Level Comparison % Reps Making

© Copyright 2016 The Sales Management Association.

Sales Management Association Webcast

02 June 2016

Presented by

13 “Must Know” Management

Approaches for Sales Leaders

https://www.linkedin.com/in/harrydunklin


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About The Sales Management Association

Slide 2© 2016 The Sales Management Association. All rights reserved.

A global, cross-industry professional association for sales

operations and sales management.

Focused in providing research, case studies, training, peer

networking, and professional development to our membership.

Fostering a community of thought-leaders, service providers,

academics, and practitioners.

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http://www.salesmanagement.org/

Today’s Speakers






© Copyright 2016 The Sales Management Association.

Sales Management Association Webcast

02 June 2016

Presented by

13 “Must Know” Management

Approaches for Sales Leaders





Copyright © MHI Global Inc. All Rights Reserved.

AGENDA

► The 13 Must Knows

► Prioritization Importance

► Your Guiding Principles

► Prioritization Approach

Data

Surveys

Research

► Example of Research

► Estimating Impact vs Resource Commitment

► A Few Success Factors to Consider

► Q&A


AGENDA

Sales & Sales

Management

Processes

Sales Talent

Management

Systems and

Processes

Training &

Development

Leadership

Alignment and

Messaging

Consistency

PEOPLE &

PROCESS

Sales

Organization

Compensation

& Incentives

Sales and

Marketing

Alignment

Sales

Organization

Structure &

Resourcing

Business &

Territory

Planning &

Optimization

Account

Management

Metrics &

Measurement

Sales

Forecasting &

Pipeline

Management

CRM Adoption

Sales

Enablement

Tools

STRUCTURE

& SYSTEMS


INITIATIVES MUST BE PRIORITIZED

One head of sales said to me “if I commence every initiative

that has been recommended by my staff and our outside

partners, we would be out of business in six months!”

The Mission Statement of a transformational project I worked

on couple years ago contained a key guideline that we referred

to constantly over a two year period:

We will constantly drive to gain a fact-based understanding of

what matters most before we commit resources to any

initiative…


1. Enable Leadership Vision

3. Understand Client

Buying Behavior4. Utilize Research

2. Leverage Best Practices

Be

GUIDING PRINCIPLES

► Preserve what works

► Lay the foundation for adoption

► Understand the leadership visionof the future

► Know what will be expected of sales

► Interview clients – past and present

► Understand changing expectations of the relationship

► Benchmark against the bestin your industry

► Tap into our vast inventoryof best practices available from many top notch research firms

FIRST, ESTABLISH A SET OF GUIDING PRINCIPLES


BASE DECISIONS ON SYNTHESIS OF DATA

► Of the 13 initial potential initiatives, some may be perceived as solidly

performing, culturally sensitive or irrelevant to the current situation and can

be removed from consideration

► A first level of research must be done internally and externally to understand

the gaps, the potential impact, and the likelihood that the culture will readily

adopt major changes

► Three approaches can be considered (separately or in concert) to identify

gaps and establish priorities:

Data Driven

Surveys

Research


ASSESS THE OPPORTUNITY - DATA

Specific company data can

be compared to industry

best in class or

comparables to similar

companies in “aspirational”

situations

This data may come from

Payroll Automation, CRM,

or Financial Reporting

systems


ASSESS THE OPPORTUNITY - SURVEYS

Credible surveys can be

conducted that will yield

eye-opening insights into

how productive a sales

organization may be from a

variety of self reported

factors

Keys to credibility are the

sample size and relevance

of the survey questions.


ASSESS THE OPPORTUNITY - RESEARCH

Best Practice comparisons

based on valid research can

be the basis to establish a

“delta” between your

company and best in class

The key is to compare to

relevant sample sets

(similar industry, similar

companies)


EXAMPLE: RESEARCH BASED DECISIONS

► For this example we’ve selected one of most empirical and

thorough studies in the market

► Each year CSO Insights surveys 1200 companies across

multiple industries about where they believe their sales

processes fit across two dimensions:

Type of sales process in place

Typical relationship with typical customers

► CSOi then sorts the companies by performance factors and

compares to these two dimensions

7. Sales &

Sales

Management

Processes

Let’s do a quick poll – as we review the next two slides try to

estimate where your company might fit along these two dimensions


THE PROCESS DIMENSIONS

Level 1—Random Process: A company may be perceived as being anti-process,

though what they really lack is a single standard process. Essentially every sales rep

does their own thing their own way.

Level 2—Informal Process: A company exposes their salespeople to a sales

process and indicates that they are expected to use it, but that use is neither monitored

nor measured.

Level 3—Formal Process: A company regularly enforces the use of a defined sales

process (sometimes religiously), and they conduct periodic reviews of the process to see

how effective it is, and then make changes based on that analysis.

Level 4—Dynamic Process: A company dynamically monitors and provides

continuous feedback on sales reps’ use of their formal sales process. They also

proactively and continually modify the process when they detect key changes in market

conditions.


Level 1—Approved Vendor: A company is seen by the majority of their customers as a

legitimate provider of the products or services they offer, but are not recognized for having any

significant, sustainable competitive edge over alternative offerings.

Level 2—Preferred Supplier: Based on their marketplace reputation and past dealings with

your customers, while competitors may offer alternatives, Level 2 companies are normally seen as the

preferred vendor with whom to do business.

Level 3—Solutions Consultant: Based on a specific set of product-related, value-added

knowledge or services they offer, customers see Level 3 firms as not only a vendor, but also a

consulting resource on how to best use the products or services they purchase.

Level 4—Strategic Contributor: Above and beyond the products and services they offer,

customers view Level 4 firms as a source of strategic planning assistance for dealing with broader-

based challenges they are currently facing.

Level 5—Trusted Partner: At this highest level, Level 5 firms are seen as a long-term partner

whose contributions – products, insights, processes, etc. – are viewed as key to their client’s long-term

success.

THE RELATIONSHIP DIMENSIONS


Trusted

Partner

Strategic

Contributor

Preferred

Supplier

Approved

Vendor

Solutions

Consultant

Random

Process

Informal

ProcessFormal

Process

Dynamic

Process

ASSESS THE OPPORTUNITY – OPINION

BASED ON RESEACH (POLL)

LEVEL 1

LEVEL 2

LEVEL 3

CSO Insights Sales Relationship/Process Matrix (SRP


2016 Sales Performance OptimizationStudy – Level Comparison

% Reps Making Quota

% of Company Plan Attainment

% Forecast - Wins

% Forecast - Losses

% Forecast - No Decisions

% Sales Force Turnover

Level 1 Level 2 Level 3

50%

80%

43%

34%

23%

18%

58%

84%

47%

29%

24%

15%

63%

88%

51%

26%

23%

14%

Source: CSO Insights 2016

ASSESS THE OPPORTUNITY – OPINION

BASED ON RESEACH


COMPARE OPTIONS OBJECTIVELY

Leverage a straightforward and understandable decision making process that includes all appropriate stakeholders

“Calculate” impact for each initiative, e.g. “a 9 point increase in selling time per rep should yield a 3% increase in revenue per rep”

Resource Investment

Impact

2

5

4

6

1

3


CONSIDER OTHER FACTORS THAT MAY

IMPACT THE SUCCESS OF THE INITIATIVES

► Assess the “change readiness” of the organization

► Look at the impact on other areas like Marketing, Finance and Operations

► Start thinking about indicators of adoption

► Start messaging early

► …and many more!


RECAP

Start with the 13 Must Knows

Eliminate the areas where there is clear reason not to change

Conduct the research

Determine the effort and payoff

Define the change and identify the success factors for each initiative

Now your ready to begin the real work!


Sales & Sales

Management

Processes

Sales Talent

Management

Systems and

Processes

Training &

Development

Sales

Organization

Compensation

& Incentives

Sales and

Marketing

Alignment

Sales

Organization

Structure &

Resourcing

Business &

Territory

Planning &

OptimizationAccount

Management

Metrics &

Measurement

Sales

Forecasting &

Pipeline

Management

CRM Adoption

Sales

Enablement

Tools

WHAT IS YOUR TOP PRIORITY? (POLL)

2

1

3

4

5

Trusted Partner with Customers


Should we try to be a trusted

partner to all of our customers?





Sales Organization and Sales Operation


Who is best able to lead

changes in the sales

organization? What do you see

as sales operations role?





Marketing and Sales Alignment


What is best practice

to ensure marketing

and sales alignment?





Convincing Leadership of Standard Processes


When a sales organization has no formal sales

processes, what are some recommendations

on how to convince leadership of the benefits

of following standard process?





Initiatives


Which of the groups of the 13 initiatives is

most important for organizations that are

scaling? Depending upon where a company

is in its own growth lifecycle, does it matter

on which initiatives are most important?





Compensation and Talent Management


Compensation and incentives as they

are effective for millennials in Gen Y

and Z; Loyalty and tenure models for

sales organizations; Industry

benchmarks in this area.





Sales Productivity and Efficiency


Where would sales

productivity or efficiency

improvements fit in the list of

13 initiatives or must-know

priorities?





Questions and Discussion


Enter your questions in the

“Questions” box on the right

hand side of the webinar

application window.

Did we run out of time before we got to your

question? Presenters can follow-up with you via

email. Feel free to submit more questions if

you’d like an offline response.





© Copyright 2016 The Sales Management Association

Thank You.

Documents

Sales Management Association Webcast 13 “Must Know” … · 2019-07-03 · Leverage Best Practices Be ... 2016 Sales Performance Optimization Study –Level Comparison % Reps Making