Include Sales Skills Assessment in Performance Reviews

Most organizations that operate on a calendar basis have completed, or will soon complete, their team’s 2016 annual performance reviews. This year-end analysis covers a range of topics depending on the role of the employee, the size of the organization and the scope of the employee’s job requirements.

Standard reviews will include organizational, team and individual goal attainment against plan and in comparison to comps from the previous year. Some organizations ask employees to complete a self-appraisal, while others rely on measuring against Key Performance Indicators (KPIs), or a combination of both. Another useful feedback mechanism is performance review from peers, often called “360s”, which provide a multi-directional view of how well employees are doing in the eyes their teammates.

For those of us in sales, the final results are very binary- did you or did you not hit your revenue number? But the key information we really want to get at is not if sellers did or didn’t make quota, but WHY. What are the skills those sales reps possessed that directly contributed to hitting their numbers? For most of our customers, we break selling skills into six categories. These skills may vary based on industry or whether or not they are in a complex or transactional selling environment, but for the most part, they are as follows:

  • Prospecting
  • Needs Analysis
  • Establishing Value
  • Accessing Key Players
  • Managing the Buying Process
  • Closing and Negotiation

We encourage our customers’ first line sales managers to conduct skills coaching on a regular basis (at least monthly), and not to wait for just once a year. I often ask attendees in our workshops “how often to give your children feedback?” They usually chuckle and reply “every day, all day”. Likewise, we need to provide our selling teams with ongoing performance feedback as well as a safe environment in which to practice and hone the selling skills they need to be successful.

 

 

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On The Road Again: Newport Beach, California

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Flannery Sales Systems - On The Road Again

John was in Newport Beach  last week working with a new customer in the financial services and financial technology industry at their National Sales Meeting.

Their focus is on how they sell as the differentiator in the buying process. Listen in on other featured articles in our upcoming newsletter by clicking on the arrow below. 

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How do Your Customers USE Your Product or Service?

From the MD&M Trade Show in Anaheim, CA

The MD&M trade show in Anaheim was very well attended, and full of impressive technology and innovation for the medical device industry. Of the 20 or so salespeople I spoke to at different booths in the show, only a few could articulate how their customers used their product or service. When I asked that question, most sellers went into a description of what the product did, or how it was made, and the variety of features it had. But that is not what your customers care about; they are concerned with how your product helps them to increase revenue, decrease cost or offset risk.

It was a pleasure to run into Alison Smith again (pictured above), with Meritech in Golden, Colorado. Alison continues to have sales success using the process we worked on together in 2012, and can clearly articulate how her customers use their products to maintain hygiene in the workplace. In fact, while she demonstrated the product to me, Alison was fluently telling me a success story of how one of her food service industry customers reduces their risk through the use of the Meritech hand washing system. Well done Alison and the Meritech  team, and continued success !

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Sales Managers Must Coach Selling Skills

coach selling skills

How’s that title for a “Challenger-esque” way to tell first-line sales managers what they need to be doing with their sales team? Does it inspire you? Or have you already checked out of this article, turned off by being told what to do, despite whether you are doing it or not?

For those of you sales managers who are coaching selling skills on a regular basis, you understand the importance of why, and the rewards that come from doing so. Your salespeople no longer come to you with the following requests and/or challenges, because you’ve already developed their skills:

  • End of the month/end of the quarter discount requests to “close a deal” (rarely does price prevent a seller from a getting a yes)
  • A request to review a presentation full of proprietary information that is directed to the wrong key player
  • Rationalization of why your technical specialist should go out to do a demo
  • Explanation of the features and benefits of a product or service without a clear understanding of the commercial objective the customer is looking to address

 The Training Department Won’t Improve Skills

All sales managers are “deal coaches”, meaning they help their sellers to organize the right product/service mix, plan the delivery/install/training, and set prices/margins, all of which are very important to winning business. But too many managers rely on their training departments to improve rep skills, or they leave this job to the reps themselves. While some degree of this is okay, managers must also take it upon themselves to continually assess and develop the skills of their team. One of my favorite managers used to say: “if you are coasting, you’re usually going downhill”. I love this quote in relation to skill development – it drives home the point that if you’re not actively improving your team’s selling skills, it’s likely their skills are rusty and adversely affecting sales performance.

 Getting Started on Skill Development

It’s easy to agree in theory that improving selling skills is important, but much harder to know where and how to start developing your team. Every team is different, and no two coaching plans look the same. To get started, email me at john@drive-revenue.com, and I will forward you a simple Selling Skills Self-Assessment that will give you clear and concrete direction on where your coaching should begin.

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On Taking Market Share: T-Mobile’s Legere Leads the Charge

The article in the January/February Harvard Business Review (HBR.org) regarding the unconventional approach to taking market share in the wireless industry that John Legere, CEO of T Mobile, is utilizing is similar to what Nextel Communications did in the mid 90’s.  Granted, the market, products and players have shifted significantly from 22 years ago, but the aggressive style that Legere embraces reminded me of the position that Brian McAuley and Morgan O’Brien created for the new-kid-on-the-block (Nextel) in the digital world. The tactics are different (Nextel didn’t trash talk), but the end goal remains the same; how to take business away from the competition.

Below are excerpts from this great read. For the full article, go to https://hbr.org/2017/01/t-mobiles-ceo-on-winning-market-share-by-trash-talking-rivals

The following four initiatives are what Legere has embraced to grow T Mobile’s market share. It is working, as T Mobile has 69 million customers now, and increase of 110% from when he took over in September of 2013.

Ask Why Again: challenge the status quo on the core beliefs and mission of the organization.

Pick a Villain: who will you go after to take share from? AT&T has been T Mobile’s target.

Tweet Reach: employ Social Media to get the message out, as well as to LISTEN to what your customers and competition are saying.

Number One in Service: Legere has a live feed to his phone where he can listen in at any time to Customer Service calls. It is working, as the churn rate (when customers fire you) has been cut in half.

In summary, Legere says the following: People want authenticity from leaders, not canned phrases full of legalese. When you practice what you preach, you don’t have to preach so loudly.

 

 

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On The Road Again: Solana Beach, California

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Flannery Sales Systems - On The Road Again

Listen in on our first video of the new year, as John discusses the importance of using patience in developing sales opportunities. And after 3 decades of sales methodology rollouts, the market has shifted and sales leaders are looking for customized programs for the markets they compete in. So click on the arrow, and/or check our blog to learn more on these topics.

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Schedule Downtime to Become More

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Last weekend we got into the Holiday spirit by attending a Christmas parade in Encinitas, the next town up the coast from us in Solana Beach, CA. After finding a parking spot, I happened upon the flashing sign in the attached photo. Upon first impression, it struck me as the very thing NOT to do as I round out the last month of a very busy year filled with family and the team at Flannery Sales Systems. However, as my personal, community and business commitments pick up around the Holidays, I do find it critical to schedule downtime for myself in order to maintain my balance and sanity.

Each morning, I start the day with a twenty-minute quiet period. During this time, I’m usually alone, although lately our new dog has decided to join me. I make it a practice to put away all my electronic devices, news sources and other “outside” influences. The only thing I keep is a reading on how to focus on the present moment and remember all the things I have to be grateful for.

My latest, favorite read during this time is a book by Terry Hershey called Pause: Becoming More by Doing Less. The chapters are broken into weekly two to three page reads, each with a focus on a different aspect of spiritual development. Each reading helps me put my mind in a positive place and prep me for the day ahead. On the rare occasion I don’t get the chance to start my day with this twenty-minute reflection, I feel like I’m running hard all day, and not nearly as effective, or present, as when I do.

There’s no shortage of information written on the consequences of neglecting to take care of yourself and succumbing to the manic pace that has become the “new normal”. This frenetic behavior has many subtle and often dangerous outcomes. Recently, I stumbled upon an article that summarizes this perfectly — The Disease of Being Busy.

Developing a practice of quiet reflection is about reduction, not addition. At this stage in my life, I have so much to be grateful for, and I find that my daily meditations help me slow down so I can savor each moment. Here’s hoping that you and your family have a blessed, happy and relaxing Holiday season. I look forward to connecting with you in 2017.

 

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Executing the Basics Won a Championship

Do Simple BetterThe article below (and picture to the left) were originally posted to our blog in 2015, and again in September 2016. The second posting was when the Chicago Cubs began their historic run to win the American Baseball World Series Championship.

While we all look for the shiniest, new object to help increase our results, don’t forget to overlook the very fundamentals on which sales (or sports, music, language, art) success are founded. This lies in the basics as listed below, and having the first line Manager Coaching salespeople to improve their selling skills.

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The quote on a t shirt worn by Joe Maddon, the Manager of the Chicago Cubs (an American baseball team) inspired me. It said “Do Simple Better”. Professional athletes focusing on how to do the simple things, better.

Hmmm, Do Simple Better. What does that mean to your team? In Sales, this is what the focus should be on, and as fundamental as it sounds, doesn’t always happen in the heat of identifying, developing and closing a healthy Sales Pipeline filled with qualified Opportunities.

  1. Understand the Prospect/Customer’s Primary Business Objectives (PBOs): what is the Decision Maker hoping to accomplish if they purchase your product or service?
  1. Identify the Challenges: what is happening in their business today that inhibits them from reaching the PBO? And what is the impact, financial and otherwise, if they don’t make a change?
  1. Align Your Capabilities: how do your capabilities help the Decision Maker to address the Challenges? Be specific in matching the capability, and make sure the prospect identifies the VALUE they could obtain through the use of your capabilities. If they can’t, you should be able to help paint the picture on value.
  1. Agree on a Clear Next Step: what is the next step that the prospect and you are taking to move forward?  My colleague John Golden calls this an advance, as opposed to a continuation. Are we advancing this opportunity to the next step, or in a stall with one of the above mentioned items incomplete?

Items # 1 through 4 are the SIMPLE, or The Basics for sellers in early Opportunity development. They should all be discussed, documented and agreed to with the Decision Maker BEFORE sellers create a quote, write a proposal, ask for technical support or Marketing resources, build a presentation or respond to a tender/RFP.

Sales Leaders, it’s time to Coach your sellers to get the Simple right. Right now.

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Improve As a Sales Manager, But First….

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Part 1

The work we do with our customers includes intensive focus on sales management. These leaders are the ones who will implement the sales process we have built for their customer-facing teams. Because sales managers are so pivotal in this process, our understanding of their strengths and weaknesses, as well as how to help them to improve, is critical to their overall success.

Many sales managers still have large teams as a result of the economic downturn in 2009; some have up as many as a dozen direct reports. Even in situations where there are five or six salespeople per team, many managers are “deal coaches,” focused on assembling the right mix of products, services and pricing to present to customers. Coaching deals is important, as are regular pipeline reviews, but sales managers shouldn’t stop there.

Coaching skills is also extremely important to overall sales results, and it is often sorely neglected in the overscheduled world of sales managers. Take a look at the sales management skills below, and stack rank your skills from 1 to 6. A “1” is your strongest skill, and a “6” is the skill where you need the most improvement. Stack ranking means you can only use each number one time. Although you may want to give yourself high marks on every skill, you’ll need to rank them 1 through 6 in order to get an accurate picture of where and how to improve.

The skills are:

  • Identifying and coaching sales rep skills before a deal’s negotiation and close
  • Enabling salespeople to understand what a qualified opportunity looks like
  • Coaching opportunities through the entire sales cycle
  • Helping salespeople negotiate and close successfully
  • Developing healthy revenue pipelines
  • Forecasting accurately

Part 2

Now comes the fun part. We’re inviting you to send in your test results to receive customized tools tailored to improve your overall performance. To submit your results, simply send an email to john@drive-revenue.com with your stack ranking. If you’d like to submit for your entire sales management team, or to do so anonymously, simply enter “Manager A”, “Manager B”, etc. From the scores you send in, we will respond with tools to help you improve the lowest two scores you identified, the 5 and the 6.

In addition to providing you with customized feedback on your sales management skills, we will publish a follow-up article in which we provide an aggregate view of the results gathered from our customers (again, anonymously). This benchmarking data will allow you to compare yourself to others in similar roles and will help provide you with insight on key focus areas.

So, what are you waiting for? The road to improvement begins here. We look forward to hearing from you.

 

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Nextel Communications 1995-2000: The Best Sales Team

In the early days of digital wireless networks, I had the opportunity to work for Nextel Communications as both an employee and as an Authorized Distributor (Dealer). Starting in 1995, I worked with Nextel for a total of six years. During that time, I was able to observe first-hand the key attributes that made the Nextel team excel. Recently, I reached out to a few of the leaders and team members with whom I worked to gather their thoughts on what made us such a high performing team.

Hire Great People and Work FOR Them

Sally Fleck, the San Diego Sales Director responsible for the direct team, said there were two factors to which she attributed our success. First, she hired great people who knew how to sell. There was a wide range of backgrounds on our team, and Sally looked at this diversity as an asset. Our team members’ unique perspectives helped us close different types of sales opportunities. Second, Sally firmly believed that she worked FOR the team, and not the other way around. This meant she took it upon herself to remove barriers, both externally with customers and internally with bureaucracy, which allowed us to focus on selling. She was damn good at it too, as all eight members of our team made the Presidents’ Club trip to Jamaica in 1996…..YA MON!

Focus on the Customer

When we first launched the digital network, the Motorola handsets were still in development and our network build out was not yet complete. During this time, Regional Vice President John Combs decided that our #1 priority would be our customers.  For each commercial sale, we sent a Customer Service Representative to conduct a hands-on training with the customer’s team. We made sure that all users understood how to use the handset and were well versed on its many capabilities.

In addition, all new customers received a Customer Satisfaction Survey, and the scores we earned were closely followed and reviewed with us. We knew that the sale didn’t end after the deal was closed, and that we had to expend some effort on ensuring our users were happy.

Skill Development and Career Advancement

Nextel did a great job investing in their people, and during my three years with the direct team I went through SPIN Selling as well as The Seven Habits of Highly Successful People. SPIN selling was a very hot sales methodology at the time, and I still recall the foundational concepts the program provided for our team. Stephen Covey’s 7 Habits also established a great framework for professional and personal growth. Due largely in part to our focus on skill development, five of the eight members of our team were promoted internally or advanced into the Dealer/Channel Sales program.

Brian Moses ran the Dealer/Channel Indirect Sales program for the San Diego market, and he helped bring me into this new part of the business and provide me with the support I needed to focus on closing deals and driving revenue. Having an internal perspective on how Nextel operated gave Brian, my team and me an advantage in our ability to successfully onboard customers, provide high quality service, and drive revenue through referrals.

The Best Sales Team

My career at Nextel was my final role as an individual producer in a corporate environment, and it provided me and many others with a strong foundation in sales and customer service. As I reflect with my colleagues on what made us so successful, it was the culture of hiring great people and working FOR them, an unequivocal customer focus in all aspects of the organization, and an acknowledgement of the importance of skill development and career advancement. We had a lot of fun in those years, and I still keep in touch with many of my Nextel team members today. It was without a doubt the best sales team I ever had the pleasure of being on.

 

 

 

 

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