Aligning Performance Levers

For Breakthrough Sales Results

Mike Kunkle
August 2011

Performance Levers
The Plan
Agenda
 Overview:
 Background, Definition, Six-Project Approach, Why It’s Worth the Effort

 Walk-through of the Six Projects  Case Example  Appendix with Helpful Resources

“Everybody's got plans... until they get hit.” Mike Tyson

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Performance Levers
Overview | Definition
 A sad but true tale
“Karen, we need sales training!”

Karen reviews sales training.

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Performance Levers
Overview | Definition
 A sad but true tale
Karen selects sales training.

Note: Miller Heiman is a fine company. This is neither an endorsement nor a condemnation.

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Performance Levers
Overview | Definition
 A sad but true tale
Karen delivers sales training.
Training Expenses

5

Performance Levers
Overview | Definition
 A sad but true tale
“Karen, what happened!?”

6

Performance Levers
Overview | Definition
 A sad but true tale
According to a Sales Performance International study, most sales professionals forget at least 50% of what they learned in training programs in less than five weeks. For over 44% of 6,000 sales professionals surveyed, they forget in less than one month. Further, salespeople only remember 16% of content from sales training workshops after only 90 days.

“Karen, what happened!?”

According to ES Research Group, 85-95% of sales training results in no long-term impact in performance.
A study at Columbia University found that up to 95% of what is taught in training programs is wasted through a failure to transfer learning to the workplace.

A Xerox study showed that 87% of the knowledge learned in sales training is lost within 12 weeks.

Something needs to change!
7

Performance Levers
Overview | Definition
 An alternative
Performer Analysis

Performance Lever Alignment
Organization Function

Performance Lever Alignment

Sales & Sales Manager Selection

Position

The Six Performance Lever Projects
Sales & Sales Manager Training Performance Lever Identification

Task

Best Practices Capture

Real Sales Performance Improvement
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Performance Levers
Overview | Definition
Performance Levers
 Critical competencies, knowledge, skills, behaviors and conditions which must be present for ethical, sustained high-performance to occur.  Conditions include other organizational elements such as compensation, processes, policies, systems, technology, tools, culture, and more. Examples: Appointment Setting
Competencies
 Assertiveness  Attitude  Energy Level  Verbal Skill  Sociability  Independence

Knowledge
 How products work  How to organize leads  How to set appointments  How to use collateral  Sales process stages  How to get answers

Skill/Behaviors
 Tracking lead results  Setting appointments  Opening a sales call  Probing for needs  Presenting solutions  Negotiating

Conditions
 Compensation  Processes, Policies & Procedures  Systems, Technology & Tools  Performance Management  Reporting  And more…

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Performance Levers
Overview | Definition
 Imagine an 8-cylinder engine, firing on all 8 cylinders.

1 8 2

7
6 5 4

3

10 10

Performance Levers
Overview | Definition
 What happens if it’s only firing on 4 cylinders?

1 8 2

7
6 5 4

3

11 11

Performance Levers
Overview | Definition
 What if more than one system isn’t working right? System 1

 Engine

System 2

Drive Train

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Performance Levers
Overview | Definition
 How is this different in organizations? System 1

Hiring System 3

System 2

Learning | Development System 4

Compensation

Processes

System 5

Coaching | Management

System Et Cetera

And More…
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Performance Levers
Overview | Definition
 How is this different in organizations?

It’s Not!

14 14

Performance Levers
Overview | Definition
Types of Levers
 Organization (Company)  Function (Department)  Position (Role / Job) • Task (subset)

It’s “Systems Thinking”
Organization Function Position

Task
Competencies
      Assertiveness Attitude Energy Level Verbal Skill Sociability Independence      

Knowledge
How products work How to organize leads How to set appointments How to use collateral Sales process stages How to get answers      

Skill/Behaviors
Tracking lead results Setting appointments Opening a sales call Probing for needs Presenting solutions Negotiating      

Conditions
Compensation Processes, Policies & Procedures Systems, Technology & Tools Performance Management Reporting And more..

http://en.wikipedia.org/wiki/Systems_Thinking

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Performance Levers
Overview | Definition
Sales Training + Levers = Sales Effectiveness
Sales Training
 Preceded by a training needs analysis  Based on learning objectives  Improves knowledge, skills, or attitudes  Requires instructional design and/or training delivery skills

O F P
T

Sales Effectiveness *
 Preceded by a performance gap analysis  Based on performance objectives  Improves workplace behaviors and outcomes  Also requires performance consulting skills

 Is an important part of “sales effectiveness”  Includes much more than training

 Output includes courses, curricula, training events (e-learning, self-directed, classroom/instructor-led, field training)
 Tactical: Focused on who, what, why, how, when & where

 Output includes learning systems, processes, policies, technology, systems, best practices and more
 Strategic: Focused on organizational alignment to support high performance

* Also referred to as Sales Force Effectiveness, Sales Enablement or Sales Performance Development 16

Performance Levers
Overview | Definition
Where to Start? I used to consider…  What can you control (or most strongly influence)?  Within that span:
 What is the easiest win? (low-hanging fruit)
 Where is the biggest gain? (most mileage)  What is the biggest pain? (biggest problem solved)

O F P
T

Logical… but these days, to get started…

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Performance Levers
Overview | Definition
…I Suggest This:
Get sourcing, selection, and promoting right:

O F P
T

Selection

 Identify the right competencies by role (sales/mgt)  Upgrade processes for sourcing and hiring employees  Upgrade processes for developing and promoting employees

Do a Position-level Performance Lever analysis:

Position Levers

     

Put strong focus here - on the Position levers Identify Levers, capture Best Practices and upgrade learning systems Get this right for frontline Sales & Sales Management Roles Align as many supporting organizational levers as you can Show results Then start “tying strings” (aligning) to other levers and functions

Task Levers

Pure training task analysis: Identify Levers, capture Best Practices and:
 Conduct a great task analysis Importance Difficulty Frequency  Write the tasks into training  Gather importance, difficulty and frequency to make good training decisions

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Performance Levers
Overview | Definition

O F P
T

Selection + Sales & Management Levers + Supporting Org Levers
Select for the Competencies Train the Sales Position Levers Train the Sales Management Levers
Territory Management Pipeline Management Consultative Selling Account Development

Align Compensation

Competencies Account Selection

Sales Planning Technology & Tool Use

What & How to Train How to Diagnose Levers How to Coach

Remove Policy & SOP Barriers Improve Internal Service Track Success Metrics

How to Manage Performance

Note: These are just examples and may not be right for your organization

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Performance Levers
Overview | Definition
What are They in Your World? Start Thinking Now….
Varies by Role But Will Include…
                 Hiring Competencies Recruiting | Selection Compensation Reporting Product Knowledge Setting Goals & Objectives Lead Management Technology | Tools Account Selection Consultative Selling Skills Pipeline Management Account Management Account Development Follow-up | Follow-through Training | Coaching Action Planning …and more…

O F P
T

What Should You Add / Subtract For Your Company?
 Document and discuss ideas with top producers & leaders  Agree on a hypothesis  Perform the analysis | Conduct the research
– Survey(s) – Interviews | Focus Groups – Observation

And May Include…

Your Performance Lever Mix

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Performance Levers
Overview | Definition
High-Level Overview: DIY “How To”
 Performer Analysis (Who To Study)  Sales & Sales Manager Selection (How to Select, Promote & Develop)
 Assessments, competencies, sourcing, interviewing, selection, tracking, validation

 Performance Lever Identification (What Really Drives Performance)
 Interviews to create hypotheses for Performance Levers (sales reps & sales managers)  Surveys to confirm / hone Performance Levers

 Best Practices Capture (Details of Each Position/Task Lever)
 Interviews / focus groups / observation to gather Best Practices

 (Re)Design Training for Sales & Sales Managers (Share the Knowledge)
 Learning systems: pre-work, training, post-work, reinforcement, measurement, reporting

 Align Other Levers (Support the Levers Every Way Possible)
 Measure, report, feedback, adjust, repeat

Which becomes….
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Performance Levers
Overview | Definition – The Six Projects
Performer Analysis

Performance Lever Project Series
Sales & Sales Manager Selection

Performance Lever Alignment

 Performer Analysis  Sales & Sales Manager Selection  Performance Lever Identification  Best Practices Capture  Sales & Sales Manager Training

Sales & Sales Manager Training

Performance Lever Identification

 Performance Lever Alignment

Best Practices Capture

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Performance Levers
Overview – Why Go Through All This?
Just a few of the many reasons…
 Better hiring | shorter-ramp up for new hires and promotions  Geometric growth for incumbents (vs. incremental)  Greater customer satisfaction & loyalty

 Break out of “80/20 prison”
 Improve “average” performance levels across the organization  Rewards and incentives that drive the right behavior

 Systemic alignment fosters clarity and focus – people “feel better” (reduced frustration and cognitive dissonance)

But most importantly, we do it for the bottom-line results…

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Performance Levers
Overview – Why Go Through All This? The Outcome | Bottom-line Results (Real Examples):
 A $398MM sales revenue increase, a $9.96MM net profit increase and a 400% return on investment  Increased sales per rep by 47% through changes in territory management and sales coaching  Increased sales results 600% over previous year while decreasing net operating expenses by 21%  Improved average profitability per rep by 11% in 4 months  Improved processing efficiency (order pull-through) by 16% in 6 months.  Newly-hired and trained 4-month employees outperformed a control group of untrained 5-year employees  Increased loans closed per FTE in the 3-month period after training by 2.3 per month (average revenue increase of $183K per class or $36.6MM in 12 months)
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Performance Levers
DIY | How To – The Six Projects
Performer Analysis

Performance Lever Project Series
Sales & Sales Manager Selection

Performance Lever Alignment

 Performer Analysis  Sales & Sales Manager Selection  Performance Lever Identification  Best Practices Capture  Sales & Sales Manager Training

Sales & Sales Manager Training

Performance Lever Identification

 Performance Lever Alignment

Best Practices Capture

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Performance Levers
DIY | How To – Performer Analysis
Performer Analysis

Performance Lever Project Series
Sales & Sales Manager Selection

Performance Lever Alignment

 Performer Analysis  Sales & Sales Manager Selection  Performance Lever Identification  Best Practices Capture  Sales & Sales Manager Training

Sales & Sales Manager Training

Performance Lever Identification

 Performance Lever Alignment

Best Practices Capture

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Performance Levers
DIY | How To – Performer Analysis
Performer Analysis
Performer Analysis

 WHAT:
Sales & Sales Manager Selection

Performance Lever Alignment

Identify top, average & low producing sales reps. Identify top, average & low producing sales managers.

 HOW:
Analyze a year of sales data & create a weighted scoring system across multiple metrics/products. Some discussion & surveys with managers.

Sales & Sales Manager Training

Performance Lever Identification

 WHY:
Provides a mix of performers to study in various ways, to determine true differentiating factors.

Best Practices Capture

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Performance Levers
DIY | How To – Performer Analysis
Example of Performer Categories
Top New Reps Top Seasoned Reps Average Reps Low Producer Reps New = >30 days, <271 days Top = In the Top Quartile of all metrics

n=
Often “top” includes tiers:  4% | 10% | 15% | 25% 39 307 298 348

Seasoned = >365 days (many 5+ years)
Top = In the Top Quartile of all metrics

Selected randomly, between mean and median production Selected randomly from the bottom 20%

Top SM Producers Top SM Team Managers
Top SM Both

Top = In the Top Quartile of all metrics, personal production
Top = Top Quartile all metrics, w/o SM results + survey of their Mgr Top = In Top Producer group personally + Top Quartile all metrics w/o SM results + survey of their Mgr

15
52 5

Average SM (Team) Selected randomly, between mean and median production Low Performing SM Selected randomly from the bottom 20% (Team)

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Performance Levers
DIY | How To – Performer Analysis
Example of Sales Metrics
Metrics # of Sales $ Volume Pull-Through Rate Avg # Sales/Day/Rep Quarterly Weighting * Med-High (2-3) Low (1) Med (1-2) High (3-4)

Create a weighted scoring system…

Avg $ Vol/Day/Rep Cross-Sell Percent

Med-High (2-3) Med (1-2)

* Review the last 12 months & the last quarter. Weight the quarter more heavily. Blend the scores. 29

Performance Levers
DIY | How To – Performer Analysis
Example of Analysis – Sales Reps
Low High 4th Quartile Mean Avg. Median

Sort Descending Highlight 4th Quartile Apply Weighting Repeat & Total

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Performance Levers
DIY | How To – Performer Analysis
Example of Analysis – Sales Reps
Low High 4th Quartile Mean Avg. Median

Sort Descending Highlight 4th Quartile Apply Weighting Repeat & Total

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Performance Levers
DIY | How To – Performer Analysis
Example of Analysis – Sales Managers
Consider things like:
 Avg Productivity
 Avg # and $/rep /time

 Engagement: % of team producing and/or goal %/rep  Total Team Sales: $ and #  Avg Time to 1st Sale (new reps)  Pipeline Stats & Pull-through %  Cross-sell Ratios or Penetration  Trend Indicators (actual # last month, avg/month over 13 weeks, avg/month past year)  Survey Their Managers
 Remove the “luck” factor  Remove “inherited territory”  Remove “one great rep”

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Performance Levers
DIY | How To – Performer Analysis
Partner with Smart People with SAS, SPSS, or Minitab * to Crunch Data for Validity, as Needed

* Of course, learning research methodology and statistics is a viable option for the brave… 33 33

Performance Levers
DIY | How To – Sales & Manager Selection
Performer Analysis

Performance Lever Project Series
Sales & Sales Manager Selection

Performance Lever Alignment

 Performer Analysis  Sales & Sales Manager Selection  Performance Lever Identification  Best Practices Capture  Sales & Sales Manager Training

Sales & Sales Manager Training

Performance Lever Identification

 Performance Lever Alignment

Best Practices Capture

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Performance Levers
DIY | How To – Sales & Manager Selection
Sales & Sales Manager Selection
Performer Analysis

 WHAT:
Sales & Sales Manager Selection

Performance Lever Alignment

Psychometric assessments that measure thinking styles, behavioral traits and interest.

 HOW:
Most vendors now offer online assessments.

 WHY:
Sales & Sales Manager Training Performance Lever Identification

Best Practices Capture

The assessments will help you identify competencies. You can identify statistically validated patterns that predict success, based on your top performers. You can use the results to further develop & coach your current leaders. You can better identify future leaders, who are like your very best today.

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Performance Levers
DIY | How To – Sales & Manager Selection
Methods
      Competency Identification Interview Methods Other Checks Psychometric Assessments Job Matching Blended Models

My Favorite? Blended w/ Psychometric + Job Matching
Sources:  Professor Mike Smith, University of Manchester, August 1994  John E. Hunter and Ronda F. Hunter, Validity and Utility of Alternative Predictors of Job Performance, Psychological Bulletin, Vol. 96, No.1, 1984, p. 90  Robert P. Tett, Douglas N. Jackson, and Mitchell Rothstein, Personality Measures as Predictors of Job Performance: A Meta-Analytical Review, Personnel Psychology, Winter 1991, p.703. Michigan State University’s School of Business.

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Performance Levers
DIY | How To – Sales & Manager Selection

Psychometric Assessments
 Thinking | Cognitive Factors  Behavioral Traits  Occupational Interests

One-third of the Hiring Decision

Get it right:
 Normative vs. Ipsative  Focus on Predictive Validity

 Use the same Performer Categories from your other Analysis
 Compare top | middle | bottom to look for differentiating factors

 Hire, develop and promote based on those factors, as well as performance data (whenever possible)

 Bring in experts
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Performance Levers
DIY | How To – Performance Lever Identification
Performer Analysis

Performance Lever Project Series
Sales & Sales Manager Selection

Performance Lever Alignment

 Performer Analysis  Sales & Sales Manager Selection  Performance Lever Identification  Best Practices Capture  Sales & Sales Manager Training

Sales & Sales Manager Training

Performance Lever Identification

 Other Performance Lever Alignment

Best Practices Capture

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Performance Levers
DIY | How To – Performance Lever Identification
Performance Lever Identification
Performer Analysis

 WHAT:
Sales & Sales Manager Selection

Performance Lever Alignment

Identify the knowledge, skills, behaviors or conditions that must exist for ethical, sustained, high performance to occur. Formulate hypotheses about what the levers are for frontline sales and sales management roles. Confirm and validate the levers through research.

 HOW:
Sales & Sales Manager Training Performance Lever Identification

Through discussion, surveys, interviews, focus groups, and observation of frontline sales reps and their managers.

Best Practices Capture

 WHY:
This will confirm where to focus your efforts capturing Best Practices, which provides training content.
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Performance Levers
DIY | How To – Performance Lever Identification
Formulating the Hypotheses
 Start with some known practices  Talk with:
 Executives

 Other leaders
 Frontline sales reps  Frontline sales managers  Sales operations and support staff

 And possibly, customers

 Label the big buckets and detail the tasks  Don’t get married – you’re just dating  Build the surveys to confirm the hypotheses
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Performance Levers
DIY | How To – Performance Lever Identification
Survey Design
Identify the high-level Performance Levers (hypotheses)

Document the potential tasks for the Performance Lever

Ask what you’ve missed

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Performance Levers
DIY | How To – Performance Lever Identification
Survey Design
Clearly define Performance Lever

Define the role

Add instructions for completing the survey

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Performance Levers
DIY | How To – Performance Lever Identification
Survey Design (Scales)
 Rate the statement provided.  How much do you agree it’s a Performance Lever?  If rated 1-2, next question.  If rated 3-5:

Using empathy statements to acknowledge a prospect’s situation/feelings

Importance & Difficulty Frequency: Actual & Should

 And in some cases:

 In addition, you should ask what you missed, by Lever, and a handful of other questions – such as normal demographics & Continue | Start | Stop.
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Performance Levers
DIY | How To – Performance Lever Identification
Look Familiar?
Partner with Smart People with SAS, SPSS, or Minitab * to Crunch Data for Validity, as Needed

* Of course, learning research methodology and statistics is STILL a viable option for the brave… 44 44

Performance Levers
DIY | How To – Best Practices Capture
Performer Analysis

Performance Lever Project Series
Sales & Sales Manager Selection

Performance Lever Alignment

 Performer Analysis  Sales & Sales Manager Selection  Performance Lever Identification  Best Practices Capture  Sales & Sales Manager Training

Sales & Sales Manager Training

Performance Lever Identification

 Performance Lever Alignment

Best Practices Capture

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Performance Levers
DIY | How To – Best Practices Capture
Best Practices Capture
Performer Analysis

 WHAT:
Sales & Sales Manager Selection

Performance Lever Alignment

Document the best practices and differentiating behaviors of top performers, which can be replicated and trained.

 HOW:
Through discussion, interviews, focus groups and observation of the frontline sales reps and managers identified during Performer Analysis.

Sales & Sales Manager Training

Performance Lever Identification

 WHY:
To share best practices broadly and (re)design training around them.

Best Practices Capture

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Performance Levers
DIY | How To – Best Practices Capture
Data Collection Methods
 Interviews
 In-person, phone, webinar

 Focus Groups
 In-person, webinar

Getting the Straight Scoop
    What really happens “out there” Account for the Hawthorne effect Trust, truth and strict confidentiality Autonomy, mastery and purpose *

 Field Observation
 5-10 top performers

 3 average
 2 in ninth decile  More, pending time, resources & budget

* Thank you, Daniel Pink (author of Drive)

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Performance Levers
DIY | How To – Sales & Sales Manager Training
Performer Analysis

Performance Lever Project Series
Sales & Sales Manager Selection

Performance Lever Alignment

 Performer Analysis  Sales & Sales Manager Selection  Performance Lever Identification  Best Practices Capture  Sales & Sales Manager Training

Sales & Sales Manager Training

Performance Lever Identification

 Performance Lever Alignment

Best Practices Capture

48

Performance Levers
DIY | How To – Sales & Sales Manager Training
Sales & Sales Manager Training
Performer Analysis

 WHAT:
Sales & Sales Manager Selection

Performance Lever Alignment

(Re)design sales and sales management training (learning systems) around your best practices. Ensure that your training includes the right content and produces ethical, sustainable, high performance in the real world.

 HOW:
Sales & Sales Manager Training Performance Lever Identification

Develop courses and implement learning and transfer systems, incorporating what you’ve learned in this research.

 WHY:
To improve training, further share best practices, and improve work performance of frontline sales reps and sales managers.

Best Practices Capture

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Performance Levers
DIY | How To – Sales & Sales Manager Training
Sales Training is the Easy Part Teach Position Performance Levers and Tasks!
Teach sales reps:  If new, yes, do onboarding and orientations, but then…  Focus on the major Performance Levers  Teach the Performance Lever Tasks  Create and share Performance Support  Share Knowledge but Focus on Behaviors & Skills  Build-in extensive Transfer Plans

Teach Them The Replicable Best Practices of Top Performers
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Performance Levers
DIY | How To – Sales & Sales Manager Training
As You Develop Sales Manager Training, Remember… Frontline Sales Management is the Pivotal Role!
Teach managers:  What you teach reps (in advance)  How to diagnose and identify issues with Performance Levers  How to coach to improve levers (behavioral coaching)  How to develop motivational action plans (management science)  How to reinforce, reward, and manage performance  NOTE: Other Lever – Reward managers for the above behaviors

Teach Them To Get Results Through Others
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Performance Levers
DIY | How To – Performance Lever Alignment
Performer Analysis

Performance Lever Project Series
Sales & Sales Manager Selection

Performance Lever Alignment

 Performer Analysis  Sales & Sales Manager Selection  Performance Lever Identification  Best Practices Capture  Sales & Sales Manager Training

Sales & Sales Manager Training

Performance Lever Identification

 Performance Lever Alignment

Best Practices Capture

52

Performance Levers
DIY | How To – Performance Lever Alignment
Performance Lever Alignment
Performer Analysis

 WHAT:
Sales & Sales Manager Selection

Performance Lever Alignment

Review policies, practices, processes, procedures, systems, compensations, and other organization factors.

 HOW:
By sharing study results with other organizational leaders and discussing how you can best support the Performance Levers and Best Practices. If you have an OD team, get them involved.

Sales & Sales Manager Training

Performance Lever Identification

 WHY:
To align as many other organizational elements as possible to support the performance levers and best practices – to create an environment which supports sales success as much as possible.
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Best Practices Capture

Performance Levers
DIY | How To – Performance Lever Alignment
Recommended Initial Focus for Alignment
 Get sales compensation right – rely on experts, if needed  Get out of the “Sales Prevention Business”
 Ask frontline reps and managers, you’ll hear plenty to fix

 Eliminate restrictive policies designed for situations that occur once a quarter  Conduct a Force Field Analysis* with top sales performers and sales managers – remove restraining forces first

* Thank you, Kurt Lewin, for Force Field Analysis

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Case Example
Sales Performance Levers Applied to:  B2B Financial Services  Wholesale Mortgage Origination Channel  Low Base | High Commission

Case Example
B2B Financial Services Company
The Business Situation and Problems

       


 

Good growth rate – Wall Street darling Original team was doing very well (top 20% delivering 80% of production) New Hires struggling – annualized NH turnover was growing fast Sales training was one week in a classroom, all lecture There was no reinforcement, planned transfer or evaluation Reporting was fragmented, hard to interpret, not actionable The best of the new sales people were promoted into management, but… No management training and managers each managed their own way Coaching was rare Performance management was, “You did X last month. You need to do Y next month or you’ll be fired” If you had industry sales experience, wanted the job, and could fog a mirror, the job was yours Few understood the complex compensation system.
56 56

Case Example
B2B Financial Services Company
Challenge from the President
 The President told our Performance Development team: “I believe in this group and what you were hired to do. But I want to be clear. If you can’t deliver on your promises about improving performance, you won’t be sitting at this table this time next year.”

57 57

Case Example
B2B Financial Services Company
Performance Projects
 Analysis of past and past results | current state | current results. (Point A)  Discussion with senior management on strategic direction, goals and performance objectives. (Point B)  Analysis of traits, habits, skills and practices of carefully selected Top, Middle and Low Performers…  Individual Interviews | Multiple Surveys | Focus Groups | Observations  “Hiring Right” project – what’s the “right stuff” for our roles? How do we hire, develop and promote people effectively?  Process analysis and documentation review for possible Lean projects.  Review of compensation and incentive programs and practices for sales.  Review of sales management practices.  Customer Interviews, Surveys, and Focus Groups.  So, basically, we ran The Six Projects (and included customer feedback)
58 58

Case Example
B2B Financial Services Company
How We Created a Performance Enhancing System
 Vetted the analysis, identified the levers and communicated everywhere  Created 3-week sales training curriculum for new hires (2 weeks remote + 1 week in class) – taught all levers, changed behaviors in class & certified  All new managers went through the program and were certified  Taught incumbent managers separately and certified  Developed a coaching program for managers (and yes, certified them)  Aligned comp, performance management and reporting/metrics  Started work on the supporting levers  Constant communication | monitoring with dashboard reports  Quick feedback loops, performance hotline, adjusted course as needed  Transitioned leaders to take ownership and accountability  Top-down, C-level support was critical
59 59

Case Example
B2B Financial Services Company
Some Results
 Reduced average ramp-up time to minimum acceptable performance for newly-hired/trained reps from 6 months to 3  Increased average purchase from $156K to $167K

 Reduced turnover from 44% to 28% (new hire one-year from 78% to 24%)
 Increased size of “top producer” performers from 9% to 14%  Increased New Customer “Stick Rate” (stat not available)  Decreased “order” processing time by 16%  Improved order pull-through from 47% to 54% But most importantly…
$398MM Increase in Revenue  $9.9MM Increase in Net Profit  400% Training ROI
60 60

Case Example
B2B Financial Services Company
Real-World Tips & “Gotchas” From This Case
 Analysis of traits, habits, skills and practices of carefully selected Top, Middle and Low Performers
 Validate performer status closely: Especially rule out “inherited a great territory”

and other factors that mask “earned” top-producer status

 Methods: Individual Interviews | Multiple Surveys | Focus Groups | Observations  You must see what they’re doing!  Insert the Voice of the Customer – whenever possible: talk to them and listen!  Be ruthless on process reviews. Streamline!  Forget “sales experience.” Assess | Hire | Train | Develop  Listen most closely to the real top producers, those moving up steadily, and superstar new hires who leap out of the gate  Agree on what success looks like, with executives, upfront, and how it will be measured
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Appendix  Helpful Resources 
http://www.slideshare.net/MikeKunkle/aligning-performance-levers-for-breakthrough-sales-results-082011

Aligning Performance Levers For Breakthrough Sales Results

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Performance Levers
Helpful Resources
Analysis
       http://amzn.to/AnalyzingPerformanceProblems http://amzn.to/AnalysisImprovingPerformance http://bit.ly/FirstThingsFast http://www.nwlink.com/~donclark/analysis/analysis.html http://en.wikipedia.org/wiki/Human_performance_technology http://www.pignc-ispi.com/articles/Vol42_05_08.pdf http://www.ue295.com/xtranet/html/timeline/harless.html

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Performance Levers
Helpful Resources
Selection

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For those interested in exploring assessments, here are some unbiased educational resources:  http://www.uniformguidelines.com/index.html  http://wdr.doleta.gov/opr/FULLTEXT/99-testassess.pdf  http://www.shrm.org/about/foundation/research/Documents/assessment _methods.pdf And some companies to research:  http://rocket-hire.com – Dr. Charles Handler evaluates vendors  http://www.profilesinternational.com  http://www.selfmgmt.com/en/default.aspx  http://www.peopleanswers.com  http://www.previsor.com  http://www.thebrooksgroup.com  http://www.objectivemanagementgroup.com
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Performance Levers
Helpful Resources
Performance Improvement
              http://bit.ly/Wallace6Pack http://bit.ly/BusinessProcessChange http://bit.ly/PerformanceConsultantsFieldbook http://amzn.to/HandbookImprovingPerformance http://amzn.to/HumanCompetence http://amzn.to/WhiteSpaceRevisited http://amzn.to/CompensatingTheSalesForce http://amzn.to/MgtPerformanceImprovementPlans http://amzn.to/TrainingAintPerformance http://amzn.to/FundamentalsPerformanceTechnology http://amzn.to/HandbookHPT http://amzn.to/HandbookHPT2 http://amzn.to/SeriousPerformanceConsulting http://amzn.to/PerformanceArchitecture

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Performance Levers
Helpful Resources
Best Practices
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http://amzn.to/MakingTheNumber ~ http://www.makingthenumber.com http://bit.ly/BestPracticeKnowledgeManagement http://bit.ly/IdentifyingOrgBestPractices http://www.csoinsights.com/sales-research-data http://www.csoinsights.com/Topics/Sales-Process-Best-Practices http://slidesha.re/BestPracticesWorldClassSales

Sales Best Practices Research  http://www.achieveglobal.com/resources/?cat=1  http://www.millerheiman.com/research_center/sales_best_practices_study /index.html  http://www.huthwaite.com/en/Resource%20Center/Whitepapers.aspx  https://sec.executiveboard.com/Public/Default.aspx  http://www.salesbenchmarkindex.com  http://salesmanagement.org
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Performance Levers
Helpful Resources
Sales & Sales Management Training
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http://www.scribd.com/doc/46526471/Basic-Instructional-Design-Principles http://www.esresearch.com http://bit.ly/MagerSixPack http://bit.ly/EvidencedBasedTraining http://bit.ly/JobAidsPerformanceSupport http://amzn.to/BeyondTransfer http://amzn.to/TheFourLevels http://amzn.to/MeasureTrainingResults http://www.ecsellinstitute.com/6-pillars-philosophy

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