Interpersonal Business

Vol. XXXV

Dear Manager,

All companies seem to address these issues from different perspectives. Some set no objectives, some set forecasts based on insufficient data, and some take their forecasts dogmatically. Others find the balance, maintain very real expectations, and find them to be productive. But please….

GIVE ME QUALITY NUMBERS

How can any manager possibly manage with ineffective or inconsistent expectations? Under these circumstances, companies seem to reward those who fail and reprimand those who succeed. Amazingly, many companies look at their sales figures and daily sales bookings in a similar light.

In this scenario, a company’s focus is formulated and translated through their financial department. Accounts receivable and payable make the rules. Shipments, not sales, reign for these companies, because of its relationship to the bottom line. Daily sales sheets and historical comparisons are nowhere to be found!

The analysis of receivables, payables and shipments have no direct relationship to current sales. Sales drive all aspects of an organization, while shipments are a support function. As an indicator of success, shipments are old news. How can a company get an accurate picture of current business by living two to four weeks in the past? How can sales management possibly be asked to be accountable for information so dated in nature, unless the intent is to provide them with a safe haven in which to hide?

The number of companies who rely on this dated information is nothing short of perplexing. From a pure sales perspective, how does the factory know if I exceeded my previous year’s sales or not? If shipments will determine my success or failure, I will need to monitor both their purchasing and shipping departments to maintain an accurate evaluation of their/my performance. This is what I am now being held accountable for! I wonder how many sales people from these companies were terminated due to their perceived lack of performance during a UPS strike?!?

I SUPPOSE ONE ALTERNATIVE IS NO DIRECTION AT ALL

While accuracy is critical for managers, forecasts are intended to establish patterns, and form comparisons for their sales people. How is this possible if no forecasts are given? I know of many manufacturers and sales agencies that do not even provide forecasts for their sales people. Once again, this is an example of management living in the past. Should problems arise, management and their sales people are often caught flat-footed and in no position to respond. By then it can be too late. Sales management, in contrast to the big game hunter, gains no benefit from the element of surprise.

When a solid foundation is established, the greatest benefit of forecasts for all companies is the ability to bring focus. Quality numbers simply don’t lie. There is no refuting the best of the best and the worst of the worst. There is no one quicker and more capable of defending (and even finding the bright side of) poor performance than a good salesman. This is why they are in sales. There is no one better at destroying your position than a sales person who is asked to be accountable for expectations that reflect inaccuracies in your system. Quality information is a manager’s only salvation!

THREE DISCIPLINES OF FORECASTING

1. Develop objectives: This can be done weeks prior to the end of the year. Meet with your associates to gain a feel for the marketplace. Determine their objectives, and what they feel are reasonable expectations for their presentations. Share your thoughts and responsibilities with them individually, or as a group.

Always remember the following premise: Manufacturers anticipate growth. This is why we, as sales people, have been asked to represent their products. Sales people should expect quality products and presentations. This is why they have chosen to represent your products in anticipation of meeting mutual expectations.

While equal in foundation, these two perspectives are seldom considered simultaneously. Factories will rarely admit to poor performance in the marketplace, while continuing to expect (hope for) continued sales growth from the field. Sales people will rarely acknowledge excellent performance in the marketplace while trying to defend their failure to meet their objective. Obviously it becomes a dance. Somewhere between these valid considerations lies a reasonable and attainable objective.

2. Review your objective: All too often for sales management the process stops after step one. A monthly and quarterly review is essential to maintain performance.

Forecasts are similar to the grades we received in high school. We cannot argue that a D is acceptable if everyone else in the class is getting an A. Neither can you suggest that an A is expected if every one else is getting a D. If the majority of your regions are exceeding their objectives, those who have failed to do so will need to re-evaluate their own performance. The standards of a quality forecast are always defined by one’s peers. If the majority of your regions have failed to meet their objectives, there is certainly no value in terminating the entire sales force. In this instance, the original system of forecasting is flawed. It is now time to evaluate all aspects of your own presentation.

3. Recognize your objectives: With each step after number one, management seems to take less involvement in fulfilling these basic objectives. Recognition is a very powerful and rewarding tool for all parties. Studies have shown that, as a source of fulfillment and satisfaction, personal recognition often equals monetary compensation!

Personal recognition assumes a very low profile. No one will negotiate for personal recognition in their time of review. Personal recognition is the silent victory we all feel when we have been singled out. Having been recognized, we know, and everyone else knows, just how good we are. There may not be any greater personal victory in life.

I have always believed in monthly recognition for the top achievers in my company. Quarterly or semi-annual awards are as much fun to give as they are to receive. A final award of Sales Associate of the Year always enjoys great anticipation as the highest recognition for a job well done. As managers, never allow this opportunity to slip through your fingers!

Forecasts will also provide you with a foundation in the event that a change of course is required. There is no benefit in retaining individuals who have consistently exhibited a lack of performance. There comes a time when it is a disservice to all parties to continue. With months of review at your fingertips, comparative analysis, and conversations that have taken place, there can be no misunderstandings. As a manager, you have a responsibility to yourself, and to the entire organization, to consider a change.

Forecasting can and should be motivating, challenging and, most of all, rewarding. Individuals who only live by the numbers will die by the numbers. Individuals who take inspiration from this process will treat it like a challenge, and be rewarded greatly for their efforts. We can accept the process and flourish, or deny the process and place our fate in someone else’s hands.

I am reminded of a favorite quote from Dave Leland, a Portland businessman, which seems to have obvious applications in meeting the realities we must all face. “It’s really easy to spend a lot of time solving the wrong problem.”

Personal Regards,

Keenan

INTERPERSONAL© is published by INTERPERSONALBIZ.COM, Keenan Longcor, Editor, ©2009. Duplication of this publication is permitted for both personal and business use. Excerpts may only be quoted with acknowledgment of INTERPERSONAL/INTERPERSONALBIZ.ORG as the source. For re-publication rights, please contact the editor at KEENAN@INTERPERSONALBIZ.COM

Vol. XXXII

Dear Managers,

I have consistently promoted the value of management having first-hand experience in the realities of those they manage. Few of us simply woke up one morning to management; we all took those first difficult steps. While the transition is difficult for many of us, we can at least fall back on the values that provided us with confidence in our previous endeavors. In my case, the need to expand sales efforts was obvious, regardless of my personal abilities to do so. In many instances, business can thrust very good sales people into a management role, whether they are prepared for management or not. Having field experience does not automatically guarantee success in management!

Eventually, I realized that I could provide a great asset to my organization by drawing on my past and remembering how to think like a sales representative. The closer I could stay to that thought process and set of values, the stronger my organization would become.

PRACTICAL EXPERIENCE

I have known and worked with several outstanding sales managers who had little or no actual field sales experience. I have known many more, unfortunately, who failed due to their profound inability to relate. I guess it comes down to ones priority in getting on the inside track. Too many managers are distracted by their own course and fail to negotiate the turns. These individuals expect to play the game on their turf and under their rules. Many will fail, never realizing their potential. Those who find a measure of success, yet begin to believe their own press, will never address their shortcomings. From my experience, and without question, this single dynamic consistently robs many managers and their companies of success.

Unfortunately, some managers with field experience choose to forget their lessons and become what they perceive the role of a manager should be. In conversations, it may seem as if these individuals have now arrived at a higher level. With title in hand, a case of amnesia relating to their earlier times sets in. This attitude reflects the very worst in management.

As suggested, I have known managers with no field experience who have, through their own initiative, developed an amazing sense of awareness relating to sales. Fundamentally, these individuals simply want to understand and develop their success on a level playing field with those who can insure their success and whom they consider their peers. These individuals gain high marks for their obvious willingness to learn, experience, and share their desire to develop this understanding.

THINKING LIKE A MANAGER

Having emphasized the value to management in thinking like a rep, I equally believe that the current business climate now require a sales associate to think like a manager! The dynamics of a field sales person are those of independent, individually focused responsibilities. True, their vision is directed towards success. However, given the daily focus on their individual realities, it becomes tunnel vision directed at only one aspect of success: theirs.

In recent years, I have made it a priority in my hiring process to find sales people who also think like a manager. These are the individuals who have stepped out of the singular and often self sustaining perspective of the sales representative, and realized their greatest asset to themselves and their organizations is to assume a management role relating to their sales region.

Those “managing sales” understand and accept a personal responsibility for meeting the growth potential for their sales region. They are the first to know, and are proactive in their willingness to adjust to, the current and future needs of their sales region. They understand their position of strength comes prior to their manager’s inevitable involvement.

There can be huge rewards for individuals who accept this greater ownership. These individuals relate more closely with their managing counterparts. They speak the same language and have a greater understanding of each others needs; conversations reflect on mutual interests relating to “good business decisions,” for their customers as well as their manufacturer. These individuals find a high degree of support from their “fellow managers” relating to their needs and, in more instances than their peers, enjoy the luxury of the benefit of the doubt.

A NEW BEGINNING

The old school suggested a “hands on” approach to management. If this is still the case in your organization, you are living in the past. Let’s be honest, most of the rules and parameters of past sales policies were established to meet the needs, yet minimize the risk, of the lowest common denominator. Do these out-dated sales policies still exist? Who are they currently intended to protect you from? Where’s the flex to make the deal?!

In the past ten years I have seen a remarkable improvement in the standards being established by the sales professional. With a much greater involvement of women in the professional field, the standards set by the highest common denominator of this combined work force far exceeds the pool of talent available just a few years ago. I genuinely believe we need to ask more, and these individuals want more to be asked of them. We can do so by first expecting them to manage their territories and then by giving them the opportunity to do so.

GIVE ME YOUR TOP FIVE

Allow me to describe your top five sales associates:

• Totally self motivated; you never give there sense of determination a second thought

• Creative and almost startling in their approach to a sales challenge

• Always thinking in terms of second and third generation relating to their long term objectives, while maintaining high visibility

• As professionals, they are always looking for, and intrigued by, finding a more productive way

• They enjoy a much stronger relationship with the decision makers in the field and with their manufacturer(s)

• Finally, these individuals challenge you as a manager, by a multiple of five, as compared to your other associates

Are these not the qualities of a great manager, in addition to those of a great sales person? Should we not be asking more of those who have not yet seen the value in thinking like a manager? Are we going to maintain standards that meet the needs of the bottom five at the risk of inhibiting our best?

RISING TO THE TOP

The first step is to develop an awareness of the obvious disadvantage many sales associates are willing to accept. Why is it that so few get all the advantages? A manager of sales first challenges all the policies, then seizes every opportunity to work the system. From the outset, these individuals understand how to finesse a policy to their advantage within the rules (as best as possible). They have a consistent dialogue and ask all the right questions.

Managers reward creativity and respond to ingenuity, especially in an individual who thinks and plans like they do! While these individuals challenge management at a much higher level, they can’t help but be admired and respected for their efforts. In most instances, these individuals get exactly what they want. Those who never ask simply never enjoy the advantage. Who currently gets the advantage? Less than 20% of the whole! It must be time to spread the wealth.

Who are the most successful managers? Those who can relate with and think like a sales person.

Who are the most successful sales people? Those who can relate with and think like a manager.

Personal Regards,

Keenan

INTERPERSONAL© is published by INTERPERSONALBIZ.COM, Keenan Longcor, Editor, ©2009. Duplication of this publication is permitted for both personal and business use. Excerpts may only be quoted with acknowledgment of INTERPERSONAL/INTERPERSONALBIZ.ORG as the source. For re-publication rights, please contact the editor at KEENAN@INTERPERSONALBIZ.COM

Vol. XXXI

Dear Manager,

We’ve all gotten caught up in the dynamics and ultra-fast pace of sales and marketing in the Twenty First Century! Productivity reigns as the single qualifier in separating the top achievers from the also-rans. As managers, we have established our individual barometers, commonly based only on numbers and multipliers. While this is one facet of the equation, have we lost the opportunity to establish a striking contrast, one with true definition and significance to our sales team and to our customers? Can there be balance to productivity? And how shall we quantify productivity?

So, how do we bring a greater relevance and a balanced approach to our own business, management, and selling careers? We can, and have, all lost our balance and objectivity on occasion, from the sheer impact of both real and self-imposed pressures and expectations. Don’t begin by throwing out the baby with the bath water! Instead, begin by using the clear and obvious strengths your business has enjoyed … then begin again, to take even greater advantage of these strengths.

AS BUSINESS OWNERS …

… We are thrust into the daily operations of our business. On any given day, this will include everything from decisions on recycling scrap paper to planning for future expansion in the hopes of doubling our annual sales. Which of these is significant, which of these has impact? I’m not sure this is a fair question, as they are both part of the entire package of our daily routine; our executive privilege, so to speak.

Certainly there are mundane areas in all aspects of business yet, as business owners, I believe we are all in search of a higher purpose. Purpose brings fulfillment, and we must begin and end each of our days with a solid dose of it. At this level, the less significant aspects of our days become a distraction rather than a disruption. We are fully aware of all priorities and their relative significance. We are single-minded in meeting our ultimate objective. Purpose is its own reward, for ultimately it is our greatest source of satisfaction.

THE MANAGER

When was the last time you were truly in touch with your staff? Certainly, we’d like to think we are in better touch, as managers, than any manager in this century. With e-mail, fax, pagers and cell phones, this is the age of communication. Or is it? Are we correct to assume that with greater technology, we can now assume even greater responsibilities, detaching ourselves even further from the day-to-day needs of our staff? For any manager, “business as usual” is the beginning of the end.

As managers, our tendency is to react to and fix the squeaky wheel. Problem areas, individuals with greater needs, and developmental areas of our business dominate much of our time. The 70% of our business that needs little attention, seems self-sustaining and is working very well, receives significantly less of our focus. Yet it is the 70% that holds all the keys to the company store. There is little to be learned from the 30% that dominates our productivity. All future potential lies in the hands of those who require the least.

Pick a staff member and focus on their objectives, performance and priorities. By speaking with them, at their level, you have the greatest opportunity to assist in mutual growth. You will learn much about your own business as well. Choose a new staff member each month, spending time and letting them know of their importance to you individually, and to the organization. What makes these individuals tick? What’s on their mind? How might their success be translated to the organization as a whole?

We would like to think we are in touch with our staff, but are we? I would be willing to bet we have all asked ourselves this question. Where do we begin? One individual at a time.

THE SALESPERSON

Orders per week, dollars per month, commissions in my account. This, too, is a trap that we, as business owners, managers and sales people, have all fostered. Once again, these are all critical aspects of why we are in business, and they will always need to be considered. Have we created the balance in our sales careers to allow time to create contrast to our day-to-day objectives? For example, when was the last time you made a well-conceived, formal presentation to one of your customers?

I would describe a formal presentation as one that is developed in written
form, reflects on the current business dynamics of your customers, and offers a proposal and justification for the needed expansion of products and services with this customer. All too often, and with the greatest of intentions, our presentations can be best characterized as an “oh, by the way” approach to sales rather than a formal presentation. Oh, by the way … this is very true of many of your competitors as well!

When was the last time your customer was called to a meeting to analyze their business? For this reason alone, you will be characterized as more professional, better prepared, and considered a valued asset for having made this effort. In other words, your thoughts and comments will be taken much more seriously than in the past. Your effort and preparation will place you far beyond those who simply go through the motions.

Your objective is to create a specific time in your schedule for evidence selling. As compared to item selling, evidence requires preparation. The key element here is that, similar to the lessons developed by a schoolteacher, once they are developed they can be adapted and adjusted to meet the needs of the class (or your sale) again and again. With each presentation, the process gets easier, and your presentation gets stronger. There is no one better in the preparation and selling of evidence than a very good schoolteacher. Think of it in these terms, and you are halfway there.

A quarterly or semi-annual review should be of highest priority for each of your significant accounts. Who knows your products better than you do, and their relative rate of sale in these specific accounts? Certainly, your customers don’t have the time or the ability to develop this analysis. They are working with hundreds of vendors. Plan this meeting and analysis on neutral ground, away from their place of business and yours.

From the outset, your customers should know of your plan to discuss their business. This will lead to an open discussion and a full disclosure of any thoughts or concerns your customer might have. Only on the rarest of occasions have I not left a meeting of this type with a much stronger relationship, and significant opportunity for growth, with this customer. At the very least, your customers will be impressed with the attention.

You say you don’t have the time? Yes, you do! What greater impact on your sales region could be made than by developing a well-conceived and focused presentation for your top ten accounts? Where do you find the time? If there is none available, then, without any second thoughts, diminish your influence with your bottom ten accounts. Your top ten accounts represent 50% or more of your volume, your bottom ten represents far less than 5%. Where is your time best spent?

The greatest complaint of all business owners, managers, and sales people is a simple lack of time. So, who is this “lack” guy who seems to have ownership over you? You can surely lay blame all day long, as long as it is pointed squarely at your own sense of priority and purpose.

We are in total control of our schedule, and are in absolute control of our success. In most cases, the need to adapt, the need to bring balance and greater relevance to our business career, is a minor adjustment; it’s a bump in the road. Do so, and find greatness. Fail to do so, and join the cast of millions.

Personal Regards,

Keenan

INTERPERSONAL&#169: is published by INTERPERSONALBIZ.COM, Keenan Longcor, Editor, ©2009. Duplication of this publication is permitted for both personal and business use. Excerpts may only be quoted with acknowledgment of INTERPERSONAL/INTERPERSONALBIZ.ORG as the source. For re-publication rights, please contact the editor at KEENAN@INTERPERSONALBIZ.COM

Vol. XXX

Dear Manager,

Over the years, sports took on a bit more importance. With league titles at stake and an invitation to the state championships, the “game” grew to carry an increased sense of urgency. I guess it’s all in ones current perspective. Is business a sport, or is it business?

While reading the sports page I found a quote that, in a few brief words, had greater implications for business than in its intended reflection on athletes. Del Harris, former coach of the Los Angeles Lakers, was being interviewed. In the very last part of the article, almost as an aside, he threw out the following phrase:

“Probably one of the most overrated aspects in life is talent,” Harris said. “A lot of people with talent have no jobs and are total failures in life. Many other people, through mental toughness and hard work, have been able to achieve greatness.”

Managers depend on the value of those they manage. If you have a number one in the line up, there must also be a number nine. As managers (coaches), we have no choice but to think in these terms on occasion. If we don’t, we won’t survive very long.

Let’s think about Del’s words and how they impact each of us as managers. I believe that this quote describes the difference between our number one and our number nine associates, employees or staff members. There are four categories that best describe the talent and work ethic of athletes, let alone individuals in business. I’d like to prioritize these categories based upon their value to the individual and the rest of the team.

#1 – A combination of talent and mental toughness

This is simply the best of the best, and as good as it gets! Usually these individuals are your number one assets. Their ability to manage themselves, think beyond themselves, and consistently out-perform others is amazing. It’s difficult to take any personal credit for these individuals; they simply are so capable and independent unto themselves. These individuals are a pleasure to be around, and set a high standard for all of us. If we could surround ourselves with this type of individual, the World Series would be ours, and our company’s growth would take us off the charts.

#2 – Less talent with mental toughness

These individuals also have the potential to win our number one spot. And when they do, there is no greater sense of pride as a manager. These are the individuals who step up again and again, accomplishing much more than is expected. This is the group that causes us to think, “I didn’t know they had it in them!” They make us look good, and provide a great deal of satisfaction. Talent can be a blessing; toughness comes from one’s gut.

#3 – Talent with less mental toughness

These are the individuals that we hope and pray will meet the expectations of our first category, but never do. We buy into their obvious talent, yet they always fall short. While they are so close to greatness, they rarely achieve it unless it meets their personal agenda. These individuals always seem to present themselves as having “arrived.”

Their talent has been their greatest curse, for they have never had to develop the discipline and work ethic to begin to understand greatness. They have sold themselves a bill of goods. Natural talent is a gift, while the development of talent requires mental toughness. I believe it was this aspect of professional sports that Del was lamenting; the package never lives up to the presentation.

#4 – Less talent with less mental toughness

For all intents and purposes, the third level is as low as we go in the spectrum as it relates to management. Those in the fourth category, less talent and less mental toughness, will simply wash themselves out – on the playing field as well as in their careers.

So, what are the qualities of mental toughness with which we hope to associate ourselves and promote within our organizations? Mental toughness suggests an ability to take greater control of our mind and its thought process. Years ago, the well known author and psychologist, Wayne Dyer, was asked what he suggested to his patients when they showed signs of depression. “Anything,” he responded. “Ride a bike, go to the park, read a book – do anything but think about being depressed.”

People with mental toughness will do anything as an alternative to thinking counterproductive thoughts. I’ve heard people say, “I can’t seem to get these negative thoughts off my mind.” Yes you can! While it may take practice, we can control our thoughts. If we can’t, I can’t imagine who can! And if someone else is, tell them to get lost!

We’ve all watched a sporting event and heard an athlete described as being in their zone. When this occurs, no matter the game, no matter the situation, their ability to score and perform is unfailing. We’ve all felt this in business as well, when an average day turned to diamonds. With every call, with every conversation, the outcome exceeds all expectations.

There are also those days when we find it difficult to tie our shoes … and tying our shoes may end up being the highlight of the day! Acceptance and understanding of these contrasts is a very real aspect of mental toughness. Equalizing the highs, lows, wins, and losses is critical to ongoing success. Some days cannot be characterized. They simply are what they are.

I read a second article in the sports page that also seems to relate to this topic. (I’m obviously getting more out of the sports page than I am out of the business section!) A sports analyst was interviewing Wayne Gretzky, who is undeniably one of the greatest hockey players of all time and a current N.H.L coach. “We really believe if you let excuses creep into the locker room, they get bigger and bigger and it’s an easy way out,” Gretzky said. “We haven’t talked about any of the guys not being able to play.”

The author went on to say, “Gretzky’s message was clear. You take the cards you are dealt, suck it up, focus and perform. It’s one thing to act tough and pound your chest … quite another to take a hit and show some guts.”

So, is business a sport, or is it a business? If the talent, mental toughness, individual and team success required to win a championship are the same qualities necessary to succeed in business, then why don’t we find the straightforward, no-nonsense approach of Del Harris or Wayne Gretzky in the business section? While some thrive in the absolute discipline of positive mental strength, others horse around with the alternative!

Are you letting excuses creep into your locker room?

Personal Regards,

Keenan

INTERPERSONAL© is published by INTERPERSONALBIZ.COM, Keenan Longcor, Editor, ©2008. Duplication of this publication is permitted for both personal and business use. Excerpts may only be quoted with acknowledgment of INTERPERSONAL/INTERPERSONALBIZ.ORG as the source. For re-publication rights, please contact the editor at KEENAN@INTERPERSONALBIZ.COM