| Actual for You |
Hubs | Hubbers | Topics | Request |
| #1 in Business | Subscribe Email Print |
|
You are here: Home > Business > Sales Management > The Three Most Common Mistakes Sales Managers Make |
|
Actual for You - The Three Most Common Mistakes Sales Managers Make
A Simple Business Plan f the company to the sales force. One decision at a time, made in response to the passionate plea of an individual sales person, would form, over time, the structure that governed the sales side of the business.Do you want to start a business on a small scale? Pay as you go and not borrow any money? Basically you want to test the idea out and see if it has potential. Then why do you need a business plan? The most important reason is this. If you cannot flesh out the idea and write it down on a sheet of paper, then it’s not a viable business idea, and you should move on to the next project. Notice I did say a sheet of paper. One sheet. Of course you can use two or three but the basic simple business plan should be just that, simple.You cannot take this plan to the bank and expect to get a loan for your business. In fact you should not even show it to friends or relatives. This plan is for your eyes only. It is to define your business idea. A simple business plan will give you a starting point that will grow with your business.Here’s the basic setup that you need to have.1. The business Name.That may seem obvious, but give it some serious thought. Always expect this small business to turn into the next global enterprise and you don’t want to stick it with something that’s hard to spell, or that’s not relevant to the business.2. The Vision statement.What is your purpose for starting this business and what do you expect to achieve. Define what the business does.3. I was impressed with his insight. That very observation described the number one mistake that sales mangers make - they accept the historically evolved status quo for the structure, and don't invest time in focusing it to provide the environment for sales success. 2. Lack of regular and systematic direction and feedback for the salepeople. The relentless attraction of the urgent, and the demanding shouts of the transaction, like the pleading of a toddler, have a tendency to overwhelm the time and attention of most sales managers. Sales managers often have the best of intentions. For example, they may need to do a set of performance reviews by the end of the year. But there is this big presentation in one account to attend. And another account wants to complain about some issue to the sales manager. Yet another needs the manager's touch to smooth some feathers, etc. And they really do need to spend some time in the field with the new salesperson. And, and, and... the demands of the urgent once again A Compensation Committee Checklist In most organizations, sales managers are the essential bridge between the company's sales goals and the realization of those goals. The gritty day-to-day interactions between the sales people and their customers are frequently filtered through the perspective of the sales manager on their way up the ladder. And the aspirations and strategies of the company's management must be imprinted by the realism of the sales manager as they come down from above. Sales managers are the conductors who carefully orchestrate the tentative entanglement of the sales people with their management.The Compensation Committee is appointed by and serves in an advisory role to a company’s Board of Directors. It makes the important final decisions on many executive compensation matters, including the types and particulars of the pay plans themselves, the amount of compensation, and even the performance measures and specific targets upon which the executives will be judged for purposes of calculating incentive awards. The following are the primary duties and responsibilities typically assigned to the Compensation Committee by the Board:· Develop the compensation philosophy for the company and ensure that it is consistent with the company’s business strategy, mission and culture.· Approve any compensation plans in which Officers and Directors are eligible to participate, subject to the review of the full Board and shareholders, as appropriate.· Recommend, provide oversight and approve awards of stock options and other equity, perquisites and other benefits, and employment and change of control contracts, subject to Board and shareholder approval, as required.· Act as liaison between the CEO and Board on all compensation and human resource issues.· Recommend and/or approve the CEO’s compensation to the Board, as well as the compensation for his/her direct reports as a whole.· Recommend the compensation package It's an incredibly important and difficult job. Unfortunately, it is often the most under-trained job in the entire organization. Instead of providing information on the best practices and processes of the job, most companies hope that their sales managers will have learned enough during their days as a field salesperson to provide some roadmap as to how to do this job well. Alas, only a small percentage of untrained sales managers ever really figure it out, arriving by trial and error and after hours of study at the best practices of an effective sales manager. The overwhelming majority find themselves caught up in the urgencies of the moment, the tempting details of all the transactions, and the continuing onslaught of crises and are never able to set in place a systematic blueprint for their success. The net result? Few salespeople are effectively managed. All parties: executive management, sales manager and sales people, bounce from one frustration to another. Company objectives are met frequently by happenstance, salespeople are not developed to their fullest potential and sales managers lurch from one crisis to another. Certain common mistakes often arise out of this unhealthy situation. As a long-time consultant and educator of salespeople and sales managers, I frequently see these three most common maladies suffered by sales managers. 1. Lack of a focused sales structure. This is such a foreign concept to many companies that the term itself is unfamiliar. The structure of a sales force consists of all the articulated and unspoken rules, policies and procedures that shape the behavior of the salesperson. It consists of such things as: -the way sales territories are defined A highly focused, well designed sales structure can be one of the company's greatest assets, as it ultimately shapes the behavior of the sales force. Most sales structures, however, haven't come under the critical review of the company's management. Typically, the structure slowly takes shape over time. Decisions are often made with heavy input from the salespeople, almost always in response to a single event. These decisions slowly become codified into the company's written and unwritten structure. As a result, many sales structures are vestiges of years gone by, the legacy of salespeople who may not even be with the company today. Why do you have the sales compensation plan that you have, for example? Is it because you crafted a strategic plan that directly compensates the sales force for achieving the company's objective? Or, is it because... it's the plan you inherited? Why do some salespeople come into the office every week? Is it because you have determined that this is the most valuable use of their time? Or, is it because... that's just the way some of them like to do it? Why is it that some of your salespeople are highly organized, with well designed file systems and effective ways to track their interactions with their customers, while others continue to get by with scraps of paper and yellow pads? Is it because you have invested in a system that helps them become well-organized and information-savvy? Or, is it because... that's just how it's worked out? Can you see the point? Many of these structural issues - spoken and unspoken rules about how the salesperson does the job - have evolved by the salespeople in response to their own specific situations. And most sales managers are oblivious to the impact of these decisions on the productivity and effectiveness of the salesperson. I recently had lunch with a friend -- an entrepreneur who had successfully started and run a number of businesses. As we were discussing the pros and cons of organizing a sales force for his latest venture, he remarked that he has learned how easy it is to gradually cede control of the company to the sales force. One decision at a time, made in response to the passionate plea of an individual sales person, would form, over time, the structure that governed the sales side of the business. I was impressed with his insight. That very observation described the number one mistake that sales mangers make - they accept the historically evolved status quo for the structure, and don't invest time in focusing it to provide the environment for sales success. 2. Lack of regular and systematic direction and feedback for the salepeople. The relentless attraction of the urgent, and the demanding shouts of the transaction, like the pleading of a toddler, have a tendency to overwhelm the time and attention of most sales managers. Sales managers often have the best of intentions. For example, they may need to do a set of performance reviews by the end of the year. But there is this big presentation in one account to attend. And another account wants to complain about some issue to the sales manager. Yet another needs the manager's touch to smooth some feathers, etc. And they really do need to spend some time in the field with the new salesperson. And, and, and... the demands of the urgent once again f Keeping Your Audience Involved During Powerpoint Presentations he tempting details of all the transactions, and the continuing onslaught of crises and are never able to set in place a systematic blueprint for their success.Giving a good PowerPoint presentation is a tough job, but getting the audience involved in it is even harder! It is only through some tactics and methods, can you get the audience to get involved in your PowerPoint presentation. So try them out and see the effects!The first and foremost thing to remember when making a presentation is to make the audience engaged and listen to you by asking them good questions. Make it a point to ask the audience a challenging question in the middle of the presentation, and wait for the response. If someone calls out an answer, repeat it for other’s benefitsTry getting more than one response, as this really wakes up an audience, and makes them more focused on your presentation. If at all you come into a speaking situation wherein the audience has been lulled into a passive state by some previous presentation, you can create an immediate impact by starting some interesting question. You could ask them a question like how many people drive more than ten miles to work everyday, if you are starting a presentation on telecommuting.If you ask a question, always make sure to raise your own hand to encourage a response of a show of hands. Another thing to remember to get the audience involved in the presentation is to make sure you give your presentation in their language. Meaning, it is better to use simpl The net result? Few salespeople are effectively managed. All parties: executive management, sales manager and sales people, bounce from one frustration to another. Company objectives are met frequently by happenstance, salespeople are not developed to their fullest potential and sales managers lurch from one crisis to another. Certain common mistakes often arise out of this unhealthy situation. As a long-time consultant and educator of salespeople and sales managers, I frequently see these three most common maladies suffered by sales managers. 1. Lack of a focused sales structure. This is such a foreign concept to many companies that the term itself is unfamiliar. The structure of a sales force consists of all the articulated and unspoken rules, policies and procedures that shape the behavior of the salesperson. It consists of such things as: -the way sales territories are defined A highly focused, well designed sales structure can be one of the company's greatest assets, as it ultimately shapes the behavior of the sales force. Most sales structures, however, haven't come under the critical review of the company's management. Typically, the structure slowly takes shape over time. Decisions are often made with heavy input from the salespeople, almost always in response to a single event. These decisions slowly become codified into the company's written and unwritten structure. As a result, many sales structures are vestiges of years gone by, the legacy of salespeople who may not even be with the company today. Why do you have the sales compensation plan that you have, for example? Is it because you crafted a strategic plan that directly compensates the sales force for achieving the company's objective? Or, is it because... it's the plan you inherited? Why do some salespeople come into the office every week? Is it because you have determined that this is the most valuable use of their time? Or, is it because... that's just the way some of them like to do it? Why is it that some of your salespeople are highly organized, with well designed file systems and effective ways to track their interactions with their customers, while others continue to get by with scraps of paper and yellow pads? Is it because you have invested in a system that helps them become well-organized and information-savvy? Or, is it because... that's just how it's worked out? Can you see the point? Many of these structural issues - spoken and unspoken rules about how the salesperson does the job - have evolved by the salespeople in response to their own specific situations. And most sales managers are oblivious to the impact of these decisions on the productivity and effectiveness of the salesperson. I recently had lunch with a friend -- an entrepreneur who had successfully started and run a number of businesses. As we were discussing the pros and cons of organizing a sales force for his latest venture, he remarked that he has learned how easy it is to gradually cede control of the company to the sales force. One decision at a time, made in response to the passionate plea of an individual sales person, would form, over time, the structure that governed the sales side of the business. I was impressed with his insight. That very observation described the number one mistake that sales mangers make - they accept the historically evolved status quo for the structure, and don't invest time in focusing it to provide the environment for sales success. 2. Lack of regular and systematic direction and feedback for the salepeople. The relentless attraction of the urgent, and the demanding shouts of the transaction, like the pleading of a toddler, have a tendency to overwhelm the time and attention of most sales managers. Sales managers often have the best of intentions. For example, they may need to do a set of performance reviews by the end of the year. But there is this big presentation in one account to attend. And another account wants to complain about some issue to the sales manager. Yet another needs the manager's touch to smooth some feathers, etc. And they really do need to spend some time in the field with the new salesperson. And, and, and... the demands of the urgent once again Reliance Retail - A Runaway Success ager uses to communicate with the salespeople New Delhi, March 29: In an encouraging spate of retail outlets opening in the National Capital Region in the last six months, Reliance Fresh can claim hands down that it is on top and rising. The sales have exceeded all estimates with average sale by a store being of the order of Rs five lakhs, while the company had estimated the same to be around Rs Two lakhs.The footfalls are also high being 4,000 per day.The 100th store in the retail chain is to be opened soon–, the question being debated is whether Pune can beat Delhi and breast the 100th outlet landmark. If so Delhi will have the honour of being the 101st shop.Without wanting to be identified, sources within the Reliance group of companies say the company has so far opened 96 Reliance Fresh stores, spread over a carpet area of 2,50,000 sq ft in 96 outlets in different parts of the country .Delhi has 24 of the 96 shops in the country today. and accounts for thirty per cent of the total sale.The company claims there has been overwhelming response to Reliance retail in the period under review. Looking at the very encouraging response from the public and the buyers, there are plans to commission more city distribution centers and city processing centers that will further strengthen the supply chain.Also, back end sourcing has been strengthened so that the demand is -the expectations for the sales force -the training and development system of the company -the expectation for information collecting by the salespeople -the frequency and agenda for sales meetings -the sales tools used by the salespeople and countless other such things A highly focused, well designed sales structure can be one of the company's greatest assets, as it ultimately shapes the behavior of the sales force. Most sales structures, however, haven't come under the critical review of the company's management. Typically, the structure slowly takes shape over time. Decisions are often made with heavy input from the salespeople, almost always in response to a single event. These decisions slowly become codified into the company's written and unwritten structure. As a result, many sales structures are vestiges of years gone by, the legacy of salespeople who may not even be with the company today. Why do you have the sales compensation plan that you have, for example? Is it because you crafted a strategic plan that directly compensates the sales force for achieving the company's objective? Or, is it because... it's the plan you inherited? Why do some salespeople come into the office every week? Is it because you have determined that this is the most valuable use of their time? Or, is it because... that's just the way some of them like to do it? Why is it that some of your salespeople are highly organized, with well designed file systems and effective ways to track their interactions with their customers, while others continue to get by with scraps of paper and yellow pads? Is it because you have invested in a system that helps them become well-organized and information-savvy? Or, is it because... that's just how it's worked out? Can you see the point? Many of these structural issues - spoken and unspoken rules about how the salesperson does the job - have evolved by the salespeople in response to their own specific situations. And most sales managers are oblivious to the impact of these decisions on the productivity and effectiveness of the salesperson. I recently had lunch with a friend -- an entrepreneur who had successfully started and run a number of businesses. As we were discussing the pros and cons of organizing a sales force for his latest venture, he remarked that he has learned how easy it is to gradually cede control of the company to the sales force. One decision at a time, made in response to the passionate plea of an individual sales person, would form, over time, the structure that governed the sales side of the business. I was impressed with his insight. That very observation described the number one mistake that sales mangers make - they accept the historically evolved status quo for the structure, and don't invest time in focusing it to provide the environment for sales success. 2. Lack of regular and systematic direction and feedback for the salepeople. The relentless attraction of the urgent, and the demanding shouts of the transaction, like the pleading of a toddler, have a tendency to overwhelm the time and attention of most sales managers. Sales managers often have the best of intentions. For example, they may need to do a set of performance reviews by the end of the year. But there is this big presentation in one account to attend. And another account wants to complain about some issue to the sales manager. Yet another needs the manager's touch to smooth some feathers, etc. And they really do need to spend some time in the field with the new salesperson. And, and, and... the demands of the urgent once again Publishing Your eBook nherited?What is an eBook? An eBook or electronic book or digital book is a simply digital text file that can be read on your computer or dedicated reading devices. eBook may consist of text, sound, photographs, illustrations and video. eBook also can contain the “hot link” that will bring the eBook reader immediate access to the website linked in the text.Your eBook can be published in several different ways : 1. Your eBook can be as a digital file that are downloaded and then read on the laptop or desktop computer. 2. Your eBook can be created as a digital file that are downloaded and read on palm-top or handheld computer. 3. Your eBook can be created as a digital file that downloaded and read on dedicated eBook reader devices. 4. Your eBook can be a digital file that are copied onto CD-ROM or Floppy Disk.Here is what you need to start your successful journey in publishing your eBook : 1. You need a computer with internet connection. 2. You need Microsoft Word Program to let you save the ASCII text files. If you have the Adobe Acrobat that would be great, but you don’t need it now as a beginning time. 3. You need a fax machine. 4. You need several e-mail accounts. You will need one for your business, one for your personal e-mail and one for the return email when you register to search engine and director Why do some salespeople come into the office every week? Is it because you have determined that this is the most valuable use of their time? Or, is it because... that's just the way some of them like to do it? Why is it that some of your salespeople are highly organized, with well designed file systems and effective ways to track their interactions with their customers, while others continue to get by with scraps of paper and yellow pads? Is it because you have invested in a system that helps them become well-organized and information-savvy? Or, is it because... that's just how it's worked out? Can you see the point? Many of these structural issues - spoken and unspoken rules about how the salesperson does the job - have evolved by the salespeople in response to their own specific situations. And most sales managers are oblivious to the impact of these decisions on the productivity and effectiveness of the salesperson. I recently had lunch with a friend -- an entrepreneur who had successfully started and run a number of businesses. As we were discussing the pros and cons of organizing a sales force for his latest venture, he remarked that he has learned how easy it is to gradually cede control of the company to the sales force. One decision at a time, made in response to the passionate plea of an individual sales person, would form, over time, the structure that governed the sales side of the business. I was impressed with his insight. That very observation described the number one mistake that sales mangers make - they accept the historically evolved status quo for the structure, and don't invest time in focusing it to provide the environment for sales success. 2. Lack of regular and systematic direction and feedback for the salepeople. The relentless attraction of the urgent, and the demanding shouts of the transaction, like the pleading of a toddler, have a tendency to overwhelm the time and attention of most sales managers. Sales managers often have the best of intentions. For example, they may need to do a set of performance reviews by the end of the year. But there is this big presentation in one account to attend. And another account wants to complain about some issue to the sales manager. Yet another needs the manager's touch to smooth some feathers, etc. And they really do need to spend some time in the field with the new salesperson. And, and, and... the demands of the urgent once again Is Email Marketing Right For Your Business f the company to the sales force. One decision at a time, made in response to the passionate plea of an individual sales person, would form, over time, the structure that governed the sales side of the business.Deciding whether or not email marketing is a good idea for your business can be a difficult process. The concept of email marketing is very simple to understand the process of determining whether or not it is right for your business can be significantly more complicated. This is because you have to consider a number of different factors before making your decision. You should consider your target audience and their propensity to use the Internet, whether or not your message can be effectively states in an email and whether or not your message is likely to be misinterpreted as spam. All of these factors are important and can help you determine whether or not email marketing is right for your business.One of the most important factors to consider when deciding whether or not to invest your money, energy and time into email marketing is your target audience and how likely they are to use the Internet regularly. This is important because an email marketing campaign is not worthwhile if members of your target audience are not likely to use the Internet to purchase or research the products or services you offer. Even if the use the Internet for other purposes it is not worthwhile because they will not be likely to become online customers for your products or services. However, if you have a target audience who is very likely to use the Internet to pur I was impressed with his insight. That very observation described the number one mistake that sales mangers make - they accept the historically evolved status quo for the structure, and don't invest time in focusing it to provide the environment for sales success. 2. Lack of regular and systematic direction and feedback for the salepeople. The relentless attraction of the urgent, and the demanding shouts of the transaction, like the pleading of a toddler, have a tendency to overwhelm the time and attention of most sales managers. Sales managers often have the best of intentions. For example, they may need to do a set of performance reviews by the end of the year. But there is this big presentation in one account to attend. And another account wants to complain about some issue to the sales manager. Yet another needs the manager's touch to smooth some feathers, etc. And they really do need to spend some time in the field with the new salesperson. And, and, and... the demands of the urgent once again force regular face-to-face discussions about expectations and results to the bottom of the "to do" list. As a result, most salespeople are left directionless and provided with little feedback on how they are doing. Of course, we publish sales numbers, but there are lots of reasons why a set of numbers can be up, down or sideways above and beyond the impact of the salesperson. What do you expect of this particular salesperson? And how well is he/she doing? In most surveys of what salespeople really want from their managers, "direction and feedback" are often at the very top of the list. It's one thing to talk about some account or some deal, it's quite another to speak to the core issues of "my performance." Sales is an isolated job. It is not unusual for a salesperson to spend as much as 70% of the work week by himself. All that isolation often leads to anxiety and self-doubt which often expresses itself through complaints and finding fault with the company. All this negative energy can be prevented by providing the salesperson with regular direction, specific expectations, and regular feedback. The old saying, "Out of site, out of mind," is too often the operational description of the typical sales manager. The salespeople are out there somewhere, doing their thing, while the tyranny of the urgent often occupy the manager's time. As a result, salespeople are not nearly as focused as they could be; they default to unhealthy thoughts; and they spend too much time expressing negative energy. 3. Lack of an organized training and development system. No profession in the world expects the serious practitioners of that profession to figure it out by themselves. Quite the contrary. Every profession has determined some minimal acceptable course of study, and typically has some event which signals the entry into that profession. It is for this reason that teachers, Emergency Medical Technicians, and ministers are licensed; that attorneys must pass the bar exam; accountants must pass their certification exam, etc. Unfortunately, that is rarely true of salespeople. In only the leading companies is there some required course of study for entry-level salespeople, and some event which signifies the successful completion of that study and their entry into the profession. To even think this way is so outside of the reality of most sales managers that I can almost hear half of the readers of this article snickering over their coffee. "Some standard for allowing people into the job?" Incredible thought. But if you don't insist on it, you'll continue to labor with hit or miss sales force where every hire is ultimately a shot in the dark. No profession in the world expects that once someone has become qualified to enter the profession, they then no longer need to invest in their own development. And every profession has expectations of the practitioners' regular need to systematically improve himself or herself. Can you imagine a teacher who never attends an in-service training? A nurse who never invests in continuing development? A minister who never goes back to school? A doctor who never attends a conference? Even if such lackadaisical professionals could keep their jobs, you'd not want them to have anything to do with your family. You'd never put your health in the hands of doctor who hadn't updated himself since med school. You'd not want your children taught by the teacher who hadn't learned anything since graduation. You'd never put your lawsuit in the hands of an attorney who had never bothered to keep current. The examples can go on and on. But you get the idea. The professional who doesn't regularly invest in his own continuous development is relegated to the dregs of the market. So, why is it that overwhelming majority of sales managers do not require regular and systematic involvement in continuous development events for their charges? It may be that they don't see their salespeople (or themselves) as professionals. Or, it may be that they have never thought about it that way. Regardless of the reason, the reality of this malady is that the quality of the sales force is not nearly what it could be, if only the sales managers required some minimum standard for their entry-level people, and then regular and continuous development of those who were on the inside. The wise sales manager will assemble a system for the education and development of his salespeople. While there are as many other management miscues as there are sales managers, these three are the most common. Address them, and you'll be well on your way to outstanding success in sales management.
HTTP = HTML link (for blogs, profiles,phorums):
Related Articles:Fundamentals For Financial Success 10 Ways To Use Speaking to Further Your Career Goals What Is Multi-Level And How Should It Be Worked
|